Aug 14, 2020
Smoking The Morning Call
This post concludes my trilogy on Donald Miller's legacy; a former newspaper is now a cigarette tax dodge, allow me to elaborate. Under Miller's leadership the paper grew in its physical plant, circulation and influence.
My post on Wednesday explained how Miller's influence continued after his death through the Century Fund, which after 25 years is ending.
My post yesterday explained how the Morning Call has compromised its journalistic credentials with nonsense stories, glorifying anybody with a bullhorn shouting profanities. Worse yet, are the stories that the paper refused to print over the last decade. The improprieties of former Mayor Pawlowski were first covered by me, until fellow blogger Bernie O'Hare joined in. It took years later, only after Pawlowski was indicted, for the Morning Call to report on the crimes. The current construction under the Neighborhood Improvement Zone (NIZ) is not without controversy. Only I sat with the former merchants in city hall, when the city was using straw buyers and intimidation to force them out of their properties and livelihood. Only this blog reported on the deception being used. Not only didn't the Morning Call report on what was happening, they were part of the deal. The newspaper building was included in the zone, even though it was across the street from the district.
Yesterday, it was announced that the paper is vacating its building at 6th and Linden. For the last several years they actually have been a tenant there, with Reilly's City Center Realty being their landlord. It was also revealed that Reilly filed suit against the paper, which has not paid rent since April. Their departure will not hurt Reilly, because most of the building is used as a cigarette warehouse and distribution center. The NIZ allows Reilly to use all state taxes generated by all his different buildings' tenants for his debt service. Under this insanely lucrative arrangement, he has been able to build $1 billion dollars of new construction at the taxpayer's expense. Not only has the Morning Call failed to report on the details of this legislation, they actually promoted each new building with a news article. In addition to this taxpayer funded money tree arrangement, the NIZ law also allows Reilly to use the cigarette tax, previously designated for children's health purposes. He purchased a cigarette wholesaler, and relocated it to the now former Morning Call building.
You might say that Miller's legacy is now being smoked on the corners of downtown Allentown.
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So is the paper going to fashioned in Chicago and printed in new jersey. Will it still be called a local paper? It really has not been a local paper since it became part of the media conglomerate, which is closing papers all over the country. Newspapers are doomed , they are going to be a thing of the past. Other parts of the media will be next.
ReplyDeleteNot only has the Morning Call failed to report on the details of this legislation, they actually promoted each new building with a news article.
ReplyDeleteI wonder now that TMC and NIZ have become estranged (with this lawsuit) will their reporting flip in another direction?
You mention NIZ but you don’t mention it’s author, Senator Pat Brown, who’s legislation has allowed the city business district to rise from the ashes. What is his motivation and what are the down sides for the local residents and how do the tax subsides for the contractor negatively affect the city’s revenue stream. What is long game thats not apparent to the casual observer?
ReplyDeleteLVCI@7:17, I don't expect so, the rent is paid or not paid by the Tribune Corporation. The editor/publisher at TMC doesn't have any fight in his dog.
ReplyDeleteptsmith@7:19, although the NIZ was supposed to bring tax relief to Allentown and the school system, none has materialized. Reilly successfully appealed the assessments, which were based on construction value, and had them reduced to reflect rental revenue. Who verified the information is not clear. Little is clear about the NIZ.
The NIZ is one of the biggest scams ever played on the taxpayers of Pennsylvania. Not enough space to list all it’s failures and damage to Pennsylvania’s fiscal condition.
ReplyDeleteNearly all the tax revenue coming in was already being paid to Pennsylvania from locations elsewhere in the state. This ongoing scam has state taxpayers behind by at least 250 million dollars with no chance to ever break even from this experiment. Just wait until massive spending is required to repair and upgrade all the shells of non-producing buildings.
The Morning Call looks the other way and WE pick up the tab.
Appropriately, the Call now finds itself operating out of basement bunkers. Just like a Presidential candidate it supports. I have no sympathy for either.
What this part of the city needs is more owner-occupied homes, not more “flats” with renters. One of the bigger issues that impacted the city began when so many of the houses were converted to apartments, many with absentee landlords who do not maintain the properties and who certainly made poor aesthetic choices when “remodeling.” These former single-family homes can add lots of students to the school district without any additional tax paid. The city should be creating an incentive similar to what Ed Rendell created as mayor of Philadelphia to encourage owner-occupied homes, including the conversion of multi-family back to single-family. Rendell used a 10-year property-tax abatement. It’s now changing under Mayor Kenney, but it is one of the single biggest reasons many neighborhoods in Philadelphia have made major comebacks. If that city can do it, surely leadership in Allentown could come up with a way to do this.
ReplyDeleteThe city also needs a better, locally owned newspaper, but whew, that’s a whole ‘nother issue.