The DuPage Children's Museum is in financial straits to the tune of more than $9 million. now it looks like an intergovernmental agreement would save it and leave the City of Naperville as the owner.
Are you in favor of this agreement? Can the city afford it's share? Is it a dangerous precedent or is it worth it?
UPDATE: The city would buy the property.
UPDATE II Council OKs purchase.
Buying the Children's Museum
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I just wanted to let you know that I have been reading for a few months on and off and I would like to sign up for the daily feed. I am not to computer smart so I’ll give it a try but I will need some assistance. This is a terrific find and I would hate to lose contact, and maybe never find it again. Anyway, thanks again and I look forward to posting again sometime!
I think my bassist, Robbie Krieger from The Doors, could run the city better than Doug Krieger, who needs to be shown "the door".
So the city lays off 6 cops because as Doug Krieger puts it, unions have to understand this is no time for salary increases in rough economic times. But the City of Naperville is the biggest donor to this playland for kids and is now the owner of the facility. Doug boy and city council (Wherli excluded) members, you just demonstrated for all what a ship of fools you are. I have no respect for the management abilities of our city officials and this museum purchase will be the memorial to mismanagement of the public interests.
claimsmark
Tthat is exactly right - the management doesn't like to spend the money they have on people or on services for the residents. It's been the case for years, but it was only non-union, non-management personnel who paid the price, until now. Those people haven't had a raise in two years, and management has no intention on giving them one for at least another 3. Their pay has been cut with benefit reductions, and further pay cuts are one of this City Councils favorite solutions to their own spending obsession. BUT now they have to deal with the Unions, and the bait and switch isn't working the way they'd like. There is no excuse for the way this management or this council treat the people who go out to work for them everyday, they are greedy and they have no problem whatsoever with lying to anyone who will listen so long as they maintain their perks and egos. It's years beyond time for a change, and if no one in Council or Management sits up and pays attention, the residents are going to be the one's voting them out of office when they realize the community they live in isn't a safe place, or a place with a safe water supply, or a place with a reliable electric system. See how many people are willing to elect or pay this group to manage a City that is mediocre at best - not enough police, better not need an ambulance, power outages managed by an unnecessary smart grid, water service that isn't reliable. Sounds nice doesn't it? I'm sure everyone will be just fine though, after all, they will have the Childrens Museum and the Carillon and the Test Track. That's some legacy these folks are leaving us. Naperville won't even make the top 500 places to live if things don't change and fast.
Its not about the city not having the money to pay the raises that were awarded. Make no mistake about it, this DCM deal proves they have the money. The issue is how the City leaders decide to spend the money. Krieger is not truthful when he claims the City has no money. There is plenty of money they just don't want others to tell them where to spend it.
Glock - you are DEAD on - Krieger hasn't told the truth to anyone, about anything, in so long it isn't funny. All the spending on the museum and other behind closed door sessions, and both he and this City Council should be able to ask the Police how much they want then say here you go and thank you very much. Same goes for any other hard working City employee. If they need to save money for pet projects, they should start that with upper management itself, give up all their "perks" that they clearly haven't earned a nickle of.
Anyone besides me laughing that the city manager is quoted as saying today the city cannot afford the 3% pay raise and a few other benefits to policemen today? Listen Krieger I believe it is spelled, you have zero credibility given the taxpayer money you spent on that so called museum. You pay the cops what they were awarded and don't BS your way in the press. Each one of us in this city gets far more from any one policeman on the force than the entire collective community benefit of the $3.5mil you idiots spent on that "museum".
Anon, great comments. Was that Harpo Marx on the cover of the newsletter? They're all full of it. ZERO checks and balances. The Council and the staff are both useless. They could care less what any of us think. Didn't we pay $3XXk for Mayor Daley's buddies to do smart grid tonic peddling for the Council? Whoops, the Sun missed another one. Now I see that we need little kids who pay no taxes to design a logo for them. For $3XXk, I want a logo. Come on bloggers, let's demand a logo. I'll kick it off. Let's see...
The Mayor and City Council with ball gags on, a money bag in one hand, and a live electric wire in the other.
A giant brain with an electric cord attached to it.
A blank 4 X 4 grid.
On the cover of the "Bridges" news letter is a City Budget Update. Fine and good, but Mr. Krieger is talking out of both sides of his mouth again. He spends half this letter telling us all how much things are improving, then mentions in passing that things are still hard because of the decline in property values ..... thus the 5 mil budget deficit I guess? I don't think talking about better starts until the City stops spending more money than it brings in.
What is actually FUNNIER in this article is "the City Council takes a conservative approach to fiscal management through a highly transparent, deliverate and structured public process". Who is he trying to kid????? Two years of behind closed door meetings on this Childrens museum rip off, and less than a week for anyone to take exception before the council votes it though without a second thought. Does anyone think the Smart Grid was a "transparent" process? Hardly, and if you disagree with spending 11 million on it, you need to be educated. PLEASE.
I could go on and on, but Mr. Krieger, please don't insult our intelligence by saying anything at the City is transparent. If an honest word came out of the City Managers office the world would shake on it's axis!
Anon, you read my mind. I guess that we have to read both papers to get half the story. That story is hilarious. Fieseler knows that his pals will vote down the pay and benefits that he doesn't want to lose-so he plays the savior. Miller, despite the hypocracy, calls him on it. Double the fun! Even better, Fursta-NO says he took the city's benefits because he heard that they were bad and wanted to check them out. What a guy. He took the City's high end plan to save the employees. Better yet, I heard from one of his fellow Councilmen, that he took the benefits because Lucent (his former employer) dropped his free retiree benefits. Does he seriously believe that we are all that stupid. I guess he does, and he gets re-elected, and no newspaper prints anything about it and the City buy's the YMCA-not the comedy shrine. Sun, please keep this blog, unless you want to start a new one based on the story the DH printed.
Sun, one thing, throw me a bone. Who owns that cement structure next to the VanBuren parking lot? The half finished one. The one with the fence around it. Could you call the City and ask if they do? My point is that I think that they actually own that too. As in addition to the other stuff they bought. Hey is that City stuff off of the tax rolls?
Check out the Daily Herald today and get your daily dose of Naperville hypocrites. "Naperville councilmen wince at giving up perks" Posturing and self importance at it's finest.
Thanks Mr. Higgins. That's what I thought on the Riverwalk.
I see that there is Existing Agreement money (WAIT..I thought each group had to reapply each year) in SECA for Carillon Tower Debt Service. Does that mean the city owns the carillon tower or has it just agreed to pay off the debt?
Sorry city council, calling it Existing Agreements makes it obvious that you are not taking the spirit of the SECA tax seriously.
1 City of Naperville/Park District. Subsidy for Millennium Carillon Operation and Maintenance $ 113,557
2 City of Naperville. Millennium Carillon Tower Debt Service
$ 237,788
3 City of Naperville/Park District. Riverwalk Maintenance $ 107,074
4 Naperville Municipal Band Contracted Band Concerts, Parades
$ 123,756
-1
Talked to someone at the city today and asked them about the land ownership question.
This should drive you crazy; some properties are owned by the Park District, and some are owned by the city. If the city owns it then there is a lease agreement between it and the Park District.
You are absolutely right La C .... what we need is a running blog dedicated to watching the City Council and City Management. It has happened way too many times - this group does something they have no right to do, or makes yet another decision that costs us money, and people are outraged, but it fades - and everyone moves on until they do something else.
Newspapers aren't paying attention, and I would guess 90% of Naperville residents have no idea where their money actually goes after it leaves their wallets.
A place in this paper, or at the very least, on this blog, where people could ask questions, or get information out there that matters, would be a place to start.
Here's the link to the Illinois Municipal Code relating to Park Districts. Haven't looked at it.
http://www.ilga.gov/legislation/ilcs/ilcs3.asp?ActID=892&ChapterID=15
Interesting, this topic has 92 comments as of today. Yet, it drops off of the top four that show under Naperville Potluck. Sun, if you have a blog, you should use it to understand what's hot and what's not, and follow up on it. It has become easy in this town to do whatever you want and you don't even have to cover it up. Nobody asks and nobody talks. I don't blame the bloggers. It's crazy to think that anyone could confront the City Council on any issue. Those pompus people have established a Roman Republic. They do not care one bit about what anyone wants but them and the inside group. They don't even care to explain themselves, What a great position to be in.
One other question for the bloggers and Sun, who owns that unfinished piece of garbage on VanBuren street? I thought the City owned that too? If I'm correct, they bought a music tower that about 100 people out of 150,000 care about, a museum for out of town kids that adds NOTHING to our economy. I don't seem them eating lunch at Bar Louie. Now, I'm wondering, do they own that awful looking unfinished building? Seriously, you have to wonder if they have some kind of exposure if they don't buy the comedy shrine. Wait, they don't like the guy who owns it, so forget that.
-1 wrote:
Actually, the city can divert SECA money to the general fund and did so in the current fiscal year. So, in that sense, I guess you are right in suggesting that SECA money is being used to pay back the leftover capital improvements bond money.
-1: Good questions. The kinds of things that should be the subject of a newsworthy newspaper. But then this is Naperville and we are underserved with a news organization that does not take news seriously. The front page today is celebrating cultural diversity in Naperville with Asian dancers from our large and diverse Asian community. It was important to note that both dancers are from Naperville. Sure. Hilarious. One would think with an intelligent community, served by ten or more colleges and universites within ten or fifteen miles of Naperville we would demand more from our journalists than this tripe. So it is not pumpkin patches on the front page after all, it is celebrating diversity. Man, if I were Josh Larsen and a graduate of a college journalism program I would be a little teed off that this cultural diversity was my assignment from the editor. But I guess Christopher Hitchens started off somewhere too so hang in there Josh.
They key word there -1 is that it SHOULD be funded by Utility Funds, maybe it is, but we can't know - and as your water and electric rates continue to increase, which they will - how is that so different from another tax???? I get the accounting lingo, but one way or another, the City Council decides to do whatever it wants and takes more of our money to do it, They don't ask the people they serve, they just decide, and if anyone disagrees they label them as misinformed.
-1
My understanding is that the City of Naperville technically "owns" properties such as the Riverwalk and the recreational areas used by the Park District. The Park District administers the use and maintenance of these properties in conjunction with other entities where applicable. So, the Carillon Foundation works with the Park District for the Carillon, and the Riverwalk Committee and Riverwalk Foundation work with the Park District regarding Riverwalk issues.
But, at it's core, I believe that the City of Naperville owns those properties.
I am looking for some factual answers here.
Who owns the Carillon?
..and some of the amenities along riverwalk?
It seems as if the boondoggle that is the Carillon is majorly supported by the city via SECA.
The Riverwalk Commission gets funding from the city via the SECA tax for upkeep and certain amenities.
The DCM situation seems different. The DCM was overly supported before, but the support seemed to follow the spirit of SECA tax. The city now seems to have purchased a property with severe leasing restrictions and wants to use SECA monies to pay itself back for "leftover" bond funds from capital improvements for this property.
Someone please correct my misunderstandings.
Since Naperville is not a charitable organization, it does not appear to qualify for SECA funds or city services paid for by SECA funds. Yes -- I know it sounds funny to say the city does not qualify for city services.
If anyone can help me out, I'd really appreciate it. I'm not looking for additional complaints against the city council members. I'm not looking for an argument. I'm looking for some facts and rational thoughts.
------------
anon October 22, 2010 4:02 PM ... Smart grid funding should be via the lockbox utility funds (not sure of the exact name). The costs should be borne by users of electricity. There should be no "tax increase" via property taxes for this. And those who, in the future, opt for flat rate..make sure the city collects zero real time data on you. It needs real time aggregate data for maximizing subnode delivery, but cannot have a need for continuous real time usage information.
-1
WATCH your City Council next week - tax levy meeting - remember your smart grid and your childrens museum when they start saying they don't have any money! Its been said they also want to meet so that they can break some labor relations laws - hope that isn't true, the lawsuits and fines associated with that if it happens are going to be coming out of our pockets as residents too. Elections this spring, and those of us who are watching, are also voting right?
This is the same kind of scenario that resulted in the City now owner an expensive bell tower. Or the deal wherein City land was transfered to the SD 203 eliminating the garden plots with the SD 203 taxpayers benefiting while the SD 204 taxpayers, also residents of Naperville got nothing. In the case of the DCM, I would like to know who from the DCM met with what officials at the City of Naperville and when, how often and what was discussed to create this transfer of City funds on behalf of DCM. I suspect the whole matter was initiated by DCM people. I would like to read under a FOIA filing documents and emails that support the meetings and agreements. In other words, I would like to know how this deal came about, how it was accomplished and what transpired to get this purported "museum" to now be City of Naperville property. It seems to me the people charged with being stewards of the citizens of Naperville engaged in conduct that ultimately is not in the best interests of the citizens. Rather they bailed out a failing "museum" that was the institution created by a number of people to serve their own interests under the guise of benefiting children. The other question I have is what is next? What is in the works for the next aquisition of private property by the City?
La Cuc,
The Sun will do nothing. They have no reporters that are up to this and they have already supported this whole thing. Their readership is in the tank and it is because of there poor reporting and not the economy as they would want you to think.
This is how things work in the City these days - and it's downright insulting to anyone who lives here or works there (except of course the chosen few who benefit - they think it's brilliant). The Sun won't look hard enough to get anywhere, either because they don't want to (Mr. Mego) or they simply don't have the resources. Someone needs to lay out the facts for the Tribune, or even the Herald, but the Trib is probably a better way to go.
Nothing is going to change until some people are willing to stand up and say NO MORE. A news story in a big name paper would help, so would an intense letter writing campaign (overwhelm the Council and City Managers offices), and the rank and file who work everyday and lose out to these behind the scene deals - it's past time to get over your fear and stand up for yourselves. If all we do is blog, time will pass and this will be just another footnote on the long list of what the City Officials did to build their egos at our expense.
Sun guys-you've been called out. Come on. Interview some people. Write a story. There's a great story here. Definetly conflict of interest, certainly bell tower part II, use of the broke State of IL/City money, yet, you sit by and... support this?
If it's even, "we're afraid of the City and don't want to rock the boat," tell us.
Lets be nice to What the ? She is misguided which is probably why she had to leave Texas. Joe Naper: Troll the DCM website. Notice their financial report. Note their donor list. Its a pot pouri of movers and shakers in Naperville. Besides Darlene being on the board, the City of Naperville being in the highest donor category (now I know where my brush pick up money is) the list is peppered with current and past city council members. These people at DCM who do the fundraising beat these past and current council members like a drum. This is the same deal as the bell tower. A bunch of movers and shakers in Naperville decided this would be a nice thing for Naperville to have. When the finances could no longer support it, they jumped on the City like my dog jumps on my leg when I tell him its time to go for a walk. I do not believe for one minute a third of a million paying customers walk through the doors of that place yearly. Not with those hours and not with that parking lot. They show that they operate at a slight loss but I am skeptical of the slight loss given a $9mil deficit even with the bank write off and the City bail out. But lets face it, those financials are for the approval of the Board. The taxpayers have been sold a bill of goods on this deal. I would like to know names and the chronological order of events over two years of closed door deals that culminated in this thing being spung on the Council for a vote, with little debate all in the same night. There is a story here but it will take some journalism that we do not see around here. City officials need to be interviewed, records need to be examined and it will take some work. And speaking of movers and shakers, hats off to Grant Wherli from a family of movers and shakers who stood his ground. Bet he is not so popular with the "in crowd" anymore. But he gets my vote next time.
La Cuc,
Not only is Darlene Senger on the board of the Museum, she is a financial planner! She has been on the board, with direct oversight of the finances, with a financial background for years and look where it got them. Talk about inept! No wonder she fits right in down in Springfield. Her $1.9 million in pork from the state went straight to Chase bank to cover the complete blunder that is the DCM. The more I look into this deal, without any media coverage from the Sun I might add, the more this whole thing stinks of a cover-up by council. Someone needs to do an investigation into this whole deal on behalf of us taxpayers. Keep Mego out of it. He wants the whole world paid for with tax dollars. What ever happened to investigative reporting!
Cuc:
Yes.
press ctrl and then press f while still holding down the ctrl button. You'll get a Find box. Type Senger in the box. You can find each instance of her name on this page by pressing the next button. There may be some info of relevance.
-1
Someone recently told me that Darlene Senger is or was on the Children's Museum Board. Is this true?
Well put Joe Naper!!! Dick Furstenau is a self serving rat that cost the City of Naperville Millions of $$$ with his ignorant lawsuit. Hopefully the voters will never forget what this little varment did and will note vote him back into office!!!
ANNON,
No, I did not give the "wrong" answer, as the question had more than one right answer. I agree with you about the DCM, though. It's a fun place for the kids, but has little or no educational or cultural merit, and should be made to sink or swim on it's own. It's interesting to me that the council member who voted against this move is probably the only one who has kids young enough to enjoy it. I wonder if Bill Mego has ever set foot inside it?
-JQP
John Q. Public: Wrong answer. Move to the back of the class. Corporate America can work out their own problems and I do not have to fund it. The correct answer is you are an employee or former employee of the City of Naperville. Each item in the piece you responded incorrectly to occurred in the last 12 months in city government with the culmination being the expenditure of over $3 million in taxpayer money and continuing financial exposure for what amounts to a community play pen for children. Meanwhile city officials cry poor and they have put the hammer to expenses. The so called my some "museum" is an expenditure to this day that we want to know exactly who's pet project it was and how did it become a pet project?
anonononon asked:
I'd feel as if I were working in corporate America in 2010.
Question to Bloggers?
How would you feel about working for someone who told obvious bold faced lies in order to intimidate employees into accepting layoffs, pay cuts, and poor benefits while continuing to reward upper management, and spend millions of dollars on pet projects?
What about all the other not for profits that are struggling in this economy with donations that are drying up? Is the City of Naperville going to provide them with money as well? What kind of example is this place setting for children, honey it's ok if you go bankrupt, the government will take care of you...Yet another example of infamous "Naperville Mentality"
Bill Mego - I agree with that open your mind comment - we're not all idiots just because we see the spending differently than you do. The Childrenss Museum may well be a wonderful place - I don't doubt that it is a wonderful way to spend time with small children, and I would not be anxious to see it fail - HOWEVER - it is NOT a City Governments job to bail it out - and that is especially true when said City is cutting services, laying off employee's, and talking about raising taxes.
Just because this money is in a different fund, doesn't mean they have to spend it on something they we are not responsible for. Are you trying to say there isn't another project within the City that this money could have been used for? I'd love to hear someone tell us what this money was designated for in the budget before they decided to divert it. NOT a word on that. PLUS, not spending money just because it is there is an option - something no government office has ever considered mind you, but it is an option.
Those of you who are upset about your brush pick up being cut back? Wait until they get their hands on your leaf pick ups next year.
Uh, Bill --- do you really fail to understand that taxes, regardless of what kind, comes from us?
Have you ben around big spending govt so long that you fail to recognize it?
Do You get some kick or personal satisfaction out of insulting you readers and fellows citizens?
R U really so arrogant as to think only your opinion (and believe me, it is just another opinion) matters, and the ready of us are intellectually inferior?
What IS your problem, shown via your prejudiced comments and lack of data (versus talking points from the mainstream media) re: TEA party activities?
Bill, OPEN your mind dude
Submissions that were rejected for lack of an e-mail address were not saved. I looked in the spam file and everywhere else.
I see you have sent a few more posts and they have been posted. If they are not the ones that were rejected please send them again.
Sorry for the inconvenience. Please keep posting.
The Moderator
Now Thom, you just provoked a thought. Not only did DCM come to the city begging for financial assistance, they may qualify for funds from other government sources if they have they weight of the City of Naperville in a position of some kind of ownership. Perhaps community development funding or some other Federal grant program. This whole thing stinks to high heaven.
Bill Mego makes the claim that the bonds will be repaid with SECA funds.
You can’t misuse tax money if it’s not tax money. dude.
duuude..
dude??
..really?
.
.(deep breath...calm down)
How can anyone respond to that?
.
.(deep breath)
SECA tax money which may go to pay back the bonds (which in your tautology is actually not tax money so therefore okay to spend) grows on trees I guess.
.
.(deep breath)
.
Question: Does the City of Naperville need to apply for SECA funds? It certainly seems as if it must according to the rules.
Mr. Mego, how is using SECA money for the city to purchase an asset any different than "using SECA funds for general city expenses". Just because that property may house a group which is felt to be SECA-worthy doesn't mean that the property in and of itself is SECA-worthy. Are SECA funds supposed to be used for an investment property which will not yield a reasonable rate of return unless it's tenant fails?
SECA funds that will now be half of what they were per year. and the other half will disappear into oblivion? Nope..it will still get spent.
If someone could list $2 million of capital improvements which were deferred so that the DCM property could be purchased, I'd love to see it. Yes, there must be an implicit list somewhere. maybe the Sun can report on that.
If someone can post what rate the city is paying for the $2M in bonds and what time frame they were issued for, I'd like to see it. That may help some of us understand the proposed financing better.
-1
Just watch - by January, the City will be saying how they just don't have enough money to continue to provide us with the services we need. There will be another lay off (not of the people who caused this mess mind you - but those who actually do the work the residents need), then more services will be cut (the kind people notice, like the brush pick ups ... got to make it LOOK like they are trying to save money right? THEN they will come out and say there just isn't any way to run this City without a tax rate increase - another gas tax, another garbage fee .... oh, and your water rates will go up, and so will your electric rates.
Residents - watch your wallets, and don't forget how they always manage to find the money when they want to build a smart grid, or buy a museum!
To the moderator:
I submitted them , I think,Friday or Saturday... and Sunday. I must have gotten the rejection page which looks like the acceptance page and did not pay attention. If they can be found, I'd appreciate it.
All your submitted comments have been tagged as published.
The tech people just told me they did put an e-mail requirement on submissions because of a deluge of spam comments that are clogging up the "in" box.
I've been told the e-mail requirement has been dropped for now. But if it may be reinstated if Potluck continues to be inundated with spam.
So please resubmit your comments as this topic still is going strong.
Thank you,
The Moderator
Moderator,
-1 here.
I now have 2 posts which have not shown up.
I don't think I said anything wrong.
I didn't use abbreviations for swear words.
Although I have been tempted, I have not called anyone any names.
Please post why you are not posting these. Maybe some funny spam filter is eating them up.
(aha...maybe The rejection page looks the same as the submitted page and you need an email address... When did that start?)
thanks,
-1
OK, one more question that should be explored;
Was the public afforded sufficient time to examine and then weigh in on the purchase, with City Council?
I think the calls here for the Sun to do an in depth evaluation of the museum purchase have some merit. Specifically, I would like to know how much of an “outlier” this deal is, if in fact, it is one. I would like to know under what ownership construct other museums operate under. My understanding is that the DCM could not qualify for certain grants because a public entity didn’t own the land. I’d like to know what kind of grants these are, and who is offering them. I’d also like to know who now “owns” the museum. Naperville will own the land, but do they own the museum? I don’t think so.
From a financial perspective, it would be good to know what lifting the museum from its mortgage obligations, but ending the SECCA funds, will do to their projections. What about in the past? The museum has been in the black some years, would the same deal they are getting now have gotten them into the black for previous years?
An explanation (graph?) of the museums repayment schedule would be helpful.
I’m sure there are other questions as well. The Sun would be doing the community a real public service, if they help the community better understand the larger context here.
We can all vote next month to get rid of the fiscally irresponsible enablers who spent OUR MONEY on this BOONDOGGLE.
Michael Connelly 48th District
Darlene Senger 96th District
Patti Bellock 47th District
Randy Hultgren 14th District
Any DuPage County Board member up for re-election who voted for it.
Don't let the fact that they are ALL REPUBLICAN'S stop you!
Spending money on a museum, the OUTRAGE of it!
Naperville City Council: You'll get yours next Spring!
Is everyone ready for the next deal? Get ready! Omnia is coming!!!
Now I call BS Thom. We all know the DCM has been a white elephant from the day it opened in Wheaton. It is nothing more than an indoor playpen subsidized by taxpayers. The DCM board and staff have been begging ever since they opened the doors on Washington Street. Explain in detail Thom and demonstrate with examples when this current plan was discussed in public. You should know, it has been the topic of discussion for years. I'd like to know on whose agenda at what city workshop did this plan come up? Name the DCM board members or staff who were present. You cannot of course answer the questions and the people who should be answering questions are not because no one is really asking except a few people bloggng. The city (council and staff) can simply do whatever they want. Furstenau knows he is toast, he is not going to run again and its business as usual for him; no accountability. Thom is not an arrogant SOB. He is simply a liberal democrat who knows what is best for the rest of us. As someone above mentioned and I agree based on Thoms history, he wants the big government monolith to make everything right. He lives in the land of the Wizard of Oz.
Thom,
Kids? You call us kids? You are one arrogant SOB aren't you.
Kids,
Lighten up!
All I did is mention the desire to help the museum was hardly a secret and that it's been a topic of discussion for the last few years with civic leaders.
The Childrens Museum has been in financial trouble since its creation. The "deal" that is now money out of our pockets was hammered out behind closed doors, made public a week or so ahead of the Council meeting with a narrow window for public review and comment. Had it been more publicized in for example the local paper for all to read, I suspect there would have been more outrage. The fact that it was not was no accident. The Council members probably knew it would be the source of outrage. So it was all done quickly and under the radar as someone previously wrote. The many, many people to whom it is no surprise are the many, many people who advocated it. I think this is why some of the posters here believe it was under the table and not a good example of representative government. Naturally those in government have to present it as a good deal for the city but really, if you think about it the financial capital could have been spent elsewhere. The focus should have been solving the looming issue of our underfunded pension obligations. And to Mr. Furstenau, the city does not need that property. They could address the parking issue with the land north of the tracks. Exactly how much vacant land does the city need to buy up and own? Remember, you are not a real estate speculator with the taxpayers dollars.
Thom Higgins,
Please don't EVER run for any public office. We can not afford you and your spending! School District 203 and the DuPage Kid's Museum are two examples of where you just keep pouring taxpayer money down a hole. You are a fine example of how this state and nation got into the mess we now find ourselves in, spend, spend, spend and worry about the debt later. When the next generation of taxpayers asks us "How did you guys get us into all this debt?" I will point to you and people like you.
Thom: I'm not buying the premise of your dimissive post. This whole incident is something that needs the spotlilght of a healthy, inquisitve and free press shining on it. It is like the bell tower incident. Deals were made to foist that thing on the taxpayers for the "greater good of the city". That council in that time with some of the same members on it now decided it would be so and now DCM is our burden too. A real community jewel. The public dole works for you Thom. Your history on issues here seems to indicate you like government to be a big problem solver and benefactor in your life and the lives of the rest of us. It has been no secret that the DCM has been a loser the day it moved to Naperville. Thom, it was a loser for a long time while it was in Wheaton. But there are people like the Thoms of the community that decided the community should be indebted to the benefit of the DCM and the Naperville City Council sold out the financial interests of its community in this case. Thom: you can have a card table set up at the Jewel with your kids when that place needs $450,000 dumped into it in three years because the roof is worn out. Or the A/C system needs to be replaced. Or what ever is needed. The constitionally charged watchdogs of government, the Naperville Sun dropped the ball too. They simply do not want to spend the money and resources necessary to explore what really happend here. Councilmen blustered after the bell tower incident that citizen groups with their little pet projects will not be allowed to burden them with something like this again. Here we are right back at it again, And we are at it again with some of the same council members who claimed they did not like the bell tower foisted on them either. Meanwhile the constitutionally charged watchdog of government, The Naperville Sun claims that it is up to the community to tip them off as to what is happening is hilarious. Instead of having a good investigative piece on the front page, Sunday edition of this paper, several children in costume with their doting moms at a Halloween pumpkin patch will probably be upfront in the next week or two. And the shame is there have been some very good investigative articles in the past. The past is the past I guess. I will have to go to papers like The Reader if I want to read good examples of investigative journalism and look for WT? in the adult services section.
All,
The fact that the DCM was being pressured by Chase to pay down their debt and the desire to help the museum in someway has hardly been a secret these past two years. All lot of people in town knew about both, and I'll assume the Sun is no exception.
True, there hasn't been any kind of public review process, as there wasn't a deal nailed down till now, but this deal is no surprise for many, many people.
It seems to me that this Childrens Museum deal was being incubated for a very long time. It had to be based on the complexity of the agreement. It was allowed to fly under the radar by the City and placed on the agenda for a vote when it was then hatched. Do not blame the community for not tipping you off about this matter. Actually, if you think you can just sit and wait for someone from the communiity to tip you off, then you are passive journalists as many of us like to complain about. If you do not have someone covering the City and the way it does business, asking questions of people instead focusing on the misconduct of private business, then you are not watchdogs of the public interest. My suggestion right now for your Editor: assign several reporters to review and get in the grilles of a number of people at the City asking pointed questions about the origin of this deal, who it involved, what kind of interests groups from where brought it to the City. Conceive and put an investigative strategy into action. Where did this aquisition idea originate? I suspect the DCM board as part of an internally created super bail out for their failing museum like the bell tower group. Each and every council member and a number of city staff should be asked independently about this entire matter. Start with Grant Wheril. He may have something to say. Get out of your vacuum and go to him. Find out which way he is going to roll. I would like to hear from Chase the part about them writing off $3mil+ in debt in this deal. Who are the private donors puting up only $700,000 or so? Follow the money. Who were the attoneys involved in creating the agreement? When did each City Council member become aware that this idea was in the works? Then your reporters can discuss their findings and determine if this was really a good deal for we taxpayers. But I suspect that really nothing will be done to find out what really happened with this "good deal" for the city. Gee, another good investigative opportunity wasted like so many others for mere lack of initiative.
Wherli is the only one up there with the guts to try and blow the lid off this deal. Thanks for looking out for us taxpayers Mr. Wherli. The rest of council got hoodwinked and are too stupid to know it! Ferstenau sends out a little email blast before the meetings. Did anyone see it? How is this guy keeping an open mind on things if he commits to a position before the meeting? Jeez, is he just aweful. I don't care Dicky how much you think we are below the market on buying this property. We shouldn't be buying it period.
You can try all you want Dick to cover up the MILLION bucks you cost us with your lawsuit by trying to show us all how good you are. You are a self-serving rat and we will not forget what you have done to us!!
Actually this is for all posters, not just the previous one.
This blog exists for the purpose of sharing thoughts, opinions and information. And it is an extension of the Naperville Sun. Reporters don't work in a vacuum. They need input from members of this community. Don't assume because your views or observations are not presented that there is something going on. Contact the reporter or the editor to voice your concerns. E-mail addresses are on every byline story. Reporter and editor contact information is on Page 4 of The Sun.
Anonymous 10/7-11:11pm: All rounds, excellent grouping. Bullseye! One of the best posts I have ever read on this blog. This City Council and municiple staff worked secretly against the taxpayers. They probably did so under pressure from interests representing the Museum and people like Dick Furstenau who then spin it as essentially a real estate investment for the future benefit of the City. Mr. Furstenau, you and the rest of the members are not good stewards of the interests of the taxpayer. Journalists charged historically by our forefathers, authors of the Constitution and given special powers including mention in the first of the Bill of Rights that protect us from government abuse failed to be the watchdog of the public interests again. But remember that the Sun is merely a corporate extension of the Sun-Times group and the focus is not on journalism. Rather the focus is on making a profit. The media is no better than the evil profiteers that they like to trumpet against on behalf of a political party.
In a time of openness and transparency our local tax and spend democratic city council members have been totally opaque with the taxpayers they represent.
I am shocked and appalled that our elected representatives have been meeting secretly for over two years to consider this plan and only publicly announced it mere days before they were planning to vote on it. This speaks volumes about the character and personal ethics of our mayor. This speaks volumes about the character and personal ethics of our city attorney. This speaks volumes about the entire city council deliberately circumventing public input with the date of announcement and the date of voting. This speaks volumes about our entire city council conspiring to flagrantly violate both the spirit and intent of the open meeting laws of the State of Illinois.
It is clear that their isn't one single member of the current city council who has a personal commitment to represent the taxpayers of the City of Naperville. Instead each and every one of these council members have sent a loud and clear message that they will do whatever they darn well please and the citizens be damned. I will not forget the message they have sent to each and every one of us come next election day and I will work my butt off doing the absolute most I can do to see someone else elected to fill each one of their seats.
An equal amount of shame should be heaped upon the Naperville Sun for an absolutely biased, incomplete, inaccurate, and misleading article being published to announce this terribly bad idea to the people of the City of Naperville. Even a freshman journalism major would have received a failing grade for failing to report so many key elements of this so-called deal. At best we are left to wonder if these omissions are because the Naperville Sun has been co-opted by the city council or someone at City Hall? Or was this just the work of one rogue reporter? If the Naperville Sun wants Naperville residents to trust this newspaper to be the truthful, reliable, go-to source about city news then it clearly needs to take it's reporting game to much, much higher level and demand much higher performance and quality from it's own reporters.
REFERENDUM TO FREEZE TAX RATES. | October 7, 2010 4:52 PM | Reply
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The only solution is for the public to issue a REFERENDUM TO FREEZE TAX RATES.
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Would this be an advisory referendum or a binding referendum? If you want a binding referendum, is there a legislative/constitutional method to hold a binding referendum on this subject?
Anonymous 10/7 1:26pm-thanks for the info. I still believe this to be a fools folly.
It's obvious by the us of our funds on a losing non-profit museum, the City Council & government is not serious about getting costs in order. They are prepared to raise our tax rates to support their grand programs and benefits (since home assessments have decreased to normal levels).
The only solution is for the public to issue a REFERENDUM TO FREEZE TAX RATES. That is the only way the city will spend within OUR means.
As for funding the CHILDREN'S MUSEUM (after a lifetime in corporate finance and consulting) none of the numbers or assumptions add up:
- 330K VISITORS PER YEAR?
That would mean about 1,000 visitors a day, 7 days a week. I have driven past the museum numerous times and never noticed the parking lot half full. Is this a cooked number?
- NEW TRAIN PARKING
Assuming the train station has approx. 75 new slots available, that would hardly pay back $3million + all the other city / civic contributions.
- WHERE WOULD MUSEUM VISITORS PARK?
If a large number of parking spaces are given away, were will the 1,000 visitors per day park?
- REVENUE IMPACT FOR NAPERVILLE?
To reach anywhere near the attendance records above, I would have to assume a large percentage of kids arrive on buses then return to their schools. Additionally, a large remaining percentage would be kids from Naperville. That would only leave a small percentage of visitors that may come to town to both visit the museum plus shop (although which would initiate the trip is questionable). Therefore, it is questionable how much impact the museum has for city revenues.
- ABILITY TO GENERATE REVENUES?
The museum has not been able to meet costs for years (even with very generous contributions from many sectors). What makes them think in 6 years a miracle will happen.
- THE MUSEUM IS SUPPOSED TO BE REGIONAL
Then why must Naperville residents fund it?
I could go on & on, but this rock won't float.
claimsmark | October 6, 2010 9:17 PM |
Um, I believe the vote was for the Childrens Museum at Navy Pier in the City. The Du Page Childrens Museum is not the same. Show me the evidence that it was this fools paradise in Naperville and not the Chicago Childrens Museum at Navy Pier that got the vote.
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http://www.parentsconnect.com/parents-picks/chicago-il-usa/best-museum
The Dupage Children's Museum was the winner of the Parent's Pick Award for Museums in teh Chicago area from Nickelodeon. Here is the link:
http://www.parentsconnect.com/parents-picks/chicago-il-usa/best-museum
ParentsConnect.com is the website Nickelodeon administers for parents.
It's still one of those awards where individuals vote and often organizations will "spread the word" to have people go online and vote. So it may be a matter of the DCM spreading the word better than the other nominees.
The Chicago Children's Museum was also a nominee, but did not win.
It is different than the ParentsChoice Awards which is a whole different entity. Parents' Choice reviews media and toys, not museums. http://www.parents-choice.org/default.cfm
Mr. Higgins,
I read what you said elsewhere. Sounds convenient.
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How much interest are we paying on the $2M to allow free rent for 5 years and less than an interest only loan for the next 15. How much are we losing in investment income to allow the $1M of the other money to be used to to generate a less than 3% long term return(parking space fees). Oops, even less than that since we need to pay for plowing and upkeep and administration.
I can summarize my complaint about any person who said this is a good investment because we are getting a piece of property for significantly less than its present value:
The city can only come out ahead in the "investment" if the DCM fails.
A nice paradox. Maybe the city council can arrange this with their board seats and budget approval.
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The more places that were mentioned by council members that people also go to downtown when they come to DCM, the more anyone can realize that the DCM is not as important to the city financially as it was being made out to be.
All council members quoting the 2010 Nickelodeon Parents' Picks awards with a straight face: C'mon.
Council members talking about savings to the city by a cutoff of SECA funds to the DCM: GRRR ..... If they want to decrease the SECA fund tax rate by a certain amount to offset that decrease in outlay, great. Otherwise that money is still going somewhere. Maybe someone else can close the logical loop.
-1
Um, I believe the vote was for the Childrens Museum at Navy Pier in the City. The Du Page Childrens Museum is not the same. Show me the evidence that it was this fools paradise in Naperville and not the Chicago Childrens Museum at Navy Pier that got the vote.
Thom ..... please tell me you are trying to be funny? E-mail the City Manager or the Council! lol....... You think they would tell you the truth? Haven't been paying attention to City Management or the Council lately have you. I've been paying very close attention the past few years, and I am at a loss to remember the last time they told the truth about anything, much less about something that they wanted to put a good face on.
The museum really is a wonderful thing, and a great place - the problem isn't with the Museum, it's with the City spending money on a Museum lot while raising the cost of living for the residents, cutting city services at every corner, and laying off the people who do the work for you. A museum is nice, but an ambulance when you are having a heart attack is essential. Enjoy the feel good project, and good luck with the rest.
-1,
It is my understanding from talking to a veteran city hall watcher that the $2 million represents the cumulative savings from capital improvement projects that came in under budget. I'm sure you can e-mail the city manager or a council member for conformation.
I think Crain's had the museum listed as one of Chicago's top ten cultural attractions based on attendance.
Bill,
How is that elitist-thing working out foryou?
I'm an idiot...and , oh yeah, a misanthrope.
I ask someone out there with good Freedom of Information Act skills to figure out why there was an extra $2M of capital improvement bonds sitting around.
Since this has been in the works behind closed doors for almost 2 years, it would be almost inconceivable that that $2M wasn't (nudge-wink) obtained for this purpose without sunshine on the process. I am sure ARRA will be invoked, but really. 2 years in the making and they just happen to have these funds sitting around.
I guess we are all up to date on capital improvements anyway.
On being voted Chicagoland's Best Museum... found it. The prestigious "2010 Nickelodeon Parents’ Picks awards" have been announced.
Four other great museums – Chicago Children’s Museum, Shedd Aquarium, Field Museum of Natural History and the Museum of Science and Industry – were in the running. We were honored to even be considered in such a prestigious field, especially since we were the ONLY suburban museum on the list.
We are grateful to our fans, visitors and members for voting for DuPage Children's Museum as the BEST Chicago Museum in the 2010 Nickelodeon Parents’ Picks awards. We know that we’ve got the BEST visitors, members and fans in the Chicago area!
WOW!
Next you're going to tell me that Sarah Palin is voted next president based on a Fox News poll.
I'll have more anti-social postings later today or tomorrow. I wonder why the DCM lawyers snapped to attention when there was consideration of the lease terms.
-1
Prepare to be shocked folks - the council approved this 8-1 tonight! NOT like this was a done deal before it even hit the newspapers right? Good news though, if the City has the money to do this, they must have plenty of money to reinstate all our services, pay our police officers and fire fighters, man those ambulances, pick up our brush, and pay the employee's that they SAY they value. I'm sure upper management will find the money for themselves no matter what, that is a given - but if they have $3 million for this, they must have enough to pay the little guys who actually service the residents too right?
Must also mean there won't be any need for a tax increase, or more fuel taxes, or garbage fee's. or any of those other brilliant ideas they have for how to steal more of our money for their special projects.
Pathetic. Can't wait to vote in the next election!
A reply to Mr. Mego
Apparently you read what we misanthropes write, so I ask you for some clarifications.
The museum was even voted Chicagoland’s best museum. Source please.
As I understand it, $2 million of unspent capital improvement bonds, money someone else loaned to the city, are being re-purposed to buy the property, bonds the DCM will pay off through 20 years of “rent.” I really need some math help on this one. 62,000 X 15 is a lot less than 2,000,000.
As Rep. Darlene Senger, a professional financial adviser and DCM board member, apparently understood, this is too good a deal to pass up. .....no conflict of interest here, is there? Is it the same person who gave you the rent information?
When government acts foolishly and extravagantly, as is too often the case, we should condemn it. I actually agree with you (as I do on the smart grid except for the information the meters will collect on those who opt for a flat rate). I am condemning the government in this case.
I love DCM. It is a great place to take children of friends and family. But if it cannot survive on its own, then let it go. Have all the supporters who signed the letter at the DCM website pay double or triple for admission. Please.
If your support is in part based on the re-purposed bonds being paid off with rent, please reevaluate what you wrote.
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To: StunnedByBill'sClosedMind - I thought exactly the same when I read Mego earlier. Maybe he's thinking of running for Council?? He seems to believe, as they do, that anyone who doesn't agree with him simply "doesn't understand" how smart he really is. I don't how to break it to him, or to them, but there are many of us who understand exactly what they are doing, and we still disagree with it.
Let's see, if I hear about a stock that is valued at 1/2 what it is supposed to be worth. but I don't have the money to buy it - is it still ok for me to take that money from someone elses pocket, say I really do have the money if I look in that other pocket, and buy it? Sounds like a crime to me, yet that is what the City thinks they can do with our money, whether we like the idea or not. I don't care ONE BIT what "fund" the money comes out of, it's ALL our money - and for this council, this City Manager, or even Mr. Mego to tell me I don't understand what a good thing they are doing for me is both condescending and wrong.
They are crying poor on anything and everything that they don't want to pay for - and those are primarily the things that a City Government is in place to provide. Cut Police, cut Fire, cut personnel, cut services, cut maintenance and whatever else they can think of that might help them justify raising our taxes or tagging on another fee - but turn around and overspend on an ego driven acceleration of the Smart Grid (don't ask the taxpayers .... just do it), put up another statue, now buy museum property (shhhhh, don't say anything until you're ready to vote, maybe no one will notice).
The question isn't whether people really understand this - the question is how stupid do these people really believe we all are? Apparently they all think we are idiots, and that they can do as they please, and they will never have to answer for it.
The Smart Grid, the Test Drive Facility wasted property, and now the Museum property. It's all fine - unless of course we don't have the money!!!! These guys should follow the comedy shrine right out of town since it's almost funny how they think they can tell us "we don't have the money" with one side of their mouths, and then say "look at all our new toys" with the other.
Whose reality is that Mr. Mego? I'd like to visit that place, but right now, I have kids to support, a mortgage to pay, and a home I couldn't sell if I wanted to. Tell me again what a great job this group is doing - and how I am the one who just doesn't get it. Forgive me if I am quite certain that it is instead YOU who is mistaken.
Maybe Mr. Mego can explain how the city will "Own" the property when it has so many strings attached to it.
The 62K per year in rent starting 5 years from now would barely cover a 2% per year interest only loan on $3M.
No more rent once the DCM pays $3M total. What? That is crazy? I'll assume for a microsecond that that makes any financial sense. Does the "$3M" in the agreement get indexed for inflation also? If not, why not.
What were the calculations going into the 62000 in rent?
Too many loose numbers.
If any single councilperson can tell me where those numbers came from (besides someone's posterior), I'd love to hear it.
There are many private entities which bring joy and pride to the citizens of Naperville. Why this, especially now.
I know ownership. This is not ownership.
-1
Anyone read Mego in today's SUN?
In his usual elitist way, he takes everyone to task on this thread for not falling in line and endorsing the City's purchase of the museum property.
Also as usual he plays loose with the facts. For some reason, he thinks that $2 million does not come from the taxpayers. Some selected quoted include the following:
>"...does NOT involve giving them "our tax money"
------Uh, Bill, where else does a City get money besides taxes, fees. and handouts from another government group which gets it from the same sources?
>"As I understand it, the $2 mil of unspent capital improvement bonds are being repurposed"
----Repuposed? Progressive poitico speak for spending it on anything rather than give it back
>"..the City will end up with property worth about $7 mil even in this distressed market"
---Hmmmm. Silly me. I always thought purchase defined market (or true value).
>"The DCM is wildy popular among parents of little kids"
----Of course it is. It is a great resource that the rest of us are being asked to pay for.
>"Blogs (that's us, guys!) seem to encourage a particulalry misanthropic segment of society..."
----Nice diversity, Bill! Those you disagree with MUST be somehow defective.
>"We establish governments to provide a quality of life we cannot afford individual;y"
----Bill, have you ever even READ the Constitution? This comment sounds like something righ off of the website for One Nation Workingy Together.
The solution is simple, vote out all incumbents.
We have been thrown under the bus.
by -1 "I'm going to watch real carefully how the votes go on this proposal and the City Council can take it to the bank that I will not vote to reelect any council member who votes for this terribly bad idea."
I could not agree with you more! Too bad this community suffers from a disgusting case of voter apathy. And how will the "rest of the story" be reported by the SUN? Or does that matter because how many even read it? It seems this council and city leaders need a watchdog group to keep tabs on their every move.
Thanks for getting the document. I'll read it later.
I agree that $62000 per year is theft. That would be akin to an almost $700,000 per year subsidy as calculated above.
Naperville Sun -- Please spell out this fraud loud and clear.
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-1,
Sorry, I disagree. The annual amount of rent is $62,056.
This amount is definitely not a monthly payment. The amount of annual rent is clearly spelled out in Exhibit B to the lease. Years 1-5 the yearly amount is $1. Years 6-20 start at $62,056 annually and the annual increase is capped by the amount of inflation. Another important and huge detail that wasn't previously disclosed is when the amount of rent paid by DuPage Children's Museum equals or exceeds $3,000,000 that the City of Naperville kicked in to make the deal work the rent then reverts back to $1 per year FOREVER. I've copied the section from Exhibit B that spells all of this out.
"TERMS AND CONDITIONS
I. RENTAL. Landlord leases to Tenant and Tenant leases from Landlord the Premises described in Item 1 of the Schedule, subject to the covenants and conditions set forth in this Lease for the lease term described in Section II below. The Tenant shall pay Landlord annual Rent of $1.00 for years 1-5 of this lease. The Tenant shall pay Landlord annual Rent of $62,056 effective September 30, 2016. Thereafter, at the Landlord"s option, the annual Rent of $62,056 may be increased each year but only to the extent that there is an increase in the Consumer Price Index -Urban (CPI-U). Effective September 30,2016, the annual Rent shall be paid in twelve equal monthly payments each of which shall be due on the last day of the month. At such time as the Rent paid over the term including any renewal terms exceeds $3 million ($3,000,000), the rent payment shall revert to $1.00 per annum."
For all practical purposes it will take almost 53 years, give or take, depending upon the amount of actual future inflation to "pay back" the original $3,000,000 "invested" by the good citizens of the City of Naperville. Once the $3,000,000 threshold is reached the Children's Museum will be paying $1 per year rent from then on. That is $1 per year rent FOREVER!
In today's market the fair market rent for this much space is at least $500,000 per year and might be actually worth closer to $900,000. Taking the low and the high over 53 years, and without adding in for inflation, gives us a range between $28,000,000 $46,500,000 for which the City of Naperville only intends to collect $3,000,000. I'm still waiting for just one of our elected members of the City of Naperville city council to explain why the good citizens of the City of Naperville should turn our backs on collecting somewhere between $25,000,000 and $43,000,000 in fair market rent.
For every property tax owner who just got done paying the second installment of their property taxes and who didn't see one dime of tax relief even though we all know our property is worth less this year than it was just a year or two ago has got to be shaking their heads wondering why some get special treatment and others just continue to pay and pay and pay.
And as others have stated we can't even get a fall brush pickup valued at $80,000 but the City of Naperville can come up with $3,000,000 for the DuPage Children's Museum because it is somebody's pet project.
I'm going to watch real carefully how the votes go on this proposal and the City Council can take it to the bank that I will not vote to reelect any council member who votes for this terribly bad idea.
The agreement is available for all to read via the eAgenda service on the Naperville web site. And it's not exactly as advertised.
http://eagenda.naperville.il.us/sirepub/pubmtgframe.aspx?meetid=122&doctype=agenda
No more SECA money for DCM? Hardly.
"IV. LIMITATIONS ON TENANT’S ACCESS AND USE OF SECA FUNDS. The Tenant
shall forego any and all future funds currently referred to as “SECA” (Special Events and Cultural Amenities) funds pursuant to the Naperville Municipal Code, to assist with the Tenant’s operating expenses or debts. It is understood and agreed that the Landlord may rely upon such SECA funds to ñnance the debt incurred to purchase the Premises. In addition, this provision shall not be construed as a limitation on the Tenant’s ability to apply for, and seek, SECA funds for special projects and other capital projects in the future."
So the SECA money is just re-routed to support the DCM by paying to service the debt. Furstenau sent out an email today saying that no new debt will be issued to purchase this property, but the ordinance they passing makes no such promise. It just directs the city to buy it, not what funds to use to buy it.
And it's clear that the city is inviting DCM to apply for 'other' SECA funds. So it's a bait and switch game.
Dick argues that it's a cheap price for ultimately obtaining the land for a parking garage. Well, when you consider the rent subsidy over 20 years, the price of the property is far more than the DCM ever paid for it.
Do not misconstrue the following as an endorsement of what the city is thinking of doing. Nor am I supporting any state dollars (do we have any?) going to deals like this. I am just trying to follow the numbers.
Property Value -- 6-9 million. The city can own the property by itself for 3 million dollars. Where does the rest of the money come from? Pre-paid rent for the next 5 years from other donors and a Chase write off (motivation(?)). Then the city gets to start charging fair-market rent in 5 years.
The city sees its ROI by investing $3M and getting a $6M - $9M property. My guess is that many of us with a spare $3M burning a hole in our pocket might do the same.
This whole process begs the question -- Why can't DCM just get the same deal to refinance for $3M? Is it in such bad shape that nobody would give them a loan for that? If so, why would the city want to be a landlord for such an entity? As I wrote above, the real agreement needs to be seen by the public in advance.
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Anon--
I read it as 62000 per month as otherwise it would not make any sense. Loss of the SECA money is nothing compared to the free rent for five years.
Who will own the property? If it is the city, what do the other (non)stakeholders get out of it? What about property taxes? I'd be really interested to see the full agreement shown before discussion.
-1
I will only support leaders on the council with their funding of this incredible boondoggle joke IF I CAN GET MY BRUSH PICKED UP THIS FALL! Pony up council, brush pick up is only about $80,000. By the way, I wonder what the good steward of the taxpayer, Dick "Dollar Dick" Furstenau thinks about this plan?
According to the article in today's Naperville Sun after the City of Naperville purchases the museum property the Children's Museum will enter into a 20 year lease arrangement with free rent for the first 5 years and from years 6 through 20 paying rent which will start at $62,000 and then increase annually, based upon inflation.
I'd sure like to hear from any one of our city council members on how an investment of $3,000,000 of our money into a failed organization who then isn't going to pay one dime for rent for the next five years is a good deal for us?
The size of the museum building is reported to be 44,000 square feet in size with about 20,000 square feet dedicated to exhibit space and the remainder dedicated to support areas. The going price of real estate in the north Washington St part of Naperville TODAY is anywhere from $12 to $20 per square foot per year which equates to anywhere from $528,000 to $880,000 per year in FAIR MARKET RENT for a space of this size. I'd sure like to hear from any one of our city council members as to why a five year GIVE AWAY of fair market rent which is valued at between $2,640,000 and $4,400,000 is fair and logical to everyone else who lives in Naperville and either pays rent or pays property taxes. Once our city council members convince us of the need to just walk away from fair market rent for the next five years I'd then like to hear a logical explanation of how a fair market rent of $62,000 for a point five years in the future was determined considering none of us know what the economy might do in the next five years. Even in today's dollars that works out to only $1.41 per square foot... which really means the DuPage Children's Museum is getting the first five years rent free and from then on is paying fair market rent for about 6 weeks out of the year and getting 46 weeks of free rent for every year there after!
The math speaks for itself and all things considered this is a textbook example of why the City of Naperville should not be purchasing real estate and why the City of Naperville should not become a landlord.
I'd sure like to know the legalities of the City of Naperville taking money out of the Burlington fund to spend on the purchase of real estate. My understanding is that Burlington Fund money is legally earmarked for maintenance and upkeep of commuter parking lots. I'm not convinced acquisition meets the definition of maintenance or upkeep. This parcel isn't part of the commuter lot although it sounds like some kind of legal game is about to be played to "redefine" what is part of the commuter lot once the city purchases this property.
It is important to note that even if the city gains 57 parking commuter parking spaces out of this deal it will realize less than $28,000 in parking fees per year from all of these spaces. And the parking fees along with the museum rent will take approximately 38 years to pay off the $3,000,000 total city investment.
Normally the City of Naperville charges $120 per quarter or $480 per year for a commuter parking pass. In all fairness and to be equitable I'd like to see a city wide lottery held for these 57 parking spaces which would then be given away for free for the first 5 years with annual parking passes costing $34 to $56 per year after that.
If the City Council is going to give away the farm for free then what the heck, let's spread some of the love around and let some others get in on this good deal of below fair market rates.
You should check your facts before you post such fiction.
Chase paid all bailout and TARP money back to the feds already.
http://en.wikipedia.org/wiki/Troubled_Asset_Relief_Program
Scroll down to find the chart of banks who took the money and who has repaid.
Another item to look at
http://bailout.propublica.org/entities/282-jpmorgan-chase
There are other banks who have also paid back funds to the government. Not all banks were in need of bailout money, but did so since any bank that did not take it would have an unfair advantage over other banks. Something not good for the industry as a whole.
Out for themselves: you are correct. There can never be another incumbent elected to the City Council. Rotate them out.
In my opinion Council only represents us (the residents) when it comes to things THEY don't want to do. When they don't want to do something they use us as the scapegoat. For example, instead of laying off cops, firemen, and other city employees they have the option of raising home rule sales tax. Now, people, before you get all excited, a slight increase in home rule sales tax would bring in $13M/year. But they won't do that b/c they say that the RESIDENTS can't handle such an increase and the city shouldn't balance the budget on the backs of the taxpayers.
What about the SMART Grid? Anyone watch the Council meetings? People speaking out about how they don't want this and saying that the money Council approved for this should be spent elsewhere. People on these blogs speaking out against it, but guess what? Council wants it so we get SMART Grid.
Another example? This museum. Lots of comment about how we don't want it, don't have the money for it, don't need it. Guess what? We are getting it because it's what THEY want. Whoever said it's a done deal is correct. The vote on Tuesday is just for show. I still think we should show up and voice our opposition. Tell them we know we don't matter and that what we want really doesn't concern them when it conflicts with what they want. Tell them we want more cops and firemen not a museum. Stop laying off city workers who are adding to the unemployment plight that Council keeps saying it is trying to help by not adding taxes.
In the end, I guess as residents, we have only one option. Vote them out.
Lets see: The Players
1. Bankrupt Chase Bank, who is on life support with billions in bailout money and continues to cook the books to appear solvent. The bailout money and 0% loans from the FED that Chase and others play the stock market with are courtesy of Naperville's homeowners. Chase, now a subsidiary of the Federal Government, is writing off $3MM of our money that they they loaned to the Museum.
2. The bankrupt and corrupt State of IL is borrowing more money from anyone who will lend it and using it to bail out the Museum. The loans are guaranteed with the assets (homes) and future income of Naperville's tax payers, the kids will be paying for this when they start working.
3. DuPage county, which is in a financial crisis, has additional tax money to bail out this money loser, the parents of the kids in Naperville will have to cut the kids back to pay for the failed museum.
4. Private donations, like the Carillon Toy that the blue bloods had to have but weren't willing to pay for, are a myth at best or in the common language are another fraud by the promoters and City Council.
5. Naperville's City Council is trying to find every way possible to disguise new tax increases, even though the tax receipts have gone up every year, has made a back room deal to take another $3MM from the families of Naperville and bail out this perpetual money loser.
6. If Darline Senger is supporting, or brokering, this bail out "for the kids", she should consider the massive damage government spending at all levels is doing to the future of kids in Naperville, and support the kids by killing this bad idea.
Unfortunately, what this again demonstrates in stark terms is that our political class is incapable of learning or changing their behavior and needs to be replaced in mass with people who can grasp the concept of National Bankruptcy and what the consequences will be. Hint, it's bad for the kids.
Now they say "hey, we are buying the property,not the museum". Do you think you are going to make me like it by saying that??!! Give the taxpayers a little credit for being smarter then that and quit the word twisting, this is a bad idea! Great museum but not the taxpayer's responsibility.
According to the thrust of the Sun article in todays paper, its a done deal and likely to be voted on in a few days. We cannot get brush pick up this fall due to budegetary constraints. It costs about $80,000 for the brush pick in the fall but we have money for this purchase?
Naperville voters need to take an ax to the city council just as voters nationally are about to lay the ax to the US Congress.
Owning and operating a children's museum (not a museum at all, but a children's recreation facility) is not the responsibility of municipal government. Neither is owning and operating a bell tower. Neither is owning and operating a so-called smart grid. Neither is... (ad infinitum, ad nauseum).
To consider *any* unusual capital expenditure when the city faces tens of millions in deficits is simply insane. But like the US Congress, the Naperville City Council doesn't care what the voters think. They do what they wanna do and don't care how much it costs.
I watched the last council meeting on the web video. It was clear to me that the council is so used to rubber stamping everything that they do not even know the correct parliamentary procedures for modifying a floor motion. When the motion to pay for the Smart Grid PR boondoggle came up, they ultimately voted only on an amendment to the motion. They never voted up or down on the motion itself! I wrote to the council about their inability to properly handle simple voting procedures. Not a single response.
And that's only the legislative process. Never mind that not a single citizen spoke in favor of this PR pork -- and 3 spoke against it. So they went ahead and approved an expense designed to squelch those dissenters and the thousands more who will dissent when they realize the city will be keeping a detailed data base on their personal energy use. And the tens of thousands more who will dissent in a few years when the city starts throttling back individual power consumption via these 'smart meters'.
If this Children's Museum purchase gets approved without a thorough public vetting process, the public needs to rise up against this opaque, usurping city council.
Love the pie chart. Good grief, how can any responsible person sign off on this idea? The museum is the recipient of welfare to the nth degree. 1) City of Napervile $3mi. 2) Chase writing off a little more than $3.5mil. 3) The state just short of $2mil (bet they will stop getting that thanks to the fine Democratic leadership over the past ten years) 4) The county $250,000 ( the smartest government entity so far, They only blew $250,000 of taxpayer money) 5) Private contributions $700,000. It seems to me without government and corporate welfare, it cannot sustain itself and at the current levels reflected in the porportions, it is still $59mil in the hole! What an incredible boondoggle. Simply put; it has to go. The city buying the building and having the responsibility to maintain it is an unbelievable thought. I say give it back to Wheaton and we will take our county seat back.
ANother example of why Naperville fell from the top 5 Cities in America to the high 40s (just below Bolingbrook).
Stupid stuff like this expense! Sure it is a great cause, but I can think of hundreds of great causes.
Let's run our city, first. This money could be used to, say, stop the dangerous flooding in teh Springhill subdivision, or perhaps buy more open land (NOT soccer fields!) & forests to keep as natural areas, etc.
~It's the same flawed logic as the carrilon.
~Like everything else they do, it's not geared at a strategy or vision, it's just that something came up for sale, and like little kids, they bought it.
~The staff's logic on this is a joke. The City Manager said it's a good deal-like the smart grid. When the smart grid doesn't yield the promised ROI, what will be said-NOTHING.
~A question for the Sun, didn't the city invest in that wacky unfinished parking structure on VanBuren? I think that they did, and lost their shirts on that one too.
~Council-you have no transparency. I've been harsh on Wehrli sometimes, but he is right on this one. Smoke filled rooms for years then two weeks to comment? Awful.
~If you (Council) had any integrity, then put it on a referendum. But you won't, probably because you have to get the deal done quickly to appease the State or the bank.
~Finally, if this thing went on the market, anyone think that, in this economy, someone would pay $3M for it? NO WAY. City, if you want to buy it, steal it. We're all getting fleeced on this one.
P.S.-and you know why there will be little to none public comment on this? Because everyone knows it's a done deal. What a poorly run government. When we had money, we could use it to plaster over the chinks, now we all see them.
The solution for the DuPage Childrens Museum is to file for bankruptcy or go somewhere else.
Those of you who enjoy this type of museum should consider donating $10,000 per year. It would help keep the doors open.
Let some group of investors buy the property and develop said property. To hell with the commuter parking space idea. Commuters are already subsidzed for the cost of parking and train fare.
Just say no to the childrens musem. Enough is enough already. Knock the building down and put up a commuter parking deck. Adequate commuter parking needs to be the priority in that area. Its the perfect location. The City of Naperville has no business underwriting this kind of financial drain. And ladies and gentlemen, it is a black hole for money. It cannot sustain itself and it is a white elephant that should not be the burden of Naperville taxpayers. IT DID NOT OUT GROW ITS WHEATON FACILITY ENTIRELY. It came here because the people involved with it in Wheaton had allies here who promised financial support at a higher level than the museum was receiving in Wheaton.. Anyone on the City Council who favors this kind of debt on us does not deserve to be re-elected. It ought to be campaign issue number one.
City spends 3 million on a failing museum, then cuts services, raises tax rates, skips out on maintenance of our systems, short changes public safety, give managers bonus's and cars, cuts actual workers pay and benefits. This appears to be the recipe for running a world class city? I must be missing something, or maybe, just maybe, this is the way to run a City into the ground while treating the chosen few to everything they need or want? Somehow that sounds a bit more like it. Residents must VOTE - workers must sign cards. Otherwise, expect YEARS more of the same and worse.
I do feel that the Dupage Children's Museum is a great place. I used to take my kids there back when it was located in Wheaton in what I believe was a park district building. (That was a while ago.) It quickly outgrew the space there though. I remember waiting in line in the hallway until people would leave so we could enter. It seemed to always be at capacity.
I also feel it would be a shame if it closed since I do believe it has a great purpose and mission. There must be somewhere that expenses could be cut back in some way.
That being said...
I do not feel that is is something the city of Naperville should purchase. It would fit better as part of a park district facility (although I wonder how many people would travel from other PDs to attend if they had to pay more.) In my opinion, this is something that should be funded through grants from private entities, and private donations. not through taxpayer money. While much of the funding currently comes from those sources, they need to continue pursuing new sources of funding also.
I have a fundamental and philosophical problem with the government subsidizing specialty items like this museum. Don't we spend enough already on our public school system? If this type of facility is needed and wanted then free market usage would guarantee its existence. Only massively subsidized projects like this ever get started and never, ever are self sustaining. Why waste the time and money of waiting three years until they fail again. This is just another elitist dream by a specialist group of do gooders who have nothing better to do then spend our money on pie in the sky projects which nobody wants. The parents that would take their kids to this museum are to busy working two jobs each to pay the ever increasing taxes these projects demand.
I have no problem with the city buying the property and turning it into a mass transit parking lot which would increase train usage and should pay for itself with parking fees. This would be a constructive usage of our tax paying dollars. I recommend you write your councilmen and ask them to vote NO on yet another unnecessary expenditure which will increase our bond debt and exacerbate our city's tenuous economic situation.
Let us think this one over. Laying employees off, taking money that was not spent on something else and buy the museum knowing it is not making it on its own. Similar to the bell tower, take it over and end up spending more money to get it up to code and it still is sucking money. Sounds GREAT!
More wasted money which is better spent on the people of Naperville. I would like to know where this money was earmarked for prior to the thought of spending it here.
I think is a good deal for the city---but only if the "museum" eventually fails, and the city gets to use the land for some other purpose.
Remember when the City of Naperville got snookered into taking over the failed carillon? That was "supposed" to be completely paid for and supported by private donations.
Round Two and we are dealing with the same issues with the children's museum. Have none of our city council members heard the old saying "Fool me once shame on you, fool me twice shame on me"?
Fact is the people of Naperville have been the major supporters and benefactors of this so-called "DuPage" museum for years and without all of our financial support over the years it would have failed long ago.
Knowing the long history of poor decisions coming out of our city council and their ability to get involved with situations like this that are clearly none of our business they would be well advised to simply walk away and let this organization finally die because it's board and management have not been capable of getting it to the point of being self-sustaining.
And especially knowing that the city council has their own budget gap to deal with this is not exactly an ideal time to be spending millions on a museum that is redundant with other similar museums in the metro area.
The city council would be well advised to simply walk away and let this organization finally die because it's board and management have simply been unable to get their income and expenses to the point of being fully self-sufficient. Without significant benefactors, bequests, or corporate sponsors this museum will continue to be a money pit.
Again knowing the city council commonly chooses to ignore how taxpayers feel on important issues... Smart Grid ring a bell with anyone?... they will probably go ahead with this deal no matter who says what. And if that is the case I guess that leaves me with two sets of questions:
If the City of Naperville is hell bent on owning a children's museum does that mean all of the museum employees will become city workers with city benefits and pay scale... AND will the museum employees cause a further drain on the city pension fund? Will they be treated as new employees or will the pension fund give them credit for however many years of service they already have with the museum?
If the City of Naperville is hell bent on owning a children's museum why is it not being renamed Naperville Children's Museum?
Yet another bail out of a failed venture, on the backs of the tax payers and the blood of the city employees. JUST SAY NO!
My biggest issue right now is that they ( the council) keep cutting these deals behind closed doors and not out in the open.
It may be a god deal, but I can't get over the secrecy!
Given the "times", you would think they would be more sensitive.
Another fleecing, by government, the DuPage Chidren's Museum has been a failure from the start. Perhaps another community would enjoy having this lemon.
By the way, according to the above pie chart, private contributors are going to contribue $700,000. This is probably a lie.
Any council member voting for this is just playing to the supporters of the museum in order to get votes. State Rep. Darlene Senger proves why Republicans are not fiscally responsible, but just schemers comparable to the Democrats.
Every part of this deal is based on hokum and bunkum.
If the city does end up the owner, lets rent a vacant space like the old K-mart next to the rib joint or an empty car dealer and move the museum there and turn this prime location into parking spaces and rent them at market so the place pays for itself. There is still a 7 year waiting list for parking at the train station.
The same goes for the old transportation building next to the 5th ave station, don't give it away to a connected developer with all of the right lawyers, sub contractors and suppliers. Level it and turn it into more parking spaces.