This page contains a single entry from the blog posted on March 31, 2009 3:42 AM. The previous post in this blog was "Merkley touched me up for cash last night". The next post in this blog is Paulson stadium deal more delusional every day. Many more can be found on the main index page or by looking through the archives.

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Tuesday, March 31, 2009

Keeping score is a challenge

The City of Portland's disastrous forays into "urban renewal" (code word for construction-company-and-developer welfare) keep piling up. An irate reader who's apparently been keeping track of such things (although we can't vouch for the accuracy of everything he or she says) writes:

When we look at one failed deal (such as the Nines Hotel) here and there it is worrisome, but when you add in other deals that are teetering on the edge, we have an epic risk of publicly bonded projects failing all at once. For example:

1. Roux Restaurant on N. Killingsworth owes over 400K in back taxes and is on the verge of having to close, yet PDC is lending money to the owner to open a new restaurant downtown. Sound like a smart idea to you? Me neither.

2. The building on Fremont and MLK where Belly restaurant is (formerly Terroir) remains almost vacant except for the restaurant. Who's paying for that, and what about the failed publicly financed townhouse deal next to it owned by the same developers that also received public money?

3. Portland Center Stage, the tenants for the Armory, are laying off staff. If they bail on their money owed to PDC/Portland Family of Funds, who ends up paying for that? Remember how Don Mazziotti and Norris Lozano (s**m) put that deal together using federal funds meant for "low income areas" and got their hands slapped by the City Council because of it. Don is also the "mastermind" behind the PGE/MLS deal. Ugh.

It's so depressing when the taxpaying public actually pays attention.

Comments (6)

And you are surprised by this, because...?
Well I know that no one who reads this blog on a regular basis is really surprised, but it is disappointing and frustrating to have this stuff done again and again and again.
However, if the same yahoos keep getting elected, then we cannot expect much change in the way the city does business with the PDC.

Uh gee, you mean actually audit these projects? I think you are hoping against hope. You've seen how much Blackmer (and I assume his replacement) has done.

Every one of these string-n-wires funding plan always has as its hinge piece:

"Don't worry CoP isn't going to pay for it, ________________ will pay for it and he is totally responsible. CoP has absolutely no liability."

I am awaiting the day when we hit tipping point and go to the bond market and hear resounding silence.

The city is unfolding exactly how one would expect given the perfect storm of corruption and incomptence that manipulates the system while the greater extent of transactions and records are withheld from any authentic scrutiny and oversight.

You got a problem with that?

Send Creepy a memo.

Gah! Do you think this trend will ever die, and that city governments might return to the boring but essential services of paving streets, fixing potholes, maintaining sewers, funding police depts, etc?

(Even as an non-car-owning cyclist, I think that paving the mud-and-gravel pits that they call streets in east Portland would be far more useful than the litany of "green" improvements that the city is currently planning.)

Most of these so-called "business people" who get these PDC funds are completely clueless when comes to actually running a business. They think cash flow is making money....

Not sure about the numbers on Roux. PDC is actually giving money to the FORMER owner of Roux. He's out up there and his partner has taken over. If those numbers are correct they're screwed. By the way, how do you get money to open a restaurant from the city?

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