Why Did We Pay Our Property Taxes When the Alerus Managment Company Won’t Pay GF What They Owe?

The Grand Forks Alerus Center

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Financial Disaster on the Prairie

In 2007 the Alerus Commission was ready to not renew their contract with Venworks management company who was hired to run the Alerus. Venuworks got the contract when they offered to take the job on the basis that they wouldn’t get paid their management fee if they lost money.
When they lost over a million dollars in 2008 a few of us were asking why they got paid. After all they lost all kinds of money beyond the hospitality tax subsidy that they count as “revenue.”
It turned out that a couple members of the Alerus commission had met illegally with Venuworks and promised them that they wouldn’t hold them to the contract they had signed. Despite the clear language of the contract, risky ventures that Venuworks signed us up for weren’t going to count. The Alerus Commission was proud to announce the contract but kept the public in the dark about their special deal.
When the losses were announced last year no mention was made of when or how the city would be paid back. Finally Terry Bjerke on the city council was able to get the city attorney to look into the matter. Only then did the secret illegal meeting come out. Just like my business law teacher had said, the city attorney found that the written contract overruled any backroom deals.
That was back in November. Since then Venuworks has done nothing to pay the city what we’re owed. The Alerus Commission has taken no action, they haven’t even asked for the money. The Alerus Task Force decided to pass on the issue. The City Council hasn’t brought it up. Nothings been done to collect the money that’s owed the city.
Today is property tax day. I had to send off my check which was a very significant amount of money for me. Of course only about 20% of that money goes to the city, but that’s still a lot of money.
If I didn’t pay my taxes I wouldn’t get a break. Eventually they’d come and confiscate my property.
Why is it that this city contractor, who pays NOTHING to the city in property taxes gets let off the hook when the citizens of Grand Forks are required to pay what we owe. Venuworks willingly agreed to the terms of the contract. The public doesn’t get to negotiate how much they pay, but they still have to pay it all. Venuworks agrees to a deal and now they want to cheat us.
And why exactly is it that members of the City Council and the Alerus commission are willing to let this out-of-state company keeps money they aren’t entitled to. Why is it that they sprang a long term contract with Venuworks on the public just before the disastrous Britney Spears concert? Why is it that a portion of the tax subsidy goes to Venuworks as if it was revenue that they brought in.
Isn’t the City Council and the Alerus Commission supposed to be working for us?
Does anyone else feel like a sucker because they paid their property tax today?

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  • http://Array sayanything-2

    Sorry, Toot. My question is why is NDBCI not putting these criminal a$$holes in prison. Who is bribing who? Who, in ND law enforcement is packing their pockets with all that money? Clearly ND’s police community is being paid to not prosecute these criminals.

  • sayanything-4642

    they will take it out of the next ‘payment’ i am guessing. i hope you all charge interest on unsecured loans….which, you cannot get any more. thus the REAL question; what is the interest rate on a loan you cant get?

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