Page Fifty-One 

04 JANUARY 2006

 

 

Those media darlings... 

There's a distinct pattern of ferry coverage by the local media on the internet.  For example, WROC-TV has been publishing classic muckraking aimed at rousing the locals into a frenzy of outrage.  Their phrasing, accentuating sobering facts and couched editorial license is noted.  And appreciated.

Facts do not lie.  Sometimes numbers speak louder than words.

WROC 8 Rochester HomepageFerry terminal costs mounting
 

1/2/2006 10:00 PM
(Rachel Barnhart, WROC-TV)

The City of Rochester built the ferry terminal for $16 million, and continues to subsidize its operation, according to documents obtained by News 8 Now through the Freedom of Information Law.

The financial information, compiled by City Hall staff, shows the city has spent a total of $458,000 since mid-2004 on running the terminal, far more than the $1 per year it collects in rent.  ('Far more' is accurate... but also adds a not-so-subtle nudge to the reader when a simple 'more' would have sufficed.)

The city has spent $145,000 on RG&E bills, $101,000 on security, $79,000 on maintenance, and $54,000 on insurance. There was a $625 bill for last April's wind damage to the sliding glass doors, a $1,650 sprinkler repair and inspection, $2,077.98 in telephone bills and $103.50 for pest control. (Excellent breakdown.  Setting rat traps, are we?)

The city cannot offset its costs using rent from the shops at the terminal. The retail space is controlled by Maplestar, a subsidiary of CATS, the former ferry owner and operator. CATS leased the entire terminal from the city in 2001 for 40 years at a $1 per year. The lease was contingent on CATS operating a ferry, and the rent was supposed to help CATS offset expenses. When CATS shut down the ferry, it was evicted. But Maplestar's $1 per year sublease of the retail area survived, because of a non-disturbance agreement the city secretly signed with the company in 2004. The city maintained Maplestar could not recruit tenants without the agreement.  ('Secretly' is not needed.. except to stir up some ire.)

It's not clear if Maplestar has helped pay any of the city's terminal expenses. The city's new Corporation Counsel, Tom Richards said he plans to review the situation.

"It stuck in a lot of people's craw. I understand that, but that's a given. That's how it came to us," Richards said. "We're going to have to see what is fair here, and what we can do about it."

But Richards said the Maplestar lease is not tops on his agenda. "However much this may annoy people, it's not on the top of the priority list," he said, adding that the more pressing issue is deciding whether and how to fund the ferry this year. "There are much bigger dollars, much more of an ultimate risk for the city than the Maplestar lease, however offended someone may be by it."

Council Probe? 
       
"It appears as though Maplestar is reaping the benefits and has very little responsibility for maintaining the facility," said former City Councilman Tim Mains, after News 8 showed him the terminal operating expenses.

Mains and other council members were outraged when News 8 first exposed the lease deal last May. (Confirming their status as stirrers of nitrogenous waste.)  In June, council approved hiring a lawyer to investigate the situation and see if there's any way to get out of it.

The council probe is far from over. In fact, council members tell us it's just beginning. They say Council President Lois Giess has had trouble finding a qualified local attorney whose firm did not work for CATS at some point. (So why hire a local attorney?)

"I don't understand why we couldn't have managed to hire an attorney within a fairly short amount of time. I'm frustrated," said Mains.
             
Giess did not return a call for comment Monday.

My goodness.  WROC-TV wasted no time playing up the $40/40-year lease arrangement with Maplestar.  It's been beaten to death for the past few months and has gained all the mileage it's going to get.  But the ferry terminal cost breakdown is as revealing at it is pathetic.

WROC-TV 's unpolished and unsophisticated exteriour may be forgiven by its dogged unabashed criticism of the ferry project.  Not exactly unbiased but definitely not trying to paint a rosy picture to pretend all is well... the bitter truth is still better than some saccharine Pollyannish outlook.

So what we have here is a $458,000 bill to light and heat some place which sells sushi and subs.  Now we're being told not to worry about that, we've got more important things to worry about such as how to avoid defaulting on the loan.  Yeesh.  What mess.

An extension on the due date of the homework is hereby granted:

 
37º | Hi 41º / Lo 29º |
 
Postponed: No Duffy call on ferry this week
Brian Sharp
Staff writer

(January 3, 2006) — The fate of the high-speed ferry will remain undecided until at least next week as city leaders said today they were postponing action yet again.

City Council President Lois Giess said she offered Mayor Robert Duffy more time, and Duffy said he gladly took it. A tentative timeframe had the mayor deciding on a proposal to borrow another $11.5 million and meeting with City Council on Thursday.

The money is needed to ensure a full season for the ferry, which exhausted its reserves after a delayed, mid-season start-up in 2005.

Duffy had maintained, as late as early this afternoon, that he was prepared to make a decision by week’s end. Instead, he will take the time for private sessions with Giess, City Councilman and ferry board president Benjamin Douglas and Bay Ferries’ leadership, among others.

“We are just going through that process of learning, understanding it,” Duffy said. “I’m not trying to signal anything to anybody. … I certainly understand the urgency.”

Douglas said further delay puts the project in further jeopardy, particularly when it comes to marketing the ship in Canada.

Mayor Bob says, "I'm ready to kill this thing"; Lois says, "No, wait.. we can convince you otherwise" and Ben says "Don't wait, we need the cash now".

EFIC and Bay Ferries are getting both nervous and impatient with the whole thing.

Part of the Rochester area says, "Pull the plug"; another part says, "Give it a chance" and another part says, "Here's my idea".

Toronto and Canada, having long since stopped paying attention, says "Do you guys have the foggiest notion of what you're doing?"

And meanwhile, there's a five-storey floating behemoth rusting very nicely and losing value while generating zero revenue along with a whole lot of ill-will.

Does that about cover it?

[News]
Tuesday   January 03, 2006
 
[Ferry Funding Vote Delayed Again]
 

Ferry Funding Vote Delayed Again

 

by R News staff

Published Jan 03, 2006

A crucial Rochester fast ferry funding vote has been delayed a second time.

Rochester city council and mayor Bob Duffy agreed to postpone the vote until later this month.

Council was to consider an $11.5 million dollar bonding plan to finance ferry operations in 2006 a few days before Christmas.

In the days before he took office, Duffy asked council to wait for his administration to measure the plan before voting.

City Council approved the bonding, but agreed to hold off on finalizing the sale of the bonds until Friday, January 6th.

Tuesday, the mayor asked for more time.

Duffy says the delay gives his administration more time to decide whether it's worth it to keep the ferry going.

It also impedes planned efforts to market the ferry in Canada and meet some ferry financial obligations. The operation exhausted a $10 million line of credit in 2005. (First, it might be better to decide whether the ferry service is going to make it or not.  Selling a doomed service is yet another waste of money.)

The ferry board’s president has been adamant about the urgency with which city leaders need to decide on ferry funding.

“Everytime we delay, it puts more jeopardy to the project. That has not changed,” ferry board president Ben Douglas said. “But the situation is such that you can not go forward with just one party.”

“It's a decision that nobody wants to rush. We also understand the financial urgencies. But everybody wants to come together to make the best decision,” said Duffy.

Duffy had his first conversation with the management at Bay Ferries Tuesday. The mayor informed the company running the ferry about the funding vote delay.

No date has been set for council’s consideration of the bonding plan.

Duffy has also yet to announce his appointments to the ferry board. It guides the business end of the Rochester-to-Toronto ferry service. (Wanted: City Councillors who'll agree to can the ferry project.  Previous experience not necessary.)

"Duffy had his first conversation with the management at Bay Ferries Tuesday. The mayor informed the company running the ferry about the funding vote delay."

AND???  What was Bay Ferries' reaction??  It's pretty dangerous to take the operator of the ferry service for granted and assume they'll be around to fire up the engines when needed.  Bay Ferries is watching its profit margin shrink by the day over the Toronto-Rochester route; right now, it's not getting paid.  Telling Bay Ferries to 'sit tight and don't worry' may work for a while but eventually, any responsible business is going to say "Enough of this crap.  We're through with being jerked To next page around".    If Bay Ferries quits, it's going to be tough to find another operator who'll put up with the nonsense.  Word gets around.