Save Newport Real News in Newport Beach
The New Council will be meeting tomorrow afternoon for some very big issues. First, during the Closed Session meeting they will be discussing the Woody’s Wharf scenario, and how to proceed with that.
Second, they will be doing a second reading on whether or not to give approximately $7-10 million dollars of taxpayer land to a private organization for 7 years for the sum of $2,500. None of that is a typo. What is literally on the table is whether or not to give ExplorOcean rights to the old Balboa Market parking lot that the taxpayers purchased a decade ago– all through in a no-bid contract for only $2,500. But wait– there’s more. The lease option is for 60 years– 7 years at $2500, $2500 for another 3 years, and then an additional 50 years beyond that.
If we assume an income rate of $357/yr ($2500/7) and at 4.5% cap rate, that means that an investor would see the total value of the property at $7,933.00. Do you think this is a fair market value for the taxpayer-owned land, or do you think this is a crony deal by the Old Council that the New Council needs to vote down?
This already has momentum behind it, so it will be a true test on the New Council’s backbone. The question I know is in the ether: Will they use their first voting session to protect taxpayers, or to embrace crony capitalism and break the free market by using their power to select “winners and losers” using the taxpayers dime? Well, knowing them all personally, I would venture to say that they would NOT embrace such a scenario. Granted, power has been known to change people, but I am confident that they will be voting for the taxpayers, rather than cronyism. Tomorrow will be the proof in the pudding, either way.
Third– in the same package as the second– they will be reading whether or not to use public taxpayer money to subsidize parking expenses for private business owners in Newport Beach.
I encourage you to attend. Show your support for our new council and let them know that they are not alone. The meeting will begin at 7pm on Tuesday, January 13th in the council chambers at 100 Civic Center Drive, Newport Beach, CA 92660
