This page contains a single entry from the blog posted on February 2, 2012 6:43 AM. The previous post in this blog was Portland: The City That Hates You. The next post in this blog is Groundhog Day in Portlandia. Many more can be found on the main index page or by looking through the archives.

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Thursday, February 2, 2012

Your tax dollars at work: "green" bribery

The race to the bottom has never been more apparent. If you live in Portland, you pay money to a company in Spain to keep some well connected local landlord's office building occupied. All in the name of saving the planet -- and "jobs," of course.

Comments (12)

Port of Portland should subsidize international flights using the Fedex hub model. The spokes would be every green company corporate office in the world.

The math is a little screwball. If $1.15 million is what Iberdrola wants to make it possible to keep 350 jobs in Portland for 10 years, that's about $3,000 per job, or $300/year, meaning that Iberdrola would get savings equal to the PDC subsidy simply by paying its workers $300 per year less.

Iberdrola would get savings equal to the PDC subsidy simply by paying its workers $300 per year less.

But then with this economic model how could the blackmail ever work?

Looks like Iberdrola pays right around $100k a year. A $300 a year haircut is less than 1%.

Remember when the MultCo ITAX came to town and the cheerleaders gave us that "less than a daily cup of coffee" lecture?

What's sustainable about Iberdrola? Subsidies?

I predict Iberdola leaves within 2 years, and there won't be any way to recoup the subsidy Portland gave them.

PGE Park/Portland Family Entertainment/Glickmans? $35 million

Emily Boyles? $120,000

Multnomah County Commission who defaulted on her loans? $500,000

We don't even TRY to collect on our bad debts in P-town. Not from the well connected or the insolvent.

It would be fun to draw the well-connected, the insolvent, and the lucky recipients of the sweetheart deals as a Venn diagram.

And of course the aricle didn't go near anything close to a WTF? type question...

Where I'm from, if you run out of money, you go out of business. Harsh, I know! Start over, or something.

On the flip side, if you don't run out of money, you might get to keep some of it, instead of being shaken down continuously.

This entire green industry is going down fast, all over the world. Spain bankrupted itself trying to shift to a green renewable whatever economy.

Portland doesn't really want sustainability, it just wants to stay cool for one more year, one more month when the fad is already long over... and nobody will sign it's yearbook anymore.

At least I have stock in Iberdrola, formerly Scottish Power and before that Pacific Power. But the stock is down and the dividends get whacked with I think an 18% Spanish tax. So Portland is subsidizing the company so I can pay a tax to support the government of Spain. Which of course needs all the income it can get right now. And the tax is a deduction against income on my 1040. It's complicated.

And the subsidy is wrong.

Adams said "the city's proposed contribution is an investment in an industry that provides high-skilled, well-paid jobs." It's the welfare state turned upsdide down. Those with low-skilled poorly paid jobs get to subsidize the jobs of the young creatives. What next? Subsidized housing for those making $95K ??

Frank: we already subsidize housing for those making $95k in Portland.

There's an "affordable housing project" in Hillsdale built with public subsidies and full of middle-high income earners, and the Mirabella (Luxury Retirement Living for Doctors, Dentists, and Lawyers) built with Multnomah County Guaranteed tax free bonds.

Those are just the two examples I'm aware of...

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