Archive for the ‘Federal Reserve’ Category

by jhwygirl

Not sure how this is flying under the radar – and maybe there’s a reason, huh? – but Missoula Redevelopment Authority (MRA) has apparently set its sights on the Hotel Fox LLC for redevelopment of the old Fox Theater site.

Back in the spring, MRA put out the call for proposals on the site, proposals being due June 30. Only two applications were considered to be complete, and the favorite which immediately surfaced to the top was the 200 – 250 room hotel with conference center proposal from Hotel Fox LLC.

Hotel Fox LLC is partnered with the Farren Group, a housing developer that’s done projects here in Missoula, Lambros Realty, and the high-end The Lodge at Whitefish Lake LLC.

Dieter Huckestein, former VP and President of the Hilton Hotels..and former president and chief executive officer of Yellowstone Club World, the world’s premier private club, appears to be financially interested in the project. Which certainly gives this proposal credibility (unlike that ridiculous Bitterroot Resort proposal from a few years back.)

Let’s hope the City or MRA doesn’t get a wild hair in their head that starts telling them they need to give the land away. I’m too lazy to go digging for the 2006 or 2007 appraisal that was done down there for that property. MRA did two appraisals as I recall, one was an appraisal for each of the two lots and the other an appraisal for the two lots valued as being sold together. Maybe some astute reader remembers those figures?

I say that knowing that “developers” are involved and this community has placed a certain priority on development of that Fox Theater site. Given the economy, we’ll certainly hear excuses for why they “developers” should get the site and a sale price of $1 because “that’s the only way these projects get done,” and the ‘just think of the economic benefit’ cry.

Didn’t we hear that with the Osprey Stadium deal?

Here in Montana, we can certainly call hog-wash on that sort of argument, it seems to me: The City of Bozeman is getting ready to entertain offers on the sale of its downtown parking garage, valued at $1.5M, for a high-end downtown hotel.

Here in Missoula, extracting that economic and community benefit of any large scale or high profile project has always been a pretty nebulous thing if you ask me. I still ponder whether the Osprey Stadium, with it’s hefty public money influx, has given back that which went into it….and while a lot of people might groan on that, there’s a whole hell of a lot more imo that are with the cynics like me on that project.

And Safeway? Missoula got a great looking grocery story, I think (?) …but wasn’t something supposed to happen with the old Safeway site too? Wasn’t that a part of the discussion? And now it sits?

Who do we trust to extract a real economic and community benefit?

For a few months here in Missoula a group of labor, community, transportation and environmental activists – and concerned citizens – have begun a discussion on how to bring good jobs to Missoula. Jobs that are both clean and living-wage. The proposal for development on the MRA-owned Fox Theater site looks to be an opportunity for these groups to actually coalesce around forming what many communities have been doing for the last decade: a Community Benefits Coalition (CBC).

I’ve done a bit of background reading on this concept, and the cynic in me loves it – what a Community Benefits Coalition does is it forms a contractually binding agreement between the developer and the CBC that ensures completion of a project that meets the definition of what the community defines as a benefit.

Again – given the track record of the city on these deals…..

Here in Missoula, some of those groups discussing a CBC for this project are the Missoula Area Central Labor Council (AFL-CIO), UNITE HERE! Local 427, the Western Montana Building Trades and Labor Council, The Clark Fork Coalition and the local Sierra Club chapter. These orgs are meeting with other orgs this week in an effort to build the broadest coalition of partners.

Current goals are for a package of proposals which include a card-check neutrality agreement (which says the employer will be neutral in any union organizing campaign and will accept union representation should a majority of the employees decide to unionize), a project labor agreement (which ensures quality wages, benefits and working conditions for labor on the construction project) and a document which ensures meaningful input into the design, transportation, parking and public spaces that will be affected by the project.

Pretty soon here Hotel Fox LLC is going to want – is going to need – a more firm assurance from MRA and the City of Missoula that the old riverfront theater site will more assuredly be theirs should their project be truly economically viable. Most certainly that economic viability part will come from a marketing study, the cost being somewhere in the $25,000 range.

Hotel Fox and Dieter Huckestein have already told MRA that if they are to put out that $25,000, they need to have exclusive development rights.

Now – it sure seems to me that these guys are asking a whole hell of a lot from the City of Missoula for a $25,000 marketing study. If they want the right to a non-competitive exclusive development right, let’s hope there’s a real community benefit.

In other words, I’d love for someone to be smart about this, and my money is on a CBC.

I’m hopeful that we get a Community Benefits Coalition together here in this project…because I know that developers love to prey on communities in these scared economic times…and Missoula needs to tread carefully on any deal surrounding the Fox Theater site.

The community benefit must be clear, and must be real. It must include good jobs from design to construction to operation.

A Community Benefits Coalition is a more surer way to get there.

~~~~
Some information:
The Federal Reserve Bank of Minneapolis paper on Community Benefits Agreements
A handbook on Community Benefits Agreements from The Partnership for Working Families
Good Jobs First, a non-partisan accountability organization for corporations that seek local community subsidies
A Cornell Journal of Law and Public Policy paper titled Community Benefits Agreements: Can Private Contracts Replace Public Responsibility?
September 30, 2011 minutes of the Missoula Redevelopment Agency

Advertisements

by jhwygirl

I’ve not read even a portion of it, but here’s the entire enchilada of the deficit ceiling bill (or whatever the cool kids are calling it today).

What I did pass by today in my quick reads was this story which has $21.6 billion in savings for the taxpayers, but will cost students dearly. From the story:

This change would shift some $125 billion in loan volume over to unsubsidized loans and would cost students $18.1 billion over the next decade, according to the Congressional Budget Office.

The student loan cuts start on page 71.

The whole student loan program is screwed up. The federal government guarantees student loans. They pay the interest on these loans while students are in school. Students get loans from banks. Banks get the money from the feds and charge students interest. Tell me that isn’t screwed up.

Why can’t the federal government back these loans? They can back Canadian-built transmission lines but they can’t back the higher education of its citizens? Student loans are a guaranteed steady source of income. You can’t default on them. Why does the federal government loan money at treasury rates to banks that will charge 7% or more in interest on loans that they know they will be able to collect? That’s just plain stupid.

We’ve handed the Class of 2011 one hell of a mess. They aren’t going to find jobs in this economy – and now we’re gonna make ’em fund the banks should they choose to further their education while the economy recovers?

We didn’t just push this stuff off on the middle class – we directly billed a bunch of 20-somethings.

by jhwygirl

Seems everyone is getting on the bandwagon of revenue increases these days – you’ll recall the Senate recently voted to kill ethanol subsidies (we’ll see where the tough-talking House goes with that one…), then GOP leaders in the Senate started talking publicly of revenue increases.

Is that pure BS talk? Certainly some say so (as has been exhaustively argued on these pages)…but there are observers suggesting that Grover Norquist and his “no revenue increase” mantra may be becoming insignificant.

Absent of Republicans, in general, looking at more revenue increasing proposals, we have President Narayana Kocherlakota of the Federal Reserve Bank of Minneapolis – at a weekend bankers conference held here in Montana – calling on Congress to reduce the amount of mortgage interest and debt payments that households and corporations can deduct to trim incentives for leverage.

Now – is that something I can go along with? Capping the mortgage interest deduction? Debt interest? Obama’s been calling for it since he got elected. A bi-partisan White House deficit-reduction commission picked these two things out as something that should be considered.

Anyway – those are my thoughts. Do we have a perfect storm brewing? Are old-school Republicans calling out the Tea Party? If Republicans (the Tea Party, more aptly) continue to ignore any-and-all revenue increasing ideas, they’re going to find themselves on the wrong end of the voting poll. That’s just plain numbers, folks. If all they have left is to attack Social Security and Medicare, then they aren’t honestly looking at the situation.

If they aren’t honestly looking at the situation, they’re saboteurs.

By @CarFreeStpdty

Last week the Federal Reserve met at an economic summit held at the decidedly elitist Jackson Hole Resort where Fed Chairman Ben Bernanke said he, “will do all that it can,” to right the economy. He’s correct… he’s doing everything thing he can – from holding the Federal Funds Rate at a historic low at or below .25% to Quantitative Easing (QE) in which the Fed buys Treasury Bills – for the BANKS! Fed policy is being used to SUSTAIN RECORD FINANCIAL SECTOR PROFITS even while the rest of the economy languishes and unemployment hovers at just under 10%. This is corporate rape and pillage… bait and switch… whatever you want to call it the rich are getting richer and the middle class is disappearing.

Why is Fed policy hurting you and me? Hit the jump for my take. And for more great insight into misguided economics check out Prophets Without Profit… my new favorite blog.

Continue Reading »




  • Pages

  • Recent Comments

    Miles on A New Shelter for Vets or an E…
    success rate for In… on Thirty years ago ARCO killed A…
    Warrior for the Lord on The Dark Side of Colorado
    Linda Kelley-Miller on The Dark Side of Colorado
    Dan on A New Shelter for Vets or an E…
    Former Prosecutor Se… on Former Chief Deputy County Att…
    JediPeaceFrog on Montana AG Tim Fox and US Rep.…
  • Recent Posts

  • Blog Stats

    • 1,670,727 hits
  • Enter your email address to subscribe to this blog and receive notifications of new posts by email.

    Join 2,737 other followers

  • July 2019
    S M T W T F S
    « Oct    
     123456
    78910111213
    14151617181920
    21222324252627
    28293031  
  • Categories