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Friday, May 10, 2013

City to consider hiring real estate agent to sell North Park - By Amanda Ricker - my commentary

Reproduced here for fair use and discussion purposes. My comments in bold.
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Three private parties have expressed interest in buying the city-owned North Park property, formerly Mandeville Farm, and developing the land. The Bozeman City Commission on Monday will consider hiring a real estate agent to facilitate a sale. (The purpose of a real estate agent is to represent the property so as to attract sellers. If there are three potential buyers, why does the city need a real estate agent?)

“The property has a lot of potential,” said Brit Fontenot, director of economic development and community relations for the city of Bozeman. “(The city doesn’t) have the resources to sort of kick start it, and the private sector does.” (The city apparently has enough resources to sink into the Story mansion, a new community pool, economic studies, greenhouse gas plans, master plans, downtown revitalization, and a dozen other bone-headed expenditures. Now suddenly they are lookiing at their finances and deciding they don't have the money? 

But actually, what authority does the city possess to "kickstart" anything? Why does it think that it can pick and choose which projects deserve its favor? The city took the property away from any potential kickstarting in 2003, and the property has languished there ever since. Now that the economy has failed the city is realizing belatedly that it simply cannot spend money on every hair-brained project that comes down the pipeline. But it still retains the idea that it can "kickstart" things if only it had the resources. I guess they've learned nothing.)

The city owns 85 acres of vacant farmland west of North Seventh Avenue between Interstate 90 and the railroad. Mandeville Creek flows through the property.

The city bought the property for $3 million in 2003 to use as a garbage transfer station, but that plan never came to fruition. The city is now paying a $2 million court settlement to its insurer for undermining a local
developer’s plan to buy the land. (The city paid $3 million for this property, plus $2 million in a court settlement. Plus, the developer  that the city screwed would have been a taxpayer selling the developed property to taxpayers, so the city also has hundreds of thousands of dollars of lost tax revenue. This is familiar ground for the city. It has been sued numerous times, it has wasted taxpayer money on every conceivable feel-good project. And yet the people of Bozeman keep reelecting these clowns.) 

In January, the City Commission adopted a 95-page master plan aimed at establishing an industrial park at the site. (Another $25,000.) The goal of the plan is to create a place where area businesses with high growth potential — such as the bioscience, photonics and outdoor recreation industries — can manufacture products, resulting in the creation of new jobs and a more diverse Bozeman economy. (Wee, we have a plan! It's a cool plan. We are so smart for creating this plan. We don't just want any businesses, we want businesses with a high growth potential. It's all spelled out in the plan. Because it's in the plan, these high growth businesses will magically appear and pay lots of taxes and hire lots of people. That's what the plan says. 

This is how government creates jobs! Yes, this plan means all this prosperity will result which means we can tax it! The plan says so. We don't care that businesses make products because there is a market for them. We don't care about the risks or hard work of the business owner. No, none of that is important. The plan is proof enough of how good an idea this is.)

Fontenot said Thursday the plan has added value to the property. The plan includes a market analysis and outlines industries the Bozeman market, and North Park specifically, could support over the next 20 to 30 years.

The plan was created in coordination with the state Department of Natural Resources and Conservation, which owns 190 acres of school trust land adjacent to the city’s land. The plan was paid for with a matching
grant, and the city and state each paid $12,500. Since the plan was released, Fontenot said three parties — both local and from outside the southwest Montana region — have expressed interest in buying North Park and carrying out some version of the plan. Still, if the city sells its property, there’s no guarantee that the plan would be realized. (Way to go, Chronicle. Throw cold water on the genius of the central planners.)

Fontenot said he could not release any more information about the potential buyers.

“They’re still just looking around,” he said. “The property is not for sale at the moment.” (Whaaa? The property is not for sale? Then why is there a master plan for developing the property, and why are they considering obtaining a realtor? Why would three purchasers be looking at purchasing a property if it's not for sale?)

Developing North Park, according to the plan, would require an estimated $5 million in the first phase to install water lines, sewer lines, roads and other infrastructure. Fontenot said the city doesn’t have that money.
City officials have applied for grant money to help cover the cost, but he said the chances of securing those funds are slim. (Grant money, as in federal funds. So that makes it free! Unfortunately, government is no longer handing out money to just any old entity like it used to. Well, maybe they're trying to make it seem that way in order to punish us for the sequester. But there's still plenty of debt-backed cash floating around out there. And gosh, $5 million is such a small amount of money for such a worthy cause.)

City Manager Chris Kukulski said selling the land could be a good opportunity for the city. And, the city’s seven-member, citizen Economic Development Council has endorsed the idea. (They bought is 10 years ago, but that all fell through. So making a silk purse out a sow's ear, all the money they wasted is suddenly a "good opportunity." Hmm.  And the Council is a volunteer committee of the City government! Well, if THEY think it's a good idea...)

“The economy seems to be picking back up, and really frankly, we feel that the private sector is in a better position to develop it to its highest best use,” Kukulski said.

The City Commission will discuss whether to prepare a request for proposals for real estate services for North Park during its regular meeting Monday night.

Amanda Ricker can be reached at aricker@dailychronicle.com or 582-2628. 

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