Wednesday, March 26, 2008

What's Your Vision?

Sometimes two different stories tell you a lot about a community, its’ people and the way they view the world. Take for example these stories from the Herald-Leader.

First, need for greed in downtown Lexington:


Business owner Joe Rosenberg has filed for demolition permits for four buildings on South Limestone, in the block where a 40-story hotel and condominium complex have been proposed, while activity among preservationists has increased to save the historic structures on the block…….

About a dozen historic structures are in the block bounded by Vine, Main, Upper and Limestone streets.

Then there is the story of one woman’s vision in Frankfort:

The look and feel of a nostalgic older neighborhood is what Kathy Carter wanted to create. She owns and has renovated eight of the homes along the historic street.

”I knew I wanted a neighborhood where people could sit on the porch and talk to each other,“ said Carter, who also is a city commissioner. ”It's not just a rental place; it's a home.“


Think about it.

Jim, How Much Does It Cost?

Jim Newberry doesn’t seem to get the dollars and cents side of government.

From the Herald-Leader:

Mayor Jim Newberry on Tuesday announced details of the Lexington First Fund, which would provide taxpayer-subsidized scholarships to any public or private Lexington high school graduate who wants to major in certain fields.

Everyone agrees it’s a good idea.

"Ten or 15 years from now when we look back on this day, we're going to know that this city changed because of this initiative," said Stu Silberman, superintendent of Fayette County Public Schools….

The scholarship program will contribute to the effort of doubling the number of bachelor's degree holders in Kentucky to 800,000 by 2020, said Brad Cowgill, interim president of the Kentucky Council on Postsecondary Education.

(Remember Cowgill is the former Fletcher Administration State Budget Director that ran for cover at Council on Postsecondary Education and was a major player in creating the current budget crisis in Frankfort.)

Having a skilled, educated work force gives Lexington an advantage in starting and growing small entrepreneurial businesses, said Bob Quick, president and CEO of Commerce Lexington.

But the problem here is the Lexington-Fayette County government is facing a budget problems and Newberry admits he really doesn’t have any idea how much this program is going to cost.

It's unclear how much the program would cost the city. That depends on the number of students who choose one of those subjects and decide to attend a local college or university, Newberry said.

The program would be funded through city dollars and donations and would be administered by a contractor.

Before Newberry starts a program with possibly unlimited costs he should answer some of Councilman Ed Lanes questions.


Why is Lexington short on funds when its growth in revenues has been so robust?

Why are salaries for some of Lexington's public safety and regular employees below those paid by other cities, state and federal government agencies?

Why does Lexington's rainy day fund have only $6 million when Louisville's has over $60 million?

Why does Lexington spend $1.25 million to condemn the local water company but only invests $50 thousand annually in Commerce Lexington to promote economic development?


Why has your local government failed to upgrade its financial controls over the expenditure of the taxpayer's money? The LFUCG's current accounting system uses obsolete software that is no longer supported or updated by its initial provider.

Why has our local merged government not been restructured to improve its productivity and cost effectiveness?

Why have very few non-essential government services been outsourced to private businesses?

Why is the firefighters and police officers pension account under-funded by $137.7 million?


Apparently Jim Newberry is a little long on the feel good part of politics and a little short on the nuts and bolts part.

I’m all in favor of giving scholarships but Mr. Mayor how much is thing going to cost and how are you going to pay for it?

Kentucky Homeownership Protection Center

Sometimes our legislators pass a bill that is designed to make it look like they are doing something when they are just hauling out the smoke and mirrors.

House bill 552 has that look:

The bill creates a new chunk of bureaucracy to help people who have made bad real estate deals, but here is the red flag for me.

This new agency is allowed solicit grants from the private sector, nonprofit entities, and the federal government. The agency can also contract out all of the services it offers.

Does that mean the agency will be funded by solicited money?

Is there and appropriation in the budget to fund this agency or is this just one of those places in state government where someone gets an Executive Director Title and pay but no funding or staff to do the job?

Is this a way of providing a nice state funded contract to someone?

Maybe I’m just missing the legislative brilliance of this bill, but I just don’t see how creating this agency is really going to help someone in the middle of foreclosure.

Here are the first few paragraphs of the bill:


(1) There may be established, as part of the borrower education initiatives established by or through the Kentucky Housing Corporation, a Kentucky Homeownership Protection Center.

(2) The purpose of the Kentucky Homeownership Protection Center shall be to:

(a) Provide a centralized location for information on public services made available by federal, state, or local government or community entities, to assist a homeowner who is in default, or in danger of default, on his or her home loan; and

(b) Attempt to assist, any homeowner who contacts the center without cost to the homeowner, with the goal of:

1. Providing a homeowner with information, including toll-free telephone numbers for public services, made available by federal, state, or local government or community entities, including programs such as NeighborWorks and Don't Borrow Trouble, mortgage assistance programs, home repair assistance programs, and utility assistance programs;

2. Determining if the homeowner has contacted his or her lender regarding any default or danger of default; and

3. Providing a homeowner with counseling agencies approved by the United States Department of Housing and Urban Development that may be able to assist the homeowner.

(3) The Kentucky Homeownership Protection Center may enter into an agreement with any public or nonprofit entity to carry out any part of the mortgage foreclosure counseling and education program.

(4) The Kentucky Homeownership Protection Center may solicit contributions and grants from the private sector, nonprofit entities, and the federal government to assist in carrying out the purposes of this chapter.