As long as the Hennepin County Commissioners are discussing public financing
for a Twins stadium, and local officials are in on the conversations, I
suggest we open up the competition-- after all, this is mpls.issues list.
Lets look at some real opportunities to foster local economic development.

While the Hennepin County Commissioners are at it, why not have the public
finance some nice new downtown Mpls. office and warehouse space, and then
invite all the local and out-of-state entrepreneurs in to set up shop.
After all, they would create all kinds of local jobs and those folks would
then pay taxes, buy lunches/dinners at nearby restaurants and multiply the
benefits throughout the local economy... many times over-- right?  All kinds
of synergies.  Maybe even pull in some international architectural design
teams to compete for the commissions.  Lure entrepreneurial tenants from
around the state, maybe even the region.  Maybe the Mpls. City Council would
even kick in some funding, since the voters haven't yet voted down such a
concept via a local referendum vote-- might as well leverage some local
money in the process.

Sounds like a real deal!  Sign me up.  I could use a nice new office with
subsidized rent, new furniture and plenty of nearby parking...  I could even
reduce my rates and undercut my non-metro competition, since the taxpayers
would be paying/subsidizing/securing my rent.  Of course if I had the only
business of its type in town, I wouldn't have to cut my rates-- I could hire
the best talent around (thanks to my low rent), expand and become another
proverbial fat-cat, join the national association, and buy season seats and
boxes in the local sports stadia!  Oh yeah, and if I broke my lease for some
reason, or just dropped over dead, and another prospective tenant didn't
like the (public's) lease terms, the public would just have to refinance the
deal... make those terms a little more attractive to those hard-to-lure,
shrewd entrepreneurs.  After all, why would they move in if there wasn't
some financial reason/incentive to lure them?

Mpls. could become the small business hub of the Midwest in no time-- jobs
galore, with new taxes flowing to state and local government.  Local
colleges and universities would join the fray and entrepreneurship classes
would be offered on every street corner; with SBIC's and SSBIC's, SBDC's,
CDC's and micro-lending agencies located in every neighborhood.  And what
better way to leverage our tax dollars?  So what if local lenders don't like
the idea-- let them in on the real estate and bonding deals, that should
placate them.  What a way to grow the local economy.  Why haven't we thought
of this before? [Case One- Scenario 2 in this saga involves use of tax
increment financing in a very innovative manner.  Scenario 3 involves
municipal competition within the county for all these entrepreneurs and new
jobs, Scenario 4 moves to multi-county competition, and Scenario 4a pits
Mpls. against St. Paul in the competition.  I'm still working on the
sensitivity analysis under varying economic conditions, but it looks pretty
good.  My cash flow projections seem excellent under all scenarios.  Case
Two is beyond the scope of this post.]  Call today for help with your
business and marketing plans, proforma financials, etc.

It's been said that there's a sucker born every minute.  Just what economic
development scenario is being peddled here?  And who are the suckers?  The
taxpayer's/voter's voice should be heard and heeded... since it sounds like
they are again being asked-- no they are being told- to foot the bill (this
on both sides of the river).  All this, while our schools are closing and
public budgets of all ilk are being cut.  Where are our priorities?

Michael Hohmann
13th
www.mahohmannbizplans.com

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