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Talk About Tulsa => Development & New Businesses => Topic started by: patric on October 16, 2008, 11:21:41 PM

Title: TDA spends half its money on itself
Post by: patric on October 16, 2008, 11:21:41 PM
An audit finds the Tulsa Development Authority spends more than half it's budget on it's own salaries:
http://www.fox23.com/news/local/story.aspx?content_id=a21a5005-148b-4551-be92-37fb6ec59037
Title: TDA spends half its money on itself
Post by: Wrinkle on October 17, 2008, 09:15:03 AM
What'd you expect?

We need to get TDA out of the control of local development and put them where they were intended, a Federal/State operation to fund and recommend blighted area redevelopment.

TDA is NOT "Tulsa's Real Estate Development Arm" as quoted by the Tulsa World. It's a State entity, funded by both State and Federal funds.

...and, did I mention, they're not obligated to our City's ethics ordinance, and appear to have no intent of complying?

Title: TDA spends half its money on itself
Post by: Townsend on October 17, 2008, 12:16:48 PM
So does this mean that the TDA is busted or does it mean that because of the TDA the city of Tulsa is busted?

Is this a step forward to improving the situation or are we about to see trouble?
Title: TDA spends half its money on itself
Post by: carltonplace on October 17, 2008, 12:23:31 PM
Well the TDA certainly has inadvertently turned a spotlight on themselves due to their recent decisions. Maybe this will lead to an overhaul, but I doubt it.
Title: TDA spends half its money on itself
Post by: inteller on October 19, 2008, 07:58:23 AM
The TDA needs to go away.  it just provided a convienent way for the city to escape liability but we can see with the 7.1 mill krazy kathy payoff that wasn't the case.
Title: TDA spends half its money on itself
Post by: Wrinkle on October 19, 2008, 04:21:52 PM
TDA is a State agency, not City.

The city needs to rediscover its own EDC, who is supposed to be our real estate development 'arm'.

TDA is suppose to recommend and fund, not dictate and initiate.

Too much power given to the wrong entity.

Title: TDA spends half its money on itself
Post by: cannon_fodder on October 21, 2008, 08:25:59 AM
Well, something is wrong.

I guess if the State is running Tulsa's development it gives us some good excuses and segways nicely into our "OKC runs the State and gets all the benefits" rants.
Title: TDA spends half its money on itself
Post by: patric on October 21, 2008, 11:45:31 PM
Councilors are concerned the Authority is more of an impediment rather than a catalyst...

http://www.fox23.com/news/local/story.aspx?content_id=04ab5703-a5b0-4031-9387-3fc0428e7693

More fallout tonight over $1.5 million misused by a city department, according to an audit.  The city council now wants answers from the Tulsa Development Authority about business decisions that left taxpayers holding the bag.
Title: TDA spends half its money on itself
Post by: carltonplace on October 22, 2008, 01:09:05 PM
Yep, the TDA is not in a good place right now.

From the Tulsa World (//%22http://www.tulsaworld.com/news/article.aspx?subjectID=11&articleID=20081022_11_A11_Thecit494556%22)




The city must repay $1.5 million in inappropriately expended federal grant funds, and one city councilor wants those responsible held accountable.

"Somebody's head should fall for this," Councilor Bill Christiansen said Tuesday during a committee meeting.

The inspector general for the U.S. Department of Housing and Urban Development has found that the Tulsa Development Authority inappropriately expended Community Development Block Grants in its land acquisition, clearance and relocation activities from October 2005 through September 2007
Title: TDA spends half its money on itself
Post by: Conan71 on October 22, 2008, 01:49:05 PM
My prediction-

City writes a check and those responsible for the **** up will walk away without a blemish, just like Dick Stupidity on the Great Plains deal.

Title: TDA spends half its money on itself
Post by: inteller on October 22, 2008, 01:54:14 PM
quote:
Originally posted by carltonplace

Yep, the TDA is not in a good place right now.

From the Tulsa World (//%22http://www.tulsaworld.com/news/article.aspx?subjectID=11&articleID=20081022_11_A11_Thecit494556%22)






The city must repay $1.5 million in inappropriately expended federal grant funds, and one city councilor wants those responsible held accountable.

"Somebody's head should fall for this," Councilor Bill Christiansen said Tuesday during a committee meeting.

The inspector general for the U.S. Department of Housing and Urban Development has found that the Tulsa Development Authority inappropriately expended Community Development Block Grants in its land acquisition, clearance and relocation activities from October 2005 through September 2007



well step 1, don't reappoint Shahadi.

step 2, pressure the mayor to fire that loser Midget.  that guy is a louse on the tax payer dole.  This is the same loser who said that there is no neighborhood to save along Cherry Street, so let bumgarner and the boys do whatever they want.  Get rid of this yes man.

heads need to roll.

What is our payout count up to now?  not counting the smaller tort claims against the city, I'd say we are sunk 8.6 million dollars.
Title: TDA spends half its money on itself
Post by: carltonplace on October 22, 2008, 05:05:29 PM
Am I wrong for thinking it should work this way:

1. TDA recognizes and identifies blight
2. TDA purchases blighted area
3. TDA puts forth blight to developers for RFP
4. TDA accepts RFP and sells or leases blighted area to developer for marginal or handsome profit
5. Area is no longer blighted
6. TDA uses sale to go back to step 1.

Am I way off base? Did I read their mission statement incorrectly?

I think step 1 and 2 are occurring, step 3 sometimes and step 4, 5 and 6 seldom never.

Title: TDA spends half its money on itself
Post by: TheLofts@120 on October 23, 2008, 09:30:22 AM
Carltonplace...you're close.  Number 1 (blight) is actually identified by the City as part of an 'urban renewal area' that also incorporates an 'urban renewal plan' according to State Statutes.  Once identified, the urban renewal authority (TDA) can then move to acquire, remediate and dispose of the property for redevelopment.  

In most cases, the TDA must sell the property for fair market value (established by appraisal), especially is using CDBG funds.  Only if the property is to be redeveloped for low or moderate income purposes can the TDA sell the property below the established fair market value.  If they sell for fair market and there is a positive difference between what they purchased it for with CDBG funds and what they sell it to the redeveloper for, the TDA can utilize those revenues for their own operational expenses once the CDBG monies have been repayed back to the fund.
Title: TDA spends half its money on itself
Post by: patric on October 23, 2008, 11:25:18 AM
quote:
Originally posted by TheLofts@120

In most cases, the TDA must sell the property for fair market value (established by appraisal), especially is using CDBG funds.


Strike...

FOX23 (//%22http://www.fox23.com/content/flashplayer-localnews/story.aspx?content_id=B6273271-E772-431E-A8DF-3A03D1076B26&gsa=true%22) uncovered records showing the Tulsa Housing Authority paid half a million dollars more for the land than it was worth.  Now opponents want to know who may have profited.  THA officials call the notion of improprieties "unsupported".

Records show that in January of 2008, an arm of the Tulsa Housing Authority bought land at the corner of Yale & Admiral for $800,000.  But in 2007, the land was appraised at only $225,000.  The seller is listed simply as C&W 9600 LLC, but it's unclear who is behind that entity.

"Who did profit from the sale?" asks project opponent Julie Hall.  "That has been almost impossible to trace and that does raise a lot of red flags."

Officials at the Housing Authority say the seller has no ties to the project.

"The land purchase was the result of negotiations with an unrelated seller who demolished an existing building and graded the land prior to sale," says THA Commissioner Scott Zarrow.  "No one associated with the Mental Health Association of Tulsa, the Tulsa Housing Authority, or this project has any connection to the sale or will profit from that sale or will profit from this project at all."

Because of a possible lawsuit from project opponents, THA officials declined to comment on who the seller was or with what funds the land was bought.  But project opponents feel they deserve to have all the answers.

"This is a public authority and we deserve, as members of the public, to know that what they're doing is above-board," says Hall.

THA officials also said today they've been in open communication with Housing and Urban Development about this project.  But opponent Julie Hall says when she spoke to a HUD official, she was told that hud had no paperwork related to the project.  

Title: TDA spends half its money on itself
Post by: carltonplace on October 23, 2008, 11:40:25 AM
The TDA and the THA are the same organization or they are two branches of the same entity?
Title: TDA spends half its money on itself
Post by: inteller on October 23, 2008, 07:40:24 PM
quote:
Originally posted by patric

quote:
Originally posted by TheLofts@120

In most cases, the TDA must sell the property for fair market value (established by appraisal), especially is using CDBG funds.


Strike...

FOX23 (//%22http://www.fox23.com/content/flashplayer-localnews/story.aspx?content_id=B6273271-E772-431E-A8DF-3A03D1076B26&gsa=true%22) uncovered records showing the Tulsa Housing Authority paid half a million dollars more for the land than it was worth.  Now opponents want to know who may have profited.  THA officials call the notion of improprieties "unsupported".

Records show that in January of 2008, an arm of the Tulsa Housing Authority bought land at the corner of Yale & Admiral for $800,000.  But in 2007, the land was appraised at only $225,000.  The seller is listed simply as C&W 9600 LLC, but it's unclear who is behind that entity.

"Who did profit from the sale?" asks project opponent Julie Hall.  "That has been almost impossible to trace and that does raise a lot of red flags."

Officials at the Housing Authority say the seller has no ties to the project.

"The land purchase was the result of negotiations with an unrelated seller who demolished an existing building and graded the land prior to sale," says THA Commissioner Scott Zarrow.  "No one associated with the Mental Health Association of Tulsa, the Tulsa Housing Authority, or this project has any connection to the sale or will profit from that sale or will profit from this project at all."

Because of a possible lawsuit from project opponents, THA officials declined to comment on who the seller was or with what funds the land was bought.  But project opponents feel they deserve to have all the answers.

"This is a public authority and we deserve, as members of the public, to know that what they're doing is above-board," says Hall.

THA officials also said today they've been in open communication with Housing and Urban Development about this project.  But opponent Julie Hall says when she spoke to a HUD official, she was told that hud had no paperwork related to the project.  





when the names behind that shell company are found out, the money trail will be easy to follow.

Somewhere shredders are smoking and sputtering from being over worked.
Title: TDA spends half its money on itself
Post by: TheLofts@120 on October 24, 2008, 09:13:04 AM
Actually Patric its not a strike...

The TDA is the Tulsa Development Authority and the THA (associated with the 10 N. Yale project) is the Tulsa Housing Authority.  They are two very distinct and separate entities.
Title: TDA spends half its money on itself
Post by: Wrinkle on October 24, 2008, 01:12:27 PM
Besides George Shahadi, as Director, who can name the other members of TDA?

...we really should know who they are.

Title: TDA spends half its money on itself
Post by: TheLofts@120 on October 25, 2008, 10:38:35 AM
TDA other Board members are:

Carl Bracy - Chairman, works for an insurance company, State Farm I think
John Clayman - Commissioner, works for the Fred Dorwart law firm that drafted the Tulsa Stadium Trust with the City
Paula Bryant Ellis - Commissioner, works as VP of Community Development for BOK
Julius Pegues - Commissioner, Worked for the FAA and sat on the Tulsa Airport Authority under Susan Savage
Title: TDA spends half its money on itself
Post by: Hoss on October 25, 2008, 10:48:13 AM
quote:
Originally posted by Wrinkle

Besides George Shahadi, as Director, who can name the other members of TDA?

...we really should know who they are.





Shahadi tendered his resignation yesterday and withdrew his name for re-appointment.

http://www.tulsaworld.com/news/article.aspx?articleID=20081025_11_A11_hHehas233862

Title: TDA spends half its money on itself
Post by: patric on October 25, 2008, 11:41:00 AM
quote:
Originally posted by TheLofts@120

The TDA is the Tulsa Development Authority and the THA (associated with the 10 N. Yale project) is the Tulsa Housing Authority.  They are two very distinct and separate entities.


My mistake then, I couldnt find what I thought had  read...
Title: TDA spends half its money on itself
Post by: Wrinkle on October 26, 2008, 12:01:23 PM
quote:
Originally posted by TheLofts@120

TDA other Board members are:

Carl Bracy - Chairman, works for an insurance company, State Farm I think
John Clayman - Commissioner, works for the Fred Dorwart law firm that drafted the Tulsa Stadium Trust with the City
Paula Bryant Ellis - Commissioner, works as VP of Community Development for BOK
Julius Pegues - Commissioner, Worked for the FAA and sat on the Tulsa Airport Authority under Susan Savage



Thanks. I'd imagine these will appear frequently in upcoming issues of TW, so we'll now know them when we read them.

Follow the money.