Dr. Judy Selz zeroes-in on wasteful city spending, angering Comm. Lewy; Keith London's take on Hallandale Beach City Comm. meeting of Dec, 7 2011

Below my own comments is the email that I received just this afternoon from Hallandale Beach City Comm. Keith London, whose monthly Resident Forum meeting I attended last night at the HB Cultural Center, which had at least a dozen new faces by my count of concerned HB citizen taxpayers who desperately want this city to be MUCH BETTER managed than it is now.

As always, it was good to see people want to get more involved and better informed about what is going on -in their name and with their wallets and purses- at Hallandale Beach City Hall.

It was indeed heartening to see actual proof of the victory of well-informed enthusiasm over the entrenched dysfunction and cynicism that has held away in this city for so many years, esp. at this time of the year, when people often have many choices to make about how they spend their time.

All had stories of their own about their great dis-satisfaction with the way the city is currently being mis-managed, and most were really appalled to hear many of things that yours truly and others attending shared with them about what passes for "normal" here in Hallandale Beach with respect to govt. planning, maintenance and public policy.

I've already heard from some of them today about what they heard last night: lots of eye-opening true tales of mis-management, incompetency and lack of common sense as S.O.P. here in the SE corner of Broward County.

The highlight of the evening may well have been listening to tireless, longtime HB civic activist Dr. Judy Selz describe her continuing attempts to get straight answers out of the City Hall bureaucracy about many things, including the un-necessary and expensive storage lot on Ansin Blvd. -that cost just under $3 Million for land, construction and maintenance- which I have written about here many times, along with incriminating photos.

That's a city enterprise which directly competes with two existing storage facilities in that warehouse district, located just east of I-95, south of Pembroke Road and north of Hallandale Beach Blvd., which causes these owners to have to lower their own prices just to compete with a city that doesn't need to make a profit to continue to exist.

Dr. Selz's info is below in Comm. London's wrap-up of last week's meeting, which ended after Midnight.

Speaking of the victory of well-informed enthusiasm over cynicism, last night also afforded everyone attending the meeting an opportunity to hear directly from Dr. Selz about HB Comm. Alexander Lewy's great displeasure at hearing her speak at a City Comm. meeting about trying to get to the heart of why HB taxpayer money continues to be wasted on things when they are NOT needed or desired.

Lewy didn't like that one bit!

The fact that the city continues to waste money on this un-necessary storage facility has been proven conclusively to me time-and-again when I drove past it myself or with friends over the past two years, as there were often less than a handful of vehicles there, sometimes as few as 2 or 3, as I have documented with photos.

(Now, the city places about 12-18 unused HB Police Dept. vehicles there, but taxpayers continue to pay for them even while they sit and gather dust.)

This episode and Comm. Lewy's wrong-headed, antagonistic and insulting attitude towards well-informed citizens of this community deigning to want the truth, proves -ONCE AGAIN- that he's the very same person I said he was when he first ran for office four years ago and then again last year.

Then as now, Lewy is his own worst enemy and appalls and antagonizes citizens with equal measure with his actions and words, as if citizens here can't observe them and hear them.

But they can.

As you may have heard at some point in your own childhood, actions have consequences, but for whatever reason, Lewy, as well as Mayor Joy Cooper and the rest of her Rubber Stamp Crew of Comm. Dotty Ross and Comm. Anthony A. Sanders, seem never to ever have learned this basic lesson in understanding how people and society work.

The almost complete rejection of Lewy by people who know what really goes on in this city is proof that they have learned what he so clearly seems unable to.

Some free advice to 2012 Broward Sheriff candidate Louis Granteed, currently Assistant Hollywood Police Chief, per conversations he's had with friends of mine in Broward at various events:

You might want to strongly reconsider constantly praising Lewy to the hilt when you meet citizens from Hallandale Beach. If they are an informed person, chances are great that they are already more than hip to Alex Lewy and what he is all about.

Your praise only serves to draw attention to how little you know about him.

Just saying...

* The only things that I have changed below from the original email I received from Comm. London is removing some of his forced indents, so that it would be easier to read here on the blog, since otherwise, there would be large gaps in the text.

-----

Everyone,

The following is an update of agenda items discussed at the December 7, 2011

City of Hallandale Beach Commission Meeting.

Highlights of the Meeting

* Mayor Cooper does not support a second senior exemption (cost to the city tax rolls approximately $57,000)

* Mayor Cooper insists the Hallandale Pops Symphony is included in the next City Agenda for reconsideration of $25,000 of funding - even after the City Budget has been approved and ratified

* Mayor Cooper votes to approve $20,000 for production a 5-minute commercial

* City Manager Antonio informs the Commission of negotiations to purchase property from DeSoto Park South along Three Islands Boulevard

* Diplomat Golf Course is still open two years after the developers representatives stated that the course would close if they were not given rights to develop approximately 1,000 new condominium units, please see the following link to reserve a tee time.

http://www.diplomatresort.com/westin-diplomat-course

* Commissioner Lewy wants to limit "Public Participation" from people like Dr. Judy Selz - please see her questions below

* Commissioner London requests an agenda item to discuss whether or not the city should be in the storage business after hearing Dr. Selz questions regarding the City's $3 million dollar lot which is 2/3 empty

REGULAR AGENDA

CITY COMMISSION, CITY OF HALLANDALE BEACH

WEDNESDAY, DECEMBER 07, 2011 1:00 P.M. & 7:00 P.M.

http://www.hallandalebeachfl.gov/files/00439/Exported%20OV%20Docs/Agenda%20O

utline%20for%202011-12-07%2013-00.htm

1. CALL TO ORDER

2. ROLL CALL

3. PLEDGE OF ALLEGIANCE

4. STUDENT CITIZEN OF THE MONTH AND SCHOOL ACTIVITY UPDATE

5. PUBLIC PARTICIPATION - Items not on the Agenda (To be heard at 1:30 PM)

6. PRESENTATIONS

A. Presentation Regarding Activities at the Village of Gulfstream

(Suzanne Friedman, Development Representative, Village of Gulfstream Park)

B. Presentation on Capacity Building Program by Mister Nonprofit Consultancy (City Manager)

* Non-profit organizations working with Mister Nonprofit received a great benefit regarding sustainability, process and remaining viable

* Commissioner London asked specific questions regarding the Hallandale Pops and their participation in Mister Nonprofits process of capacity building

o The Hallandale Pops never responded or utilized Mister Nonprofit to seek ways to sustain this organization - they decided not to participate in this process to their own detriment

7. CONTINUATION OF CITY BUSINESS FROM PREVIOUS MEETINGS

8. CONSENT AGENDA

A. Approval of Draft Minutes:

1. Special City Commission Meeting of November 7, 2011 -Legislative Planning Session

2. City Commission/City Manager Workshop/Special Meeting of November 14, 2011

3. Special City Commission Meeting of November 16, 2011 - Strategic Planning Workshop

4. Regular City Commission Meeting of November 16, 2011

* Commissioner London again voted against minutes and will continue to vote against minutes until we return to summary minutes so the residents have transparency in their government

* Please go to the link to see what Hallandale summary minutes used to look like: The minutes are from December 3, 2003

http://library3.municode.com/minutes/home.htm?infobase=30094&doc_action=whatsnew

* Passed 4:1 London No

9. CITY BUSINESS

A. Consideration of an Amended Voluntary Regional Transportation Mitigation Agreement Between Broward County, the City of Hallandale Beach and the Village at Gulfstream Park, LLC and an Amended Declaration of Restrictive Covenants (Affordable Housing) for the Village at Gulfstream Park (Staff: Director of Development Services)

* Please see Item 12A which was discussed in conjunction with 9A

B. Consideration of the City Commission Summer Meeting Schedule and Schedule for Adoption of Truth In Millage (TRIM) Rate and Other Budgetary Hearings (City Manager)

The following is a list of the tentative times and dates for the summer schedule:

DATE ITEM

Wednesday, July 4, 2012 No Regular Commission Meeting due to Independence Day Holiday

Monday, July 16, 2012 City Commission/City Manager Workshop

Wednesday July 18, 2012 Regular City Commission Meeting

Set Tentative Millage Public Hearing, 6:00 p.m.

Wednesday, July 25, 2012 Budget Special Meeting - Special City Commission

(If needed, Budget Special Meeting will continue on July 26th), 4:00 p.m.

Wednesday, August 1, 2012 City Commission Vacation (No Regular City Commission Meeting)

Monday, August 13, 2012 City Commission Vacation (No City Commission/City Manager Workshop)

Wednesday, August 15, 2012 City Commission Vacation (No Regular City Commission Meeting)

*Wednesday, September 19, 2012 Budget Public Hearing, 6:00 p.m.**

*Thursday, September 27, 2012 Budget Public Hearing, 6:00 p.m.**

* Commissioner London again requested City Staff to be prepared with all documentation during the January budget meetings to specifically discuss a Second Senior Exemption (an option provided by the Florida State Legislature to municipal governments)

* City Staff provided documentation that a Second Senior Exemption would calculate into approximately a $57,000 loss in revenue to the City

* Mayor Cooper did not seem to comprehend the manner in which a Second Senior Exemption was calculated or how it would assist those individuals who

qualify and did NOT support this

* Schedule of the summer meetings schedule above approved 5:0

10. COMMISSION PLANNING

11. PUBLIC PARTICIPATION - Items not on the Agenda (To be heard at 7:00 P.M.)

* Dr. Judy Selz discussed questions she provided to the City in advance of the Commission meeting regarding City owned properties specifically the $3 million dollar storage lot on Ansin Boulevard

o This procedure of providing questions in advance is an agreed upon procedure by the City Manager so they are prepared to answer residents' questions/requests

o Please see her questions and the City's response in RED below at the end of this document

o Commissioner London responded and suggested the $3 million lot being utilized for storage be discussed as an agenda item

o Commissioner London stated he did not think being in the storage business is a core service of the City

o Commissioner Lewy was disturbed about Dr. Selz's line of questioning and attempted to curtail her public participation discussion

* This is obviously the democratic way for residents to be able participate in an open and transparent government; allowing them to question and be watchdogs over their tax dollars

* Dr. Bob Selz pointed out the City of Hallandale Beach purchased the Tower Mobile Home Park (catty corner to City Hall) at the same time the City of Aventura purchased the land on 207th Street near Target and they have built a beautiful park and our City has nothing but a pile of dirt to show for its purchase after 3 years

12. PUBLIC HEARINGS (To heard at 7:15 P.M.)

A. A Resolution of the City of Hallandale Beach, Florida,

Accepting Amendments to the Village at Gulfstream Park Plat ( This Resolution is a result of Application# 10-12-PR by Gulfstream Racing Association, Inc.) (Staff: Development Services)

* The Villages of Gulfstream requested the Commission provide some amendments to their existing Development Agreement regarding:

o Traffic Mitigation

o Affordable Housing

* They requested the elimination of following concerning traffic mitigation

o building a 500 space parking lot offsite

o provide a shuttle service to the tri-rail station 8 hours per day

o and a few other minor details

* After a lengthy discussion it was agreed this is presently cost prohibitive for The Villages because if they build any additional retail, commercial, residential, or hotel structures in the future they will be required to build the parking structure

* Commissioner London suggested and it was agreed The Villages will review the possibility of including the B Cycle bike share program kiosks onsite to help alleviate traffic and cars on the road.

Here is a link to visit bike share http://www.broward.bcycle.com

* Regarding the affordable housing, Commissioner London recommended an Escalator Clause to their per unit payment which ensures they pay more as time goes on - Up to 5% per year compounded

* Passed 5:0

B. An Ordinance of the City of Hallandale Beach, Florida,

Amending Article IV, Division 11, Section 32-452 and Section 32-455 of The

City of Hallandale Beach Code of Ordinances, "Zoning And Land Development

Code," Relative to Off-Street Parking Requirements and Minimum Parking Space

Requirements for Residential Multi-Family Uses; Providing for Conflicts;

Providing for Severability; Providing for an Effective Date. (Second

Reading) (This Ordinance is as a Result of Application # 06-12-TC by the

City of Hallandale Beach ) (Staff: Director of Development Services)

THE CODE AND PERMITTING ADVISORY COMMITTEE RECOMMENDED

APPROVAL OF THE AMENDMENTS ON NOVEMBER 10, 2011.

ON NOVEMBER 16, 2011 THE CITY COMMISSION APPROVED FIRST

READING OF THE ORDINANCE BY A ROLL CALL VOTE OF 5/0.

THE ORDINANCE WILL BE PRESENTED TO THE PLANNING AND ZONING

BOARD ON NOVEMBER 30, 2011.

* Passed 5:0

C. An Ordinance of the City of Hallandale Beach, Florida Amending

Chapter 32, the Zoning and Land Development Code, Article IV Division 17,

Development Standards Signs Relative to Prohibited Signs, Permitted Signs,

and Nonconforming Signs, Providing for Conflict; Providing for Severability;

Providing an Effective Date. (This Ordinance is a Result of Application

#67-10-TC by the City of Hallandale Beach.)(First Reading)(Staff: Director,

Development Services Department)

ON OCTOBER 26, 2011 THE PLANNING AND ZONING BOARD

RECOMMENDED APPROVAL OF THIS ORDINANCE BY A ROLL CALL VOTE OF 5/0.

* This ordinance refers to the use of human signage in the City of Hallandale

* The use of individuals holding signs up along major roads is a distraction and was turning into a potential safety hazard

* Passed 5:0

D. An Ordinance of The City of Hallandale Beach, Florida,

Amending Chapter 2, Section 2-361 "City Attorney to Function as Head of

Department; Qualifications"; Amending Prohibition that City Attorney Not

Engage During His/Her Tenure of Office in Any Private Practice of Law to

Allow A Law Firm to Serve As City Attorney; Providing For Conflicts,

Providing For Severability; And Providing For An Effective Date. (Second

Reading) (Staff: Acting City Attorney)

ON NOVEMBER 2, 2011 THE CITY COMMISSION APPROVED FIRST

READING OF THIS ORDINANCE BY A ROLL CALL VOTE OF 5/0.

* Passed 4:1 - LONDON NO

E. A Resolution of the City of Hallandale Beach, Florida,

Supporting Congressman Ted Deutch's Proposed Amendment to the Constitution

of the United States to Exclude For-Profit Corporations from the Rights

Given to Natural Person by the Constitution, Prohibiting Corporate Spending

in all Elections, and Affirming the Authority of Congress to Regulate and

Set Limits on all Election Contributions and Expenditures. (Mayor Joy F.

Cooper)

* Passed 5:0

13. COMMISSIONER COMMUNICATIONS - Items not on the Agenda

A. COMMISSIONER LEWY

B. COMMISSIONER LONDON

* Commissioner London suggested the City do a better job of scheduling Planning and Zoning meetings especially during the holidays of Thanksgiving and Christmas since the November meeting falls every year on Thanksgiving Day and the December meeting falls during the Christmas and New Year Holidays

* Commissioner London requested a map indicating the exact location of the land the City will be purchasing from DeSoto Park South - the west side of Three Islands Boulevard

* Commissioner London also requested a plan, information and source of funding for purchase of this property

C. COMMISSIONER ROSS

D. VICE MAYOR SANDERS

E. MAYOR COOPER

14. CITY ATTORNEY COMMUNICATIONS - Items not on the Agenda

15. CITY MANAGER COMMUNICATIONS - Items not on the Agenda

* City Manager Antonio requested support for the allocation of $20,000 to be spent on production of a promotional spot for the City of Hallandale

* City Manager Antonio requested support for the purchase of land from DeSoto Park South located on the West side of Three Islands Boulevard

16. ADJOURN

Questions by Dr. Judith Selz, 717 Layne Blvd., Hallandale Beach:

Discussed during December 7, 2011 City Commission Meeting, Agenda Item 11,

Public Participation. Note staff responses are in red.

1. How much property does the City own as far as dollar value is concerned? What did we pay for it and what is all worth today? See attached spreadsheet- total $29,035,026.17 cost of all property paid since 2001 (provided by CRA)

Property at Ansin Boulevard: cost to purchase $2,900,000 (purchased for settlement of a lawsuit)

When I went to observe the property on November 20, 2011, I was shocked to find the security gate wide open and no one was monitoring cars or people coming into the property. There are approximately 136 spaces for rent with what appeared to be ¼ of the spaces occupied. 15 of the spaces had cars marked as belonging to the Hallandale Police.

FINANCE RESPONSE:

There have been occasions that we have had problems with the security gate. Upon notification, the City immediately attempts to resolve the situation. Sometimes, this involves DPW contacting the service company for repairs.

Besides police cars, the number of occupants vary due to terminations for a variety of reasons. Some occupants clearly have the intention of maintaining a space for a specific period of time. Because of the various types of vehicles occupying spaces for various reasons (commercial vehicles for business purposes, employee vehicles for parking during working hours, recreational vehicles, etc.) , spectators will be unable to view the lot to determine the true number of occupied spaces.

1. What did we pay for this specific property? cost to purchase $2,900,000 (purchased for settlement of a lawsuit)

2. A. What is the return on investment? What is the annual budgeted amounts for revenue/expenditures? Budgeted revenue is $22,000. The year to date total is $4,766.

Budgeted expenditures are in the following three accounts-Electricity paid from General Services, budget expense not separately listed, but absorbed in total for account; Phone paid from Non-Departmental, $500; and Maintenance paid from Construction& Maintenance, $2,000.

B. What do we lose in annual tax revenue? That is difficult to calculate because depending on the use of the property (for example if it was used by a nonprofit it would not be taxed versus a structure would be taxed on the size of building)

3. Was a parking facility a "core" service that our city needs to provide the residents? The lot certainly is useful to those residents who need additional parking space for vehicles due to HOA restrictions, business needs and various Code violations (Sec. 28-6 in the Code of Ordinances)-providing this lot to our residents assists with this need.

How many of the spaces are actually rented to residents at present? Residents and non-residents are now able to use the facility. The number of paying spaces total 67 of 137. (Open spaces are being used to place several police vehicles)

4. It appears that as it is currently utilized, this competes with two business properties within a quarter mile radius that pay taxes to our city, is that true? Yes; the City remains competitive in its prices, and will continue to do so to ensure services are provided to our residents, business owners and other prospective clients.

Is the asphalt service installed, water permeable? No, however the site's drainage system consists of French drains.

It appears that this property could be sold, put back on the tax rolls and be privately developed into something that would be of great benefit to our City, the money earned from the sale could be used toward implementing the City's Master Plan so our current residents will be able to increase their enjoyment of our City of Choice in the nearer future. Future utilization will be based on City Commission directive and taking into consideration the benefits to the Community.

Where on the City's website will the answers to these questions be for all the residents to see?

As discussed, it is not appropriate to utilize the City's website for posting responses to residents' questions. Residents/business owners can always contact staff and/or participate during Public Participation at City Commission meetings.

Keith S. London City Commissioner Hallandale Beach

954-457-1320 Office

954-494-3182 Cellular

www.KeithLondon.com

http://www.facebook.com/KeithSLondon

Coming Sunday: SNAFU! Gulfstream Park Race Track and Casino is a MESS! What, if anything, can be done to change it?

December 29, 2009 photo by South Beach Hoosier.
Looking north on U.S.-1/ South Federal Highway
from the Broward and Miami-Dade countyline
towards Gulfstream Park Race Track & Casino
and the Village at Gulfstream in Hallandale Beach.

Gulfstream Park Race Track and Casino:
It's where smart long-term planning, savvy
consumer marketing and plain common sense
go to die in a big black hole.
What a complete mess!!!

On Sunday, the first day of racing at Gulfstream,
you'll be able to see for yourself what the truth has
been over there for the past year, right under the
nose of South Florida's sleepwalking news media,
and read some suggestions for making the property
viable and successful in the future.

But don't kid yourself, it will be far from easy, for
Magna Entertainment and Forest City to get out
of the big black hole of negativity they've created for
themselves with South Florida's residents/consumers
thru their self-evident myopia and longstanding
incompetence.

Incompetence that, in my opinion, calls into serious
question whether they are even fit to run this valuable
property, which is for sale, regardless of what they
do or do not say "officially."
To the latter, I can only say, "Thank goodness."

If Magna isn't prepared to genuinely eject their failed
and dim-witted strategy and and accept constructive
criticism and consciously think 'outside-the-box' or
their, yes, 'comfort zone,' in terms of their overall
property operations, customer outreach and Quality
Control, they are going to have wasted not just tens
of millions of dollars, but a golden opportunity.

The clock is ticking, and time is most definitely
NOT on their side.

December 28, 2009 photo by South Beach Hoosier.
Looking south at the Gulfstream Park sign on
Hibiscus, just off U.S.-1/South Federal Highway,
a sign that has NOT been lit at night since 2008.
You only see this because of my camera's flash.

It took the people at Magna Entertainment
over ELEVEN MONTHS to notice and do
something about the self-evident fact that there
were ten-foot weeds and vines completely taking
over the sign and obstructing the words.
But the lights STILL don't work!

That's the kind of genius brainpower you
have running things there.
Hopefully, not for much longer!

See my last post on Gulfstream Park
from November 1st, 2009 titled
Problems at Magna's Gulfstream Park
are much bigger than you think!
http://hallandalebeachblog.blogspot.com/2009/11/problems-at-magnas-gulfstream-park-are.html

Problems at Magna's Gulfstream Park are much bigger than you think!

My comments, some of which were in cold storage
for months, follow the articles.
---------------------------
www.sun-sentinel.com/business/sfl-gulfstream-murphy-103109,0,6496345.story

South Florida Sun-Sentinel

Gulfstream Park's president quits suddenly

By Nick Sortal

October 31, 2009

Gulfstream Park President Bill Murphy resigned Saturday, according to a company press release.

Murphy could not be reached for comment and no reason was given for his abrupt resignation, which took effect Friday.

Murphy joined the Hallandale Beach horse track and casino in June 2006 as a vice president in charge of racing. Gulfstream's parent company, Magna Entertainment Corp., promoted him to president and general manager in January 2007.

Just prior to his promotion, Gulfstream Park added slot machines and in February, 2010, it plans to open a $1.2 billion mall with restaurants, nightclubs and stores, including a Crate and Barrel and a Pottery Barn.

The casino's slots revenues run third behind the Isle Casino & Racing in Pompano Beach and Mardi Gras Gaming & Racetrack in Hallandale Beach. But Murphy, who in an interview last month called himself "more of a horse guy than a casino guy," pointed out that neither of those racinos have the racing revenues Gulfstream does. Four of the past seven Kentucky Derby winners raced at Gulfstream.

State figures also show Gulfstream is the only of the three with an increase in slot revenues this year; they're up 5 percent.

Magna, however, declared bankruptcy in March and is selling off pieces of the company, including a horse track last month. Experts had suggested Gulfstream would not be for sale but a recent Wall Street Journal article suggested creditors are pushing for Gulfstream to be auctioned off in February.

In 2007, Gulfstream got into trouble with the state after it was discovered that employees had stolen hundreds of thousands from machines using free-play cards. There also were delays in building The Village at Gulfstream, which was supposed to open two years ago.

The state this past August said it would fine Gulfstream $800,000 in the theft, citing poor oversight. But Gulfstream is arguing that the state, which screens the hires, cleared two perpetrators who had criminal histories.

In the news release, Murphy thanked Magna for "the opportunity, and honor, of working with an incredible staff and with the greatest horsemen and jockeys in the world."

Nick Sortal can be reached at nsortal@sunsentinel.com or 954-356-4725.

Reader comments:
http://www.sun-sentinel.com/business/sfl-gulfstream-murphy-103109,0,1013215,comment-display-all.story

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http://www.baltimoresun.com/business/bal-bz.magna15oct15,0,3187143.story

Baltimore Sun
Tracks to go on block
Bankruptcy judge OKs auction of Pimlico, Laurel early next year
By Hannah Cho

October 15, 2009

WILMINGTON, Del. - A federal bankruptcy judge approved Wednesday a plan to auction
Pimlico Race Course and Laurel Park early next year, over objections from the tracks' former owners, who opposed the speed of the sale.

Meanwhile, two potential Maryland buyers - developers David S. Cordish and Carl Verstandig - reiterated their interest in bidding on the tracks and the Preakness Stakes.

Magna Entertainment Corp., the Canadian firm that owns the racetracks and the Preakness Stakes and filed for bankruptcy protection in March, said the auction should be held quickly because Maryland law gives the state 60 days to review a deal and the right to match any bid.

The sale procedures also would require potential buyers to keep the Preakness, the middle leg of racing's Triple Crown, in Maryland, satisfying concerns of the state and others in the horse industry who had feared losing the state's single largest sporting event.

But Benjamin Feder, a lawyer representing Joseph De Francis and other former owners, argued that the sale procedures do not consider the group's rights to slots and other alternative gambling at the racetracks, particularly at Laurel Park. When the former owners sold their controlling interest in the Maryland Jockey Club, the umbrella organization for the two tracks, they entered into a deal with Magna to split the proceeds from any alternative gambling development.

Feder also revealed in court that De Francis and other former owners have engaged in talks with Magna about the Jockey Club assets.

De Francis said the group has submitted several proposals on "how they might recapitalize the Maryland assets and allow them to emerge from bankruptcy."

Asked whether any of the plans include the group buying back the tracks, De Francis said he could not discuss the details.

"We continue to be very disappointed that the Maryland assets are in bankruptcy and very interested in any plan that might bring them out of bankruptcy and restore them to viability," he said.

Magna, which filed for Chapter 11 bankruptcy protection in March, withdrew a proposal to auction the Maryland tracks last spring, in part because of objections by the state. That plan did not take into account the state's "right of first refusal" for the Preakness, which has a "chilling effect" on Magna's sale efforts, according to court papers filed by the company last week.

To ensure that the Preakness would stay in Baltimore, Maryland lawmakers passed a law this year granting the state the right to seize the event under eminent domain.

After the hearing before Judge Mary F. Walrath in federal bankruptcy court in Delaware, Gregory Cross, a Venable LLP bankruptcy attorney retained by the state of Maryland, said, "We have agreement that the Preakness will remain in the state, the state's matching right to the Preakness is taken into account in the sale, and the state will be afforded the opportunity to review all prospective purchasers in advance.

"We didn't have any of that in the spring. Our position has significantly improved. Most importantly, the Preakness is staying in the state," Cross said.

The auction procedure for the tracks has several steps.

Potential bidders have until Nov. 2 to submit proposals to Magna. They must provide a 10 percent deposit, as well as evidence that they have the money to complete the deal.

On Nov. 9, Magna is to give the court a lead, or "stalking horse," bid for the Maryland assets. The state is to receive the names of the other bidders on Dec. 7, but they won't be released to the public.

The auction of the Maryland assets is to be held on Jan. 8.

Besides reviewing bids, the state has preserved its right to request that it be allowed to match the winning bid from the auction.

Cordish, whose Cordish Cos. is being considered for Anne Arundel County's sole license to operate slot machines, said this week that the company is "very excited about the prospect of buying the tracks and the Preakness."

The Anne Arundel County Council has not approved a zoning change needed for the Cordish slots project to proceed. Cordish said his proposal for a casino at Arundel Mills will not change.

"We will be sending over $60 million a year to the tracks from slots revenues at [Arundel] Mills," he said. "It makes sense for us to own the tracks. We will have the resources to revitalize the horse industry in Maryland and return it to its former glory."

Verstandig, whose America's Realty LLC in Pikesville often invests in distressed urban shopping centers, said he and a partner with experience in horse racing would upgrade the two racetracks and attract other entertainment venues. They also would build office and retail space on land around the tracks.

"Since they came into play again, we want to try again," he said.
--------------------
Auction timeline

Nov. 2: Bids due.

Nov. 9: Magna will provide to the court a lead, or "stalking horse," bid for the Maryland assets.

Dec. 7: The state will be given names of other bidders.

Jan. 8: Auction

Reader comments:
http://www.baltimoresun.com/business/bal-bz.magna15oct15,0,7207072,comment-display-all.story
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The following are selected excerpts from an
email that I sent around South Florida and
points north on the evening of October 27th,
2009.

It was sent to people I know and trust, certain
elected officials throughout the region and state,
and certain savvy members of the news media,
all of whom have an interest to some degree
or another in whether or not Gulfstream Park
Race Track and the upcoming Village at
Gulfstream retail center -scheduled to open
at the beginning of February- will be run
in a smart and dynamic way, or whether they
will continue to flounder in all sorts of embarrassing
and self-evident ways, as has been the case since
I returned to South Florida six years ago.

Anne Arundel County, described above in the
Baltimore Sun article, is home to Annapolis,
where the state capitol and state legislature are
located, along with the U.S. Naval Academy
and a few well-regarded liberal arts schools,
so it's very upscale with small enclaves of rural
chic on the water and elsewhere.

Think J.G. Hook preppy chic on the Harbor.
Because of its ideal location, it's equally popular
with folks from both the Baltimore area and
the greater Washington area.
In an average year, I'd probably go up there
from Arlington County maybe 6-8 times with
friends.

To my mind, there's no real counterpart to it in
Florida as a whole, which is a shame, because
the historical charm is a real draw and doesn't
seem bogus and contrived the way so many
things down here do.

Despite all the tourists, you can still feel the
authenticity of history there, and for someone
like me with my particular interests, that's
very appealing.

Meanwhile, over at Gulfstream Park,
another Magna property, the same old
incompetence continues, with little apparent
regard for appearance, customer safety or
appeal, with visible trash in the same place
as it was last week and the week before that...

Last night, as has been the case more often than
you'd think possible for a business that's in the
entertainment business and wants you to come
onto their property, ALL the access, auxiliary
and parking lot lights from the entrances on both
U.S.-1 and Hallandale Beach Blvd., to far onto
the main area, were out.
All of them.

Pitch black!
At 7:55 p.m., when sundown is around
6:45 p.m.!

And they wonder why things are the way
they are?

Below, just a few photos from among the hundreds
I've talen over the past few years showing what's
really been going on at the place that ought to be
a real magnet for fun and amusement for the region,
and a local source of pride, but which instead is
an often dreary, myopic and poorly-managed
mess of an operation that can't seem to get out
of its own way.

In the near-future, you'll see even more confounding
and jaw-dropping photos in this space highlighting
often self-evident problems, but for now, here's a
quick bite to whet your appetite and open your
eyes a bit wider.

All photos below by South Beach Hoosier.



Above, the newly-built median entrance off U.S.-1
that does absolutely nothing to fix the longstanding
drainage (read flooding) problem there that goes
back many years and years...

Standing water often remains there for quite some
time, which doesn't exactly create an inviting
atmosphere for customers who have plenty of
entertainment options.

Seriously, why has that not ever been
properly fixed?



Above, the bottom portion of the Gulfstream Park
sign on the Northwest corner of the property, facing
south-bound traffic on U.S.-1/South Federal Highway.

Located on Hibiscus (i.e S.E. 2nd Street) just off of
U.S.-1 -and near the Forest City office trailer-
the sign used to be internally illuminated, but then
became external early this year, with a view of the
main buildings peeking thru at the bottom.

That sign hasn't been illuminated at night,
internally or externally, since around
Thanksgiving or so!

Nothing shows the lack of respect for potential
customers and the lack of first-class public relations
like half-assed negligence that never ends.

In fact, one of the two spotlights on the ground
in front of the sign that could be used to actually
shine a light on the situation has been missing for
many. many months.

As you can see for yourself, they don't even bother
trying to keep up appearances there.

That's a VERY bad sign for customers looking to
spend their money somewhere that's properly run

For the better part of the first six months of this
year, while the track was open, the track had rental
message boards plopped quite unattractively on the
median of south-bound U.S.-1, desperate to remind
people passing by that the place was actually open.

Naturally, this being South Florida, the sign was in
English, French and Spanish, but I never really quite
understood how it was that Gulfstream was able
to legally keep those signs on public property for
months on end.

It made the whole area look blighted!



Above, as if their very own promotional sign not working
for about a year isn't bad enough, it doesn't really help that
they also allowed vines and vegetation to grow eight-feet
high and higher, and start taking over the damn sign.

It doesn't just look like nobody cares cares,
when you're standing there, it feels like nobody cares.

It's not Wrigley Field chic, it's just unsightly.
Month-after-month-after-month.



Above, looking south from the Hallandale Beach Blvd.
entrance to the facility towards the pitch-black conditions
on the access road and the fairly-new employee dorms.

In case you didn't know, the dorms are right in the way
of extending S.E .2nd Street to 14th Avenue, a plan the
city has been considering since the early 1970's to
unclog the unbearable traffic conditions of HBB.

The road is necessary for some of the planned
development projects on HBB, like Oasis, in order
to prevent the current traffic saturation from getting
even worse for longer periods of time than currently.

Question: Why did the Hallandale Beach P&Z
Advisory Board and the HB City Commission
both vote to give Gulfstream Park the okay to
build the two separate dorm buildings there a few
years ago if they ALREADY KNEW that the
specific area was absolutely crucial to the city's
ever being liveable in the future?

Four people involved in that asinine decision are
still wrecking havic at HB City Hall:
Mayor Joy Cooper and Commissioners Dotty
Ross and William Julian.

The next time you see one of them, why don't you
ask them to answer the simple question of Why?,
and to explain to you why they refuse to give HB
City Manager Mike Good specific guidelines and
deadlines in negotiating with Gulfstream and Magna,
instead of simply letting him do whatever he wants,
with absolutely no oversight ro speak of, and with
hundreds of thousands of dollars to play with?

What some in this city call 'rogue negotiations.'

You'll be reading and seeing a lot more on
the topic of the extension of S.E. 2nd here
in the coming weeks and months.
Lots and lots of photos!

Reminder: The only reason you actually
see the road in the photo above is the
flash from my camera.




Above, one of the unlit auxiliary lights near
the dorm.




Above, from the same exact location as the previous
photo looking north towards HBB after a car has
passed in the dark of night.




Above, the unlit double-lights near the interior
of the public parking lot.




Oh well, at least the illuminated signs for
Crate & Barrel on U.S.-1 are working
at The Village at Gulfstream, three
months before the retail complex opens.

All the shots above are from Tuesday
October 27th.

It's fair to say that the series of posts I'll be
writing here about Gulfstream Park and
The Village at Gulfstream over the next
few weeks and months will include more
than their share of ripping and constructive
criticism, based on self-evident facts that
I've personally observed over the past
few years.

Part of that is a natural byproduct of what
I and many others in the community have
perceived as Gulfstream's very dismissive
know-it-all attitude towards those who
aren't already part of their co-opted little
family in Hallandale Beach and this part
of South Florida.

I suspect that many, if not most of you,
will come to learn a lot of things you never
knew or noticed before about them and their
myriad operations, including a few interesting
history lessons about how rocky things have
been in the past between the race track and
the city since it was first built.

But I'll also have some very good practical
and well-thought out suggestions for making
things much more interesting and fun over
there, because quite frankly, interesting and
fun is NOT at all what it is now, or has been
in the recent past.

Some of my suggestions may even strike you
as inspired, but many will seem like common
sense and may even be ones that you've
thought about yourself over the years.

I make the suggestions because I want it to be
better than it is now, or seems to aspire to be.
But it won't always be pretty, of that I have
no doubt.

And when I say that I've taken hundreds of
photos, I'm not joking.

I have plenty already to prove my central points.

re Gulfstream Park -Bankruptcy looming for Magna Entertainment?

As of a few hours ago, according to the Daily Racing Form, it looks like bankruptcy looming for Magna Entertainment -Bankruptcy looms on horizon for Magna.

Not mentioned, possible effect on Gulfstream Park's racing operations, like a (fire) sale, perhaps, after this racing season is over?

H-m-m-m... the plot thickens.

The Miami Herald had the following AP dispatch on their website Thursday, but have no original reporting on this: Spin-off of Gulfstream Park operator is canceled

http://www.miamiherald.com/business/breaking-news/story/911231.html

 

I haven't seen anything about this on local TV, as everyone is making nice with celebrity chefs on South Beach this weekend, showing the real limit of their reportorial skills.

Magna filed an 8-K with the SEC today which you can see here:

Magna Entertainment Corp · 8-K · For 2/18/09

http://www.secinfo.com/$/SEC/Registrant.asp?CIK=1093273

For many months, I've been meaning to write in-depth about all the many problems and very curious things I've observed in, at and around Gulfstream Park over the past few months, as they hurried to make themselves look presentable for its first race back in early January, even as construction continued at the Village at Gulfstream retail project being handled by Forest City Enterprises Inc., not Gulfstream.

Over the past year, I've snapped a few hundred shots of the construction work going on there along U.S-1/South Federal Highway, as well as those very curious things that I alluded to, which not only consistently showed a lack of marketing common sense or prowess, but which also showed a remarkable lack of concern for their customers' safety.

Naturally, with Hallandale Beach City Hall just across the street, the city's own gross indifference to safety and awareness issues, right in front of them, goes back years.

I'll document that at some point over the next few days with photographs that will make my points crystal-clear.

Postcards of Gulfstream Park -"back in the day."
http://www.cardcow.com/search2.php?substring=gulfstream%20park

As someone who's always been very interested in historical preservation, and who used to read the magazine Preservation cover-to-cover, I always thought that, media-wise, even for South Florida's very low journalism standards, there'd have been more made about one of the few iconic structures in South Florida going buh-bye.  http://www.preservationnation.org/magazine/

And by that, of course, I mean so little attention paid or even fuss made when the old Gulfstream Park

grandstand came down, especially compared to the fuss and coverage of the implosion of the Bal Harbour Sheraton, or, more recently, the Miami Arena, a building I never stepped in since I was living in Chicago and Washington, D.C. during its very short heyday.

Is it just me, or does it seem that most TV news directors down here have become so jaded over the years, sent so many news reporters to cover faux news over on South Beach, City Hall or downtown Miami, that when something historical actually comes down the pike, they channel the mantra of a dis-interested teenage girl -

"Whatever."

If WPBT-Channel 2 was really worth a damn anymore, they'd have produced an hour retrospective program on the racetrack, and what it used to be like in the old days, pre-Shula Dolphins, when South Florida's sports world revolved largely around the horses and the Hurricanes.

I've heard stories and tales from myriad sportscasters and reporters as well as the fabulous Spinelli Brothers, who used to cut my hair at their sports and show-biz memorabilia-filled shop on West Dixie Highway in North Miami in the 1970's.  It was like being in a museum of pop culture!

Every visit was a real treat because those guys were so completely plugged into everything that was South Florida sports and show-biz, from the '50's thru the '70's because of who they knew, their old location near Biscayne Blvd. & 79th Street (?), and the great loyalty of their famous customers, that you honestly never knew who'd you'd run into at their shop.

Often it was well-known names who'd swing by when they were in town just to shoot the breeze with them to find out what'd been going on, what was happening, who was in town, etc.

They had a huge extended family of customers and friends, famous and otherwise.

(Though their shop was located in North Miami, because I was a frequent customer as a kid, and loved their stories, the Spinelli Brothers even agreed to be my sponsor for Optimist football whenI played on the NMB 95 lb. team, even though I was playing for North Miami Beach Optimist.

Eventually, they received one of those large official sponsor frames and photo of me which they hung up in their shop.)

Channel 2 could've done a simple compare-and-contrast using extant photos at local museums interspersed with interviews with personalities, former employees and public institutional memories in South Florida who know a thing or two and can tell a great story, like Hank Goldberg or Edwin Pope.

Of course, I also have to blame myself for not taking a ton of photos at the time it came down, since if I had, I'd post them here for posterity.
C'est la guerre.

---------------------------------------------------

http://www.baltimoresun.com/business/bal-bz.magna20feb20,0,3519391.story

Baltimore Sun

Magna may not be able to pay off debt to controlling shareholder

Due date moved up for owed $275 million; future uncertain for beleaguered racetrack owner

By Bill Ordine

February 20, 2009

The credit leash on financially beleaguered Magna Entertainment, owner of Pimlico Race Course and Laurel Park, just got a lot shorter.

The company's controlling shareholder, MI Development, is abandoning a reorganization plan that had been criticized by the firm's minority shareholders. As a result, the due date on about $275 million in debt owed by Magna Entertainment to MI has been accelerated to March 20.

Both Canadian-based companies are controlled by auto-parts magnate Frank Stronach.

In a statement, Magna Entertainment said that it will not be able to repay the loans unless it can raise money "through an alternative transaction with MI Development, asset sales, by taking on additional debt or by some other means." The due date on Magna Entertainment's $40 million line of credit with a Canadian bank has also been moved up, to March 5.

Because Magna Entertainment owns the two Maryland race tracks and the Preakness Stakes, the state's horse industry is in a constant state of unease about the future of the tracks and the second jewel of the Triple Crown.

It remained unclear what Magna Entertainment's options might be, particularly since it has been trying to refinance its debt with other sources and sell real estate without success.

MI Development has already granted Magna extensions a handful of times over the past year. Magna Entertainment hired a firm specializing in restructuring debt and Chapter 11 bankruptcy last fall.

"If by some circumstances they did file for Chapter 11, it could get pretty crazy," said Maryland Racing Commission Chairman John Franzone, "because then you're at the mercy of a bankruptcy trustee."

Officials for Magna Entertainment could not be reached for comment.

Tim Rice, a managing partner in a stock brokerage firm whose clients once owned Magna Entertainment stock, said that Magna has passed up opportunities to liquidate real estate holdings at reasonable prices in the past.

"I'm sure that [Stronach] would do whatever he can to [prevent] the public shareholders from getting wiped out," Rice said, "but I don't know if he can do that."

But Franzone expressed confidence that Stronach will find a way out.

"Frank is a pretty savvy guy. He's faced crises in his auto business over the years and he's always pulled rabbits out of his hat, so I wouldn't count him out," Franzone said.

Magna Entertainment has used MI Development as a lender of last resort in recent years, to the chagrin of some MI minority shareholders.

The proposed reorganization would have eventually severed the relationship, but was undercut when a vocal MI Development shareholder, New York-based Greenlight Capital Inc., complained that the plan would convert the company's secured loans into shares of Magna Entertainment stock.

Magna Entertainment shares closed at 38 cents yesterday.

Part of the money that MI Development lent to Magna was supposed to be used to develop a new slot machine casino at Laurel Park. But the company's effort to secure a slots license was derailed when it failed to put up millions of dollars in required fees when it submitted its bid this month.

State officials threw out the Magna bid last week. Lawyers for the track's owners have taken the matter to court. State Senate President Thomas V. Mike Miller said the state should work to ensure that the Preakness Stakes stays in Maryland and that horse racing remains viable here. He compared any effort to save the tracks to building a baseball stadium or granting tax incentives to Hollywood filmmakers who bring their sets here.

"If we have an interest in having movies filmed in Maryland," Miller said, "then we certainly have an interest in somehow finding a buyer for our racetracks."

Baltimore Sun reporters Hanah Cho and Laura Smitherman contributed to this article.