Jul 15, 2015

Pawlowski Rains On Butz's Parade

Yesterday was supposed to be a joyful groundbreaking for Butz's NIZ grab. His previous building was under the old KOZ rules, now time to join the Reilly money-train. What should have been a more happy occasion was subdued by news accounts. If that wasn't downbeat enough, Pawlowski arrived, only to be ambushed by Philadelphia TV. Butz junior tried to make lemonade out of the circus, "Obviously, there have been a few distractions recently in the paper. That's unfortunate, but we've come too far to slow things down." Young Butz shouldn't have been dismayed by yesterday's events and news reports, things can always sound worse, like my next paragraphs below.

The groundbreaking was actually somewhat premature. The building is still in the planning stage. What we do know is that it's being wedged onto the current building's parking lot. Butz had previously considered the Parking Authority's lot on 8th, across from the side of the arena. Truth be told, parking lots are the only thing left in the center city NIZ zone, Reilly bought everything else. Bruce Loch is proposing his pencil tower on another small Parking Authority lot.

One thing that was clear from the cloud over yesterday's promotion, is that Pawlowski is now only a distraction from the NIZ business. Before too many questions are raised, and the state program itself is scrutinized, Pawlowski must go.

19 comments:

Anonymous said...

is the NIZ a done deal for eternity, or can harrisburg repeal?

michael molovinsky said...

reilly's niz was an unbelievable deal, browne served him well. the taxpayer rape lasts for 30 years. for 30 years the state taxes will go to pay for reilly's debt service. it's quite irrelevant if the arena or town succeed,

Anonymous said...

It's going to get ugly soon with this cast of characters all positioning themselves to protect their own interests and minimize damage.
Most of the players have little or no real affection for one another so loyalty will be in very short supply indeed,
Those looking for that commodity had better treat the family dog well because it's every man and gal for themselves as the federal noose tightens.
One can only imagine.........

Anonymous said...

Michael,

Yes you are correct that Butz replied to an RFP for the 8th Street Parking Lot for the United Fiber Sham. Yet it is not very public that Butz closed on the lot on 8th Street for 1.2 million and received financing from the Parking authority in a 900,000 mortgage. The monthly parking fees in that lot alone can cover the debt service and provide cash in your pocket.

How is okay that the parking authority is allowed to sell and financing something that is a public good for the use of a private organization. Especially when they provided some BS proposal that didn't go together.

Anonymous said...

I've contended all along, if there is ANY financial benefit to Pennsylvania taxpayers, beyond a relatively small group, due to the NIZ, it won't be seen until the end of the 30 year period, if ever. By then, even more funds will be required for renovations, etc.

Just replacement funds to the state budget aren't even close to being generated. In fact, $45 million normally generated by just those Allentown acres within the NIZ have already been used to pay the developers and other bills, instead of their usual purpose. Also consider, nearly all of the new business added to downtown was already paying Pennsylvania state taxes someplace else in the Commonwealth. The hole to climb out of already is probably too deep to overcome.

The NIZ is a mathematical train wreck that never should have been approved by the legislature in the first place, as written. If there is any way to rescind it, most of Pennsylvania would be interested, I think.

And now, to suspect some illegal behavior might have been part of this operation . . . YIKES!

Fred Windish

Anonymous said...

The reason everyone is going gangbusters is to draw money before the money tree gets taken away. The NIZ mechanism doesn't have to last 30 years. The bonds would be financed by whatever is in place. There is no guarantee that the building has to continue.

It's why I think that even though there is zero market for some of of the stuff, it's build, baby build with preference towards City Center and Jaindl and stalling for as long as they can - everyone else.

It wouldn't shock me that Nat Penn is the only bank financing anything in NIZ either. You want to finance through another bank, well you're going to be "delayed".

Anonymous said...

If the Morning Call thinks this is "subdued", imagine the effect it's having on people who might otherwise be enticed to come into the NIZ. Pawlowski's selfishness is hindering Allentown's progress. He needs to resign.

City Council needs to start its own investigation tonight. They need to restore confidence in city government.

Anonymous said...

City Council?
Allentown City Council???
Surely you jest.

Anonymous said...

Ed Pawlowski will sail through all this a little bruised but still Mayor of Allentown for as long as he wants the job. Sorry to spoil your fun.

Anonymous said...

Anything to get his puss plastered on the vidio machine¿ This only goes to show how deep this mans seven deadly are rooted in his pompuss arrogance and reprhencible repulsesion to the public he claims to be
serving¿ This man has been a self serving idiot before being crowned humptydumpty, will his counsil court jesters be able to pick up the pieces¿

Not only should he rezine promptly but the appointments on counsil and other offices throughout the city government, the ticket takers position should be rescinded¿ This was just a juggling act of Allentowns Hamilton street gang¿

redd
patent pending

Anonymous said...

Does anyone know how many new jobs have been created within the NIZ?

michael molovinsky said...

@6:52, i take no fun in the current events. we see from the city governments failing apart across the state that the public has little discretion with their vote. pawlowski will not be forced out by the public, but by the new barons of the niz, who now find him tainting their reputation.

michael molovinsky said...

@7:22, the interesting thing about apologists for niz and pawlowski is that they just keep losing more credibility. beside the new eateries, there is not one new job. every office,without exemption, was operating previously somewhere else. when you think about the new eateries in allentown, you must also think about the harm it did in boyertown and elsewhere, from when those office jobs moved to allentown.

Anonymous said...

Just selling hot dogs and soda pop alone has created a whole bunch of employment opportunities.
This is just an unfortunate distraction in the press, we won't let it slow us down.

Anonymous said...

This is what jb reilly said in a morning call article" Reilly added that his projects have pumped hundreds of millions of dollars into the local economy and brought thousands of jobs to Allentown. He added he's also building hundreds of apartments that will bring hundreds of new downtown residents and that the apartments are not eligible for the NIZ subsidy."
http://www.mcall.com/news/local/allentown/mc-allentown-arena-niz-taxes-20150409-story.html

michael molovinsky said...

@8:27, yes, i look forward to reporting on the peanut vendor union

@9:20, one of a long series of fluff and buff articles by the morning call on the arena and niz. the apartments are cleverly above commercial space, allowing him to NIZ a portion of the building. who is checking the proper portioning? futhermore, we'll see who he ends up renting to, and how much disposable income they have

Charlie Sch said...

To respond to a comment above, it is interesting to note that J.B. Reilly actually got his start selling soda and hot dogs - during concerts at the Allentown Fairgrounds when he was in high school.

Anonymous said...

Go, the sooner the better, I gave up on the Call years back, because they where useless, and just started doing my own snooping, and keep most comments to myself.


Ted Yost

Anonymous said...

Ted Yost would know. Good advice. I also encourage everyone to use several other sources. We're pretty much on our own these days in search of solid journalistic standards. Use the internet while you still can.

Fred Windish