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JOSH, AJ, & ASJ

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Mike_Presta View Drop Down
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    Posted: Mar 16 2010 at 12:22pm

Let’s review what we know from verifiable sources:

First Financial Bank foreclosed on 1607 Central Avenue. [1] [2]

On February 19, 2010, Daniel C. Diver purchased 1607 Central Avenue at a Butler County Sheriff’s sale. [1]

On March 12, 2010, exactly 21 days later, all necessary negotiations and arrangements have been made to post Emergency Legislation #5 for consideration at the March 16, 2010 City Council Meeting. [3]

Legislation #5, O 2010-23 states, in part, that:

“the procedures to be followed in the acquisition and disposal of real property shall consist solely of the procedure set forth in this ordinance, and that the provisions of Chapter 721 of the Ohio Revised Code and Ordinance No. O2002-87 shall not be applicable to the acquisitions and disposal of property authorized by the ordinance and the contracts therefore.”

No explanation is given why these regulation for the acquisition or disposal of City property are not to be followed. [3]

Legislation #5 concerns the acquisition by the City of 1316 Vail Avenue by the City from a third party; the acquisition by the City of 1607 Central Avenue By the City from Mr. Diver; The payment by the City to Mr. Diver in the amount of $90,000.00; The conveyance of 1607 Central Avenue to the third party; and the payment of $5,000.00 to some unknown person or persons for the benefit of the third party’s “moving expenses”; all of the foregoing in violation of the provisions of ORC 721 and Middletown City Ordinance No. O2002-87. [3]

It is an assumption, on my part, that Mayor Lawrence P. Mulligan, Jr., is a Vice President of First Financial Bank.

The end result of all of the above:

Mr. Diver makes a $40,000.00 profit for an investment of $50,000.00 for a period of less than a month. [Do the math]

The third party acquires a 9,000 + SF commercial/light industrial building on a main thoroughfare, reported by the City’s Economic Development Director to be worth $125,000. [2]

Someone ends up with $5,000.00 for “moving expenses”. [2]

The City ends up with a 4,200 SF commercial/light industrial building, fronting on an alley, and scheduled for demolition; the cost of the demolition; the $95,000.00 cost of this three-way-swap.

First Financial Bank gets out from under $50,000 worth of a toxic loan.

Everybody wins but the taxpayer!!!

Sources:

[1]Butler County Recorder’s website.

[2]Middletown Journal story By Ryan Gauthier, Staff Writer 9:44 PM Monday, March 15, 2010.

[3]Middletown City Council Workbook for March 16, 2010.

Ms. Scott-Jones, Mr. Smith, and Mr. Laubach:
 
This cannot be ignored!!!  It must be discussed!!!  (And NOT in an executive session!!)
This type of thing can no longer be tolerated in our city.  If necessary, we must bring in an independant investigator!!
“Mulligan said he ... doesn’t believe they necessarily make the return on investment necessary to keep funding them.” …The Middletown Journal, January 30, 2012
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acclaro View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote acclaro Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 12:44pm
I will simply indicate while knocking down some unsightly houses and commercial property with Obama's 'free $$$', I hold the odds of the city of Middletown getting in line with the rail line to be slim to none. The path is to Cincinnati, Dayton and Columbus upward. I believe if there were any stops, which defeat itspurpose altogether, to stop in smaller cities, the line would be east of 75 and parallel to 71. Why and what good, would a bullet train or high speed rail, have in making numerous stops? It defeats the speed purpose.
 
So, is this shuttling all over creation in downtown Middletown associated with the rail location, or a means of padding the pockets of those in the "circle of love" that see a nice return on investment in 30 day? I just don't ever see Middletown being a vaible stop on a train route. So, is this the wrecking ball justification, on a hope and a promise, or an excuse to destroy, clean-up, and help those friends and family with the Obama trust fund? You tell me, as I have no opinion, other than the train stop is about as likely as happening as me winning $100 Mm in the lottery.  
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Hermes Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 2:35pm
acclaro - I think it's 2 fold....money is to be made & it involves the train. I've said it a million times there is no reason...no reason for a train stop in Middeltown at the location they want. I could see a station in the new downtown on the east side where EVERYTHING is located, but not in the old downtown area.
 
I have never understood the train issue & the rush to prepare a stop for it in Middeltown. Nothing makes sense in this town anymore.
No more democrats no more republicans,vote Constitution Party !!
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Post Options Post Options   Thanks (0) Thanks(0)   Quote NRS Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 2:37pm
Mr. Laubach & A.J. -
 
What funding source will the City of Middletown use for this downtown commercial property acquisition, business relocation and commercial property demolition:
 
1)  General Fund?
2)  HUD Neighborhood Stabilization Program funds? or
3)  Other?
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Post Options Post Options   Thanks (0) Thanks(0)   Quote NRS Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 2:43pm
Mike -
 
Prior to my work start date in early January 2007, guess what local financial institution was utilized almost exclusively in providing first mortgage loans for first-time buyer households receiving HUD Down Payment/Closing Cost Assistance from the City of Middletown?
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Post Options Post Options   Thanks (0) Thanks(0)   Quote rngrmed Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 6:57pm
I know I will not be voting for Mr. Laubach if he votes for this.
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Mike_Presta View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Mike_Presta Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 7:54pm
So, what Robinette said tonight is:
 
Middtown Custom Cabinets, prior to the Sheriff's sale, negotiated a $90,000 price with the owner.  The owner at that point would have been Mayor Mulligan's bank, would it not???
 
And since Robinette and council had already discussed this in earlier executive sessions, Why didn't either Midtown Custom Cabinets or  the City simply go to the Sheriff's sale and pick up the Central Avenue property for, say, $55,000???
“Mulligan said he ... doesn’t believe they necessarily make the return on investment necessary to keep funding them.” …The Middletown Journal, January 30, 2012
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Mike_Presta Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 7:55pm
Originally posted by Mike_Presta Mike_Presta wrote:

So, what Robinette said tonight is:
 
Middtown Custom Cabinets, prior to the Sheriff's sale, negotiated a $90,000 price with the owner.  The owner at that point would have been Mayor Mulligan's bank, would it not???
 
And since Robinette and council had already discussed this in earlier executive sessions, Why didn't either Midtown Custom Cabinets or  the City simply go to the Sheriff's sale and pick up the Central Avenue property for, say, $55,000???
“Mulligan said he ... doesn’t believe they necessarily make the return on investment necessary to keep funding them.” …The Middletown Journal, January 30, 2012
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Mike_Presta View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Mike_Presta Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 8:01pm
Did anyone notice how the Law Director's leg was shaking a mile-a-minute before and during the discusson of Legislative Item #5, but immediately stopped shaking after everything seemed to have been explained away???
LOL LOL LOL
 
Watch for this on the replay...it's priceless!!
 
BTW, no one explained why the provisions of ORC 721 and Middletown Codified Ordinance No. O2002-87 governing the buying and selling of City Property can be waived at council's whim!!!
“Mulligan said he ... doesn’t believe they necessarily make the return on investment necessary to keep funding them.” …The Middletown Journal, January 30, 2012
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Mike_Presta Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 8:09pm
Regardless of any of the foregoing...
Here's to Josh and AJ Mr. Laubach and Mr. Smith!!! Thumbs%20Up   Thumbs%20Up  Thumbs%20Up
“Mulligan said he ... doesn’t believe they necessarily make the return on investment necessary to keep funding them.” …The Middletown Journal, January 30, 2012
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Pacman Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 8:23pm
The most eye opening part of this whole deal tonight was that we had a banker, Mulligan, one with the conflict of interest I take it, a Lawyer and an ex City manager all who basically sat there and said nothing about #5. 
 
Thank you Mr. Laubach, Mr. Smith and Anita Scott-Jones, at least someone is doing the people's business.
 
And to Ms Scott-Jones I don't think enough Council members ask enough questions, so whomever is telling you, you ask to many question, tell them to go pound sand.....in a nice way of course.Thumbs%20Up
 
Maybe we have finally seen the end of everything just passing through Council and the people are left shaking their heads. 
 
Hey Mike I think you need to be on the Master Plan revision committee.
 
Hmmmmmmmmmm $95,000.00 couldn't we have had a pool for the kids for a few more years with that money.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Mike_Presta Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 9:06pm
Originally posted by Pacman Pacman wrote:

The most eye opening part of this whole deal tonight was that we had a banker, Mulligan, one with the conflict of interest I take it,...
Pac:
I agree, but I don't know if "the banker" was the one they were speaking of.
 
"The banker's" conflict of interest seems to be that he knew his bank had a chance to get rid of $90,000 worth of bad paper on a loan in forclosure, but he was content to let them EAT an extra $40,000 of it!!!  I'm glad I don't own stock in that bank!!
 
Is this Diver the same one who sat on the Historical Society Board with the Mayor when they reportedly didn't keep any books?
“Mulligan said he ... doesn’t believe they necessarily make the return on investment necessary to keep funding them.” …The Middletown Journal, January 30, 2012
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Mike_Presta View Drop Down
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Mike_Presta Quote  Post ReplyReply Direct Link To This Post Posted: Mar 16 2010 at 9:09pm
Originally posted by Pacman Pacman wrote:

Hey Mike I think you need to be on the Master Plan revision committee.
No chance!!  I'm sure that they'll keep re-appointing the same people who came up with the last 4 or 5 plans that have failed.  (Actually regurgitations of the same plan.)
“Mulligan said he ... doesn’t believe they necessarily make the return on investment necessary to keep funding them.” …The Middletown Journal, January 30, 2012
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Mike_Presta Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2010 at 3:45am

St. Patrick’s Day came early to City Hall when “the blarney” flowed freely at the 3/16 City Council Meeting.

I’ve just watched the rerun of that meeting, and there are some things that just do not sit right.

Mr. Robinette explained that “months ago” and “a couple of months ago” Midtown Custom Cabinets (MCC) came to him seeking information and assistance. MCC felt that if they sold the Vail property to the City, there would be capital gains issues that MCC would prefer to avoid. Robinette suggested that, if MCC could find a suitable property of “similar value” to the $85,000 appraised value of MCC’s Vail property, perhaps the tax issues could be skirted by arranging a “swap”. After more blarney, Robinette explained that MCC had “negotiated a price with the owner” of 1607 Central, and that $90,000 was the best price that could be negotiated, since the owner had intended to keep this property as a rental property. Ms. Scott-Jones confirmed that she recalled this from “a couple of months ago”. Robinette stated that “They made an offer at the price that MCC had negotiated!!!” However, it had been purchased by someone else before they were able to do that. The new buyer had purchased the property at a Sheriff’s sale for $50,000 only three weeks ago, yet now wanted $90,000 to resell.

It was never explained why, if MCC, the previous owner, and the city (or some combination thereof?) were in negotiations at $90,000 in today’s market, why did they let it go to sheriff’s sale for $50,000?

At the end, Robinette said that “we were never going to swap”, so what was the tax break all about? That was not explained. Nor was the “swap/never swap” flip-flop.

It was never explained who the “previous owner” was (prior to Mr. Diver, who purchased the property at the Sheriff’s sale on 2/19/210--not “months before”). Logic dictates that it could only have been First Financial Bank, who brought the property through the foreclosure process or perhaps someone negotiating a short sale to First Financial’s benefit, however this would not explain First Financial’s decision to proceed with foreclosure, but this decision should be of no interest to the citizens of Middletown. Mayor Mulligan is rumored to be a Vice-President of First Financial Bank.

Does any of this make sense??? NO!!! It is fraught with discrepancies and, in my humble opinion, smacks of a hastily arranged, but poorly thought out cover story.

It was never explained who had a “conflict of interest” in this matter, something practically unheard of in the twelve years that I have been watching council.

It was never explained why the City, in a time of declining population and economic strife, thinks that two-and one-half acres of medium to high density housing might be desirable to ANY developer, especially in an area where decades of effort and tens of millions of taxpayers’ dollars have yet to stir any interest.

The only thing that seems to make any sense, in my opinion, is the urgent need for an Independent Prosecutor!

Does anyone out there have Mr. Piper’s ear? Or someone’s ear at the State Attorney General’s Office?

Did anyone look around at the ashen faces in council chambers as Legislative Item #5 was called Tuesday night? Did anyone notice how the “color” seemed to return after things had seemed to have been adequately “explained away”? Did anyone hear the collective sigh of relief as things moved on?

Make it a point to watch the replay, Middletonians.

This is NOT about “how it looks to the public”. It looks like exactly what it is, does it not?

“Mulligan said he ... doesn’t believe they necessarily make the return on investment necessary to keep funding them.” …The Middletown Journal, January 30, 2012
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Post Options Post Options   Thanks (0) Thanks(0)   Quote Bobbie Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2010 at 7:52am
One aspect that has not been mentioned is that this property was listed for sale.  If there was any negotiation with the owner and the buyer, the agent would have been involved as well. 
 
My guess is when they say owner - it is the true individual that owned the property.  Reason being is the bank would not be able to negotiate a sell when they did not own the property at that time.  They could only approve a short sale if one was brought to them.  Not to mention why would they as a money making retail business let a property go to foreclosure and receive 50k - when they had someone that was interested at 90k.  They would have stopped the foreclosure. 
 
If they mayor new about this negotiations - he will have some explaining to do to his employer.  Basically he let the bank right off 40k, so someone else would profit.   I know there is a fine line on confidentiality, for him on both jobs; but he should have stepped out of the picture when the talks started a few months ago.  I think he is the individual with the conflict of interest, but they did not want mention it in the meeting. 
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Post Options Post Options   Thanks (0) Thanks(0)   Quote lrisner Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2010 at 8:52am
I am not defending this mess by any means as I find very distasteful. However, is it not possible that because the Vail Property was intended for Demolished could the money involved have been HUD Funds?

That would explain their seemingly "who cares" attitude.

While HUD Cash is Tax money, to the City Bureaucrats, it is free money.

The biggest issue for me is the fact that, once again, the City Administration conducted Business without any regard to how it might appear to the Citizenry.

That attitude is the Root of all seedy issues in this Town in my opinion.

Thank You A.J., Anita Scott, and Josh. We might have a chance at redemption with those three on the Job.


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Post Options Post Options   Thanks (0) Thanks(0)   Quote spiderjohn Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2010 at 9:10am
Wow--what a meeting!
What a tangled web we weave........
 
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Post Options Post Options   Thanks (0) Thanks(0)   Quote LMAO Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2010 at 9:45am
I find it funny that Mr.Bill always seems to act like he dont want to be there.He always wants to hurry up the discussions.So Mr.Bill,If you dont want to hear whats going on why dont you just resign and go to your other job.
Mrs.Scott Jones keep on doing what your doing cos you ask the right questions.I love to see people squirm when you do.
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Post Options Post Options   Thanks (0) Thanks(0)   Quote acclaro Quote  Post ReplyReply Direct Link To This Post Posted: Mar 17 2010 at 10:23am
 I am being repetitive, without trying to be, but there is absolutely no way, no guarantee, and i believe ANY
 possibility the train would stop in Middletown!!! Wht is te city doing? I s this a mini version of obama's 
 healthcare plan in Middletown---a dream the city is shuffling the deck on some premise they have a train
 stop built years ago. Do they think a high speed train will run the same rails that AK will use downtown
 and for miles pendicular to the route from Cincinnati? And if it makes multiple stops, why not just ride a
 Greyhound bus?
 
 What is the purpose of this charade? The state has made no commitment to this effort and stop NONE!
 And yet the city is spending time with the wrecking ball and land swap, moving tis around, that around, its
 dilusional on a future premise which easily has odds extremely slim, to come to fruition.
 So what's motivating this? Trying to appease those downtown that they can't do anything while they do the
 Texas two step to position for a train which won't be coming?
 
 Why would this train be in Middletown, can anyone answer that question, when its supposed to be a 
 rather fast moving train?Is it going to stop in Germantown, Mimisburg, and go under or over the
 interstates?   Would it not make sense for this to blaze at > 130 mph, from Cincy to Columbus to Cleveland? Heck, Greyhound doesn't even make these small town stops anymore, why would a high
 speed train?
 
 Is this an effort to give the appearance they are trying to do something downtown, to buy time before they
 retire, or have they lost their minds and simply drinking Alice in Wonderland kool-aid? I just don't get 
 where they think a train is coming. And, do they think it will use the same track of rail that commercial
 trains do today? I see this as Middletown's version of national healthcare, but believe the prospects are
 ZERO in making it happen. But, they must see a dog park, a riding path, and a bullet train, and we now
 project double the growth in Middletown. Or on the other hand, maybe they think of the old box cars, and 
 think Section 8 will be hauled away in those riding elsewhere in the hay.
 
  
 
 
 
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