WE THINK PAPIO NRD BOARD CHEATED TAXPAYERS

NTF worksheet: papiomrnrd50.doc.  11-13.

NTF PRESENTATION TO PAPIO-MO. RIVER NRD BOARD: NOV. 14, 2013. 

Good evening.  My name is Doug Kagan, 12320 William Street, and I represent NE Taxpayers for Freedom.  On Tuesday, a board subcommittee recommended selling 8 lots at Dam Site 13, 192nd & Dodge Rd., for $380,000 total.  The sale price of these lots appears very discounted, resulting in a loss of $418,145 to taxpayers.  To refresh your memories, in 2006, during the construction of Dam Site 13, an arrangement between the NRD and Dial Realty saw the NRD accept a deed to 9 lots from Dial in exchange for a $580,000 note.  In 2010, Dial defaulted on this note and $39,168 in unpaid interest, thereby obligating the 9 lots back to the NRD.  In addition, $258,977 of unpaid special assessments attached to these lots, which the NRD paid.  Thus, the cost of these lots to taxpayers totaled $878,145, or $97,572 per lot.

Fast forward to 2013.  The NRD sold 1 of these lots in October for $80,000, a $17,572 loss.  Tonight, the board is voting to accept an offer of $380,000 for the remaining 8 lots.  If approved, taxpayers will lose $418,145.  We believe that such sale would benefit the developers, not the taxpayers.  Also regarding this transaction, the NRD FY 2014 budget included $700,000 as budgeted revenues from the sale of these Dial lots.  If the 9 lots sell for only a total of $460,000, the budgeted revenues fall short by $240,000.  Our question is: Would the board reduce budgeted expenditures elsewhere by $240,000 to compensate for this loss?  Instead, we urge this board to sell these remaining lots at fair market value to be fair to the NRD taxpayers.

Thank you.
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NRD Board Members voting to cause a $418,145 loss to NRD taxpayers: Patrick Bonnett, Fred Conley, John Conley, Tim Fowler, Curt Frost, Dave Klug, Jim Thompson, and Ron Woodle.  Voting for the taxpayers: Patrick Leahy.

 

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