Jan 11, 2013

Allentown's Mysterious Arena to Water Trick

It's difficult to understand how an arena which promises to revitalize Allentown cannot generate enough new taxes and commerce to save our water system. It's difficult to understand how municipal bonds for a discretionary recreational facility sold like hotcakes, while bonds backed by a revenue stream of captured water users, would be a hard sell. It's difficult to believe that this city, and this city council, have both these acts going on at the same time. One must question to what extent the Pennsylvania Economy League really acted as an honest broker in it's advise to council. An Allentown Water Authority could buy the system from the city by issuing revenue anticipation bonds based on water and sewage income, and keep control and ownership for the citizens of Allentown. Water, unlike hockey tickets, is recession proof, a necessity of life. These are exactly the type of bonds sought by investors. The pension crunch is two years away. A responsible City Council would seek another opinion on the marketability of water bonds, especially with so much citizen opposition to the current plan.

7 comments:

Anonymous said...

Mr. Molovinsky, I believe the pension crunch hits this December 2013 with the police 'drop'

Anonymous said...

You elected City Council---they have all the facts at their disposal.

Let them do their job.

michael molovinsky said...

@8:57, the budget for 2013 is already approved, does not include the water lease, or a tax increase. the crunch occurs in 2015, as stated in the post

@9:03, 3 of the 7 members of city council were actually appointed. i do not believe that they have more facts,just more pressure from the administration.

i prefer not to reply to comments. blatantly erroneous comments submitted by apologists may not appear. the administration send their versionout with the water bills, this blog is to present the alternatives.

ALFONSO TODD said...

MM, my point exactly. If the PUBLIC which appointed them or voted for them, is so adverse to this act why aren't they listening? How could they vote to not actually ALLOW the citizens to VOTE on this issue? When prominent Dr's of the community and council members get into shouting matches and police have to remove elderly residents from the meeting, then you can't tell me that you can't see there's a problem....


Alfonso Todd

www.votealfonsotodd.com

Anonymous said...

Just trust them-- no problem.

Anonymous said...

First of all more have not been elected, but appointed by this administration, first confict of intrest. Than there is the cause of having a firesale of allentowns assets supposidly for the cities pension problem, when in all actuality this is for the Brown Hole Law.

Counsil sets are to protect the public against foolish spending of public funds. When they are creating many more years of fiscal reds for years to come. With the appointments outnumbering the voted in counsil members this is a conflict of intrests!

Next the Brown Hole Law in not a law until it goes back to the house with all the proper steps taking place. Not the Harrisburg bunch covering each others ass because they passed something that was snuck in in the last minute. Than challenged by surrounding communities! That should have stopped it dead in its tracks and than to the house again the following year.


That being said this is no magic trick but theft of services for perpatrating public servants as well as the monies being perpatrated by all parties involved. This supposid law has only seen pa's local law makers. The federal scrutiny will be comming in the bancrupty and all assets will be protected by fictisious entities that will consist of the same actors.
No magic just theft of services and monies¿


REDD

michael molovinsky said...

i rejected a comment directed toward alfonso. comments should address the topic, not other readers.

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