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Extension of parking deck agreement on Augusta Commission agenda

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It could be another 60 days before a permanent management plan is in effect at Augusta’s new Trade, Exhibition and Event Center parking deck.

A 60-day extension of the current parking arrangement is on the agenda for Tuesday’s 5 p.m. meeting of the Augusta Commission, while a commission committee referred details of a draft agreement with operator Augusta Riverfront LLC to next week’s finance committee meeting.

Several commissioners have questioned the terms of the $25,000 management agreement for the deck, built on land the city does not own, while ground-floor spaces are reserved to the landowner during business hours.

Augusta Riverfront LLC operates the Augusta Marriott at the Convention Center and will operate the TEE Center.

Also up for approval Tuesday:

• Several code amendments finalizing the merger of Augusta’s planning and licensing and inspections departments and an instruction

• A directive to schedule work sessions on a draft smoking ordinance

Comments (47) Add comment
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Willow Bailey
20618
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Willow Bailey 11/01/11 - 10:47 am
0
0
Who will they investigate in

Who will they investigate in the meantime? They do need a good diversion don't they? Sanitize your harddrives, RCSD.

BevBoudreaux
0
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BevBoudreaux 11/01/11 - 10:53 am
0
0
Does anyone know what

Does anyone know what happened to David Fry?

Little Lamb
53973
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Little Lamb 11/01/11 - 11:09 am
0
0
Susan McCord wrote: Augusta

Susan McCord wrote:

Augusta Riverfront LLC . . . will operate the TEE Center.

And I think the taxpayers of Augusta are paying them several hundred thousand dollars a year to do that operating.

How about a new deal? Augusta pays nothing to Riverfront LLC for operating the TEE center and in return, Riverfront LLC gets to keep all the rent money from all the conventions that use the center. If the TEE Center is the great deal that Copenhaver and Russell say it is, then Riverfront LLC will make out like a bandit and the taxpayers won't take a shellacking.

Taylor B
5
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Taylor B 11/01/11 - 11:19 am
0
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During business hours of

During business hours of what? The hotel? Id imagine that would be all hours.

Little Lamb
53973
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Little Lamb 11/01/11 - 11:27 am
0
0
That's a good comment,

That's a good comment, Taylor. I have not been to the new parking deck. Normally you enter on the ground floor then drive up a ramp to the upper floors. But does our new parking deck have two entrances — one for the ground floor and an entirely separate entrance for the upper floors? How else can they keep the money separate? Riverfront LLC is supposed to get the parking revenue from the first floor (during business hours) and the city gets the parking revenue from the upper floors (minus whatever fee we end up paying Riverfront LLC)??

BevBoudreaux
0
Points
BevBoudreaux 11/01/11 - 11:27 am
0
0
80% of revenue for parking

80% of revenue for parking decks are during normal business hours.. that's like throwing the taxpayers a chicken bone

broad street narrow mind
348
Points
broad street narrow mind 11/01/11 - 11:30 am
0
0
are they assuming the first
Unpublished

are they assuming the first 160 spaces as the ground floor rather than really seeing where they're parked? and, yeah, hotels are 24 hours, aren't they, taylor b?
Are we bound by anything to keep riverfront llc as manager? is 933 broad bound to donate that land? are riverfront llc and 933 broad llc (or whatever alphabet teflon it goes by) run by the same guy with the same agent? is that newsworthy? can this post survive?

Little Lamb
53973
Points
Little Lamb 11/01/11 - 11:33 am
0
0
Last night on one of the TV

Last night on one of the TV stations they investigated this year's tax bill for 933 LLC (or whatever the name of the shell company that owns the real estate under the parking deck is) and they are paying taxes on a parcel that is listed as "undeveloped." In other words, they are paying taxes on an empty lot to the tune of about $2,000 per year. The reason it is listed as "undeveloped" is because the city owns the deck, and you don't pay city taxes on city property.

That's a nifty trick for 933 LLC.

It's time for the city to condemn the land and pay the tax assessed value to 933 LLC.

joebowles
104
Points
joebowles 11/01/11 - 11:34 am
0
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I obtained the proposal from

I obtained the proposal from AMPCO yesterday to operate the decks. We would pay a management fee of $18,000.00 annually and all expenses to staff (Approx $400,000.00). We would retain all of the income!!!!!
This is what I am proposing that we offer Riverfront, It's what the market rate is, and it's what we must stand firm on............................

BevBoudreaux
0
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BevBoudreaux 11/01/11 - 11:40 am
0
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OK Joe.. that is all well and

OK Joe.. that is all well and good, but how about them donating the land like they promised to do when all of this was voted on in the beginning? But considering that the city built a parking deck on THEIR land.. Augusta Riverfront LLC are sort of holding all of the ace cards aren't they?

BevBoudreaux
0
Points
BevBoudreaux 11/01/11 - 11:43 am
0
0
I agree LL about the city

I agree LL about the city condemning the land.. but what will they have to pay to 933 Broad Investment Co LLC for it? remember that the city paid $119,000 for that small 0.07 acre piece at the corner. So does that mean the city would have to pay them based on a price of $1.7 million per acre?

Little Lamb
53973
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Little Lamb 11/01/11 - 11:44 am
0
0
I don't know what salary

I don't know what salary parking lot attendants make these days, but $400,000 a year in expenses seems high at first blush. But if you have to have attendants ’round the clock and a supervisor and a clerk and you have upkeep on the equipment and you have to pay a light bill; perhaps $400,000 is reasonable.

cityman
-6
Points
cityman 11/01/11 - 11:45 am
0
0
Interesting.
Unpublished

Interesting.

Little Lamb
53973
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Little Lamb 11/01/11 - 11:53 am
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Bev, the tax assessor has

Bev, the tax assessor has already told us what the value of 933 LLC's land is. It is the assessed value. The TV station said their 2011 property tax bill on that parcel is $2,000.

The fact that Fred (It's other people's money) Russell made a deal to pay $119,000 for 0.07 acre is irrelevant. He made that deal on the open market. Time was of the essence and the purchase was under duress, so he had to pay a premium price. When you use eminent domain to take land, you just pay fair market value; and surely the tax assessor uses fair market value to make his valuation judgements.

broad street narrow mind
348
Points
broad street narrow mind 11/01/11 - 11:46 am
0
0
yeah, joe bowles, who's
Unpublished

yeah, joe bowles, who's pushing 933 broad to go ahead with the promised donation? what's 933's response? and the deal you mention- $418k investment from us per year and how much is it expected to make a year?

cityman
-6
Points
cityman 11/01/11 - 11:47 am
0
0
I tried to post a related
Unpublished

I tried to post a related article and it was censored !!! What is up with this? Has anyone else had this to happen?

Little Lamb
53973
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Little Lamb 11/01/11 - 11:52 am
0
0
Cityman, when you post a url,

Cityman, when you post a url, the Chronicle holds it for a while to check and make sure there's nothing pornographic or commercial or whatever. If your link was acceptable, it will show up in a few minutes or a few hours.

cityman
-6
Points
cityman 11/01/11 - 11:54 am
0
0
Thank you Little Lamb. I did
Unpublished

Thank you Little Lamb. I did not know that.

joebowles
104
Points
joebowles 11/01/11 - 12:32 pm
0
0
At first review: Deck under

At first review: Deck under Mariott 363 spaces=$400,000 rev,
new deck about the same, Occupancy fluctuations and special events, etc...so easily I would say 460-560,000 annually probably more...

joebowles
104
Points
joebowles 11/01/11 - 12:36 pm
0
0
As for the land we have the

As for the land we have the deed on Air rights in perpetuity. We had conceded them the 1st floor parking to cover what they had before....
Yes, I am upset about not knowing we were getting just air rights, we will address that soon....The deal on premise is what we agreed to so for me I am concerned mainly with the Management agreement of the Deck, at this point.

CarlA
114
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CarlA 11/01/11 - 01:05 pm
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0
Joe, "Deck under Mariott 363

Joe,
"Deck under Mariott 363 spaces=$400,000 rev"... Where did you get that info? Provided by Augusta Riverfront? or your estimates?

"...new deck about the same..." Is the demand for parking in the area going to double? Seems like a stretch. How many events has the TEE center booked to date?

Richmond Co. taxpayers just got served a big terd sandwich and everybody's gotta take a bite!

Little Lamb
53973
Points
Little Lamb 11/01/11 - 01:29 pm
0
0
Carl, I'm sure that what Joe

Carl, I'm sure that what Joe Bowles is thinking is that the new deck and the old deck are similar in capacity and nothing has changed in the area. So the new deck should generate about the same revenue as the old. He is discounting revenue from the TEE center because that revenue will be some thin icing on the cake of the revenue from workers in that area of Reynolds plus guests of the hotel.

The TEE will sit dark and cold much of the time. The parking deck has potential.

joebowles
104
Points
joebowles 11/01/11 - 01:47 pm
0
0
Carl, These are my

Carl, These are my estimates...It's not rocket science, but the lots won't be filled to capacity at all times...

BevBoudreaux
0
Points
BevBoudreaux 11/01/11 - 01:51 pm
0
0
This is what I still don't

This is what I still don't understand. If this 933 Broad Investment LLC was still going to own the land then why did the city acquire that 0.07 acre parcel in the first place? Shouldn't 933 Broad Investment LLC have gone out and contacted that property owner and made the transaction directly with them instead of the city? And before you say that the city had the power of eminent domain over that property owner, that doesn't make a whole ot of sense.. how can you assert eminent domain on this one property owner but yet keep the rest of the property where the deck was built under the ownership of 933 Broad Investment LLC? That just doesn't make any sense to me. Bottom line, the city should have acquired ALL of these parcels together. If they were going to allow 933 Broad Investment LLC to keep control of their portion of the land then that LLC should have been the one to acquire the two remaining parcels for the deck, not the city.

BevBoudreaux
0
Points
BevBoudreaux 11/01/11 - 01:54 pm
0
0
and I think that this 933

and I think that this 933 Broad Investment LLC could very well assertt that fair market value for their land is now somewhere in the neighborhood of $1.7 million per acre

Little Lamb
53973
Points
Little Lamb 11/01/11 - 01:56 pm
0
0
Then the tax assessor needs

Then the tax assessor needs to upgrade the value to $1.7 million an acre and make them pay taxes on that value.

Little Lamb
53973
Points
Little Lamb 11/01/11 - 01:59 pm
0
0
Here's what I am worried

Here's what I am worried about. If Julian Osbon ever gets the nerve to build that Hyatt Hotel down the street, will he expect the city to build him a parking deck, too? Not to mention having the city to pay him to collect the money from the parkers.

Riverman1
113996
Points
Riverman1 11/01/11 - 02:03 pm
0
0
Bev, that could be part of

Bev, that could be part of the cabal's plan. I bet the LLC is going to claim for them to donate the air rights they had to keep ownership of the ground. But that is a tacit admission they have been given "consideration" with the TEE being constructed by their hotel. In other words, they got value from their donation of air rights. Jackson's small parcel wouldn't work that way because he wouldn't be getting anything of value in return. The LLC did us no favors. They have a parking area from now on for free. I wonder how many cars Bill Jackson could have parked on his 0.7 acres if he had just given up the air rights? Jackson should have sold his land to the LLC if the idea was for the LLC to keep the entire ground floor.

BevBoudreaux
0
Points
BevBoudreaux 11/01/11 - 02:09 pm
0
0
LL ..they are paying taxes on

LL ..they are paying taxes on that land as though it is undeveloped. Sweet deal, eh? I think that hotel was always a red herring. Remember how osbon pressured commissioners to approve the TEE Center based on that hotel? Here we are 2 years later and it looks like that thing will never be built. But was this deck even needed? I don't think so. A surface lot would have replaced the spaces lost from construction of the TEE Center, and that was a much cheaper option that commissioners never saw but Fred Russell knew about

BevBoudreaux
0
Points
BevBoudreaux 11/01/11 - 02:10 pm
0
0
I am curious if that phantom

I am curious if that phantom Hyatt Place hotel was also used as justification for building this parking deck

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