Reading it prompted me to send this to City Council:
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Hi Folks,
Regarding the PAC MOU:
1. How about memorializing some transparency? Specifically: agreeing that all records pertaining to the operation and governance of the facility, including those generated by the non-profit entity, shall be publicly available in conformity with North Carolina public records law.
2. Where is it specified who will own the center? Although one of the final paragraphs refers to the possibility of what happens if the CIty no longer desires to own the PAC, nowhere do I see where it is specified that the city will own it to begin with.
3. It seems a really bad idea that, if the city no longer wants to own the PAC, CFGG will assume ownership. That is ripe, in my opinion, for trouble. A future council could decide that they don't want the PAC and, instead of selling it to the benefit of taxpayers, they would have no option but to give it to CFGG. Shoot, they could decide not to own it just to make that happen.
4. The donor's bank loan will be collateralize by the facility? Has anyone thought about the implications if they should default? How does that then work with a bank owning half the facility or eventually selling it to a private entity? Do the donors remain in the governing body if they default?
5. It seems unwise to exempt certain board members from term limits.
Yours,
Roch
"It is agreed that the ownership of the Tanger Center will vest in the City once the financing
ReplyDeleterepayment obligations of the Private Donors are satisfied, which is expected to occur no later than 10 years after the opening of the Tanger Center."
Roch, I see this as the community foundation owning the center for at least the first 10 years... I also see this as one of the craziest, stupidest, most *#$#@ up concept I have ever seen...even by Greensboro's standards! we have reached new levels!
Not to mention that CFGG gets to capitalize on any interest earned from keeping funds in their accounts until payment is due...
ReplyDeleteFunds of up to $5 million to pay pre-construction
amounts due under the design contracts will be transferred to the City as those
contract payments become due, subject to obtaining the Donor Loan
Commitment and to the approvals described in Section D.4. After the City’s
funds have been used to pay its portion of the construction costs, the remaining
2
funds will be transferred to the City as contract payments become due, subject to
any required approvals described in Section D.4.