UPDATED: Looks like Superlative is SOL

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As you know, I have been trying to find out why Superlative’s contract with the city was terminated early (They did the market analysis for naming rights on the new EC).

I finally was able to attain the original contract with the city, and from all accounts, while I disagree with the city for terminating their contract early, I don’t see that the city did anything wrong by this early termination.

SECTION TEN of the contract is pretty clear;

While Superlative has a right to be upset about the early termination, after all the work they performed for the city, they also got paid very well to perform this work. And hey, at the end of the day, who cares if Legends or Superlative announce the ‘S’ word Events Center?

UPDATE: I received this email today from SF Finance Director, Tracy Turbak about the bond sale;

Scott –

The City raised $102 million of the $115 million needed for the Events Center Project through a tax-exempt bond sale on March 13th.  The bonds were sold by the City through a competitive bid process.  There were eight bidders and the bid that resulted in the lowest overall cost to the City was submitted by a syndicate of 22 investment firms led by Robert W. Baird & Co.  This syndicate, or group of investment firms, purchased the entire bond issue at an overall interest rate of 3.21%.  These investment firms, called underwriters, then re-sell the bonds to either institutional or retail investors.  The bond holders are free to trade the bonds on the open market, but that secondary market trading does not involve or impact the City in any way.

The balance of funds needed for the Events Center Project will be raised by a taxable bond sale later this year – the exact sale date has not yet been established.  This second and final bond sale will raise $12.5 million for the project ($.5 million is being funded with City cash on hand) through the same competitive sale process.

Let me know if you have any further questions.

Thanks,
Tracy

Posted in: Event Center, Sioux Falls

A closer look at the termination of the Superlative naming rights contract

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Over the past few days, I have found the more information that I have uncovered, the more questions I have.

First I advise you to watch this informational meeting dated April 20,2012. There is PDF documentation on Superlative’s presentation and the city’s goals for naming rights.

This what we know right now;

Superlative’s contract was terminated early. Superlative did receive $65,000 for the market study they conducted, but they were looking to handle the naming rights. They were aware they were in competition with other firms, but by all accounts it would only make sense that the company that was doing your market study would help you with the naming rights. This did not happen which resulted in terminating their contract with the city early. This was the city’s decision.

Councilor Kermit Staggers has requested a copy of the contract. He is still waiting to receive it.

The city chose Legends Marketing. Not sure how much you know about Legends, but this story about them makes me a bit uneasy;

SANTA CLARA (KCBS) — As more seats go on sale Monday for the new 49ers Santa Clara Stadium, interested buyers are noticing most tickets are double the cost of a similar seat at Candlestick Park.

Aside from the cost of the 50,000 reserved seats that go on sale next week, the tickets require a one-time license fee between $2,000 and $12,000 for upper deck, end zone and top of the lower bowl seats.

Al Guido vice president of sales and services at Legends Sales & Marketing, the firm selling the packages for the stadium authority, said the cheapest seats will be $85 per game compared to Candlestick’s $39.

I don’t know about you, but most people in Sioux Falls cannot afford higher ticket prices. If this is the ultimate goal in building a new facility, we might just get ourselves a $180 million dollar echo chamber.

What is puzzling is that Legends was picked out of the four competitors, with Superlative (the market consultant) coming in 4th place.

Will the public be allowed to see the grading sheets? How did they come to this decision?

I do know that the city was advised to ask for at least $600,000 for 20 years on a naming rights deal. But that was a starting point. And it is no secret that Sanford and First Premier have been rumored to be interested sponsors (interior and exterior).

So how do you get that kind of money if you only have two interested parties?

Anybody in the Naming rights business will tell you that competition is what will drive up the naming rights price. Just look at Superlative’s track record on this;

Has raised over $500 million in Naming Rights

• 95%success rate in meeting and exceeding Naming Rights goals for arenas

• 100% on ballparks and stadiums

How can any naming rights company compete with that? Was Legends chosen over Superlative because they can help bring in competing bids? Or were they brought in to bring the appearance of competition?

I don’t think anyone will be shocked if Sanford and First Premier seal the deal, but it will be disappointing if this deal was struck without competition.

If this happens, will the public be allowed to see the list of competitors and their offers? Or like the naming of the Rosa Parks school, will that information be shredded?

In Myles Gallagher’s June 20, 2011 presentation to the city council, he said this;

“We represent the taxpayer – that’s our credo.”

Maybe this is why they were not chosen?

Posted in: Event Center, Sioux Falls

The very Peculiar David Barranco

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Up until this point, the only really thing we knew about Mr. Barranco (who is a candidate in the SE district for the Sioux Falls City Council) is that he fears the boogey man called socialism and he tries to buy votes with go-cart and intertube rides.

But when you start digging around you begin to wonder if his campaign and (family) life in Sioux Falls is all a charade? What are they really doing here? And why does his city council campaign face seem so different than his face from the past?

The first thing several people (lawyers) have questioned is why doesn’t Barranco have a law license in South Dakota? I guess he hasn’t ever applied. He currently holds a license in Texas where his clients are and makes no income in South Dakota. Then why leave Texas for South Dakota? I guess you would have to ask him.

And while David tries to play the Trumper card, he seems to be a wine and cheese lib at heart and apparently a well known author;



In 1993, David was named UT’s most outstanding liberal arts student; in 1997 he won the Willie Morris Award, which recognizes a superlative “call to intellectualism, vigorous defense of civil liberties, and overall pursuit of excellence.”

Mr. Barranco is especially proud of his SPLC Wall of Tolerance commendation — an award affording him the opportunity to shake hands with a true American hero, Rosa Parks.

The MacArthur Foundation granted David a 2004 Post-Graduate Fellowship in Public Policy.



With all these accolades, you kind of scratch your head a bit and ask why none of this stuff is mentioned on his website or in forums? He likes to talk mostly about dog parks and football.

You also have to scratch your head a little about the life experiences of his wife Catherine who currently doesn’t work at all;



Because it had been her ambition since childhood to attend Harvard College, she applied for early-decision admission to the top-ranked school, got in and never filled out another college application. Not surprisingly, her choice worked out well for her. “I knew Harvard had history and traditions as well as a quality education, with students you could learn from,” says O’Gorman. “You can study down by the river in Cambridge, and in 10 minutes you can be in Boston, having Ethiopian food or going to the ballet.” At Harvard, O’Gorman remained an outstanding student, making the Dean’s List each semester and graduating magna cum laude.



So you attend Harvard, worked as an executive with Walmart, then move to South Dakota and become a house wife after a short stint with the SD GOP with a mysterious departure?

There is something very peculiar about the Barrancos to go from Wine and Cheese Texans to Beer and Chislic South Dakotans. If I had a resume like either one of these folks, wouldn’t you tell people about it while running for office? Maybe he is on a secret mission to destroy local government from within? Wait, someone is already doing that 🙂

If Barranco really is an intellectual he will be bored to death serving on the city council.

Posted in: David Barranco, Elections, SF City Council, Sioux Falls

City Government Transparency?

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Transcript of Public Testimony last night:

My name is Bruce Danielson, a resident of Sioux Falls and chairman of Citizens for Integrity.

I am here tonight to report on the two ballot advocational meetings held so far, sponsored by the City of Sioux Falls. These biased presentations are designed to confuse the voters and harm the Initiative and Referendum process.

Prior to the first video last night, city director Don Kearney read a statement attributed to the city attorney. The statement reiterated the s approval of the video presentations.

After the first video was completed, I read a statement for those in attendance to explain why we disagree with the presentations and to ensure an open dialogue.

After the ending of the presentations last night I was approached by a city employee, Shawna Goldammer. I was informed my disclaimer would be addressed. I took it as “accommodated and silenced”.

We are partaking in the citizen’s debate on issues citizens worked very hard to bring before the voters. We will continue and will not be silenced.

We are suspicious of the city involvement in the ballot measures just as we have been suspicious of the Events Center naming. The EC naming has been a curious process. It has many different aspects never made clear. On SouthDacola.com last night the timeline became clearer why we the people have not been able to trust the word of this city government.

Prior June 12, 2012: The city doesn’t renew their naming contract with Superlative.

June 12, 2012: Director Smith Talks about hiring Legends to help secure a title sponsor in a council informational meeting.

July 12, 2012: Sanford Health BUYS the domain: DENNYSANFORDPREMIERCENTER.COM

July 24, 2012: Director Smith tells the council in an informational he is to having a title sponsor, and will bring it to the council..

August 2, 2012: EC title sponsor announced, city council is told 30 minutes before the announcement.

t have transparency on this The mayor used to work for First Premier, and people in the community are closely associated with Sanford. Maybe we really got a good ll never know because we never had any ”

We would like to know why this council has not taken their legislative responsibilities to heart and let your constituents know why this curious process was allowed to happen.

We question the motives behind the activities bringing the ballot issues to the people. The issues we have before us are based on our ability to question motives and directives. We have a voice in this election and its aftermath and we are here to stay involved.

Posted in: 1st Amendment, Censorship, Ethics, SF City Council, Sioux Falls

The interesting Events Center Naming Rights timeline

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Okay, we have known all along the EC was going to be named after T. Denny, but we were never given the proof that these negotiations were going on, probably even before the vote. So let’s lay it out;

June 12, 2012: Director Smith Talks about hiring Legends to help secure a title sponsor. July 12, 2012: Sanford Health BUYS the domain: DENNYSANFORDPREMIERCENTER.COM

tdepc

July 24, 2012: Director Smith says he is ‘close’ to having a title sponsor, and will bring it to the council soon.

August 2, 2012: EC title sponsor announced.

I don’t know about you, but that is breakneck speed if you ask me. You hire your naming rights firm and in one month, they are so sure they have a buyer, they purchase a domain. And within a couple of weeks they announce. One might say, Legends is good at what they do, but doesn’t anyone find it a bit suspicious that a deal like this is inked in 30 days of hiring a naming rights contractor? Apparently they are so good, they had a title sponsorship in the works BEFORE they were even hired by the city. So let’s go to the SF City Council informational meeting, June 12, 2012 (FF: 54:00)

darrinlying

Advancing? It’s almost like Smith had to hire a naming rights contractor so it didn’t look like it was already a done deal with Sanford. Gee, I wonder why they fired this company? Now, jump to the July 24, 2012 informational meeting (FF: 21:00) Still no done deals.

titel

Oh, but it gets better, Dave Knudson says this during the August 7, 2012 informational about the naming rights (FF: 14:00);

kingdave

So while everyone ‘seemed’ so surprised, it was evident. Superlative was fired because the city wanted to ink a deal with T. Denny (Sanford Health) and they wanted to do it before a replacement company was hired (Legends). I guess I could say a lot of things about the misleading and blatant lies fed to us, but Kermit says it best in the Argus Leader article;

“We don’t have transparency on this at all,” Councilor Kermit Staggers said. “The mayor used to work for First Premier, and people in the community are closely associated with Sanford. We should have had openness … Maybe we really got a good deal, maybe we will. But we’ll never know because we never had any bidding going on out in the open.”

Transparency, something this administration knows nothing about. I have said all along, the EC should have been called ‘The Citizens Arena’ We are ultimately paying for the construction of it, we approved it, and when the operating costs come up short, we will be subsidizing it. But giving it such a populist name might have shook Sioux Falls to the core, maybe enough to loosen some of the bedrock under the EC so the footings could have been large enough for a 15K seat expansion, instead of a 14K (another lie fed to us). BTW, speaking of surprises . . .

NO EVENTS CENTER TICKET SALES UNTIL AFTER THE ELECTION?

There is a rumor going around that the new EC will not sell tickets for upcoming events until after the election (in case the sales are a flop) but I heard there is plans to announce the opening event before the election. It’s probably a good thing that the EC won’t be selling tickets for awhile, they really need to get their header links fixed first anyway.

header

You would think after owning the DOMAIN for almost 18 months they would have the kinks figured out?

Posted in: Event Center, Sanford Hospital, Sioux Falls