STUPID. Unbelievably, ridiculously, brain-dead stupid is the only possible way to characterize the decision by the Ramsey City Council to pay 361,000.00 for a failed, decrepit, soon to be seized for tax forfeiture, XXX bookstore and land. This has been proven true, because they sold it for 170,000.00, which is what the property was worth in the first place.
Meeting link: http://www.qctv.org/videoplayer/stream.php?id=2582
I’m not saying that selling for 170k is stupid. Paying 361,000.00 for it was. The council members who defended the original decision and price must be remembered and held accountable at every opportunity. John LeTourneau spoke out in defense of the deal and is the worst of the current majority, because of his total denial of any semblance of sound business practice. No one counter offered or negotiated with the seller, and they paid at least 100% more than the property was worth. Both LeTourneau and Backous said that the business will pay taxes to the city, and bring in 23 full time jobs. A number of 26k was mentioned. That figure is an estimate of ALL taxes paid to city, county and state, NOT what will come back to Ramsey. Ramsey will collect approx. 7,000.00 per year. At that rate, it will take over 20 years to recover the 191k. Wow, that sounds like a good return, doesn’t it? Are the council members spouting the job numbers expecting all those people who are working there now are going to pack up and move to Ramsey from where they live now? Of course not.
Later on in the meeting, Letourneau tries to claim that what the previous council did, buying land for Town Center, was land speculation. What he and the current council did with the XXX bookstore was exactly the same thing; pure land speculation, so shut your hypocritical mouth, Johnny.
Now, guess who the real estate broker was for the deal, selling the land to the city? Yes, the same guy who sold the XXX store and land to the city before. The only person who really benefited from the land sale (2 times) was the real estate broker.
Where did the 361k purchase money come from? It came from Anoka County, which collects it from Ramsey residents in their Anoka County tax levy, then stashes it away, to give back to the city at some point in the future. Why? Absolutely no good reason. It’s a very sneaky way to give the big spenders in Ramsey another source of money to waste on things which they think will make themselves look good. Council member Not one of these hypocrites would do a real estate deal like this if it were their money, but they are more than willing to do a deal like this with your money.
I wonder if that kid who is “Economic Development Manager” and ringmaster at the HRA meetings, knows how truly foolish he looks when he’s shoveling the BS propaganda during the presentations?
Reflections in Ramsey 