Some Things Change in Ogden While Others Stay the Same

Mayor’s office touts prescription drug drop-box, Forbes ranking

By Dan Schroeder

It’s the last Thursday of the month, and Ogden newspaper subscribers know what that means: time for the monthly “Ogden Update” nearly-full-page advertisement from the mayor’s office!

In this month’s installment you can read about upcoming events like the Tour of Utah bike race and Night Out Against Crime. You can also read about the recently opened Hilton Garden Inn and about the new plans for twice-weekly commercial air service between Ogden and Mesa, AZ.

There are two more items, though, which I think are especially noteworthy.

First, at long last, the city has announced that a year-round prescription drug disposal bin has been installed in the lobby of the downtown Public Safety Building at 2186 Lincoln. The bin is available to residents from 8 am until 10 pm daily.

Regular Weber County Forum readers will remember how more than a year ago the city council proposed an ordinance requiring the installation of such a drop box. Police Chief Greiner objected loudly, for reasons that never made any sense. To all appearances, the Godfrey-Greiner administration was against the idea merely because the council was for it. Needless to say, the controversy-averse council backed down.

Although there’s no sign that the city council is any less timid than last year, we now have a new mayor and a new police chief. It would appear that the new administration is less petty, and the drop box has been installed with a minimum of fuss.

A second noteworthy item appears under the headline, “Forbes ranks Ogden, Utah, #6 Best City in US for Business and Careers.” Here’s a scan of this short blurb (click to enlarge):

What you would never know from reading this is that the Forbes ranking doesn’t look at individual cities; it looks at metropolitan statistical areas, for which the government publishes the most up-to-date economic data. The distinction is critical in our case because the Ogden-Clearfield MSA includes all of Weber, Davis, and Morgan counties. Ogden City accounts for only 15% of the MSA’s population and only 25% of its jobs. So the chances are that a high (or low) ranking for the Ogden-Clearfield MSA says more about Davis County and the Weber County suburbs than it does about Ogden City. Without further information, there’s no basis for the mayor of Ogden to take credit.

Of course, the distinction between Ogden City and the Ogden-Clearfield MSA never stopped Mayor Godfrey from taking credit whenever the MSA did well in one of these rankings. When it comes to puffy political rhetoric, Mayor Caldwell is proving to be no different.

Standard-Examiner: Garden Inn (Hot Tub Hotel) Opens "Quietly"in Downtown Ogden

Good news for hot-tubbers in Ogden

For those who may have missed it in this morning's Standard-Examiner, regarding the so-called Hilton Garden Inn, better known to WCF readers as Kevin Garn's Hot Tub Hotel, ex-Utah state legislator Garn's Godfreyite vision is now open for business in downtown Ogden:

• Garden Inn (Hot Tub Hotel) opens in downtown Ogden

We do believe that former/resigned/disgraced State Senator Garn deserves a further round of applause beyond the last, for managing to ram this project down the Ogden City taxpayer's throats, with a truckload of Ogden taxpayer subsidy cash, courtesy of crazed former Mayor Boss Godfrey.

Tuesday RDA Work Session: Progress Report on Pending RDA Projects

Check out this week's council packet to find out more

Not much is happening with the City Council/Redevelopment Agency this week. As a matter of fact, this week's regular RDA meeting has been cancelled. On the other hand, there is something on calender which we found to be quite interesting, namely Tuesday's RDA work session agenda, which includes a September RDA project report highlighting "new activity on notable projects or other activities undertaken by the RDA."

Curious about the progress of the heavily taxpayer-subsidized SouthRiver LLC River Project, the status of the similarly taxpayer funds-dependent Kevin Garn "Hot Tub Hotel" or some of the other projects simmering on the Ogden RDA front burner? Check out this week's council packet to find out more:

• 10/11 City Council-RDA Work Session

Kudos the the City Council/RDA for placing this project status report conspicuously within public view and scheduling these matters for formal work session discussion. Hopefully these project status reports will be issued on a regular basis in the future, as a concession to those political wonks (like us) who savor the most open and transparent government possible.

Comments, anyone?

City Council/RDA Meeting Heads-up: The Council Appears Poised to Tie Together Numerous Administration Loose Ends - Multiple Updates

In the waning days of the Godfrey Administration, it seems that city funds and property are flying out the door to Administration cronies at astonishing bargain basement prices

As a followup to Friday's City Council meeting heads-up, we'll post another reminder of tonight's City Council/RDA sessions, wherein our city legislative body appears poised to consider and/or approve the following actions, among other things:

• Sell developer Kevin Garn 1.75 acres of prime downtown property for $750,000, a significant discount to its actual value.
• Give him $550,000 (in the form of a grant), thereby reducing the developer's cost to only $200,000.
• Finance both his purchase price on the property and provide him with some $350,000 of start-up capital, by lending him $550,000 at a low 4% interest.
• Help him secure federal loans to develop the hotel, all at low interest rates and possibly with on-recourse to developer.
• Appoint a new Chief Administrative Officer to replace John Patterson, under circumstances which would entitle the appointee to six months severance pay if the future mayor wants to hire someone else instead.
• Formalize the "sweetheart deal" turnover of the 21st Street pond, under circumstances that reek of cronyism.

Here are the applicable council packets:

• 08/02 City Council Work Session
• 08/02 City Council Regular Session
• 08/02 City Council-RDA Special Session

As Gentle Reader Disgusted opined in an earlier comment, these transactions arguably "represent a wanton disregard for the responsibilities of office to protection of the assets of the city and act in the best interests of the residents."

"Anyone on the City Council that goes along with this deal deserves to be removed from office at the next election and certainly should not be considered for the office of mayor," Gentle Reader Disgusted aptly suggests.

We'll have to concede that regular contributor Disgusted makes a very good point. It seems to us too, that in the waning days of the Godfrey Administration, city funds and property are flying out the door to administration cronies at astonishing bargain basement rates and prices. At the very least, it seems to us, we would hope that all council members will give each of these proposals serious deliberation, in the context of determining whether these proposals are in the best interests of Ogden City.

We'll leave the lights on for any WCF readers who might plan to attend tonight's meetings, of course, to provide our readers a narrative of tonight's Council/RDA antics.

Update 8/3/11 7:40 a.m.: The Standard carries a post-meeting story this morning, focusing upon Goode Ski Company's so-called "stewardship" of the 21st Street Pond:

• Goode Ski Technologies to spend $100K on namesake lake

No word yet on the Kevin Garn "Hot Tub Hotel" development agreement/financing outcome. Perhaps one of our readers can soon provide the low-down on that.

Update 8/3/11 2:00 p.m.: Lo and behold, and in answer to our above question... we just talked with one trusted Emerald City City Hall insider; and we are now informed that the fiscally-conservative Amy Wicks was the only City Council member who drew a line in the sand, and voted against the ridiculous Kevin Garn Hot Tub Hotel "giveaway," which was otherwise approved by the Godfrey-compliant council with an exceedingly disappointing 6-1 vote.

Update 8/4/11 9:18 a.m. (per Dan S.): Here's the S-E's article on the Johnson confirmation:

• Ogden council OKs new chief administrative officer

Of course, the paper made no attempt to determine how much latitude the council had in this decision, e.g., whether an interim appointment would have been possible.

The council vote was unanimous, by the way.

Update 8/4/11 3:25 p.m. (per Bob Becker): "There is an interesting discussion of the CAO appointment going on over on the SE site, with Councilwoman Wicks participating":

• Ogden council OKs new chief administrative officer

Tuesday Evening City Council Heads-up

Important Agenda Items: Approval of the deal for the Kevin Garn "Hot Tub" Hotel parking garage; Approval of the open space plan; An obvious attempt by Boss Godfrey to tie the hands of the future mayor with a "golden parachute" Chief Administrative Officer appointment

By Dan S.

Tuesday's council/RDA agenda is on the city web site and the big item is approval of the deal for the parking garage immediately north of the Kevin Garn Hotel. Garn will pay $750,000 for the property but has five years to do so. Meanwhile, the city will give him a grant of $550,000 out of the capital improvement fund (of which $244,000 is coming from sale of the land for the new IRS building)

The city will also lend Garn an additional $550,000 out of the sewer fund, which apparently has plenty of cash on hand (hardly surprising as I look at my latest bill). Garn would again have five years to repay this loan.

Here are the applicable council packets:

• 08/02 City Council-RDA Special Session
• 08/02 City Council Regular Session

Also on Tuesday's agenda are approval of the open space plan (revised to restore some of the language describing city recreational programs and facilities such as the Marshall White Center), and appointment of a new Chief Administrative Officer to replace John Patterson.

This last item is an obvious attempt by the current mayor to tie the hands of the future mayor. As presented, it is not an interim appointment but a permanent one, which would entitle the appointee to six months severance pay if the future mayor wants to hire someone else instead.

Standard-Examiner: Parking Lot in Downtown Ogden Gets Second Entrance

Alternate Reality Department: Parking within a block of the Junction Hotel was ample a couple of weeks ago, but this morning, parking in the same location is the number one infrastructure need of the city?

By: Curmudgeon

This morning's Standard Examiner is running an interesting story, reporting that a city-owned parking lot on Washington right across the street from the promised [yet again] Hotel At The Junction is getting a new entrance to make it more accessible to drivers, since the lot is now sadly underused:

• Parking lot in downtown Ogden gets second entrance

That's not the interesting part. The interesting part is this comment by Godfrey Administration Chief Administrative Officer Mr. John "Pureheart" Patterson:

"Parking is the No. 1 infrastructure need in the downtown area."

It is? Why it was just weeks ago, wasn't it that the Administration was assuring us when its plans for an underground parking garage for the promised Hilton Hotel at The Junction -- in other words, right across the street from the city lot discussed in this story --- tanked [banks refused to pony up the loans on grounds that the project was too speculative, too risky] that it really didn't matter because there would be ample parking available close to the hotel for its patrons without the underground lot.

Huh? Parking within a block of the Junction Hotel was ample a couple of weeks ago, but this morning, parking in the same location is the number one infrastructure need of the city?

I wonder what the number one infrastructure need will be next week....

Standard-Examiner: Inn May Bring Businesses to Ogden

15,000 square feet of building space north of the Hot Tub Hotel?

There's a Hot Tub Hotel topical Scott Schwebke story in this morning's Standard-Examiner which might be worthy of some discussion this morning:

Seems child molester Hotel developer Kevin Garn is "currently negotiating with several restaurants and retail establishments to occupy 15,000 square feet of building space north of the hotel at 2275 Washington Blvd.":

• Inn may bring businesses to Ogden

Gentle reader ND asks a couple of good questions, along with some commentary in one of our comment sections below:

Why are we building new retail space down there when there are empty spaces available... of course we can't say who the new businesses are can we.... 50 parking spaces... thats a joke... How many hoteliers are going to just use the surface parking near existing retail...I envision a log jam....

Who else would like to chime in on this topic, now that ND has set the pace?

Big Meetings Tuesday Evening As the Council /RDA Lurches Toward Approval of the Junction Hotel Project

We're posting this info early, in order to afford WCF readers a full opportunity to digest and discuss all elements of the this proposed project, well in advance of Tuesday's Council/RDA sessions

An examination of Tuesday's upcoming Council/RDA agendas reveals that the Administration us still tweaking the details of the Junction "Hot Tub" Hotel project financing. Here's where the proposed financing stands at this latest juncture:

Proposed Project Financing
The $13 Million Hotel project will be funded using several different
financing mechanisms:
• $8.7 Million – Facilities Bonds: The City will act as a conduit
for the tax-exempt bonds. The Developer will be responsible
for the debt service.
• $1.5 Million – Tax Increment Bonds: The RDA will issue tax
increment bonds. The City will pledge the City’s Franchise
Tax as additional collateral for the bonds. Debt Service will be
derived from the tax increment generated by the development.
• $2.2 Million – New Market Tax Credits (Federal Allocation):
The Developer is still hopeful that there will be New Market
Tax Credits available for the project.

For a little background on the above-mentioned New Markets Tax Credit (NMTC) Program, by the way, check out this link:

• New Markets Tax Credit Program

There are four main items on Tuesday's Council agenda (5:30 p.m.):

• Public Parking Assessment Area No. 2010-1
- Designation Resolution #2010-23
- Assessment Ordinance #2010-41
Determination:
1. Pull Designation Resolution from Agenda
2. Pull Assessment Ordinance from Agenda
(A Parking Structure Is No Longer Part of the Junction Hotel
Project. These Actions are Unnecessary)
• Contribution Agreement Resolution. Pledging Franchise Tax as Security for RDA Junction Hotel Tax Increment Bonds.
Determination: Table to January 11, 2011 for Final Consideration.
• Addenda to Development Agreement - The Junction Hotel
Determination: Adopt/Not Adopt Resolution
• Industrial Revenue Bonds Qualified Recovery Zone Facilities Bonds - Authorizing Resolution
Determination: Adopt or Not Adopt Resolution

View the full Council packet here:

• 12/21 City Council/RDA Joint Session

The RDA Board will also consider "approvals" relating to the operative project documents (as amended) in a Special RDA Session (6:00 p.m.):

• Reports from the Administration. Junction Hotel Development Agreement Addenda, Amended Promissory Note, and Substitute Trust Deed. Proposed Resolution 2010-15 approving and authorizing two addendums to the Development Agreement between the Ogden City Redevelopment Agency, Kevin Garn, and Western States Lodging, L.L.C., pertaining to the development of a hotel structure on parcel 01-099-0004 at The Junction in Ogden City, Utah, including approving an Amended Promissory Note and Substitute Trust Deed. (Adopt/not adopt resolution – roll call vote)

View Tuesday's RDA packet here:

• 12/21 City Council-RDA Special Session

Lots of interesting nuances here, not the least being the apparent abandonment of a plan for an underground parking garage, and the Special Assessment District which was originally "envisioned" to help finance its construction.

Another interesting element? The administration and other principals seem to believe they'll be able to "close" this highly-complicated (some would call it "Rube Goldbergesque") transaction no later than December 28, even though "final" Council consideration of the Franchise Tax pledge ($1.5 million) as additional security for RDA Junction Hotel Tax Increment Bonds has been "tabled" to January 11, 2011.

We're posting this info early, in order to afford WCF readers a full opportunity to digest and discuss all elements of the this proposed project, well in advance of Tuesday's Council/RDA sessions.

All WCF readers are therefore invited to post their savvy comments before, during or after Tuesday night's Council/RDA events.

Update 12/22/10 3:40 a.m.: Both the Standard-Examiner and the Salt Lake Tribune carry stories this morning reporting on the results of last night's Council/RDA meetings:

• Ogden City Council votes to make legal advice off-limits to public
• Ogden OKs changes scrapping underground parking at hotel

Update 12/28/10 8:00 p.m.: View the full Council and RDA videos, via the Ogden City website:

• 12/21 City Council-RDA Special Session
• 12/21 City Council Regular Session

A 12/14/10 RDA/Council Meeting Heads-up

Will tonight's work session presentation be used as a "dry run" for Thursday's Magical Mystery Dome (Fieldhouse) Public Dog and Pony Show? That's our educated guess

Here's a heads up on tonight's Council/RDA meetings, which will be conducted in the following order (click the highlighted links to view the respective council packets):

1) Redevelopment Agency Meeting (6:00 p.m.). Looks like this one will be mostly held in closed session (out of public earshot, in other words).

2) City Council Meeting (follows RDA Meeting). The chief item on tonight's Council agenda will be a vote on a resolution and ordinance approving a Junction Hotel special assessment area. This one looks to be a likely slam dunk, inasmuch as the council already approved the primary hotel bonding ($9 million) just last week.

3) City Council Work Session (follows RDA & Council meetings). This is a meeting which might be worth a close look, as the council packet is littered with photos of velodromes, water parks and fieldhouses, "gleaned" by an obviously eager Boss Godfrey during (taxpayer paid) junkets to Kansas City and Carson, California over the course of the past month or two. Will tonight's work session presentation be used as a "dry run" for Thursday's Magical Mystery Dome (Fieldhouse) Public Dog and Pony Show? That's our educated guess.

We'll leave the lights on in the lower comments section as per usual, in the event that any of our WCF readers would like to post their pithy comments or snide remarks, before, during or after tonight's RDA/Council meeting events.

Update 12/19/10 6:38 a.m.: View the full Council amd RDA videos, via the Ogden City website:

• 12/14 City Council Regular Session
• 12/14 RDA Special Session

Standard-Examiner: Ogden OKs $9M Bond for Hilton Construction

Lets all keep our fingers crossed that Garn is in better financial shape than Gadi Leshem

The Standard-Examiner finally gets around to providing a writeup on the outcome of the bond approval issues which were on Tuesday night's Council agenda, with this morning story which reports that the council approved "$9 million in facility bonds to help finance construction of a four-story Hilton Garden Inn Hotel at The Junction development downtown." Mr. Schwebke also reports that a vote on the the $2.8 million in special assessment bonds has been scheduled for next Tuesday (December 14), and that a decision whether to issue up to $3 million in tax increment bonds has been set for Dec. 21:

• Ogden OKs $9M bond for Hilton construction

It looks like Mr. Garn's Junction Hotel is a fait accompli, as the council jumps through all the formal public notice hoops, and increases the taxpayers' indebtedness by another $16 mil.

Mr. Schwebke carefully notes that "Garn will be responsible for repaying the facility bonds." With that in mind, lets all keep our fingers crossed that when the smoke clears on all this that Garn turns out to be in better financial shape than former Godfrey Moneyman, Gadi Leshem.

And to existing hotel operators like Susan Cross, assistant manager of Ogden’s Comfort Suites Hotel, who warned that " Ogden is not ready for an additional 125 rooms" ...

Tough Luck!

What the evil Boss Godfrey wants, Evil Boss Godfrey gets.

Big Meeting Tonight As The Council Considers 25th Street Building Heights & Another $16 Million in Bonding - UPDATED

Batten down the hatches, folks, as Boss Godfrey spends every single dime he can borrow, and puts the city in hock unto your grand-kids' generation
Update: SE reporter Schwebke graces us with a glimpse of another ungentlemanly Boss Godfrey temper tantrum

To kick the discussion off this morning we'll provide a quick heads-up about tonight's Council/RDA meetings, wherein consideration will be given to approval of the following items, which have been topics of discussion on Weber County Forum over the course of the last several months:

1) Historic 25th Street Building Height Limit Amendment (three options):
a) Adopt Ordinance Option A as recommended by the Planning Commission
b) Adopt Ordinance Option B, which includes the Planning Commission recommendations plus additional language regarding roof top additions
c) Deny the Petition

2) Junction Hotel Project:
a) Facility Bonds of $9 Million—The City will act as conduit for the purpose of hotel construction. The developer is fully responsible for paying back the bonds.
b) Tax Increment Bonds of $2.25 Million—The RDA will issue these bonds, with backing from the City, for hotel construction ($1.5 Million) and public parking ($750,000).
c) Assessment Bonds of $2.25 Million—The City will issue these bonds to construct the public parking.
(The proposed hotel project will cost an estimated $16 Million, with $13 Million being used for the construction of the hotel and $3 Million for a parking structure.)

For those readers who plan to attend tonight's meetings, here's a link to the full Council/RDA Board packet:

• 12/07 City Council Regular Session Packet

Weirdly enough, Ogden City appears hellbent for another massive spending spree, even in a national economic atmosphere in which "the finances of some state and local governments are so distressed that some analysts say they are reminded of the run-up to the subprime mortgage meltdown or of the debt crisis hitting nations in Europe":

• Mounting Debts by States Stoke Fears of Crisis

Batten down the hatches, folks, as Boss Godfrey spends every single dime he can borrow, and puts the city in hock unto your grand-kids' generation.

We'll leave the lights on as usual, for anyone who'd like to comment before, during or after tonight's meetings.

Update 12/8/10 7:30 a.m.: The Standard-Examiner reports on the disposition of the heights limit amendement petition this morning:

• Historic 25th can reach greater heights

Standard-Examiner reporter Scott Schwebke informs us that "the city council unanimously agreed Tuesday night to stretch height limits from 45 feet to 55 feet for new buildings on Historic 25th Street," with a provision "that prohibits existing buildings on 25th Street from being increased in height through rooftop additions or additional stories unless":

• Documentation is presented establishing that additional height is within the limits of the building's historical construction.
• The addition is not visible from the front of the building or from the sidewalk on the same side of the street or across the street.

As an added bonus, Mr. Schwebke graces us with a glimpse of another ungentlemanly public temper tantrum, whereby Godfrey rudely lambasteded one Utah Heritage Foundation historical preservation expert who'd had the audacity to speak in opposition to the height ordinance amendment:

Kirk Huffaker, executive director of Utah Heritage Foundation, said that while the height amendment has some benefits, the city hasn't provided enough hard data to show it would have a significant economic impact on Historic 25th Street.
Mayor Matthew Godfrey described some of Huffaker's comments as ridiculous and derided a suggestion that the city should work more closely with Historic 25th Street businesses to help them prosper. Godfrey said the municipality is already doing that.
"You think we don't do this day in and day out and that we have never done this before?" Godfrey asked Huffaker. "Give me a break."

Hopefully Council Leadership will quickly issue an apology to Mr. Huffaker for our petulant mayor's bad manners.

Unfortunately, Mr. Schwebke provides no word on the City Council's treatment of the Junction Hotel bonding matters.

Update 12/14/10 8:00 a.m.: View the full council video, via the Ogden City website:

• 12/7/10 Council Video

Standard-Examiner Editorial: OUR VIEW: Ogden's Roadmap

To lead off the discussion we'll just say that this is the most disappointing SE editorial we've read in years

Ogden has a roadmap toward its downtown plans for the future. While it cannot be assumed that all of these goals will be fulfilled, we applaud city officials and employees for understanding that it is necessary to be working on several projects at once to have a better chance to achieve long-term success.

Standard-Examiner Editorial
OUR VIEW: Ogden's roadmap
December 5, 2010

It's like gambling somehow. You go out for a night of drinking and you don't know where your going to end up the next day. It could work out good or it could be disastrous. It's like the throw of the dice.

Jim Morrison
Famous American Rocker
December 8, 1943 — July 3, 1971

Patently ridiculous Standard-Examiner editorial this morning, prompting us to wonder whether the SE editorial board went out on a bender on Friday night with Jim Morrison's ghost. In the midst of current dismal economic times, it's difficult enough for the Council to keep Ogden's finances on an even financial keel; yet here come the cheerleaders on the SE editorial board egging on the council to engage in another round of risky bonding:

• OUR VIEW: Ogden's roadmap

Chime in with your own comments, gentle readers; but to lead off the discussion we'll just say that this is the single most disappointing SE editorial we've read in years. A strong voice for fiscal prudence in Ogden City Government? You'll evidently not find that voice at the Standard-Examiner. This is the kind of drivel we'd expect to hear from the Chamber of Commerce, but not from a conscientious home town newspaper. We're also embarrassed for the normally astute Doug Gibson, who probably got assigned to write up this mindless pap.

Standard-Examiner: A Brief Summary of City and County Downtown Ogden Plots and Schemes

Added bonus: a snazzy interactive map of proposed future improvements of downtown Ogden

The Standard-Examiner carries two Ogden economic development stories this morning which are likely fodder for morning discussion.

First, there's this Scott Schwebke story, which briefly encapsulates all of the various pet projects which Boss Godfrey more or less has on the front burner, including Boss Godfrey's Grant Avenue-straddling "Field House/Wonder Dome":

• What's next for Ogden?

As Dan S. noted last night, this story is "a bit of a disappointment: mostly a summary of what we already knew about a whole list of projects, with only tidbits of new information about each. Still, it's a useful summary for the vast majority of readers who don't keep careful track of such things." "Regarding the Wonder Dome, it says Godfrey is promising to solicit private donations, but no potential private donors are named. He claims WSU and Weber County "have expressed interest in partnering", but no attempt was made to contact spokespersons for either of these potential partners. There's no mention of the school districts."

Secondly, this morning's Standard also carries this Scott Schwebke companion piece, which reports that even our normally frugal Weber County Government is considering getting into the Big Spending downtown economic development act. Unlike the above-linked SE story however, this latter Scott Schwebke writeup does include much new detail about proposed funding for this project, a skywalk, new clubs, restaurants for the Berthana Building, etc.:

• Weber County looking at Eccles Conference Center skywalk

And for those readers who'd like to see a visual representation of all the downtown plots and schemes our city and county governments have on the drawing board, here's something you're not going to want to miss: a snazzy Standard-Examiner interactive map of proposed future improvements for downtown Ogden, complete with a little trolley, zipping around Boss Godfrey's proposed Downtown Trolley Loop:

• Flash Player interactive downtown Ogden map

Don't let the cat get your tongues, O Gentle Ones.

Important Emerald City Council/RDA Board Meetings Set For Tonight - UPDATED 3X

It appears that the Council/RDA Board stands poised to rubber stamp the financing for Kevin Garn's Junction Hotel Project
Updated Reader Query: Is our Ogden City Council slowly morphing into a Boss Godfrey rubber stamp?

Here's a heads-up regarding tonight's City Council and RDA meetings, where it appears that the Council/RDA Board stands poised to rubber stamp the financing for Kevin Garn's Junction Hotel Project:

What: City Council/RDA Meetings
When: Tueday, November 16, 2010; 6:00 p.m.
Where: Lincoln Elementary, 1235 North Canfield Drive

The full council packets for tonight's meetings are set forth below:

• 11/16 City Council Regular Session
• 11/16 City Council-RDA Special Session

For the benefit of bandwidth challenged WCF readers among us, here's a link to the portion of the RDA Board packet which specifically pertains to the hotel project:

• Abbreviated 11/16/10 RDA Board Packet

As per usual, we'll leave the lights on in our lower comments section, for anyone who'd like to comment on this topic before, during or after tonight's Council/RDA sessions.

Update 11/16/10 11:45 a.m.: One of our gentle readers reminds us that there's another WCF-topical item on tonight's council calender, i.e., a budget opening in the amount of $38,375, to be prospectively reallocated from the "CIP Futures Fund" to Boss Godfrey's proposed $38,000 "Fieldhouse Study," which we discussed on WCF yesterday. Check out this council packet excerpt for further details:

• Field House CIP Futures reallocation Council Packet excerpt

Fascinating to observe how the administration has deviously dodged a public hearing in this matter, by characterizing the transaction as a mere reshuffling of already "committed" taxpayer dough.

Update 11/17/10 7:45 a.m.: The Standard-Examiner reports this morning that the Godfrey administration scored a clean sweep last night for its ongoing pet projects:

• Ogden council OKs hotel proposal
• Ogden OKs $38,000 study for new rec facility

So what about it, WCF readers? Is our Ogden City Council reacquiring the lazy traits of our 2005 "Gang of Six" council, and slowly transforming into a another Boss Godfrey rubber stamp?

Update 11/17/10 8:35 a.m.: Per Dan S.: "Here's Cathy McKitrick's write-up in the Trib:"

• Ogden gives Garn go-ahead for hotel

"(Be sure to read the sidebar about the velodrome study approval.)"

Ed. Note: The Trib comments section ain't half bad either.

Update 11/25/10 6:52 a.m.: View the full Council and RDA videos here:

• 11/16 City Council Regular Session
• 11/16 RDA Special Session

A Heads-up On Tomorrow's City Council & RDA Meetings - UPDATED

City Council/RDA Double header: A Harrison Boulevard Prelim and a Junction Hotel Project Main Event

For the benefit of Ogden City Council watchers, we'll provide a heads-up regarding a pair of Council and RDA meetings set for tomorrow's RDA-Council calenders.

1) The Prelim - Harrision Boulevard Road Widening: First, the City Council will hold a 5:30 p.m. work meeting to discuss, among other things, The Harrison Boulevard Road Widening Project:

• 11/09 City Council Work Session Packet

Although we'd previously assumed that this project had already been already favorably resolved, with the Wasatch Front Regional Council's abandonment of the road-widening contingency plan, perhaps there remain a few loose ends; so we'll therefore urge readers who are still warily following developments in re this topic to sit in and report on tomorrow night's meeting.

2) The Main Event - Boss Godfrey's Junction Hotel Project Du Jour: On the heels of Saturday's WCF article, we observe that Boss Godfrey's wasting no time setting the stage for his latest Junction Hotel Project, and that he's somehow managed to finagle an immediate audience with the Emerald City RDA Board for tomorrow night, following the above Council work session, wherein the intricate Rube Goldberg-style details of this project's desperately hoped-for financing will be revealed. Here's the full Council-RDA packet:

• 11/09 City Council-RDA Work Session/Regular Meeting Packet

We invite all real estate finance wonks to review the proposed Development Agreement, and to examine Boss Godfrey's dizzying array of half-assed proposed financing mechanisms, including, but not limited to these:

a. A Special Assessment Area
b. ARRA QRZED Program Bonds (Parking),
c. ARRA QRZF Program Bonds (Private),
d. TIF Bonds,
e. An EDA Grant,
f. Restructuring of existing Junction loans,
g. Sale by the RDA of the raw land for $1.5 mil, in consideration for a promissory note with initial payment deferred 5-7 years.

Although our readers did get a head start in their analysis behind Saturday's article, we invite anyone who'd like to wade into this newly-displayed data to fatten up the WCF discussion now.

We'll leave the lights on for any brave meeting attendee who'd like to comment post-meeting, with a full dose of NoDoz of course.

Update 11/10/10 7:25 a.m.: Here's a post-meeting report from the Standard-Examiner, such as it is:

• Ogden works on bonds for new hotel

Standard-Examiner: Plenty of Work Left to Make New Hotel a Reality

For reasons which should be fairly obvious, we believe this is a project which must be closely watched

Ace Reporter Schwebke gets back into the groove on the Junction Hotel Project story this morning with a writeup which reveals a few more facts and opinions regarding the proposed financing for this project:

• Plenty of work left to make new hotel a reality

Among the most interesting new fact revelations are these:

1) Specifically, the Ogden Redevelopment Agency has been allocated on behalf of Sequoia Development about $9 million in Recovery Zone Facility Bonds for hotel construction.
2) The state also has allocated the RDA $3 million in Recovery Zone Economic Development Bonds for construction of the parking garage that would be owned by the city.

Up until now, Mr. Schwebke's reports have been rather vague about the nature of this new proposed bonding; but with the terminology we've highlighted above, we're now able to refer to online documents to find out a little more about the basic mechanics of this proposed bonding:

• Recovery Zone Bonds - Low Cost Financing Options

Notably, both Recovery Zone Facility Bonds and Recovery Zone Economic Development Bonds are bonds which are issued by municipal entities, as borrowers. This of course clears up the question about who the primary obligor would be in this proposed transaction. Yes, gentle readers, it's the Ogden RDA, the issuer of these bonds, which will be ultimately "on the hook" if and when this project goes forward.

Having made that observation, we'll refer you to this Richard McConkie quote:

The RDA will have no obligation to pay off the bonds if Sequoia Development defaults, said Richard McConkie, city director of community and economic development. If that occurs the lender could sell the hotel to recover the debt, he said.

With all due respect to Mr. McConkie, we do not believe this above statement accurately squares with the true nature of this proposed bonding. What happens, we ask, if Seqouia were to build out the project and default, for instance? While it's true that the lender in this transaction (the bond holder) would have recourse to the property security (the hotel), what happens if there's a deficiency in the property's selling price after foreclosure? Who would then be "on hook" for that deficiency?

The Ogden RDA, that's who.

Although the facts still remain fuzzy at this early stage of this proposed project, we believe this is a project which must be closely watched by Ogden City taxpayers. The last time that we were promised the taxpayers would not be "on the hook" for an ambitious Boss Godfrey Junction project, it didn't quite work out as advertised, did it?

Who will be the first to comment?

Standard-Examiner: Bonds OK'd for Hotel, Parking Garage in Ogden

Our fear is great that the Ogden Council/RDA is allowing this project to be shoved down the taxpayers' throats without adequate time for cool deliberation

Surprise of surprises. A mere two days after our Ogden City Council/RDA Board voted "to approve [a] letter supporting the allocation of two tax-exempt bonds totaling $12 million" for the Junction Hotel Project, the Standard-Examiner reports this morning that "State officials agreed Wednesday to allocate to the city about $11.3 million in tax-exempt bonds for construction of a hotel and underground parking garage at The Junction":

• Bonds OK'd for hotel, parking garage in Ogden

That's what we call a rapid response, folks. It's evident that the Obama stimulus funds which are feuling this bonding effort has been burning a hole in the Utah Department of Community and Culture's pocket, and that the ball is back in Ogden City's court once again.

In yesterday's SE story on this topic Council Chair Gochnour provided a quote suggesting that the RDA Board was merely locking in its bare request, and that the decision on whether to formally sign aboard this project would come at some point down the road, after careful and deliberate evaluation of the facts:

"It's a great opportunity for the city to get this funding," said Council Chairwoman Caitlin Gochnour. "We're just showing our support at this step of the process.
The RDA board will have an opportunity to review or tailor its support with further information in the future, she said. [Emphasis added].

Well, folks, at the frenzied rate with which this matter is proceeding, it's evident that "the future" to which Ms. Gochnour refers is NOW.

Adding aggravation for Ogden taxpayers who are watching this rapidly developing situation is the fact that neither the Standard-Examiner nor the Council/RDA itself has clearly explained the true mechanics of this proposed multi million dollar bond funding. This morning's SE story again refers to "allocat[ion] to the city," which would logically imply that the primary new obligor under this arrangement (The Ogden RDA) would be assuming obligations founded on presently-existing bonds. Nowhere in any of the previously published stories or reports has it been suggested that the Ogden RDA will be issuing any new bonds, yet the true source of these bond funds remains entirely foggy. Did some other Utah municipality previously qualify for these bond funds and then back out? If so, why? Did the Utah Department of Community and Culture issue an underlying bond itself; and is it now scrambling to find another sucker to take on these already-bonded obligations?

Our fear is great that the Ogden Council/RDA is allowing this project to be shoved down the taxpayers' throats without adequate time for cool deliberation. As we opined on 7/12/10, there are many facts and feasibility issues which yet need to be resolved before the council should jump into this project with both feet.

So what about it, gentle readers?

Now that the Council/RDA has gone out on a limb and requested to participate in this bond funding, and now that the that the pressure is on, will our seriously outgunned City Council be shamed into signing on to this risky deal?

The world-wide-webosphere awaits your ever-savvy comments, O Gentle Ones.

Don't let the cat get your tongues.

Standard-Examiner: Ogden OKs Letter of Support / City Seeks Funding for Hotel, Parking Garage at The Junction

Once again it appears to us that our part-time City Council has been seriously outsmarted and outgunned

It's a great opportunity for the city to get this funding, We're just showing our support at this step of the process. The RDA board will have an opportunity to review or tailor its support with further information in the future.

Caitlin Gochnour, Council Chairwoman
Standard-Examiner: Ogden OKs letter of support
July 14, 2010

We have a significant need. This is not the last point in the process. We are simply moving down that path.

Terrence Bride, OBDD Senior Project Coordinator
Standard-Examiner: Ogden OKs letter of support
July 24, 2010

The Standard-Examiner reports this morning that the City Council has taken the Godfrey administration's bait, and voted unanimously last night "to approve the letter supporting the allocation of two tax-exempt bonds totaling $12 million":

• Ogden OKs letter of support / City seeks funding for hotel, parking garage at The Junction

Although SE reporter Roy Burton carefully notes that "[t]he letter does not bind the council to approve the bonds," we have serious doubt whether the council will ultimately have the wisdom or political will to put the brakes on this project, once Housing and Community Development Division of the Utah Department of Community and Culture approves this massive bonding, Boss Godfrey moves us farther "down the path" to municipal bankruptcy, and puts on the full court press for more reckless borrowing and spending.

Once again it appears to us that our part-time City Council has been seriously outsmarted and outgunned.

Standard-Examiner: Room for More Ogden Hotels?

Kudos to the Standard-Examiner for continuing to dig out the facts and focus on the feasibility issues pertinent to this story

By Curmudgeon

Interesting Scott Schwebke story in this morning's Standard-Examiner:

• Room for More Ogden Hotels?

Much of interest in it, and well worth a careful reading. But first off, kudos to the SE for ferreting out the name of another of the hotel-building companies interested in building at the Junction that Matthew "Stonewall" Godfrey's administration was refusing to make public as recently as a week ago. Nice work. Now keep digging.

Also kudos to the SE for making central to the story the question of whether investing public money in a new downtown high-end hotel is prudent in the current business climate and when the occupancy rate for Ogden's three existing downtown hotels ran at about 60% last year. The story, let us note, was not reported simply as "two companies vying to build at the Junction," but focused instead on raising doubts about whether any company can build and operate a successful hotel downtown just now or in the foreseeable future. And whether public money should be gambled that one can. With opinion from people in the field on both sides of that question included.

It's a chewy story; read up.

Standard-Examiner: Bonds Sought for Ogden Hotel Project

Here we go again with another Boss Godfrey borrowing and spending spree

By Curmudgeon

The Standard Examiner reports this morning "[t]he administration is seeking support from the Ogden Redevelopment Agency to obtain $12 million in tax-exempt bonds from the state for construction of an underground parking garage and an upscale multistory hotel at The Junction."

Read the full story here:

• Bonds sought for Ogden hotel project

I don't know if this particular project is a sound one or not. But the Administration's statements asking for the Council's support of bonding for it should be sounding alarms on the Council, for we've heard much the same from the Administration before regarding projects that collapsed.

For example, the article says this:"In addition to Sequoia Development, two other firms are interested in pursuing the hotel project, said John Patterson, the city's chief administrative officer. He did not identify the companies." Uh ho. More companies eager to invest megabucks in Ogden that the Administration assures us are there, but which it cannot name. Like the manufacturers outlet stores the Administration assured us were coming to the three city-rehabbed commercial properties on Washington, but which it wouldn't name? Which stores never showed. Or the exporters of Chinese jewelry the Mayor discovered on his taxpayer-funded trip to China who he could not name but he assured us were eager to come to Ogden? They didn't. Or the exporters of "high end Mexican goods" the Administration would not name eager to locate in Ogden. Nary a sign of them so far.

And now Pureheart assures us two more companies are "interested" in the downtown hotel construction project... but of course he won't name them. What a surprise.

But there's more: Terrence Bride, Senior Project Coordinator for the city assures the RDA that the Administration is "confident the city's application for the bond funds will win approval from the state." How nice. Of course, the Administration was also "confident" private donors would provide $1.4 million in funding for Mayor Godfrey's Downtown Outdoor Year Round Ice Climbing Popsicle. No donor funding appeared and the project died. And of course the Administration was "confident" the City would never have to pay a dime for the Junction's construction bonds it guaranteed. We know how that worked out. And of course the Administration told us it was "confident" that Mr.Lesham would complete the River Project as promised. He didn't. The list goes on and on. But Mr. Bride is "confident" about state funding for the garage. How reassuring.

Finally, has the administration provided full information to the Council regarding the project and its projected funding, so the Council can make an informed decision? Ah.... no. From the story: "Actual support from the RDA for the parking garage and hotel project may come at a later date as more information from the administration becomes available, Gochnour said." Wonderful. On the basis of what the Council Chair concedes is incomplete information, she apparently wants to proceed with the letter endorsing the bonding now, in hopes that Hizzonah will condescend to tell the Council more later. How touching, particularly since the Mayor hid from the Council Chair and the rest of the Council and the public its request to UTA to change Ogden downtown bus routes, a change which flew in the face of the Council's commitment to encouraging public transit in Ogden. "You can trust us. We'll tell you what you to know later, after you've committed to the project we won't fully inform you about now" seems sufficient to satisfy the Council these days.

What's that old saying? "Fool me once, shame on you. Fool me ten times, shame on me?" Something like that.