Confirmation of Greensboro Performance Arts Center pitch factual inexactitude number two?

...on Dec. 1, the city retired all $56.4 million in debt
for coliseum complex improvements, some dating to 1991.

Donald Patterson

The [Coliseum] recently retired $48 million in bond debt.

GN&R Editorial Board, Allen, Doug and Robin

The COPs would be funded with money
from the Greensboro Area Convention and Visitors Bureau (CVB),
which receives revenue from the hotel/motel tax.

The CVB money will be available soon
because the 20-year loans to renovate the Greensboro Coliseum
will be paid off.

John Hammer

"The Finance Department gave the following response
to your question regarding the history of when the bonds got paid off:

“Coliseum GO bonds of $25.7 M were part of a larger general obligation issue
and were retired from 1992 to 2012.

...Coliseum COPS were issued from 1991 - 1996
and all but $5.4 million has been paid off,
with remaining to be complete by 2015."

City of Greensboro
email to George Hartzman

Who may have disseminated what appears to be misleading information
regarding exactly what was paid off when?

"In December 2011,
approximately $3.0 million in Coliseum Certificates of Participation
were retired (This included the final maturity on Arena Expansion debt issued in 1991.).

Wasn't it reported to be about $56.4 or $48 million in retired debt?

Is the real number of paid off bonds really $3 million?

Based on this and the estimated debt capacity
of the net Hotel/Motel Room Occupancy Tax revenue,
the City can issue up to $15.0 million in COPs in FY 11-12
with an additional $15.0 million available in another 3 to 4 years.

Why do they have to wait "another 3 to 4 years"?

Unless the money is used to fund the Coliseum's deficit
and pay for the Aquatic Center debt,
which could mean a tax cut?

...Upon retirement of the arena expansion debt in FY 11-12,

Greensboro Coliseum Complex Proposed Capital Improvements
Council Information Meetings
January 2012

How about telling the truth?

"...rent-seeking is an attempt to obtain economic rent
by manipulating the social or political environment in which economic activities occur,
rather than by creating new wealth.

Like getting everyone to borrow to build a PAC
which a few may very profit from,
including the city's paper of record
which didn't disclose the conflict of interest??
...spending money on political lobbying in order to be given a share of wealth
that has already been created.

Like with a taxpayer funded lobbyist
whose parents gave to Robbie's campaign
who Robbie has known Craig since he was six?

Isn't the taxpayer funded Greensboro Partnership
picking up half the cost of the lobbyist?

...People accused of rent seeking typically argue
that they are indeed creating new wealth (or preventing the reduction of old wealth)
by improving quality controls,
guaranteeing that charlatans do not prey on a gullible public...

Like Robbie's downtown Noise move?

Many current studies of rent-seeking focus on efforts
to capture various monopoly privileges stemming from government regulation
of free enterprise competition.

Like the teen curfew?

The term itself derives, however,
from the far older practice of appropriating a portion of production
by gaining ownership or control of land.

Like the land around a taxpayer funded PAC?

...Since resources are expended but no new wealth is created,
the net effect of rent-seeking is to reduce the sum of social wealth.

Rent-seeking generally implies the extraction of uncompensated value
from others
without making any contribution to productivity.

...a more common example of rent-seeking is political lobbying
to receive a government transfer payment,
or to impose burdensome regulations on one's competitors
in order to increase one's market share.

A transfer payment from Greensboro's taxpayers
to some of the promoters of a taxpayer funded PAC?

...such behaviors may result in substantial social losses.

Studies of rent-seeking focus on efforts to capture special monopoly privileges
such as government regulation of free enterprise competition.

Like Robbie's Tent thing and the Noise abatement initiative?

The term "monopoly privilege rent-seeking" is an often-used label
for the former type of rent-seeking.

Often-cited examples include a farm lobby that seeks tariff protection
or an entertainment lobby that seeks expansion of the scope of copyright.

It is important to distinguish between profit-seeking and rent-seeking.

Some will try to say that rent-seeking is a creation of wealth.

However, profit-seeking should be understood as the creation of wealth,
while rent-seeking includes the use of the power of the state or government
to distribute wealth between different groups of individuals."


Don't Steal From My Kids.

George Hartzman

1 comment:

Anonymous said...

The figures have not yet been multiplied by Finagle's Variable Constant.