The new Red Wings Arena has been approved to be stolen from the taxpayers and I mean “all” taxpayers of Michigan not just Detroit because first off Detroit doesn’t have any taxpayers to speak of. Remember Governor Snyder has pledged 350 Million of Michigan taxpayers money to “Bailout” Detroit and the DIA.
The construction of the arena itself would be about 60% publicly funded. No Detroit general fund dollars would be spent; the state (taxpayers) is contributing the bulk of the public investment. Through the “failed” MEDC and Governor Rick Snyder who is an advocate for the deal, which will use “bonds” from the Michigan Strategic Fund one of numerous subsidiaries of the quasi government entity the un-elected MEDC.
A quick refresher course on the definition of “Bonds” where the taxpayers are concerned. The seller of these “Bonds”, in this case the state of Michigan (we taxpayers) are the borrowers, the buyers of these bonds are essentially the lenders. Sounds a lot like a Bank doesn’t it?
Yes, I know the convenient dodge from those who would prefer to avoid the obvious parallels between running an automaker into the ground and running a municipal government into the ground: government is not a business.
Wrong. Both succeed and fail on the strength (or weakness) of managing reality, dollars and cents, not some mythical ideal that exists only in gauzy memory or an eighth-grade civics class. Neither business nor government can allow expenses to consistently outstrip revenue for too long, cannot charge customers or taxpayers more and deliver less, without inviting serious existential consequences.
So many things wrong with the above paragraphs.
Starting with the most fundamental flaw: business adds value by producing something (a product or service) and creates wealth, government can only take wealth (through the force of law) from one group of people and give it to another, adding no value and creating no wealth.