Knowing our place

August 6, 2013

I have often struggled with understanding what is fair for communities that because of their geographical location  have expenses that other cities do not have.

The communities that seem to be damaged every few years because of hurricanes or river flooding that get massive amounts of federal money to help rebuild raise the question of whether the rest of the nation should have to pay for something that could be avoided if the people in the zone moved to a safer place.

El Pasoan’s obviously live on the border with Mexico.  We have burdens and challenges because of the international crossing situation.  We are different from the communities that are damaged by natural disasters however.  Our costs are directly related to the rules and regulations that our feral government imposes.

For years we have suffered economically because the bridge crossing lanes are not fully staffed by agents who thankfully strive to make certain that those coming across the bridges should be allowed to cross.  I do not quarrel with the need to perform the checks.  I question why we do not have enough agents to open all of the lanes, thus decreasing bridge crossing times and increasing commerce.  Why don’t we get the money we need?

Insult to injury

Now we are told that we can have more agents if we will pay for them ourselves.  We won’t be able to set their policies and procedures though.

Other parts of the country get hand-outs even though they can control their situation.  We cannot control the agents but are told that if we pay more we can have what the central government should be providing already.

One of our city representatives was quoted in the El Paso Times the other day:

“As soon as the Congressman (O’Rourke) got into office, we begged him to help us with this and he has come through”

Begging?

We have to beg an elected official to do what is right for his district?  We have to beg to be allowed to use our own money to fix a problem that the national government has imposed on us?

What on earth has happened here?  Our elected officials think that the people need to beg? Our elected officials are so important and so much better than us that we need to beg?

Will they be passing a law that tells us how to worship them next?

We deserve better

Brutus

7 Comments | City government, Federal Government | Permalink
Posted by Brutus

Not yet

August 6, 2013

Tuesday’s city council agenda has an item on it that will allow city council to talk in executive session about the El Paso lawsuit against the attorney general of Texas.

Some former city representatives and current city staff do not want to turn over emails that pertain to city business that were sent or received from their personal electronic devices.  The attorney general says they must.

There is not an item that will allow city council to take action on the issue after returning to the public session.

Something is wrong here.  It seems that the city attorney wants more time.

Why?  What are they hiding?  How bad will it be when the emails are ultimately released?  Are they stalling to have some statutory time limit pass?  Are they stalling to get some other deal finished before some damaging truth is disclosed?

We deserve better

Brutus

3 Comments | City government, Open Government, State Government | Permalink
Posted by Brutus

Where are they getting the money?

August 4, 2013

The city manager was quoted as saying that if the Downtown Development Corporation (city council in sheep’s clothing) did not approve the increase to the interest rates they are willing to pay for the ball park bonds that construction would have to stop.

That brings up a question.

How are they paying for the construction that is going on now if the bonds have not been sold?

Our election allowed them to use the funds generated from the 2% added to the hotel occupancy tax as well as any revenue generated by the operation of the stadium.

Are they paying for the work being done now, or are the contractors holding their bills?

If city money is being used, where is it coming from?

Is this legal?

Eternal vigilance is the cost of liberty.

Cato

4 Comments | City government | Permalink
Posted by Cato

Pork

August 4, 2013

The 2nd special session of the Texas state legislature has adjourned without passing the special bill to raise an additional $900 million a year for transportation.

The legislative backers of the bill suggest that the governor may want to call another special session after the 2014 primaries.

As you know, our legislature only has regular sessions every other year.

It seems that Texas now needs to spend $4 billion each year to keep up with growth.

The prior El Paso city council (the 26 percenters) just spent $4.7 million to finance a study that we were told was necessary in order to secure $90 million in state funding to create a street car line. Us 74 percenters were told in an open city council session that the money was guaranteed.

Maybe next year city council will spend $5 million on a study to determine if pigs can fly.

We deserve better

Brutus

Leave a Comment » | City government, State Government | Permalink
Posted by Brutus

Another trick

August 2, 2013

The latest baseball park bond resolution from city council (sitting as the Downtown Development Corporation)  authorized the sale of $60.8 million of bonds at an interest rate not to exceed 5.75%.

You might remember that this is needed to finance our $50 million ball park that now is costing north of $64 million.

This article in El Paso Inc.  showed that the ball park costs are continuing to rise and that we should expect even more.

Creative financing

If I am wrong here I trust that someone will set me straight.

City staff explained that the $60.8 million of bonds will actually generate $64 million.  The extra $3.2 million will be used for contingencies — in other words they will spend it.  Even if they don’t we will pay interest on it.

How can they get away with $64 million when they were only allowed $60.8 million?  The answer is simple and sneaky.  Staff left some room in the amount of interest they can pay.  What they will do is pay more interest than would normally be necessary for this type of municipal bond.  In return they will get a $3.2 million dollar windfall.  Don’t worry, we can pay for it over time.  In fact they changed from a 25 year term to a 30 year term.  Quite simply they are using time and high interest rates thus raising the total cost to the community without being up front about it.

The article explained:

As for the new $64-million figure, Wilson said the sale of $60.8 million in municipal revenue bonds will actually generate an additional $3 million because they will be premium bonds. Those bonds will pay a higher interest rate, and investors will be willing to pay more

The city’s chief financial officer, Carmen Arrieta Candelaria, said the use of premium bonds is common when interest rates are too low to make conventional municipal bonds less attractive.

That last sentence does sound like the kind of nonsense that comes from this group.

Even more ominous is their admission that more issues will be coming up soon that will have to be taken to council.

We deserve better

Brutus

4 Comments | City government, El Paso Inc. | Permalink
Posted by Brutus

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