Signals from another planet...

Shorter Sam: The only thing Vancouverites need trouble themselves with is to decide if they also want a unicorn to go along with their new pony.

Sam Sullivan

In the panorama of views on the possible outcomes of the Olympic Village fiasco, this is by far the most optimistic.

If all the facts had been at hand for citizens and council alike when the story broke, we might have agreed. Unless Sam Sullivan has access to previously undisclosed facts (which should have been disclosed when he was Mayor), I reject his assessment of the risks and as far as I can tell, nobody in the financial and development industries accepts Sam's vision either.

Spin doctor or spinning wheels? Part I

You decide.

"In my 15 years at Vancouver City Hall I have witnessed the Property Endowment Fund (PEF) make about $1.5 billion in real estate profits for Vancouverites."

The PEF was never supposed to make "real estate profits" - that is not in its mandate. It is supposed to manage the city's real estate investments to provide ROI to be used on other social goods, and to maintain the property stock for future generations. It was never supposed to act like a developer, building developments for profit and competing with other builders. I'm already surprised that the other major builders haven't gone running to Gordo crying "foul" at the city's plans to profit from a developer's financial misfortune.

"When I was first elected in 1993 the investment fund had just over $1 billion in real estate, when I left office last month this fund had grown to almost $3 billion dollars."

The City's 2007 financial statement notes that the PEF had a total value of $2.5 billion. In what now seems like a prescient move, the auditors noted then that the future value of the PEF was likely to fall in 2008 despite a rising market because:

"The following Public Sector Accounting Board (PSAB) standards will have an impact on the City’s financial statements in the upcoming 2 years:
1. Accounting and reporting of capital assets: This recommendation is effective for 2009 and require the following:
• Land to be reported at historical cost (instead of the City’s current practice of
using BC Assessment values)
• Depreciable capital assets to be reported at amortized historical cost
• Depreciation of capital assets to be reported on the statement of operations."

Sam and council doubtless received interim statments every month from the director of finance that would have included the much-reduced values of the PEF that more closely reflect the actual value of the land and improvements. For Sam to say what he said is not truthful, responsible or honorable.

"Even if this were remotely possible, the citizens would still have made a half billion dollars in profits in 15 years!"

You know, the way Sam keeps repeating this, it almost seems like he planned it to have the city become a property developer by using taxpayers' funds to bankroll the projects, rather than falling into it by accident. For him to be as proud as he is of this feat is shameful, and I'm sure the Urban Development Institute and the Vancouver Homebuilders Association will have some words with him someday, in private.

"Only time will tell who was irresponsible -- either me and my fellow councillors and past councils whose decisions brought the project into being, or the people currently generating headlines."

Time has already spoken, Sam - you were irresponsible. What remains to be seen is if your critics are equally irresponsible, or perhaps just more honest.

Spin doctor, Part II

"In time, I believe the citizens will proudly recognize Southeast False Creek as the most environmentally sustainable neighbourhood in North America. It is providing much needed market and social housing, outstanding public access to the waterfront, and a new community centre."

You've got to be kidding!
- Environmentally sustainable? $6-million-dollar condos that won't be able to manage silver LEED from all the cutbacks in the construction budget?
- much needed social housing? Cut by 70% from the original amount?
- much needed market housing? With all our vacant condos in the city, we needed more? With still-undeveloped Expo lands awaiting builders, we were short of sites? Surely you jest, Sam!
- a much-needed community centre? With a parks board budget that was cut every year by the NPA in real dollars, leaving the board closing facilities or reducing hours and programs, this is supposed to be a plus?

The best thing that could have happened with this site is to turn all 58 acres of it into a park, in the most park-deficient neighbourhood in the city. Then build on the already-zoned industrial lands to the east across Main St.

But no, Sam wanted to be a developer...

Mind you, I'm tickled pink that Sam feels the need to address his critics in a forum that he ordinarily wouldn't deign to engage them. But given how moth-eaten his arguments were, I'm surprised he didn't confine them to a paid-up slot in the local Canwest Goebbels rags.

Sam, if you're so sure, how would you like to put up a performance bond against the future profits you say the city will make? Say, $458 million? I'm sure your legions of supporters will back you with their dimes and nickels.

If it's such a financial success then why did you cut SH

If this thing is such a financial gem for the city than why did you Sam cut the social housing as your first order of business upon forming your short lived government?
http://thetyee.ca/News/2005/12/22/SamSlashes/

ha

Do you think we're fools, Sam?

"Even if this were remotely possible, the citizens would still have made a half billion dollars in profits in 15 years!"

So, what your saying is that because the property has gone up since 1993, we aren't losing money? So, money you make off an investment acquiring value doesn't count as money? Jeez, no wonder the city's broke.

What a bunch of houie

What a perfect example of marking bull. To talk about the real estate inventory value as if it was real money. It is only worth something if someone can afford to pay for it. Other than that is is just an estimate. With the current globe crash of economies everywhere and the devaluation of assets in markets that actually have real local economies Vancouver is simple a bad bet. There is no economic activity in the City or the Province to justify the valuations on property. That is until you look at criminal activities and money laundering. Property values are dropping that is why the city put a freeze on property taxes not to protect the people from taxes increase caused by speculation and organized manipulation but to protect tax revenues for the Developer controlled city hall. It is time to get out of the Vancouver market stop listening to these biased opinions about the market coming back. It is not for a very very long time. Nice view but nobody in their right mind will pay 1.5 million for 500 sq foot closets. Not worth it. not at all.

Who will believe anything

Who will believe anything Sam has to say? His own group dumped him when he was trying to get re-elected. Lander got the nod and crashed and burned over the big loan for a development. The guy is a joke.
Maybe he will now go away

Thanks Zalm, Redunk, Jer, and Ted

It seems that the city has become wise to Mayor Sam. Will those same voters be just as wise when Leaky Condo Campbell runs for the third time. Campbell's provincial government is just as leaky as the condos that were built under his watch. The provincial government is leaking money and resources at a pace that far out-stretches any added value that a 6-7 billion dollar olympics will bring us. Just like Mayor Sam, Campbell doesn't care about the citizens of BC, he never has.

In the Scrivener (published by The Society of Notaries for BC ), Robert S. Reid, comments about how Gordon Campbell (the Former Mayor of Vancouver,) while he was Leader of the (BC) Opposition (1995), tried to introduce legislation that would absolve municipalities (and therefore, himself) of any responsiblities for leaky condos. Further, he was mayor of Vancouver when such protection had been added to the city's charter. Thankfully, that charter was never enacted; however, since becoming premier, Campbell has done nothing but continually drag his feet on the issue provincially and hinder the compensation of good hard-working people.

It's been the same with schools - and his glorious education roundtable that did nothing! Housing for the homeless, and places for our seniors to live have been ignorred to an even greater extent. And more children continue to die while in the Ministry for Children and Family development's care! He just doesn't care.

Now that it's election tme, there will be some announcements and photo ops here and there about his party doing something, but he has been willing to do nothing for 7 years. He has done nothing to protect the the most vulnerable, and he doesn't care about the aging people who have slaved their whole lives to build the roads we drive on, the hospitals we were born in, and the dams that produce our electricity.

http://www.notaries.bc.ca/index.php?option=com_content&task=view&id=461&Itemid=1075

http://blog.myleakycondo.com/index.php?op=Default&Date=20070529&blogId=1060

from the bc legislature

It seems one of our most esteemed MLAs differs considerably with Mayor Sam. Here is Corky in the best speech I can ever remember seeing. It is well worth the 25 minutes it takes to watch it all.

http://bcleg-ds1.insinc.com/ibc/mp/md/open/f/8/8/20090118?w=01:47:22&d=00:25:53&f=w&m=v&l=en

The text has been lifted and has been posted at BC Mary's "The Legislature Raids" - BC Trial of Vasi and Birk Blogspot
Thursday January 29, 2009

http://bctrialofbasi-virk.blogspot.com/

That's pretty funny...

...and of course we should take Sammy's word for that over the experts who've just downgraded Vancouver's credit rating as a result of the economics of the Olympic Village albatross now hanging around our necks....?

Heart and Soul

If there has been heart and soul put into this event thats the biggest secret of all. As all I seen is real hardship for many struggling to make ends meet in real good times while many British Colombians are left out in the cold. And when it comes to Sullivan's part well he thought the City was on the same gravy train the Province was on in the new era of BC of spend, spend, spend.
Words are cheap and thats all anyone can get from these guys like Sullivan, Campbell and Falcon as they pipe up the Olympics is right on target. Sound familiar wasn't that the tune Sammy was singing until mystery documents provided a real accounting of the Olympic dilemma? And if one should take anything from this message from Sammy is you can bet this Province is on the hook, line and sinker as Liberals keep the books to themselves. And I don't know what kinda business Campbell and crew are running in BC but quite honestly if it was the business world they would have found themselves not only charged but also without a job. So whats the chances of a balanced budget?

And blaming the council

Is like blaming the people for their feeling of doubt and mistrust as its no accident the public feels this way especially with all this very private business going on with the public's money. Its what happens when one Ministry after another finds itself under allegations of wrong doing. And its no surprise this government has all but gotten rid of the budget that calls for government scrutiny.
And when government is asked to provide details of its spending Falcon says its A okay and there is no need for public accountability now if that is not reassuring I don't know what is? So if Sammy's looking to blame anyone why not start with himself.

Lower credit rating = higher borrowing costs

Lower credit rating = higher borrowing costs... not to mention the higher property taxes to subsidize this big sandbox adventure.

What are the PEF's property assets really worth?

I am really tired of hearing overstated values for the Property Endowment Fund used to praise City managers and to defend the City’s Olympic Village real estate gamble.

It seems clear to me that the value of the PEF has been systematically overstated for many years, by the way in which overvalued leased lands are included as PEF assets -- including lands (and leasehold condominium units on them) that the City has leased out for long prepaid terms. There are details and examples in the following documents which I wrote several years ago:

http://www.scribd.com/doc/11459745/PEF-Leased-Over-Valuation

http://www.scribd.com/doc/11459746/to-MAFF-re-PEF-2000may15-

On November 11, 2008, after hearing Ken Bayne, Vancouver’s General Manager of Business Planning and Services, on the radio saying “Vancouver's Property Endowment Fund is still worth two or two and a half billion dollars in real estate”, I sent him an email to ask the following question:

"Can you tell me how much of the Fund’s $2.5 billion in land assets is land for which the City has sold prepaid leases, and whether or not you think that land’s value as a City asset has been overstated?"

He hasn't answered or even acknowledged my email.

Here’s a link to an article in The Straight:
http://www.straight.com/article-198336/city-ignores-watchdogs-request-property-endowment-fund-accounting

I wonder how the numbers would read.....

....if this "recession" becomes a depression and lasts Ten Long Years......?

Please don't say the D word

RickW, I'm finding it very disconcerting that every time the experts revise their not-too-bad projections of what we're facing, the revised outlook is ever gloomier.

If the experts weren't afraid of being written off as loonies or of being blamed for starting a self-perpetuating prophesy, how many of them do you think would have called it a looming D-word by now?

Good reason

There's a good reason that Campbell is getting an easy ride in the press. ALL the print press in this province (that I've ever seen on a news stand anyway) is either Black Press or Canwest owned. Both of those organizations are right-wing neocons who will do anything to protect their gravy train - and Campbell is one hell of a gravy train. With his majority government and the complete and utter lack of checks to his rule, the man has been gutting BC protection legislation for a decade. If he ever gets out of office, it'll be really hard to undo the damage he will have done to this province.

As for Sullivan, well, I wish him well with his drug taking program, because that's the only reason I can find for such... wonderful fantasies.

To Counter Luke

I often notice that some people try to garner support for their pro-Liberal positions by picking apart one or two aspects of the oposition without looking at the whole picture.

The Liberals have been in power for 7+ years and they have had many chances to make things better in terms of access to the courts, but they have made it harder than what it was under the NDP - by far.

Please follow the link, It will show the Liberals have heard counter arguments to their BC Court policies, and yet they have continually chosen to ignor them:

http://www.bouckslawblog.com/bouckslawblog/2008/03/civil-justice-1.html

There have also been huge cuts to access to legal aid under Campbell. Even if someone has a reasonable chance of being found innocent, if a person is among the working poor and is charged with a crime that could prevent him from getting more gainful employment because of a criminal record, then that person has been made inelligible for legal aid unless that person would "be deemed likely" to serve jail time. It could be as simple as a person protecting himself from being assaulted and then being charged with assault him or herself. With a criminal records check, good luck to the person with an assault conviction in getting a job working for the government or with children!

Further, under the Liberals, there have been other reductions and cutbacks to legal aid even after the huge cutbacks they made during the first year of their first term:
http://www.duhaime.org/LegalResources/CivilLitigation/LawArticle-12/Legal-Aid.aspx

It just boggles the mind to try to stay on top of all of the cuts to reasonable services that the most vulnerable among us have endured under the Liberal yoke. It is no wonder that homelessness, drug addiction, gambling and alcohol consumption has increased during these last seven years.

Gee R'Man.....

And if Harper hadn't done that, perhaps he wouldn't be going into deficit spending from now until forever.......

Amazing how the neocons adopt Keynesian philosophies at their convenience......

Sullivan

I agree with Sam Sullivan?

In the long run,say like over the next 200 years,the olympic village will pay for itself.

The issue is....The total lack of due dilligance on all aspects of the deal,the "deal" would of been rejected by a first year enonomist oe accountant.

The Port Mann "deal", same thing.

Falcon n Campell can spin until their blue in the face,the bridge deal is a con/a robbery of the public purse.

Forst off...The deal is pegged at a cost of 2.3 billion$--If we as a province built the infrastructure that is what the tax-payers would have to pay back.

The Macquarie group will be needing a payback of 6 billion% to make it a worthy investment.

The province "ackowledging" a deal,but the province doesn`t even know if it`s going to be twinned or one new BIG bridge.

Lets talk about risk?

First off, if there is a earthquake the Macquarie group is exempted of any liability,secondly,if it collaspses during construction,well,the Macquarie group can`t raise SQUAT for cash now,how would they get financing for a "re-do"?

BC is going to give the Macquarie group 1 billion dollar loan to build SOMETHING,well you can`t build and spend 1 billon all at once,so we,THE TAXPAYER,are fronting almost ALL THE CONSTRUCTION COST.

In other words,the Macquarie group are being paid,by the tax-payers,for a private venture/for profit deal?

Well,well,well,The "original toll" price hasn`t changed.

The toll SCHEME is identical to the one proposed last year (when the Macquarie group)was going to come up with all the money.

If Gordon Campbell can`t see how fundamentaly WRONG this deal is,BC tax-payers funding for a decade and a half,with all the finance charges,to fatten the dividends for the (millionaires bank)the Macquarie group.

By the way,for those who are not paying attention,the Macquarie group has a big chunk of the sea to sky upgrade.

Too bad the people of the Fraser Valley are furious over the thought of 1800.00 to 2500.00 a year for tolls/per driver.

This blowback from the voter has cost Campbell at least 3 more ridings.

Good on you Campbell,go for it.

The Port Mann DEAL was ugly under the original deal,this latest turn,BCers paying a company to gouge us.

Finally,what happened with the Harper 54 trillion$ deficit? Infrastructure money?

I guess even Harper doesn`t want to go to bed with the Macquarie group.

And why if we NOW have money for the Evergreen line,why is the construction start being delayed until 2011?

That delay,along with the years of delay with Surrey hospitals will cost Campbell another 4 ridings.

realisticman, please pay attention

You're comparing the Liberals rein during times of record commodities prices with the 90s when the NDP inherited a huge down-turn in trade from the East. The NDP was stuck with the collapse of Japan's banking/economic system and the ensuing huge fall-off in the prices of BC commodities like copper, wood and coal. Japan has not yet recovered from that period. Eastern Canada had not been trading with Japan. Even through that, BC was able to bring the province into the black before handing it to the Liberals. The Liberals own accountants went through the books and said that it was true, the NDP had given them the province in tip top shape.

Even through those hard economic times in the 90s, BC's NDP still held its own and was able to make money through actions like: 1)requiring timber to be processed in BC mills before being shipped, 2)engaging in projects that actually helped people, 3)holding public sector wages in check by working with their employees rather than abusing them and casting them aside. Under the NDP, the various government Ministries ran much more smoothly as they found ways to streamline services and make certain necessary cuts to spending through attrition.

The NDP also enforced regulations to make sure business was held accountable for environmental degradation. Under the Campbell, our forests and rivers have been allowed to flounder under hugely increased self-regulation being granted to the companies extracting resources. Self-regulation is essentially no regulation at all in the business world. Case in point: when they found that fish farms could be hurting wild stocks, the NDP placed a moratorium on allowing new farms and expanding existing farms. Under Campbell, the moratorium was lifted without a scientific reason and we have seen the pathetic results.

During this last decade, Jimmy Pattison, BC's uber-capitalist, has recognised the 90s NDP leader Glen Clark's ability to lead and be accountable to the bottom line. As a high-ranking executive in Pattison's operations, Clark oversees the operations the work that 9000 of Pattison's 30,000 emplyees. Jimmy Pattison would not have Clark in such a powerful place if he weren't an astute manager. This is just common sense. Think about it.

Just a note: I belong to no political party. My support of the NDP is based upon my experience in seeing the way they ran government, not some ideology; especially not an ideology based on greed.

realisticman - BC job stats for you

Perhaps you missed this bad news about Campbell's government stats a couple of weeks back:

Welfare and unemployment rise while job numbers shrink in BC
By Andrew MacLeod January 9, 2009 01:19 pm

http://thetyee.ca/Blogs/TheHook/BC-Politics/2009/01/09/SchreckStats/

SIG

Doesn't matter, Sharing. It's only what happened "on their watch". Therefore, the 90's in BC were the NDP's fault -- just as the recession/depression in Canada is so obviously (using RMan's "logic") Harper's Conservatives fault. And of course, when the NDP inherits the mess that Campbell leaves behind, it will be the NDP's fault once again..........

The one thing the right is so good at doing is screwing things up, then ducking out.......

GST

Laughable to hear a Conservative supporter proudly boast his party lowered the GST by 2% when they were the ones that introduced the tax at 7% in the first place.

I guess Mulroney was before your time eh R'man?

Don't forget

The GST replaced a hidden 13.5% Manufacturers' Sales Tax (MST).

I remember RMan

I remember that there wasn't a 13.5% reduction in the price of the items marked. From what I remember, the prices stayed about the same and then the goods were taxed at the till. Consumers got no break out of that, but corporations (the non-breathing entities) earned more, the shareholders got greater dividends and they got tax breaks for many of those earnings, especially the re-invested ones. Way to help the little guy! That was Mulroney, alright, always watching out for the little guy. Give us a break!

Money In... Money Out...

When I read the foregoing it just baffles the mind that these same people who continue to complain about reduced services and fee increases also complain about the government's ability to increase the cash flow into its coffers.

Case In Point:

1. Former New Democrat Premier Dan Miller supporting offshore oil and natural gas drilling in NW BC with the potential for additional billions in investment and government revenue.

2. Former New Democrat Premier Mike Harcourt supporting Metro Vancouver highway expansion/port expansion recognizing the economic opportunities and government cash flow same will bring;

These guys "get it".

OTOH, we have current NDP MLA Charlie Wyse (Cariboo-Chilcotin) advocating the delay for several years of the $1 billion Prosperity gold deposit development, which has annoyed most of his constituents. Wyse won by ~150 votes in 2005 and he's toast in 2009.

For simpletons, the greater the cash flow into government coffers the greater the ability for government to address issues on the financial side of the ledger.

LSW

And did Exxon pay for the Exxon Valdez spill, and make restitution to the lost industries? Who will pay for the inevitable spill and consequences in BC?

Ah yes, the "new" green.......so what happens when Obama declares the Tarsands too dirty? Harcourt was 10 year ago. Times they are a'changin'...........(except for rightistas, it seems)

Luke

"When I read the foregoing it just baffles the mind that these same people who continue to complain about reduced services and fee increases also complain about the government's ability to increase the cash flow into its coffers."

Because, as even simpletons would understand, this gov't has not improved services in spite of all the deals with developers and all the money from the Feds.

When this gov't gets more money it doesn't get spent on making services better. No one living in this province believes healthcare or social services have improved under Campbell, not even his most ardent admirers.

Therefore to suggest now that if Campbell had more money he would finally try and reduce child poverty or help the homeless is something that only a Jedi Knight would believe. After all, he made those problems worse.

No wonder so many Liberals vote NDP provincially rather than join with the Reform Party voters that support Campbell.

BC's Political Structure...

What's actually best and more healthy for BC's interests is to return to a more natural political alignment akin to that of Ontario, or Canada federally for that matter.

Two major parties (Libs and PCs) where people are more comfortable in terms of vote switching and a third party, the NDP.

One should certainly agree that the Mike Harcourts, the Dan Millers, the Ujjal Dosanjhs, the Bill Barlees, Dave Haggards, etc. feel more comfortable running federally with the Liberals and should have that same option here in BC.

They certainly have a different philosophy than most posters here at the Tyee. ;)

Luke said

Luke said Charlie Wyse was advocating the delay of Prosperity Gold.

When I looked it up, I found:

"If approval is given and the company decides to go ahead, construction
of the mine will take two years.

"?This is fantastic news,? Mayor Scott Nelson said of the announcement.
He, Cariboo Regional District chair Jon Wolbers, and Cariboo South MLA
Charlie Wyse have all endorsed the project."

http://lists.miningwatch.ca/pipermail/news/2008-July.txt

Then later on in the same document:

"Cariboo South MLA Charlie Wyse says he is disappointed the joint review
panel process was cancelled by the provincial government. He says this
decision cancels all the goodwill that existed between the Tsilhqot?in and
proponents of the mine.

"?The EAO-led process the premier has chosen is an affront to what the
Tsilhqot?in have brought forward in order to work cooperatively with the
entire community at large,? Wyse says. ?I?m disappointed the premier has
chosen this confrontational style.?"

Finally a little further in the text:

"Wyse says he will be meeting with the Tsilhqot?in chiefs tomorrow.

?Without the cooperation of the First Nations community, any development
hoping to take place in the Chilcotin will simply not occur.?

Wyse says going the route of the court system won?t resolve anything
quickly either.

?I?m sure the premier is well aware that the last court case took 19 years.?"

19 years for court battles is a long time! But, then again, Campbell has often been about bullying, hasn't he?
It seems to me, Luke, that Wyse wants the mine to move ahead as quickly as possible with all the effected people at the table. If you have good inside information about this issue that I haven't found, please include it and your inside info source. If you don't believe it is good to get the communities most effected by these sorts of developments involved in the process, let's hear your arguments.

for simpletons

Luke said:

"For simpletons, the greater the cash flow into government coffers the greater the ability for government to address issues on the financial side of the ledger."

I suppose that is why our premier has been encouraging shipping raw resources (like old-growth timber) overseas and removing the previously demanded value-added component. Now those forests are gone - forever!

I suppose that is also why our premier has been purchasing ferries overseas and we have had the completion of the Olympic Village held for ransom by Fortress. Yeah, Campbell really knows how to hold the dollars in the province and in the provincial coffers, Luke. Spin us another one. Campbell has wrung up a huge deficit (P3 obligations) in good economic times. Just imagine what he can do in bad times!

Luke

The way I read it, Luke, without having Charlie Wyse here to defend the newspaper article, it sounds like Charlie is hopeful the First Nations people will come back to the table after Campbell is tossed out of office. It sounds to me that the joint review panel was cancelled by the provincial government. I think there is a great deal more to the story than what we have posted. I'm pretty certain that none of the MLAs on the Liberal's side of the Legislature ever publishes anything without the Campbell's nod. Though it has been very seldom that any MLAs nor MPs have put anything to the Tyee, Perhaps Charlie can weigh in.

I'll write his constituency office.

Keystone of P3 pyramid undermined by Olympic Village project

Just to rewind a tad... past the breathless, revisionist tap-dance of Sam Sullivan, Kevin Falcon and the Grandfather of P3's - Gordon Campbell... let's look at a simple overview of the arguments put forward for the provincial government's insistance on private participation in public enterprise:

1. TRANSFER OF RISK - The neo-cons cannot make a simple case to the people that private investment in public enterprise is more cost effective - largely because it is a proven fact that public agencies are able to access borrowed capital for public projects at a lower cost than private operators. Every time. Without question.

So... the ideological forces of the right wing of the BC government have to take another course - with a concept they have labelled the 'transfer of risk' - which sounds very technical and foreboding, but is quite simple in reality.

'Transfer of risk' is a code word for another code word in public contracting, known as "deliverables".

"Deliverables" can be roughly tranlated as "deadlines". If a company contracted to deliver a certain product or service cannot deliver on an agreed timeline, then financial penalties apply.

In recent years, "transfer of risk" has also been applied to the financing of projects. With an abundance of private funds available on the credit market, it was thought that private financinc could be obtained cheaper than public funding sources.

The recent collapse of a corrupt global financial system has put the lie to that notion once and for all. In virtually every case, public financing has proven to be the less expesnive option for taxpayers in the short, medium and long term.

The recent financial crisis has only underscored this reality, with projects like the Olympic Village Project and the Port Mann Bridge Project now reverting to a largely publicly funded and financed project - transferring the so-called 'risk' back onto the public taxpayer, where it always laid.

Simply put, P3s are bad investments because they increase public costs in the long term, and reduce public oversight and accountability, under a cloak of "proprietary invisibility" that prevents taxpayers (who pay the bill) from discovering the real costs of delivering publicly-funded services.

At this point, noone has been able to prove that a privately-funded, built, and operated service has been delivered more cost-effectively and efficiently, in any jurisdiction where it has been attempted.

When we inject the profit motive into public services, within a prescribed budget line, the only available option is to reduce service levels, wages and benefits for the workers providing those services, to preserve the profit margins of the shareholders who invested in the enterprise.

It ain't rocket science... it's commense sense.

I've already written him

I've already emailed the Honorable Charlie Wyse.

The Williams Lake Tribune is a holding of Black Press. In its last editorial, the Williams Lake Tribune supported the Federal Conservative budget - I'd say that shows a greater bias toward the Provincial Liberals, wouldn't you?

I'll leave it to you to contact right wing buddies. I have no need to do your work. You brought the subject up. You're the one saying things about the Honorable Mr. Wyse.

Here's the latest article in the Williams Lake Tribune about the mine:

http://www.bclocalnews.com/bc_cariboo/williamslaketribune/news/38409179.html

No mention of Charlie Wyse. I do know that ED Deak has spoken about other mining operations in that riding that have been destroying the public roads by having heavy ore trucks drive on them through spring breakup.

At the end of the article, I find that one of the local commentors states that the land belongs to the Tsilhqotin people. If they wanted the mine to go through, I believe Mr. Wyse would be for the project as long as it is environmentally sound and good profits are made for the everlasting damage to the earth.

Perhaps he will write to us to explain.

Cost of borrowing

If a understood some recent news items, Millennium was not experienced with a project of this size. When no Canadian financial institutions or lenders would back the project, they went to Wall Street. Fortress would do it, but loan the money at 11%. Repeat, ELEVEN percent.

This is all VERY unusual. How come the lack of Canadian funders did not raise more of red flags? Did anybody on City Council or staff ask these questions? Why did our elected officials vote in favour of such a deal?

G WEST - Cost to evict (physically remove person & belongings)

A few years back, I had to help someone evict a bad tenant. You have to go through arbitration and get a court order and then proceed to hire a bailiff. Even with a court order, you cannot physically touch a tenant as it would be considered assault. The process could have cost $2500 to $3000 if the guy didn't move at the last minute. He knew the game.

By comparison, I have a friend who owns and rents a house in Ontario. She can evict someone, have them physically removed form the property, for $250, a tenth the cost!

Best Place on Earth (TM)? NO.

Wasn't this all somewhat predictable?

Of the 60% of voting Vancouverites who voted "yes" in the referendum that asked the public if they approved of the Olympic bid - uh, didn't you ever harbour an inkling before you voted that this could be financially a very risky venture? I did. That's why I voted "no".

Didn't you have some foreknowledge based on past history? A history riddled with repeated huge cost-overruns and long-term debt obligations for taxpayers. A pattern was already well established that might have acted as a warning.

You yes voters (and yes politicians)helped place Provincial and City taxpayers into financial jeopardy which may be difficult and painful to extricate from.

In return, we get to enjoy the "glory" of 2 weeks of winter circus entertainment with exorbitant live event ticket prices to boot. What a deal!

"Thankyou" "yes" voters and politicians.

City could have built it

If the city had some true leadership, they could have floated some bonds and built the project themselves. Usury need not have entered the Olympic Village project at all.

With this kind of project, it is not unheard of to hire a construction superintendent and a construction manager through a reputable construction management firm. A good project manager would have little trouble with a project of this nature; after all, the architecture is not overly complex. It would be his/her job to oversee the bidding process and to keep a core crew to keep the site moving. With a project of this nature, as time moves forward, the subcontractors become better able to meet deadlines and increase their pace as per bonus money being offered for quality work completed on or before quickening schedules. Incentives for good work and corresponding and equally necessary fines for inferior/behind schedule work are part of what helps a good construction manager meet and exceed deadlines.

Many corporations with as many buildings as Vancouver Incorporated builds and renovates often have their own contruction crews and equipment. Greater Vancouver area municipalities could think about developing their own quality construction company to take care of their own needs. The profit margins required by usurious "Investment" firms and banks would be of little worry to the city that floats its own bonds. The cash would be in hand as the buildings go up, and Vancouver citizens, themselves, could become bond holders, thus keeping the capital in the city. Perhaps there is even a legal way of giving a small premium to bond-purchasers who reside in the city, itself. Vancouver residents would certainly have more pride and self-satisfaction for being a part of building the city.

These are gloomy times

If Sam just came out like everybody else seems to have and said "we never saw the credit crunch coming" then I think that'd have been more palatable. This article shows the arrogance that belies his gentle exterior. The doomsayers are right unfortunately this time: even BCREA is telling us Vancouver real estate prices will drop 15% in 2009.

Sam Sullivan's PEF

Dear Sam, If the PEF is such a boon to Vancouver residents, then why are we shelling out so much money for the ugly mess, Olympic Village. You lied and concealed info from he public you were supposed to serve. It is obvious that quite a few pockets were stuffed with city cash over the Olympic Pillage. How's your bank account, sir?
- MysTerri