(November 14, 2004) — CATS' business plan faced plenty of scrutiny.

From state and city officials, who combined to invest $15.3 million in the vessel. From the Export Finance and Insurance Corp., an arm of the Australian government that provided a $22.5 million finance guarantee. From the German engine builder, MTU Friedrichshafen GmbH, which provided $6 million. From the Australian shipbuilder, Austal Ships, which invested $2.1 million. And from ABN AMRO, a Netherlands-based bank, that provided $33 million.

But many critics believe there still wasn't enough analysis.

"With hindsight, you'd have to say no," Rochester Councilman Brian Curran said.

Many with foresight also would say no.

Two years ago, the agency tapped to be the conduit for a $6.6 million state loan complained that CATS was withholding vital information about its finances and investors. At the time, though, ferry supporters dismissed those concerns, saying the motives of Bill Nojay, chairman of the agency — Rochester-Genesee Regional Transportation Authority — weren't pure because he had ties with a rival ferry operation.

"The consensus in Albany, Democrat and Republican, was to believe (Dominick) Delucia," Nojay said recently. "We warned them ... but the politicians so desperately wanted the project done, they were willing to look the other way."

"Delucia's secrecy was just not acceptable when asking for public funds," he added. "Worse, we felt that the little information he was giving us was either misleading or simply wrong."

But Delucia, founder and co-owner of CATS, recalls those concerns differently and said that CATS was open with the State Infrastructure Bank, the agency negotiating the loan deal. "The fact that the boat sits (at the port) is evidence that we had all the financing lined up that we said we had."

Bob Barbato, a management professor at RIT, said that Mayor William A. Johnson Jr. — the leading proponent for the project — was swayed by his desire for much-needed economic development and failed to analyze the project thoroughly. The state merely followed the city's lead.

But Johnson takes offense at being blamed, noting the project was analyzed by other investors who put up much more money than the city.

Gov. George Pataki's office would not comment about what went wrong, instead saying that the governor is hopeful that the service will resume.