-----Original Message----- From: David Wilson [SMTP:[EMAIL PROTECTED]] Sent: Monday, September 09, 2002 7:49 AM To: mel Cc: '[EMAIL PROTECTED]' Subject: Re: [Mpls] Re:Waiting for tomorrows City's Cash Statement for 2001 by Vicky H. The outrage is at the federal level and that is where the discussion should be directed. The example that you consistently use--constructing apartments for $120,000 each by nonprofit developers, when private sector developers could do it for $65,000 each--is only part of the story. [Mel]>>>>>Yes, but it is the main part. Is it wise to pay $6 for a $3 gallon of milk?? [Mel] >>>>>Mpls. developers not only Mug the Federal treasury, they also Mug State and Mpls. treasuries at the same time. This increases your taxes and my taxes and the taxes of all renters, right here in Mpls. This "chorus" doesn't mention that the apartment developments in question are funded with Low Income Housing Tax Credits. (I stress here that the funding mechanism is in the tax code under control of the Department of Treasury, not the Department of *Housing* and Urban Development). [Mel] >>>>>Shouldn't that make them less expensive??? The nature of tax credits makes the program much more expensive because of the need for a lot of expensive legal work, the requirements of Davis Bacon labor laws, and most importantly, the demands of the investors to get as much benefit from the program as possible. Sadly enough, this drives the costs way up. [Mel] >>>>>So why do it??? So if you want to build apartments in Minneapolis using one of the few remaining federal housing subsidy programs, then the costs are going to be greater than developments that don't use subsidies. [Mel] >>>>>So why do it??? Why pay $6 for a $3 gallon of milk??? Your refrain always blames the local nonprofit developers for this situation. This is unfair. It is just like blaming dairy farmers for using federal subsidies to produce milk. [Mel]>>>>>Good point and look where it got them!!! In partnership with the city of Minneapolis and its MCDA the nonprofit developers build much needed subsidized housing. You blame them for using one of the only tools available to them. [Mel] >>>>>If it costs twice as much, you can only get 1/2 as much for your dollar. Why don't you direct your arguments at the federal level and move the needle from its stuck groove. There is a lot we can do in Minneapolis at the local and regional levels to find alternatives to such expensive subsidy programs. In spite of your displeasure with the current system, the need for subsidized housing continues and will continue to exist for the forseeable future. [Mel]>>>>>Subsidized housing didn't work in Russia. If a couple got a divorce in Russia they had to remain together for years after their divorce before an apartment became available. If you must subsidize THINK (Rent Stamps, less cost more choice). As that mid-to-late twentith century philosopher, Craig Miller, always says (to paraphrase): Don't blame the building! [Mel] >>>>>He is a wise Man, listen to him... David Wilson Loring Park On Sun, 8 Sep 2002, mel wrote: > There still is hope for Mpls. when citizens like Vicky Heller, > Eva Young, Craig Miller, Keith Reitman & others take the time > to watchdog and speak out. > > As a housing provider, the City has conscripted me to collect (Mug) > more taxes and fees from renters yearly. All this so that they can > spend willy nilly and share their ill-gotten extortion's with their buddies, > in form of favors, sweetheart contracts, grants, land,low interest loans, appointments, variances etc. > > Example: > > Non-profit Developers who build $65,000.00 apartments at a cost of > $120,000.00 to $255,000.00 per apartment. > > Just to pay their principal and interest, without any expenses, exceeds > the total rent charged by the private sector housing providers in most cases. > > Sorry, but I believe the City could be run on the waste only. > > ????? Where is the outrage ????? > > Mel Gregerson CAPS > Housing Provider since 1960 > So. Mpls. > _______________________________________ > Minneapolis Issues Forum - A Civil City Civic Discussion - Mn E-Democracy > Post messages to: [EMAIL PROTECTED] > Subscribe, Unsubscribe, Digest option, and more: > http://e-democracy.org/mpls > _______________________________________ Minneapolis Issues Forum - A Civil City Civic Discussion - Mn E-Democracy Post messages to: [EMAIL PROTECTED] Subscribe, Unsubscribe, Digest option, and more: http://e-democracy.org/mpls
