According to The Journal, the Cincinnati Pendleton Arts Center (PAC) has “eight floors filled with hundreds of studios accommodating some 400 artists.” But, according to Law Director Landen (a member of the local illuminati), the Cinci PAC has only 250 artists yet it is out of space and has a waiting list!!! So, who is wrong--The Journal or Mr. Landen???

An “extensive amount of demographic research” was performed, according to Economic Development Director Robinette. But he doesn’t have “real, specific numbers” because they simply do not exist!!! Yet he said over and over that the other PACs have a “long, established track record”!!! If they have a “track records”, trot them out and show us!!!

Additionally, here we are, less than two weeks from implementing this deal and with much work already having been done, and with all of the boosters singing praises and seeming so certain what a great deal this is for our city, yet two main parts remain a complete mystery!!!

The first is “Additional compensation.” In addition to the compensation set forth in paragraph (a)(1) Developer shall complete the interior finishing of the first and second floor of the Property as specified in the final floor plan, attached hereto as Exhibit “B”.

The second is “Repairs.” Prior to the conveyance of the Property, the City shall repair or cause to be repaired, the items described in Exhibit “C”

But where are Exhibits “B” and “C”???

Less than two weeks before this “emergency” is to be acted upon, everyone is certain it is a wonderful deal, yet we don’t even know what “additional compensation” will be paid nor what “repairs” must be made by the city for the deal to happen!!!! How could there possibly have been any sort of financial analysis made on this deal without knowledge of these two important items???

How can either the buyer, Mr. Verdin, or the seller, the City of Middletown, have any idea about possible RETURN ON INVESTMENT???

Mr. Laubach:

As far as leaving buildings empty and subject to breeding crime, you are ignoring a big part of the equation and that is the anti-business attitude by certain factions at City Hall.

The reason, and the ONLY reason, that many businesses have been kept out of Middletown is that city hall has kept them out.

Case in point? Middletown Area Senior Citizens wanted to stay downtown and made a SIX FIGURE offer for the Swallen building. They wanted to have their activities on the main floor and seniors’ apartments on the upper floors. This would’ve meant residents and many visitors downtown. PERFECT! Just what the doctor ordered! City hall said “NO”!

Members of the “snob” clique downtown stop every attempt at non-snob commerce downtown. THAT is why the place remains a crime-ridden ghost town. Stop that and things will change. Squandering the public treasure on repeated attempts on re-packaged playgrounds for the chosen few will NOT change anything but will simply seal our fate.

Sir, you state that you “did not pick the kind of business” and that is true. But please look at who DID “pick the kind of business” and you will find that it is the same ones who have been “picking that kind of business” for years and that it is ALWAYS the SAME “kind of business” to the exclusion of all other kinds of business and it is the “kind of business” that has always failed in downtown Middletown, and THAT is the problem!

Great idea, Tomahawk!!! Every council person who has enough confidence in this obvious scam to vote to throw hundreds of thousands of the taxpayers’ dollars down the sewer, should certainly be willing to kick in a few thousand of their own.

They can have their money back after 5 or 6 new restaurants “pop up” (and STAY "popped up" for at least five years) just like they did after Beau Verre sucked up so many hundreds of thousands of taxpayer dollars so many years ago. Didn’t we hear all of these same predictions of upcoming glory due to art for downtown development back then???

Of course that was a different council and we shouldn’t “look back” now, should we??? Of course not!!! If we “look back” we might learn something, mightn’t we???

NO, rather than “look back” and learn from our errors, “this council” intends to muddle forward and make the exact same dad-gummed mistake that prior councils have made, and WASTE OUR MONEY. “THIS council” would rather inhibit free trade by subsidizing this one, single "packager", thereby FOREVER guaranteeing him a MONOPOLY on art studios, coffee shops, and framing stores within MILES of downtown Middletown!!! This will likely cause HIGHER prices, FEWER “artists”, LESS overall commerce downtown, and concurrently INCREASE poverty, crime, and hasten the decline and the ENTIRE city!!

Good job, city hall!!!

Plum: I trust that you raise what you believe to be legitimate points. I think that you, along with the rest of us (and, indeed, all citizens) deserve any concerns to be addressed in a straightforward manner by the city. However, I doubt that anyone’s concerns will be addressed by anyone from city hall. Please allow me to address your comments/concerns as straightforwardly as I can:

You say:

“as a middletown taxpayer im also not thrilled about more tax dollers being spent downtown.but you have to start somewhere and i like the way the city has been tearing down junk propertys.”

Some would agree with this, some would disagree. I do know for a fact that there were offers of hundreds of thousands of dollars made for some of the properties downtown that have been razed. These offers were summarily rejected by city officials because the uses (such as apartments for senior citizens and an enhanced Seniors’ Center) did not “meet certain city officials liking”. Both downtown and throughout the city, certain city officials have their minds made up what they want, without regard for the commercial realities of the twenty-first century world. At this point, I am almost ready to agree that to bulldoze the entire area formerly known as “downtown”, including city hall, might be the best thing for the entire city.

You continue:

“i think for the first time in a long time downtown is on the way up.“

I would agree with you, but only if city hall would open the entire area up for free market, commercial development. The problem is, city hall will not keep their biased noses out of it and continue to insist on following a taxpayer-subsidized, failed model that most likely ensures failure and at best guarantees limited success for a single, subsidized business with which no other private businesses will be able to compete.

You continue:

“i really like what larry lewis has done with that corner high rise.”

I am unsure which high rise you mean. I searched the records of the Butler County Auditor and found over 50 properties owned by “Lewis Consolidated”, including 1108, 1120, 1119 and 1123 Central Avenue. It does appear from the street that some remodeling has gone on (besides the taxpayer subsidized facades) to the buildings on the south side of the street, but I have no other knowledge of these properties, or their proposed uses, so I cannot comment further.  Perhaps you could enlighten us???

You continue:

“and broad street bash has shown people will go downtown for the right reasons.”

Yes, I agree!!! You are correct, which means that city hall is once again WRONG!!! Perhaps you will recall that “The Bash” was NOT a brainstorm of city hall but was the idea and work product of the PRIVATE SECTOR, with very little assistance from city hall and NO TAXPAYER SUBSIDY!!! I think that you also seem to emphasize the point that many here have been making. The THOUSANDS of people in the crowds at the Broad Street Bashes are NOT the same people that you would see at any local art exhibit, are they? Do you EVER expect a local art exhibit to attract a crowd in the THOUSANDS that will purchase over THREE THOUSAND bottles of beer, or spend over TEN THOUSAND DOLLARS total (overall) in just a few hours on ANYTHING???

The last art auction that I recall in Middletown was at MUM during their 40^th anniversary gala. I’d estimate that the attendance was WAY less than a thousand, that the actual number of bidders was less than one hundred. (NOTE 1: Most of the tuxedoed and gowned attendees were crowded around the FREE “champagne and shrimp” during the actual auction.) (NOTE 2: For those of you who think that I am an “art-hating cheapskate”, please be informed that I was the successful bidder on a teapot by a local artisan at this affair, AND I swilled NONE of the free booze.) Anyway, the point is, compare the crowds at The Bash to the crowds drawn by ANY local “arts” affair and then examine your statement again: “and Broad Street Bash has shown people will go downtown for the right reasons.” Unfortunately, the Pendleton Arts Center (PAC) is NOT The Broad Street Bash, and The Bash doesn’t even need a HALF MILLION DOLLAR TAX PAYER SUBSIDY!!!   The PAC is NOT the "right reason!!!"

Next, you state:

“i also know laubach and marconi personally and laubach has only the best interests of middletown at heart…”

That is what I thought about Mr. Laubach up until now, but I believe that he is making a grave mistake on this one! Also, having the city’s best interest at heart does NOT mean that he is always correct.

You continue:

“…and [Laubach] has tried to overcome alot of terrible desicions made by the last council.

That may be what you think, but Mr. Laubach has repeated stated that “there is no use in looking back at what past councils have done.”  In this case, if Mr. Laubach would “look back“, he would be able to clearly see that he is about to repeat the same mistake that past council persons, including Mr. Marconi, have made! Beau Verre was heavily subsidized by the tapayers, just as PAC is about to be. What has been the return to the taxpayers? All of the arts, and all of the history projects, and all of the Olde Tyme shenanigans and all of the “Main Street stakesholders” cr*p have ALL been heavily subsidized by the taxpayers over and over and over, and always with no return. Any one who tries to state differently should be asked WHY we still have any empty downtown EXCEPT on the few nights every summer for The Bash!!! Can YOU, Plum, tell us why???

In closing, you state:

“would you really rather have marconi back? i mean at least laubach is a straight shooter”

NO! And this has nothing to do with Marconi, except that if Laubach would look back, he would see that this is one of the things that he would’ve said Marconi was doing WRONG! Laubach seems to have been straight shooter--so far. But this time he is clearly wrong!!! Laubach has even invoked the spirit of Adam Smith, an economist who would ABHOR a move such as the proposed taxpayer-subsidized PAC monopoly. Laubach needs to re-read Adam Smith, re-think his position, seek advice OUTside city hall, lobby his colleagues and DEFEAT THIS DOWNTOWN-KILLING proposition!!!

And Plum, if you calmly study the facts, you will agree. Re-read you own statements. The answer lies right within them!!!

Mr. Plum:

If you feel that I am being too hard on either you or Mr. Laubach, I am sorry that you feel that way. However, I cannot apologize for my remarks.

If you have closely followed these message boards, you might’ve noticed that I have tried to back Mr. Laubach as he stood against superior numbers on council.

However, there were some actions by Mr. Laubach that demand that he be held accountable!!

First, it was he who introduced the spirit of Adam Smith into the conversation, which indicated that he (Mr. Laubach) knows better than to vote for such a preposterous proposition, yet he intends to do so anyway!!! This is unconscionable.

Second, he has repeatedly stated that he will not “look back”, yet to look “look back” is a simple exercise that can be a lesson as to why a proposition such as this PAC is a mistake: it has been tried before right here in Middletown, with the same arguments being used on behalf of BeauVerre and resulting in no benefits to the taxpayers. This is a simple, clear and relevant lesson that can be learned if Mr. Laubach, a history teacher, would just look at Middletown’s recent history. Mr. Laubach, and “THIS council” is on the verge of repeating a mistake of “past councils”!! A simple “look back” will prevent this, yet he refuses to take this look. It is not a matter of assigning blame to past councils. It is a matter of learning from history to avoid repeating mistakes!!!

Third, it is simply poor business judgment, and a violation of the vow taken by all public servants, to allow public funds to be squandered on project with such a poor likelihood of success and with what appears to be no real business plan nor solid economic analysis.

Simply stated, just because we find ourselves in a hole does NOT dictate that we keep digging. Yet that is what you seem to indicate that we do by subsidizing Mr. Verdin with this sweetheart deal. Just because we have wasted tens of millions of dollars on failed similar plans downtown, wasting another million or so makes no sense. Why not try actual business instead of the repeatedly failed OldeTyme, arts, crafts, antiques, Main Street Plans that have failed over and over and over?  Mr. Plum, our city staff will not even allow anyone to attempt a real business downtown using their own funds.  They refuse all but the "Main street Plan"-type subsidized non-productive enterpises with "snob appeal" that have failed over and over.

Sorry, Mr. Plum, but we must purge city hall of all of the anti-business types, including all senior staff in favor of this project and all council members who vote for it. It will be nothing but another nail in the coffin of not only downtown, but also all of our city!

Thank you to SWOhio for proving my point, and to Spider for re-stating my case so eloquently!!!

First, let me agree that I have nothing against the Moormans. I’m sure that they are fine folks.

The point is, a past council made a $300,000 interest-free, forgivable loan of the taxpayers’ money and gave them a building with the anticipation that their “artsy” business would spur economic growth downtown. It has not done so!!!

Now, five years later, another council is on the verge of doing a very similar thing, again with taxpayers’ money, on even worse terms for the taxpayer, for the same reasons, with even less chance for a favorable outcome for the taxpayers, and no one is willing to look back at this deal!

Beau Verre has been a success, but it has been successful for no one but the Moormans. And that is fine as long as they live up to all of the terms of the agreement and are good corporate citizens, but it has NOT spurred economic development in the area. In that regard, the experiment using the taxpayers’ funds has been proven to be ill-conceived!!! Which part of this picture is so difficult to understand??? Why should we expect a different result if we try the same experiment over again (with even worse terms for the taxpayers)???

Cases in point:

From the minutes of the July 15 “Master Plan Steering Committee“ (included in the workbook for the 8/17/2010 council meeting, page 92 of 182):

“A concern was expressed that companies locate to a community for the economic incentives and then later relocate to another community for additional incentives. It was noted that businesses who make more substantial investments in real property and fixed assets are less likely to relocate.”

Yet, here is a council, once again repeating the mistakes of past councils and ignoring the concerns expressed by the Master Plan Steering Committee (a committee that they, themselves, appointed) and giving a building, plus $250,000 in taxpayer-paid custom renovations, plus a $200,000 interest-free, forgivable loan to a business that cannot possibly make a return-on-investment (ROI) for over 20 years, IF the business decides to stick around that long!!!

Please find below, a listing of reasons why you should vote against, and lobby your fellow council members to vote against, Ordinance No. O2010-53, the Pendleton Art Center Proposal, at tonight’s meeting:

1. NO actual business plan has been presented.
2. NO projected Return on Investment (ROI) for the taxpayers has been presented.
3. City staff claims there has been an “extensive demographics study” performed, but no statistics of any kind were able to be presented when the EDD was questioned about the results.
4. NO commitment of new employment has been made or included in the contract.
5. NO commitment of a financial investment by Verdin is included in the contract.
6. NO actual facts or statistics of any kind have been presented to council (in public).
7. Before approval, staff owes council and council owes the public information on whether or not a $700,000 building, plus $450,000 in cash and cash equivalents has been offered to any other businesses who have wanted to come to Middletown without any real plan or commitments such as described in the six items immediately above.
8. The “Master Plan Steering Committee“ (a committee that council itself has appointed!) has advised against such agreements:
9. “A concern was expressed that companies locate to a community for the economic incentives and then later relocate to another community for additional incentives. It was noted that businesses who make more substantial investments in real property and fixed assets are less likely to relocate.”
10. The “Master Plan Steering Committee“ supports that a “key economic development strategy is to support the sustainability and expansion of the existing workforce. 80% of job growth is from existing businesses.”
11. The dreams and expectations of ancillary growth and spurring of economic activity expressed for this venture are nearly the same as those expressed for Beau Verre. Those hopes and dreams have been proven to be false, even though Beau Verre itself has been quite successful. There is absolutely nothing that makes the expectations for this outcome to be any different. NO ONE has cited facts, figures, statistics, or anything excepts hopes and dreams to provide expectations of a more favorable outcome for this venture.
12. There is NO reason except for personal preference of those in and around City Hall for the City to have a strategy of recruiting new businesses from this targeted industry (the arts) when nearly every venture in that industry attempted here has either failed, or, at best has been self-sustaining without spawning ANY additional economic activity. MAC has not done so, Middletown Symphony has not done so, Beau Verre has not done so, Sorg Opera has not done so. Rising Phoenix has not done so., etc., etc., ad nauseum. Please explain the Obsessive/compulsive urge to continue to use taxpayer funds where all public and private attempts have failed and how this continues to be in the public interest!!!
13. The ONLY “new businesses” that have been targeted in years for the former downtown Middletown are the arts, antiques, up-scale bistro-type eateries with limited appeal to the immediate demographics. This “strategy” has been a proven failure over and over and over in promoting any sort of economic growth in this area. Yet the city has purposely and actively “discouraged” all other types of businesses from coming anywhere near what strangely seems to be treated as some sort of “sacred ground”. What has changed suddenly to make this different??? Is this something like the “Middletown Promise” in that it does not really exist?
14. The Mater Plan Steering Committee notes that: “the EPA restrictions on the expansion of the combined sewer system is blocking the development of areas in the northeast corner of the City.” Can these funds not be better applied towards that end? Or towards road improvements?
15. As of Friday, 8/13/2010 (the day that the workbook was posted on the city website) Exhibits B and C remain “Not available”! I doubt that any of the legal minds on Council or on City Staff would recommend signing a contract with BLANK spaces. Yet here is a contract with KEY EXHIBITS that remain BLANK!!! It boggles the mind, and should boggle council, how an agreement could have been reached TWO WEEKS AGO. Council would be well-advised to ask themselves how this agreement between the city staff and Verdin could POSSIBLY have been reached without knowing: Developer’s final floor plan for the development of the Property by the construction of improvements thereon these shall be a part of this Agreement as shown on Exhibit B, or what the City shall necessarily repair or cause to be repaired, the items described in Exhibit “C”!!! Neither party could possibly know their liabilities. Staff is either HIDING information from Council, or is incompetent and an extreme liability to the city, and should be summarily fired in either case!!! There should be no other choice!!! They are NOT honoring their oath of employment!!!
16. Mr. Robinette stated that PAC-M will not be competing with PAC-C because PAC-M will be drawing from a “30 mile radius.” The fact is that PAC-M is 31 miles (as the crow flies, if I may use such a low-brow term) from PAC-C. If I recall my geometry correctly, that means that 25% of their draw is EXACTLY the same, including the toney West Chester and Indian Hills areas. (Let’s hope that the rest of Mr. Robinette’s “extensive demographic studies aren’t similarly flawed.)
17. City staff has been more than “reticent”, shall we say, to allow anything but arts-oriented businesses (include antiques in that) downtown. Council should be questioning this, in the opinion of the people, since arts have never flourished in downtown Middletown!
18. If THIS council” repeats the mistakes of past councils it will inhibit free trade by subsidizing this one, single "packager", thereby FOREVER guaranteeing him a MONOPOLY on art studios, coffee shops, and framing stores within MILES of downtown Middletown!!! This will likely cause HIGHER prices, FEWER “artists”, LESS overall commerce downtown, and concurrently INCREASE poverty, crime, and hasten the decline of both downtown and the ENTIRE city!!
19. The Broad Street Bash shows that Middletonians will go to the former downtown area for the right reasons. When was the last time that the “fine arts” drew 3,000 or more people downtown in one weekday night? 2,000? 1,000? “The People will return to downtown for the right reasons! We can FACTUALLY prove that, we have empirical data. Council just needs to understand that what city staff is selling “ain’t the right reason!!!”
20. How was this PAC-M thing initiated? Was a Request for roposals/Qualifications for the utilization of up to $500,000 in available funds for bona fide downtown redevelopment made? Where was it advertised? Or was this just a “done deal” for ONE person??? If so, WHY??? Is that legal??
21. Can anyone provide the attendance figures for the 143^rd American Watercolor Society, Midwestern Exhibition, a three-week (plus) event recently held here in Middletown? This was a purported draw from the ENTIRE mid-west!! If attendance over THREE WEEKS for that wasn’t in 6 figures, how many serious art-lovers (those who will buy, not just those looking for free wine) do you REALLY think will show up every month here.
22. Who insists on finding individuals who must be PAID to implement variations of FAILED models of business that have no record in our city of promoting economic growth, increasing local employment, or of adding to the local income tax base, and must do so using financing from taxes confiscated from the working poor and middle class with little hope of any return on such investment??
23. If one does the math, even if this new art center achieves all that is expected, after several years, it will only be bringing between 35 to 50 visitors to town one Saturday per month. (Based on PAC-C size, numbers.) How can anyone consider this a proper use of taxpayer funds or expect it to spawn more businesses???
24. How much “art” will our new starving artists have to sell just to pay back the taxpayers for Mr. Verdin’s $200,000 loan and $250,000 in improvements? I’ll tell you: IF they are all honest, declare ALL sales at full value as income, claim NO expenses or deductions of any kind (not even the “standard“ deduction), THEN ONLY a little over $25.7 MILLION dollars worth of art will have to be produced and sold out of the proposed PAC-Middletown for the taxpayers to get their CASH investment back!!!