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Pull the Plug On the Brew Pub

Posted on September 25, 2013

Pull the Plug On the Brew Pub

In the best of times, a city government spending $2.1 million to renovate a government owned building to facilitate a restaurant would be tough to justify. But given the facts surrounding the City of Tallahassee’s venture into what is now called the Brew Pub at Cascades Park, it is hard to believe that the City Commission could vote 5-0 to move forward with such a project.

Understand, it is not hard to believe that City Commissioners would support using funds from the Community Redevelopment Agency (CRA) to get into the restaurant business. They have already invested your tax money in hotels, student housing projects, and commercial office space. But could they vote to use sales tax dollars earmarked for public works projects to build a restaurant? Sadly, the answer is yes.

Last year the CRA voted to spend approximately $800,000 to renovate the Old Electric Building located in Cascades Park to accommodate a restaurant. The original investment of CRA funds turned out not to be sufficient to properly fund the project. But this did not deter the City.

When an analysis determined that more money was needed for this venture, the City Commission voted on July 10, 2013 to move $1.3 million in funds left over from public works projects to the Brew Pub project. Yes, tax money dedicated to improving roads and our City’s infrastructure is being used to finance a restaurant.

This transfer of your tax dollars comes during a budget cycle that started with a $5 million deficit that will ultimately be addressed by an increase in the gas tax and a delay in hiring additional police officers.

Raise taxes, cut police officers…..and build a restaurant!

And that’s not all. The fact that the original bid winner pulled out of the project did not deter the City either. Instead of rebidding the project, the City Commission voted 5-0 to sign a contract with a new business entity that was created 10 days before the vote to add an additional $1.3 million to the project budget. And by the way, the owner of this new business entity is the campaign treasurer for Mayoral candidate Andrew Gillum.

Beyond the budget implications and the insider dealings, this project is a text book example of the consequences of government getting into a business that operates just fine in the free market.

First, there is the irony of restaurant owners in Leon County paying taxes that go to fund a business that will be their competition. And then there is the City spending on food.

The City of Tallahassee spends approximately $130,000 a year on food. Several different vendors provide the food. However, one must ask, if the City has a vested interest in a restaurant, does this mean they will start buying food from “their” restaurant at the expense of other restaurants they have traditionally supported?

Ironically, it was Commissioner Gillum that voted to tear down the building years ago because it was not worth saving. But he lost that vote. And now he has to deal with a project that could be a poster child for crony capitalism, even though, personally, he has no financial interest in the restaurant.

Look, lots of people want to go to a place where everyone knows their name, but the City Commissioners, led by Commissioner Andrew Gillum, need to do the right thing and pull the plug on the Brew Pub!

5 Responses to Pull the Plug On the Brew Pub

  1. John Paul Reply

    September 25, 2013 at 10:14 pm

    Steve,Another good job in reporting,JP

  2. Sam Adams Reply

    September 25, 2013 at 10:31 pm

    Has anyone tested the Constitutionality about what the City is doing (operating a business which competes with similar businesses that are TAXED by the City)? I learned many years ago that the City (Which owns our local utilities) charges a 10% fee to anyone who operates a competing energy utility within the corporate City limits.

    This appears to be a major conflict of interest and the same could be said about any other business which is owned by the City whether Hotels or restaurants or any other venture. If I had deeper pockets, I would spend the money to have this tested in the Courts.

    SA

  3. Hope Reply

    September 26, 2013 at 6:52 am

    How far is the sink hole from the Brew Pub? Just saying…

  4. Jane McLeod Reply

    September 30, 2013 at 3:20 pm

    This is so totally WRONG from so many different aspects. With the inside info on this issue how many of the commissioners and their cronies have there fingers in the cash pot to benefit themselves.Even if the answer is none, why is the government in the retail business. If a restaurant wants to build a restaurant then they should use their own money.When people invest their own money it is more carefully guarded and when they have the use of other peoples’ money it is not protected form poor management. NO NO NO It is grossly unfair to the other restaurants that would be subsiding this venture.

  5. Hope Reply

    October 8, 2013 at 6:48 am

    Is it a coincidence that the assistant city manager resigned a few weeks ago? Probably did not want to be associated with the corruption any longer.

    http://www.wctv.tv/home/headlines/Tallahassee-Assistant-City-Manager-Resigns-225852421.html

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