Friday, June 13, 2014

Mayberry wanting to be Chicago

GREENSBORO, NC -- The Troublemaker recently wrote about a company that had a contract with the City of Greensboro to make certain improvements to a downtown property and open a restaurant to have employed a certain number of people as conditions for receiving $200,000 of public funds.

As The Troublemaker documented, the company, Greensboro Parking Group, LLC,  missed deadlines, became delinquent on their property taxes, had the original contract with the city extended four months after it expired and missed milestones that were to be met before the public funds were given to them. The city gave them the full $200,000 anyway, before the milestones were met—some of it even after the contract extension expired.

Could there have been any early warning signs that these guys needed a close watch? The corporate seal they affixed to the contract with the city might have been a clue. In case you can't tell, that's a pencil rubbing of a quarter (click to enlarge).


Meanwhile, another blogger notices that one of the principals in Greensboro Parking Group (who is also a partner in a separate downtown property with city council woman Nancy Hoffman) is living high on the hog.


The question remains why the company received public funds when the terms of the contract were not met.

23 comments:

  1. The problem with the Ben Holder/Billy Jones take no prisoners approach is that their exaggerations and ad hominen attacks undermines their credibility. The headline on both blogs is that $200,000 was stolen. Wrong.

    Billy posted the contact on his site and based upon my read through, they should have been paid $100,000 for the completion of the parking lot which was done early in 2013.

    It also appears thar the outdoor meeting space has been built. The remaining big project is the unfinished Spice Cantina. Prompted by their blogs, I stopped by yesterday and ran into the project foreman, who indicated that the work is starting back up next week and should be completed by September.

    So the reality is that they got $100,000 advanced that should not have been paid, but it is not an unmitigated ripoff. The parking lot is a real positive for that part of town. The third Thursday events have been good and the lot will be good for the new brewery and Hackerspace.

    Again, not perfect, but not befitting the hype. Neither Billy or Ben have corrected their errors, preferring to have the drama of the $200, 000 ripoff as the dramatic headline.

    How about "City project behind schedule, $100,000 advanced in error". Closer to reality, not nearly as sexy.

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  2. What evidence does anyone have that the two gentlemen are Hoffman's business partners? She bought property from them, but who has documented a connection in an investment or corporation?

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  3. Anon, good question. I am tracking down a paper trail and emailing Hoffman to ask.

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  4. RP likes to talk about city over site and such... damage control but that doesn't explain the $799,625.88 lawsuit against James Budd in Moore County. Yes, it's the same James Budd, I checked.

    Or Nick and Jim's long list of previous scams?

    Or Jim Budd's connections to the Gambino crime family?

    I can acknowledge I may have made some mistakes in my reporting of what has taken place but Jim, Nick and Nancy have been very deliberate in their efforts.

    City oversight? You're exactly right RP, Jim and Nick are business partners with Greensboro City Councilwoman Nancy Hoffman for the sole purpose of avoiding city oversight. And were it not for the efforts of Ben, myself and a few others they would have never been found out.

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  5. Anon,
    Nick, Nancy and Buddman are partners in South End Partners LLC.

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  6. PR would waive away malfeasance because it's "only" $100,000 and, hey, DOWNTOWN!

    Billy sees a gangster behind every bush.

    It's Mayberry meets Twin Peaks.

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  7. malfeasance:

    1. misconduct: conduct by a public official that cannot be legally justified or that conflicts with the law.
    2. unlawful act: an act carried out by a public official that cannot be legally justified or that conflicts with the law

    Gangsters break the law. Malfeasance allows them to do so with ease. There's hardly any difference.

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  8. Stop, Billy, or I'll delete your comments.

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  9. Roch:

    Again an exageration on your end. I am simply concerned that as a non-blogger, non-journalist, I am able to find simple errors in these blog posts.

    I am not a blind downtown booster, Cityboi in disguise or Robbie Perkins ( despite the RP). I simply have walked downtown eveyday since the 90s and watch development with a keen eye. I am not Mayberry. I am appalled at the way you, Billy and Ben insult and belittle honest commenters. The assumption is that we are all grand aplogists for our Perkins/Carroll/Melvin/Lomax overlords.

    First, if Parking Lot LLC represented that they had completed the project to the city and were paid...no excuses...simple fraud.

    Again, my understanding based upon talking to someone at the worksite, rather than speculating,is that the parking lot went over budget based upon some city revisions.I wonder if the city cut them a break and advanced additional dollars to cover the overage ( again just specualtion)

    I assunme that either you, Billy, Eric or Ben can contact someome up at the city and simply ask:

    "Hey why did you advance them $200,000 when they only completed the requirements for $100,000?"

    The clear inmplication in Ben's writings was "$200,000 spent, nothing to show". Billy then went along with it, then you repeated it without checking.

    I am intrigued if Billy is right about Budd's organized crime/ Gambino background and will doff my hat to him if he is correct. I would be upset if there was no background check ( I also wonder about Bank of Oak Ridge's backgound check since they are the big lender)

    The bottom line to me is will they deliver the full promised renovation/restaurant/outdoor space/parking lot?

    Based upon today, they look about 75% of the way there.

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  10. RP, I suggest you take up your complaints about inaccuracies with the authors from whom you think you find them. If you have a gripe specific to anything I've written, feel free to let me know.

    As for cutting corners on the contractual obligations of public funds. We disagree. I understand that you think it's OK if the terms of a contract are violated as long as you see the results you want. I see it differently, that fairness, ethics and fiduciary responsibility matter. That the ends don't justify the means. That's my opinion.

    It's funny that there was a big stink about the Civil Rights Museum getting funds before their contract was signed, but here, a business getting funds after the contract had expired (and even then, without meeting the criteria) gets nowhere near the outrage.

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  11. RP, it is obvious that we know each other and that you know much about the neighborhood and local players.
    Here is what I know, the city was contacted and the answers were: "we don't know what you are talking about...", "it wasn't me ..." and then it was "we know we screwed up".
    Kathi Dubel is the contact person on the contract and yet conveniently knows nothing about it and blames Barbara Harris.
    As you may know, I know Barbara well and I can assure you that she operates by the book and does not do anything unless she is told.

    Finally, the city has done nothing but try to accommodate and help the Momentum boys...from extensions, to selective signage (just for them and no-one else) to a complete change of original approved plans to reduce cost . Original turn around was eliminated etc... RP would love to debate further but I believe you should use your name and engage us openly...

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  12. A final comment. I read the contract again. It seems like the bloggers should be contacting John Shoffner who is the contract contact listed (I did not see Kathi Dubel).

    Also read section 8.1 H. of the contract-it implies that the city monies can be advanced for costs to renovate the building, but 7.E. almost seems in conflict in that it says the renovation must substantially complete before the second $100k is released. "Substanially Complete" leaves some wiggle room.

    Section 8.G. also seems to imply that funds can be advanced prior to completion as long as the private dollars have been spent by the Parking Group.

    To my reading, only sections 8.1.G and 8.1.F. were not completed in a timely fashion. And it may be that there are 4 full time employees in place since they can be employed by the parking lot or Dos Papayas Cantina.

    Eric, I am glad that the city is trying to give a break to Momentum. I am sorry the perceptuion is that there is favoritism. I want all of you downtown developers to succeed. I know you hate the Greenway, but I know your new tentanst will be using it in the future and will see it as a plus. The new parking lot is also being used by your patrons at Lotus as I saw the other night.

    Roch, I think the contract seems open to iterpretation as to whether it has been violated and would need to defer to an attorney or John Shoffmer. The question is whether there are change orders that would have allowed for some modications. Where would those be posted?

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  13. RP misses one very important point in telling us who we need to contact. We've been doing this for years and when these things become known the City clams up and quits talking-- they simply won't answer our questions.

    Right now I'm working on several other stories I've yet to go public on where answers given to me by city officials conflict with documents that have been leaked to me. And when I ask for clarification I get nothing.

    Happens all the time.

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  14. If Hoffman had partners in an LLC they would be listed on the documents. They are not. Why would these two men form a legal partnership with Hoffman when they each have their own separate corporations. Do words have meaning any longer? Are we entitled to our own facts now?

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  15. Anon asked,
    "Why would these two men form a legal partnership with Hoffman when they each have their own separate corporations."

    These two men are partners in over a dozen corporations-- why wouldn't they form one more? Here's a few of them: http://greensboroperformingarts.blogspot.com/2014/06/budd-and-nick-wheelers-and-dealers.html

    And here's a few more: http://greensboroperformingarts.blogspot.com/2014/06/momentum-partners-james-r-budd-nick.html

    So in other words, "Do words have meaning any longer? Are we entitled to our own facts now?"

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  16. For what it's worth, it would not be useful to contact John Shoffner about this, as he left Greensboro last year for an eco-dev job in Minnesota. In any case, it would no longer be a local call.

    No one's noted that it takes some pretty big huevos to apply a pencil rubbing of a quarter to a contract, surrounded by a handwritten inscription of the company name. For that one thing, my hat's off.

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  17. Andrew wrote: "No one's noted that it takes some pretty big huevos to apply a pencil rubbing of a quarter to a contract, surrounded by a handwritten inscription of the company name. For that one thing, my hat's off."

    I concur... Or they figured with at least one Council member in their pockets no one would ever see it.

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  18. RP wrote: "The problem with the Ben Holder/Billy Jones take no prisoners approach is that their exaggerations and ad hominen attacks undermines their credibility. The headline on both blogs is that $200,000 was stolen. Wrong."

    First off all, my credibility is better than anyone in the city. Secondly, I never used anything about $200,000 or stolen in a headline. RP, go get hooked on phonics.

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  19. "Neither Billy or Ben have corrected their errors, preferring to have the drama of the $200, 000 ripoff as the dramatic headline."

    I look forward to you correcting your errors. I don;t make errors. I point them out. How about you correcting your errors?

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  20. Anonymous wrote: "If Hoffman had partners in an LLC they would be listed on the documents. They are not."

    Hoffman's corporate filing only list the manager of the LLC. As I wrote last week, I emailed her to ask her to clarify if she has a business relationship with anyone from Greensboro Parking LLC. She has not replied. That will have to speak for itself.

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  21. as an elected official, isn't Hoffmann legally obligated to disclose if such a business relationship exists?

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  22. No. She would if she were involved in a project receiving city money, but if she is in some other business with people who are receiving city money for a separate project or business, disclosure forms don't ask for that. I asked her directly, she hasn't answered. I'll try again.

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  23. Roch is correct, the Mayor's new Council Disclosure Form is so full of holes it looks like screen doors on a submarine. All Hoffmann disclosed was that she owns Enfield LLC and South End Partners LLC. http://greensboroperformingarts.blogspot.com/2014/04/nancy-hoffmans-city-council-disclosure.html She didn't even list her employer, Reffett Associates where she has worked as a head hunter since 1998 according to her Facebook Page.

    https://www.facebook.com/nancyjhoffmann/about

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