I'm noticing a trend......

I read the real estate transactions weekly and I've noticed 2 things:

1. There's a lot less of them

2. If you have a house 200 grand or more, good luck in selling it.

Out of today's 50 transactions, 10 of them are for 200 grand or more. This has been going on for a while and probably will continue. Great time for 1st time buyers, though.

The trough is open........

The City Council has decided it's now acceptable to take federal money to give to a private charity so they can fix their roof. I respect all that the Center for the Prevention of Abuse does for this community but this is a bad precedent to set. I'm curious how the city will refuse stimulis funds for the next charitable organization that comes along.

Why did Gulley suddenly change his mind on this? Kudos to Gary Sandberg for voting no on this.

I really have to scratch my head about how things are prioritized in this city.

Let the Games begin.........

So after reading the Pundit and Merle's blogs, it seems some "Vote No" signs are somehow being destroyed. One commenter on C.J.'s blog says maybe it was the wind.

Yea. Maybe. Click on the links to read for yourself.

Great job by Billy discussing how the city is trying to take funds previously targeted for drainage repairs on the South Side to give to a local private charitable organization to fix their roof. Wow.

Congrats "Build the Block"ers(?).....UPDATED

I think the no vote will be more than expected, but this is going through.

On the plus side, a lot of construction workers will be going back to work. On the down side, IMO, this will be the next White Elephant of the downtown area. It might go bonkers for 2-5 years, then the newness factor will wear off. Then they can sell the naming rights to the O'Brien Automotive Group or put up some cell phone towers for an additional revenue stream.

I hope everyone is just as excited when the tax increase for the sewer upgrade comes along.

UPDATE: I've been talking to quite a few people about this. One of these was a person whose place of employment really is hoping this happens, and he's not so confident. Other people have said flat out that this is not the time to do this.

And most importantly, my wife said it's not going to happen.

I'm starting to change my mind about the outcome.

Today's PJStar article....

http://www.pjstar.com/news/x1727716867/Museum-critics-get-their-say

As the late Paul Harvey used to say: "And now, the rest of the story...."

2 things from this article:

1. The people behind this wonderful, city-transforming project haven't even decided on an admission price. SO HOW CAN THEY GIVE ANY FINANCIAL PROJECTIONS?

2. This project, even if the referendum is passed, is still 11 million dollars short? Huh? It sounds to me like someone is waiting in the wings with a rather large donation.

Well, at least it seems well thought out. Exhale.

Here's an interesting post from the comment section of PJStar:

Here we go again!
The powers that be in the fine city of Peoria and the 'Big Yellow' (Caterpillar Tractor Co) want to improve our riverfront. With a new museum and a welcome center for the Tractor Co. A 136 million project! Cat just announced huge assembly layoffs and Management 'pay cuts'. And if you are living on the BIG BLUE PLANET we are in something called a global recession Now the fundamental thinking for this is to dump monies into the economy! Into our Infrastructure (look at Il. roads after this weather and you would say START RIGHT NOW!) I believe this is the way to go in some fashion. But to put into place a project that will cost the taxpayers for years to come is crazy! Backers here want a Museum bailout package to quote the local paper!

How I see it:

This project should break even in less than 2 years with >= 12% ROIC (Return On Invested Capital). That's pretty normal thinking in competitive business today (even inside companies it's a competitive environment to get capital). This proposal doesn't look terribly attractive financially and wouldn't get approved and funded at most companies or from any local or state government.
Even if you accept these estimates as facts, the benefits of $7 Mil to $14 Mil annually to the community with a project cost of $136 Mil means that this opportunity breaks even in 10-19 years and over 40 years it would return between 5.3% and 11.5% on the $136 Mil originally invested.

Cost of Project
$136,000,000

Annual Benefits Rate of Return Break Even on Cash Flow (yrs.)
Low Estimate $7,000,000 5.3% 19

High Estimate $14,000,000 11.5% 10

Consider that:

** public projects more frequently run over budget and take longer than planned and
** the projected benefits, which have a wild margin of error of +/- 33%, are clearly SWAGs.

Also think about the long term implications of using public money to create this block. What's the 'future value' of this investment at year 40? In 40 years will the Journal Star headline read 'Estimate of $150 Mil in tax dollars needed to revitalize the block'? Even if it's not 100% public funded today, do the tax payers of Peoria get stuck footing the bill when the commercial space is vacant? I'm sure the grandkids would like to crawl all over amazing big yellow pieces of equipment; but the price of admission for them is much bigger than the amount on the board at the ticket booth.

I'm not saying that you shouldn't donate more to this project (remember you already gave YOUR MONEY that the politicians donated on your behalf in public funding); but make sure you have a good reason why.

As an alternative, if I had $136 Mil in public and private money to spend on helping the Peoria economy, I'd provide loans to small and medium enterprises to start new businesses and create jobs. And If I was good at it, most of my loans would be repaid with interest and I'd end up in 40 years with more than the $136 Mil that I started with. But who thinks that way and how could you trust a politician to run a $136 Mil low interest commercial loan portfolio.

Hey, after my rant I feel much better. How about you?

With this financial analysis I've done the part I know how to do, I challenge someone with a more current understanding of local politics, to take the next step and answer the question 'who's pushing for this?'. I bet that's a far more interesting question than the proposed ROIC. Following the scientific method I'll propose a hypothesis: The individual(s) and company(ies) who expect to get the lions share of the $7 Mil -$14 Mil annual 'benefits to the community' are the driving force behind this."

I've pretty much given in to the fact that it's going to happen. This better be the greatest thing since sliced bread if it does. And I've already accepted that this project will probably run about 30 percent over estimates.

Thanks to Karrie Alms for all her time and labor.

Dumbing Us Down

http://www.amazon.com/Dumbing-Down-Curriculum-Compulsory-Schooling/dp/086571231X

Just started reading this on my wife's reccomendation. She sure is a smart cookie.

Very interesting look at the public education system.

Beer lovers........

Shout out to Rhodell's Brewery.

This is one of hidden treasures in this city if you like beer. I finally made it in here a few years ago, after never setting foot in the place.

This is a great place if you want to sit down and have a few pints of very distinctive, pretty potent brew. One small T.V. over the bar, one archaic large screen near the front. Music plays but you don't have to shout over it. And there's about a 10 foot wooden Indian.

One other very cool thing: Brew your own beer.

I've done this the last couple of years and it's great . You tell the brew guy what flavor you'd like or what you'd like your beer to taste like, and they can probably accommodate you with the proper mix. I went with a Sunset Wheat-type batch last year and it was goooooood. This year I went with a honey wheat. Tasty. It's pretty cool to have the neighbors or friends over and give them a home brew. A batch usually gets you a little over 5 cases of beer.

Wives, this is a great gift for your husband if he likes beer. Well worth the investment.

A simplifed argument for voing no on the Museum...

From C.J. courtesy of the Pundit......

Reason 1: Nobody knows if it will be profitable, so what the heck? Let’s jump in with our eyes closed and hope for the best. It’s only $40 million.

Reason 2: Let’s forget about the public policy question of spending $40 million for a private museum that has been raising funds for 7 years and is still $11 million short in private funding. Instead, let’s look at self-interest. How much will cost me personally? Not that much? Then it’s all good.

Reason 3: Cat said to vote yes; ergo, we must vote yes.

Reason 4: East Peoria is so much better than Peoria. Just look at their beautiful riverfront with the butt end of Wal-Mart next to the water. Who isn’t jealous of that? Gosh I wish we could get all those pretty chain restaurants like they do. Lucky dogs.

Reason 5: If you hate earmarks and obscene spending on non-essentials, then you should show fiscal restraint locally gamble $40 million on a museum project instead of spending it on schools, roads, sewers, or other basic infrastructure needs.

Reason 6: What better gift to give to our children than $40 million in debt? It’s the American way!

Reason 7: Because I can afford to spend $7-$15 per ticket for each of my children to go to the museum several times during the winter, everyone must be able to.

Reason 8: It will be just like the Civic Center: i.e., it will never turn a profit; it will require perpetual funding by taxpayers; it will bring in shows that most people south of Forrest Hill can’t afford to attend even though they have to pay for the venue whenever they go to McDonald’s….

Reason 9: The museum plans are so AWESOME that excited residents have pledged or donated more than enough to build it there’s still an $11 million shortfall in private funds.

Reason 10: Think of the children!!! And try not to think of the proposed children’s museum and how much more appropriate that project might be for kids.

Amen

A.I.G.

I'm sure you have all heard of A.I.G. by now. If not, they are one of the insurance giants who have received a boatload of our money. I always heard how politicians and pundits said "they're too big too fail" or "this would be disastrous if they went under". Stuff like that.

Well, I was listening to Mancow and Cassiday today and Mancow brought up a fact about A.I.G. that I had not heard. Maybe it's already out there, but I hadn't come across it.

Along with many other things, A.I.G. insures our elected officials pensions.

Interesting.

Sort of reminded me of a George Carlin bit......

Yesterday, I took our daughter to the eye doctor for her initial checkup after she started wearing glasses.

Her right eye has improved to just about 20/20. That's the good news. The bad news are the actual glasses.

The intial price of her glasses were quite an eye opener (rim shot). So I was a little surprised when one of the lenses popped out while I was cleaning it. And it happened pretty much every time after that. The "anti-scratch" coating was also purchased for her lenses. I should have asked yesterday if they accidentally applied the "pro-scratch" coating.

I pointed out the problems to the glasses technician. She took the frames back and tightened them up. Now the Carlin bit. The "anti-scratch" coating doesn't really mean your lenses won't get scratched. Oh, O.K. I must have taken that phrase to mean something else......like the lenses wouldn't get scratched. Now if the glasses were a year old, I don't think I would have said a word. These are about 3 months old. And it's not like we have been dragging them on the sidewalk. They haven't fallen off her head at school. But they are pretty scratched up.

Now what was really interesting. The tech said that they will order new lenses, free of charge. I thought that was pretty nice. Well, guess what? That's their policy for customers whose lenses get scratched after the "anti-scratch" purchase. And they'll only do it one time.

Which leads me to this question: If you already have a policy in place regarding this, isn't this kind of an admission that the coating doesn't really work? And wouldn't that be something to inform potential purchasers of this? My wife ordered these glasses, but she didn't say that they had told her that.

Am I overreacting? Have I become the "GET OFF MY LAWN" guy? Nooooooooo!!!!!!!!

An eyewitness report from another Museum "informational meeting".

Click on the link to P.I.'s blog on the blogroll to the right and read all the details.

To use an old line: "The informational meetings will continue until morale improves".

How about this reason for a tax increase?

The Anti-Pundit left a comment regarding the Museum tax. He brought up the fact that the sewer issue will be on the table soon and have to be paid for somehow.

What about a tax increase for that project? I would be behind that.

The Museum should be left for another day, when the basics of the city have been taken care of.

Is this what it's come to?

“Rush Limbaugh is an entertainer,” Steele said. “Rush Limbaugh, his whole thing is entertainment. Yes it’s incendiary, yes it’s ugly.”

O.K. , point taken.

But then to go crawling back to a talk show host to patch things up?

He's a talk show host.....on the radio.......

June Restaraunt

http://junerestaurant.com

Let me start this off by saying this place is unlike anyplace I've eaten in Peoria. The fish is brought in from Chicago and just about all of the ingredients are locally grown.

We arrived at about 5 after 5 yesterday and it was already booked solid. The maitre'd asked if we would like to eat at the bar, which we did. A very good move. The place was just about full by 5:30. A hint: if you don't have a reservation, shoot for Tuesday-Thursday, but eating at the bar was enjoyable for us.

Our bartender/server was very kind and knowledgeable. He told us that he used to be a wine salesman and had worked in eateries before but never as small as this one. He drives from Bloomington to work here. His excitement for this place was great. It wasn't a "I'll put on a show for a great tip" excitement, but genuine.

One of the things that jumps out at you is the fact that the kitchen is wide open. The owner/Chef spends time observing what is going on from a counter that faces the tables.

My wife went with a beet salad and a Morrocan seafood broth with mussells and shrimp. I went with occtopus served over beans with chorzio. The chorzio was made by our bartender during his day in the kitchen. I'm not a big bean connoseiur, but these were verrry unique. Dessert was Apple tart tatin and the warm chocolate cake. Both came with homemade hazelnut ice cream. "A taste explosion" was my wife's description of the meal.

Our bartender/server was attentive, even with the place hopping. This was a big night out for us since we haven't had a babysitter in about three months. He said there is also a 7 course tasting dinner, which I already put my dibs in for my birthday meal. He thanked us for "spending our date night" with them.

You can check out the specifics online. The menu changes monthly so some of the entrees listed aren't being served right now.

Dress code was from very casual to dressy. They are working on some sort of kids offerings. Don't expect chicken fingers. Due to the openess of the space, it gets pretty loud. Or maybe it was the 2 Erdingers I drank.

I'll be curious to see what Chef Kevin thinks.

If you're a meat and potatoes eater and are looking for a special meal, head to French Toast. Similar in price with more standard portions. If you're a chain restarunt person, don't bother. But if you're looking to expand your culinary horizons, this is the place for you.