[Mpls] $2.5 million in liens filed against Park Board
Chris Johnson
issues at chaska.org
Fri Jun 18 11:32:21 CDT 2004
In my Park Board report from the past meeting, I noted that John Lloyd
of Lloyd Construction appeared during the public comment period to
inform the commissioners of the mechanic's liens which were being filed
against them, and his intention to file a lawsuit, for work done on Park
Board property for The Fort, LLC for which he was not paid.
In Thursday's (6/17) Star Tribune Metro Section, page B6, an article by
report Chao Xiong giving a lot more detail on this appeared.
Unfortunately, this article does not appear in the online edition at the
STrib's web site, so I can't point you to it. Instead I will quote and
paraphrase it liberally below.
"At least four contractors have filed liens totaling more than $2.5
million against the Minneapolis Park and Recreation Board for unpaid
labor on a privately funded project on city land that failed because of
financial troubles.
The companies said they weren't fully paid for work on the The Fort, a
multimillion-dollar attempt to build an indoor skate park, climbing gym
and meeting facility in Fort Snelling's historic Drill Hall. Phase Two
of the project called for outdoor skate parks, two roller and ice-hockey
rinks, and space for music events on the 6-acre site, according to the
Web site for the Project's private developer, Fort Inc. [sic]"
The web site for this project and The Fort LLC can be found at:
http://www.fortsports.com/
Work started on the building in September but stopped in January when
contractors were not paid. Work restarted a month later when more
funding came through, but again financial problems caught up with it and
all worked stopped for good in late April, according to Mark Dongoske,
owner of Associated Construction, which filed a $1.7 million lien this
past week.
"The Fort project was supposed to dovetail with the Park Board's ****
$14 MILLION **** Leonard Neiman Sports Complex completed just across the
street in 2002, said Don Siggelkow, the board's assistant
superintendent." [emphasis added -- and we wonder why the Park Board is
so broke they can't mow the grass or open beaches? Note also that the
project was sold to the public as only costing $12 million in May, 2000.]
" 'We certainly aren't happy with the outcome, but there's nothing the
board could have done to protect the contractors,' Siggelkow said."
Nothing -- such as a performance bond, insurance or maybe doing due
diligence on the financial viability of the proposed project before
leasing the land, right?
The Park Board signed a lease with The Fort LLC in July 2002 agreeing to
let them renovate and build on the site in return for 15% of the
facility's monthly income as rent.
"Bob Naegele III, son of Minnesota Wild owner Bob Naegele Jr., initially
invested several hundred thousand dollars in the project, Fort attorney
Todd Duckson said." That's quite the contrast. The lead investor puts
in several hundred thousand, but the contractors are out more than $2.5
million in labor costs alone for a project that is not even close to
complete.
"Aside from Naegele's investment, financial backing for the project was
not secured when the lease was signed, Duckson said. But the board was
confident Fort Inc. would find the money before construction began,
Siggelkow said." How many private landlords out there do business like
this, leasing out property before demonstrated ability to pay?
The Park Board terminated the lease with The Fort LLC on June 1 after
learning of the situation in early March, according to Siggelkow.
My opinion: The Park Board cooked the books and deceived the public
when they spent $14 on the Sports Complex at Ft. Snelling. The Park
Board cooked the books and deceived the public when they spent $6
million their new HQ building. The Park Board failed to do due
diligence on The Fort project. The Park Board complains that due to
cuts in LGA from the state, they don't have enough money to man the
beaches, fill the wading pools, run the fountains and mow the grass. I
think it's clear that the Park Board is focusing on giant, unnecessary
"legacy" projects, which enrich a few people, at the expense of
maintaining the park system that we have. The Park Board has abrogated
its obligations, both moral and legal, to the taxpayers of this city to
run the park system as it was intended.
In my perfect world, Commissioners Bob Fine, Walt Dziedzic, Marie
Hauser, and Jon Olson are forced to resign. Commissioners Carol Kummer,
Annie Young, Rochelle Berry Graves and John Erwin continue until
elections next year, when the public will decide.
Furthermore, the following Park Board employees and contractors are
summarily dismissed for malfeasance, conflict of interest, lack of
ethics, misappropriation, misrepresentation, deception, arrogance and
incompetence: "interim" superintendent Jon R. Gurban, assistant
superintendent Judd Reitkerk and "counsel" and "lobbyist" Brian Rice.
Assistant superintendents Don Siggelkow and Mike Schmidt are put on
probation, and if strong evidence that they can straighten up and fly
right is not seen in the next 6 months, they are likewise fired. A
thorough investigation of Park Board operations will be made, and any
other corrupt, unethical or otherwise incompetent personnel will
likewise be fired -- and I do not doubt there are at least some, but I
just do not have their names, yet.
Furthermore, the possibility of filing lawsuits against former Park
Board commissioners and executives for misuse of taxpayer funds,
conflict of interest, illegal acceptance of favors from private lobbying
organizations and unethical behavior in the performance other their
duties, including in particular Scott Neiman and Mary Merrill Anderson.
I'd include Ed Solomon, too, but he's unfortunately dead. I'd probably
even investigate people further back, like Patricia Hillmeyer, David
Fisher, Tom Baker, Patricia Baker, George Puzak, and others.
I'd also investigate lawsuits against Jon R. Gurban and the Minnesota
Recreation and Parks Association for illegal lobbying, illegal
influencing of public officials, graft, corruption and bribery.
Line them all up and send them all to jail for stealing millions of
dollars from the taxpayers over the past 10-plus years. The corruption
and unethical "tone" at the Park Board actually goes back quite a bit
further than 10 years, but it's probably not worth the money necessary
to track down the guilty parties who are still alive (it's funny, the
more I research this disgusting, stinking history, the more people I
find who are dead).
Have similar feelings? Wonder what you can do? Here are some ideas:
1. Attend the Park Board meetings, usually the first and third
Wednesday evenings of the month. Tell others what you see and hear there.
2. Demand satisfaction: contact any and all commissioners to ask
questions, express your opinion and demand action; contact Park Board
staff to ask for public data, such as budget information. File an FOIA
action if necessary. Don't take no for an answer.
3. Support campaign efforts to vote the bad apples out of office.
4. Demand that a good superintendent be hired, and the new
superintendent clean house -- they get to appoint something like 15
positions.
5. Visit http://MplsParkWatch.org/, get informed and express your opinions.
6. Have some good evidence of illegal activity? Call the State
Attorney General's office and ask them to investigate.
7. Demand that Brian Rice's law firm be fired as both counsel and
lobbyist. He is the single largest contributor to commissioner election
campaigns. The conflict of interest is staggering.
8. Keep the pressure on. Take names, and mete out consequences.
Alternatively, do nothing, and continue to have your pocket book
pilfered via property taxes and park fees to enrich and empower the
corrupt individuals and their backroom pals.
"Mad as hell, and not going to take it anymore..."
Chris Johnson - Fulton
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