Alerus Center Commission Chair Lied to the Public to Justify Secretly Renewing Venuworks Contract

The Grand Forks Alerus Center

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Financial Disaster on the Prairie

Back in August the Alerus Commission renewed the contract with Venuworks, the company that has mismanaged the Alerus Center for these past eight years. That seemed strange at the time because with the dreaded Britney Spears concert upcoming most people would have thought that we should have waited to see how that turned out.
But Curt Kruen, city council member and Alerus Commission Chair, told the GF Herald Reporter that wasn’t a concern:

Britney Spears ticket sales are going about as expected and the events center is “very close” to that break even point where it doesn’t have to pay promoters AEG Live anything.

Those of you paying attention will recall how excited the Alerus gang was with the late sales surge where thousands of tickets were sold at the last minute. Since the Alerus NEVER came close to breaking even and that we had a sales surge after Kruen told this to the public, one has to conclude that Kruen was intentionally lying to the public.
Another thing that bugs me about the contract with Venuworks is that it was sprung on the public. Nobody had an idea that they were even talking about a renewal.
That’s not how it’s supposed to work in this state. We have very strong open meeting laws. Now a body governed by the open meeting laws may go into executive session to discuss certain matters (like negotiation strategies) but they have to do so in a certain way. They have to hold a regular open meeting that has been announced to the public. Then they have to declare that they are going into executive session and put in their motion and minutes under what specific law they are invoking to go into executive session. They then MUST record the meeting so that the Attorney General can determine whether or not they were following the law.
So how in the world did the Alerus Commission get around all of that without the public knowing that a new contract was coming?
Well it seems that the city attorney just scolded the Alerus Commission for ignoring the law.

Howard basically rapped the Alerus Center commission’s knuckles for forming an executive committee and holding what are essentially secret meetings. They’re secret because they aren’t announced to the public. I once asked commission Chairman Curt Kreun what was up with these meetings and why I wasn’t invited. He said I could come if I wanted, but it would be boring. I got involved in the nickname insanity and forgot about it until now.
My understanding is that they are, in fact, boring, by which I mean there are plenty of fairly routine matters. But occassionally some important decisions get made and I’m looking into them now.
In fact, I now remember a meeting where two commissioners, Curt and Randy Newman, met privately with some folks from VenuWorks right after a commission meeting while reporters waited outside. I was pretty pissed, but I didn’t think it was worth calling our attorney. Turns out I should’ve just called City Council member Terry Bjerke.

Regarding the Venuworks contract it seems that action must be taken. The public never had an opportunity to know what was going on which is illegal. In order to justify the long term contract the chairman of the commission lied about the financial performance of the Britney concert.
What we do know is that the Alerus has always underperformed. Every year it seems the Alerus loses money requiring more subsidies. What’s going to change until we change the management of the Alerus Commission and the company that are supposedly experts in managing these things?
Kudo’s to Terry Bjerke for forcing the issue on the open meetings law. Now where are the consequences for those that broke those laws?

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  • http://Array sayanything-43

    The powers that be don’t want any interference in how they run “their city.”

  • jimmypop

    Give the property to AEG, yes, give it to them. If every event that sells 12,000 tickets yields 1.6M in economic impact. The property pays for itself after a few events. And, the property will be operated by people who know how to run an events center.

    Under my plan, the city continues to pay for the debt service. But just gives it away.

    Think I’m a moron?
    Google Alerus Center.

    these places are not meant to cash flow. the only problem is that these folks are not being honest about it now or in the past.

  • sayanything-43

    If we’d just shut and and buy tickets to the crappy events that the Alerus imposes on us things would be much better.

    For the Alerus gang.

  • Anon

    The party is over for the Alerus Gang. Their leash is very short, now.

  • sayanything-43

    We need to turn the pressure UP!

  • Anon

    I have an idea to help The Alerus. We need to quit this “naysayer” crap and be part of the solution, you bunch of morons.

    “The Party’s Over Gang, Party”

    Rent The Alerus and throw a big bash signaling the end of the Alerus Gang era and the beginning of the project getting on track (not back on track, it never was!).

    VenuWorks, funded by taxpayers, will underwrite all of our costs funded by the concert fund.

    Let’s do it! At the very minimum, it will be great to hear…”Go away, we only offer incentive deals to billionaires who suck the funds out of the community.”

  • sayanything-2

    Oops! Now who woulda thunk that?!?!?

    When is the NDBCI going to start interrogating these criminals?

  • IlikeBeer

    Have an everyday Beer Garden on the Prairie.

    Afterall they sell beer at rummage sales

  • ec99

    Yes. The problem has to do with who on the council is on the commission. Curt is an unabashed apologist for the place, instead of being its major critic. In this sense, he is actually working against the interests of his constituents, who subsidize the place. If Bjerke were there it would be a completely different story.

  • http://SayAnythingBlog.com The_Whistler_ofnd

    I believe the council set up the Commission to include a member of the city
    council.

    I think they need to dump the commission. It was only set up to give cover
    to the city council for shenanigans.

  • http://SayAnythingBlog.com The_Whistler_ofnd

    The entire Alerus saga has been all about a self appointed cabal doing what
    they think is best for us. There’s no concern about doing what’s right.

  • Anon

    Give the property to AEG, yes, give it to them. If every event that sells 12,000 tickets yields 1.6M in economic impact. The property pays for itself after a few events. And, the property will be operated by people who know how to run an events center.

    Under my plan, the city continues to pay for the debt service. But just gives it away.

    Think I’m a moron?
    Google Alerus Center.

  • ec99

    I have always maintained, although Tu pooh-poohed it, that Curt has a conflict of interest. You cannot fully serve your constituents as council member while being on the commission.

  • Pfeh

    Kudo’s to Terry Bjerke for forcing the issue on the open meetings law. Now where are the consequences for those that broke those laws?

    These consequences are a good start. But with the sort of anything-goes attitudes on display with The Gang, it is my suspicion that there are lots these sorts of indiscretions with the law. Pointing out each of the confirmed cases needs to be part of the push to remove these bozos from power.

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