Tulsa really getting screwed on city hall deal...

[OklahomaTuba]

Good Jorb Kathy!!


The new City Hall isn't living up to the financial model pitched to the City Council when a majority agreed to its purchase in 2007.

Instead of breaking even, it is costing the city $1.2 million this year for its new home, councilors learned Tuesday.

Councilors said they were told that by consolidating City Hall into a single building, the city would pay no more than it had been paying for offices in several buildings prior to the move.

"When you strip all of the veneer away the new City Hall isn't working out the way it was supposed to," said Councilor John Eagleton, the only current council member who voted against the purchase.http://www.tulsaworld.com/news/article.aspx?subjectid=334&articleid=20090826_11_A1_Tulsas936591&allcom=1

[StoopTroup]

I know the Fire Dept wasn't thrilled with her move however they got used in order to give Kathy her way. City Hall was going to eventually need to move Tuba. The old Building was a ****hole. It may cost more now...but I bet it would have been even more later on down the road.

Just a thought.

Why bash on her anyway...isn't she ending her reign of terror?

[NormanPride]

Finance Director Mike Kier said after the meeting that the financial situation isn't "horrible, but it's not the best either."

During the meeting, Kier pointed out that the difference between the total operating expenses versus the financial model is about $650,000, not $1.4 million. Martinson said he wanted to see more information to support that.

Kier told the council that the total difference between expenses and revenues is $1.26 million, a cost factored into this fiscal year's budget.

If necessary, the city can fund that level through fiscal year 2012, Kier said.

The council was told that the increase in costs can be attributed to a host of factors, including building operation, safety and security, elevator maintenance, washing the windows of the glass-encased building, increases in utilities, replacement or repair of high-tech equipment, and the downtown assessment fee.

The decrease in revenue boils down to the city's inability to lease out additional unoccupied space in the building, Kier said.

The financial model was based on leasing the unoccupied space.

More info.

[JohnnyMack]

The decrease in revenue boils down to the city's inability to lease out additional unoccupied space in the building, Kier said.

The financial model was based on leasing the unoccupied space.

Commercial real estate is only going to get worse.

[NormanPride]

Well, I've seen some life downtown since city hall moved and the BOk center opened. Hopefully more stuff will open up, and the downtown area will begin to develop again.

[OklahomaTuba]

It may cost more now...but I bet it would have been even more later on down the road.Given the ability of the people running Tulsa to forecast future costs, I'm more than certain it will cost more later no matter what happens now.

I think if this kind of mistake happened in "the real world" it would result in getting someone fired.

[JohnnyMack]

Well, I've seen some life downtown since city hall moved and the BOk center opened. Hopefully more stuff will open up, and the downtown area will begin to develop again.

Oh I agree it'll turn around. It may take a while to approach profitability, but eventually it'll become a break-even or better. Whether or not it can ever make enough to offset the losses its incurring now I'm not so sure about.

[StoopTroup]

Given the ability of the people running Tulsa to forecast future costs, I'm more than certain it will cost more later no matter what happens now.

I think if this kind of mistake happened in "the real world" it would result in getting someone fired.

Not if it was decided by Committee.

Somebody would have gotten promoted and given a bonus. :pop:

[badger]

It was an ill-timed purchase. The old city hall (not to be confused with the older city hall, next to the defunct fountain by civic center and the courthouses) was not going to last much longer without renovations or at least windows that would at least withstand some Oklahoma weather better.

I think it was probably too big of a purchase for the city to make all at once, but the timing just made it out to be worse.

In any event, this topic is sure to be beaten more than a dead horse since it's an election year. Any candidates call "dibs" on "I voted for it before I voted against it" or "Kathy lies, tax dollars die?" ;)

[StoopTroup]

^^THIS^^

DA Badger know

[badger]

I live here, so I know a little bit about Tulsa, but I am not close to the issue, other than knowing people that work at One Tech Center.

My post is just MHO, that's all. Perhaps the decision will look better if the economy turns around and the building gets more paying tenants. Based on the first year, however, a $2.1 mil loss in a year where city government where employees from secretaries to police officers are getting furloughed (that's a big word for unpaid vacation, heh) does NOT look good.

On the opposite side of the spectrum, the BOK Center has had very nice returns in its first year. Read here (http://www.tulsaworld.com/news/article.aspx?subjectid=334&articleid=20090427_11_A1_Tulsas804632&archive=yes) or here (http://www.tulsaworld.com/news/article.aspx?subjectid=350&articleid=20090726_11_A1_TlasBK664159&archive=yes) for more on that.

If you're lazy or just don't like clicking links because you're afraid I'm redirecting you to a rick rolling, the BOK Center had $1.1 mil in profits in year one... $2.8 mil in sales tax revenues.

So, there you have it - one building profits, they other one plunges. But, hey, that's the economy for ya.

[Breadburner]

I actually think the move to this particular building was one of her better accomplishments....It will just take some time for it to pan out....The old ****ty Hall was just that.....

[OklahomaTuba]

On the opposite side of the spectrum, the BOK Center has had very nice returns in its first year.This really surprised me. I honestly admit that I did not think that the arena could do this well given the many examples of ineptitude that the city of Tulsa's government has been so good at over the years.

I still suggest the arena should have been built near where the baseball stadium is going, or at least attempts made to build both venues next to each other to develop a "district" that is walkable and dense. For once though, I am really glad I was wrong about the Arena. Hope they can keep it up and get the rusting on the outside fixed.

But it is a tragedy that so many city employees are being furloughed while the city is paying dearly to give Kathy Taylor a nicer office.

[Jello Biafra]

*yawn*

you guys always have your "culture" to fall back on....

[badger]

*yawn*

you guys always have your "culture" to fall back on....

What does Yukon have to fall back on :D

[StoopTroup]

I bet we could turn City Hall around if Paul McCartney would do a concert there.

[picasso]

What does Yukon have to fall back on :D

a Garth Brooks water tower.

[Jello Biafra]

a Garth Brooks water tower.

garth who?

for what it's worth, i'm there for the education or the education of my chitlins. i was not born there and certainly didnt even know the place until about 6 years ago. all in all, its a quiet community. a perfect place for me to plan my world dominance. ;)