Olympic Village & Southeast False Creek Updates Discussion

[officedweller]

I always wonder whether pets or small babies fall out of these types of windows since they are fairly low to the floor:

[achu]

Originally Posted by sacrifice333

Looks like the Athletes Village has claimed its first official victim...

http://www.theglobeandmail.com/servlet/story/LAC.20090116.BCANDREWS16//TPStory/Front

The "victims" have started long ago already. Estelle Lo, the city's financial officer resigned back in October, during the city's "negotiations" to provide the $100million construction loan. This was when the NPA were in "secret meetings" and could not divulge details to the public. When the negotiations were leaked, the NPA cried foul, and it was reported that Estelle Lo resigned due to conflicts she had with Judy Rogers, the city manager. It was reported Lo had reservations regarding the financing and continuously questioned Rogers on this matter. Once Robertson got into office, he fired Rogers in his first week.

Jody Andrews, the project manager in charge of the Olympic Village, was the top ranking figure left from the previous administration and would have to answer for this fiasco. It was only a matter of time before he chickened out and resigned.

[jlousa]

achu you have no idea what you are talking about. The fact is if you knew Jody at all you'd know he was very well liked by city staff, well respected in the industru, and worked as hard as anyone at city hall. He resigned on principle and didn't chicken out as you put it because the current council been making this project a scapegoat. I suggest you take a hour or so out of your life and read Frances Bulas blog she's a local reporter that has had the best balanced coverage of this fiasco, there are lots of city staffers posting there coming to his defense. Even Vision insiders are starting to turn on the party over this fiasco.

[Vancity]

Article on the VancouverSun about the Olympic Village:

http://www.vancouversun.com/Business/Oly...aky+ground+from+start/1189146/story.html

I like the Olympic Village project. I think it's going to be great. It's unfortunate that it has received the coverage that it has

[mr.x]

Those vultures at Canwest are really trying to squeeze every last drop of blood out of this one.

[Rusty Gull]

Bottom line: The bath that the city takes on this equals the price it receives for the project, minus the cost of constructing it.

Which, in the big picture, is significant yes, but no moreso than other real estate projects that are in the red due to the financial meltdown.

[deasine]

Originally Posted by mr.x2

Those vultures at Canwest are really trying to squeeze every last drop of blood out of this one.

This is like the first time I hate watching the News Hour... because of the continuing olympic coverage.

[mr.x]

Originally Posted by Stingray2004

The politics behind this whole mess seem to be just getting worse:



And this guy is a Vancouver City councillor????? What a Weasel!

Full story:

http://www.vancouversun.com/Louie+propos...al+then+voted+against/1182360/story.html

That's why I didn't vote for Louie, I never really liked him and something about him always seemed odd to me.

I don't understand why so many here in this forum supported him nor why he was re-elected.

[ravman]

Olympic bailout gets the nod

Provincial government gives Vancouver's authority to borrow $458m for Olympic Village

By John Bermingham, The ProvinceJ anuary 17, 2009 9:44 PM

The provincial government gave emergency borrowing powers Saturday night to the City of Vancouver — allowing it to negotiate at least $458 million more to ensure the Athletes Village is built in time for the 2010 Olympics.

The legislature dealt with the emergency bill overnight to allow the city’s continuing bailout of the False Creek project.

The New Democrat opposition tried to string out the rare weekend sitting into the late hours, but the bill was expected to pass.

Premier Gordon Campbell argued it was vital to speed the legislation through, in order to save jobs.

“There’s very little time for the city to arrange the agreement,” Campbell told reporters.

“We have to do this, I think, to meet the city’s needs.”

Campbell said he wants to protect the 1,700 people working on the project. “We have to do everything we can to secure jobs for people,” he said.

The bill allows Vancouver to borrow what it needs to pay for remaining construction on the condominium project, which has faced financial problems since as early as mid-2007.

In a series of in-camera meetings since then, the city gradually agreed to assist with financing, at one point guaranteeing completion.

Its latest payent of $30 million is due Feb. 15.

If not met, work at the project could come to a stop.

Ottawa and Victoria have both refused to help with the bailout.

The bill being debated Saturday night amends the city’s charter — which sets out its legal powers — to allow it to borrow for the 1,100-unit project without holding a required referendum.

Cost for the entire project has risen to $875 million, including a $125-million cost overrun.

Mayor Gregor Robertson has said the city needs about $458 million more to see the units finished.

After they’re built and the Games athletes have finished with them, they’ll be sold.

The city hopes the housing market will have improved and its expenses will be covered.

Millennium, the project’s developer, has been beset with cost overruns and financing difficulties.

Campbell said he first learned about Vancouver’s problems at Christmastime during a conversation with Robertson.

The two had further talks in the New Year.

Opposition NDP leader Carole James said her party would support the bill, but she blasted the Liberals for a “culture of secrecy and arrogance.”

James unloaded on Campbell, saying he was also responsible for the Olympic Village crisis and that his government must have known what was going on. “The government is going to try and point fingers elsewhere,” she said. “[But] it was the government that was ultimately responsible for the cost overruns.”

By calling the emergency session on a weekend, the government avoided fielding questions from the NDP.

Under legislative rules, there is no Question Period during weekend sessions. The NDP had hoped to extend debate on the bill to three days, hoping for the chance to pose a list of questions about the Olympic Village and the Games budget to a government that faces a provincial election in May.

But House Speaker Bill Barisoff ruled the situation sufficiently urgent to cram three readings of the bill into a one-day special sitting.

In light of Saturday night’s emergency session, James submitted 31 questions to Campbell’s government about the Olympic Village and Olympic cost overruns.

Topping the list was a question about why Campbell continues to say Olympic costs are on budget at $600 million.

“For the premier to say $600 million is laughable,” she said. “All taxpayers are on the hook for those additional [Village] costs.”

James said the bill gives the power to the City of Vancouver to borrow unlimited amounts of money, as no amount is specified in the new legislation.

“The Vancouver taxpayers are stuck with this,” she said. “I think all taxpayers of B.C. should be very nervous.”

James also wants B.C. Auditor-General John Doyle to be appointed Olympic Games auditor in order to provide independent oversight.

Olympics Minister Colin Hansen has hinted the province’s $600-million Olympic spending may go over budget because of increased security costs. The province has already committed to spending $87.5 million on security, but recent media reports suggest the overall security bill could be in the hundreds of millions.

“I’m very anxious. I want this finalized in advance of the Feb. 17 budget,” said Hansen, who is currently negotiating with Ottawa on how security costs will be shared.

“Certainly the $87.5 million, what will be the provincial government’s obligation, will exceed that. So that will certainly put some pressures on the budget,” he said.

The B.C. Legislature last called a weekend session in 2005, when the government forced striking teachers back to work.
© Copyright (c) The Province

[Stingray2004]

Originally Posted by ravman

James unloaded on Campbell, saying he was also responsible for the Olympic Village crisis and that his government must have known what was going on. “The government is going to try and point fingers elsewhere,” she said. “[But] it was the government that was ultimately responsible for the cost overruns.”

What a dummy!!!

Because as the Auditor-General pointed out, provincial and federal costs involved in the Olympic Village was $30 million, which has already been provided by VANOC to the City.

More importantly, from the Auditor General’s report from September, 2006:

The indemnification extends to costs and liabilities flowing from the Host City Contract where either municipality acted pursuant to instructions from the Province.

Certainly the province did not provide the City with instructions on the development of the Olympic Village lands, with the city retaining title, selling to Millennium for $193 million, providing a completion guarantee to Fortress, 1/3 social housing, developing a more expensive sustainable community, commercial space, and on and on.

[mr.x]

^ he eats up everything the NDP gives him.

[ravman]

Taxpayer takes Olympic slap to the face
Michael Smyth, The Province
Published: Sunday, January 18, 2009

I don't know about you, but I'm sick and tired of politicians playing fast and loose with taxpayers' money in secret with no accountability to the public.

That's how Vancouver got into this stinking mess with the Olympic Village project in the first place.

I'm sick of politicians telling me everything is fine and dandy with the 2010 Olympics budget when everyone knows we're not being told the whole truth.

Just one ridiculous example: The $40-million budget for the B.C. Olympic Games Secretariat is not considered an Olympic expense. Spare me.

And I'm sick of politicians saying they have to ram through hundreds of millions of dollars of new Olympic borrowing with the barest amount of scrutiny and debate.

That's what happened in Victoria yesterday during the emergency bailout session for the Olympic Village. And what a sickening display it was. Premier Gordon Campbell called back the legislature on a Saturday for one reason: According to the arcane rules of the legislature, there's no question period on Saturdays.

What a cynical trick to avoid scrutiny by the guy who promised to run the most open and accountable government in Canada.

Then the Liberal government sank even lower by asking Speaker Bill Barisoff to let the Olympic Village bill sail through in one day. Barisoff, a Liberal MLA, complied.

It normally takes three days to pass a bill through the legislature for good reason: It's to allow full debate and research. It's so members of the public can contact their MLAs and have their input.

The Campbell government trampled all over these basic principles yesterday.

It's even more disgusting when you consider the bill cancelled the requirement for Vancouver to hold a referendum on all this new borrowing -- taking away even more public accountability.

The government argued it had to pass the bill as quickly as possible because the city is losing $87,000 a day in interest payments on the project.

But think about this: Vancouver Mayor Gregor Robertson told Campbell over Christmas about the problems with the Olympic Village and Campbell did nothing for more than three weeks. Then he jams it all through on a Saturday.

There's no compelling reason that had to happen. The Olympic Village won't turn into a pumpkin at midnight. And everyone knew the bill would pass the moment it was introduced in the legislature, giving the city the bargaining clout it needs as it looks for a way out of this mess.

For the beleaguered taxpayer, it was just the latest Olympic-sized slap in the face.

[achu]

Originally Posted by jlousa

achu you have no idea what you are talking about. The fact is if you knew Jody at all you'd know he was very well liked by city staff, well respected in the industru, and worked as hard as anyone at city hall. He resigned on principle and didn't chicken out as you put it because the current council been making this project a scapegoat. I suggest you take a hour or so out of your life and read Frances Bulas blog she's a local reporter that has had the best balanced coverage of this fiasco, there are lots of city staffers posting there coming to his defense. Even Vision insiders are starting to turn on the party over this fiasco.

Thanks, I will read that blog. I have no problem taking the points of views of varied sources. Yes I agree with most of the posts here that Canwest/Global/Vision are doing a ridiculous job of crying foul that Vancouver taxpayers are on the hook for a billion dollars. I'm also sick of the NDP riding this story just to gain their political standing in time for May. No I don't know Jody and I don't have to, because I am like every other of the 600,000 citizens of Vancouver questioning and demanding to know what got us into this mess. The two people directly in charge of this project was Andrews and Rogers, and I don't care how hard working or well liked Andrews was, they were at the helm of this project, and directly recommended Millennium as the developer. They never questioned Millennium's marketing plan, which was to sell this project as a high end waterfront development, and never questioned Millennium's plan to finance almost the entire construction cost. With only $29million of their own equity on the line, and planning to fund the $750million construction loan by borrowing, they were forced to go to the world of hedge funds with the double/triple interest rates of regular banks. Bottom line, they didn't do the proper risk assessment.

If Andrews resigned on principles, I'd like to know what principles those were, cause they were directly responsible for this mess. Instead of going with tried and true developers with plenty of big project experience like Concord or Wall, and forcing the marketing of the units out of the ridiculous $1000/sqft that Millennium was proposing, Andrews and Rogers followed the dollar signs. To me, his principle was GREED, Millennium's $193million bid was too big too ignore. If he was actually a man of principle, he would finish this gong show of a project to the end, instead of showing that he prefers to save his own skin first.

[usog]

http://www.vancouversun.com/Vancouver+borrow+Athletes+village/1191422/story.html

VICTORIA - The B.C. legislature has unanimously passed an amendment to the Vancouver Charter allowing the city to borrow unlimited funds to finance the Olympic Athletes' Village.

The amendment was passed after about 20 hours of debate during a rare weekend sitting called so that Vancouver could ensure the completion of the athletes' village in time for the 2010 Olympics.

Community Development Minister Blair Lekstrom introduced the change Saturday in response to an urgent request from Vancouver Mayor Gregor Robertson.

http://www.theglobeandmail.com/servlet/story/RTGAM.20090117.wathletes0117/BNStory/National/home

JUSTINE HUNTER

Globe and Mail Update

January 18, 2009 at 12:37 PM EST

VICTORIA — The B.C. legislature approved special borrowing powers for the City of Vancouver Sunday morning to keep the dollars flowing to the troubled Olympic Village project.

The city council had asked for unlimited financing authority — without having to hold a referendum — for the $875-million housing development.

After the project's lender bailed out last fall, Vancouver has been carrying the monthly payments but its authority ran out last week. The next payment is due February 15.

The city is also on better footing to renegotiate financing at a lower interest rate than the reported 11 per cent borrowing terms it has now.In an unusual weekend session of the legislature, held to debate only the amendment to the Vancouver Charter, both the Liberal government and the New Democratic Party opposition endorsed the scheme.

However the NDP dragged out debate on the legislation around the clock before voting for the amendment, arguing taxpayers have cause to worry about all the Olympic financing costs.

"I'm satisfied we did everything we could," said NDP leader Carole James this morning, shortly after the 20-hour-long session ended.

"But as we saw once again, this government refused to come clean with the real cost of the Olympics, refused to give us the opportunity to ask some questions that needed to be asked."

Community Development minister Blair Lekstrom acknowledged some ratepayers are not happy to have the province grant unlimited borrowing powers without a referendum.

"We're in extraordinary circumstances here," he said. "I understand the questions that were raised and people in the public have asked that question numerous times — hopefully what they have seen here is a government and an opposition that's acted responsibly to respond to, really, the needs of the taxpayers of the city of Vancouver."

The city is committed to completing the 1,100 unit housing development to provide accommodation for athletes competing in the 2010 Winter Olympic Games. It then plans to sell most of the units to recoup its costs, although real estate prices have dropped significantly since it negotiated the deal two years ago.

The financing unravelled last fall when the lender, Fortress Investment Group, halted payments, citing cost overruns. City council quietly approved $100-million to pay the monthly bills, but the last draw on that fund was paid out last week.

The city is trying to renegotiate financing with Fortress for the remainder of the project. However the legislation gives city council with the authority to borrow enough money to take over the existing loans on top of the roughly $450-million required to finish the project.

Emphasis mine. Looks like the NDP went along with it. Can't just hang this one on the liberals this time.

[jlousa]

See that's the problem, people are blaming Judy and Jody for stuff they didn't do. Read Frances blog she has a lot of the details there and links to the actual documents. The fact is Andrews is an engineer, not a financial expert or legal counsel. His name was on the report as it was his job to submit the recommendation of city staff. He is not the one that would've gone over the finances nor the legal paper work. That was done by other members of staff that specialize in that work. Millennium received approval by those other depts in city hall before Jody ever worked on writing that report. His job was to oversee the construction of the project and to ensure it was completed on time. The project is roughly 6-10% over-budget but on-time. That is what he should be accountable for, but given the market conditions at this time and the time constraints involved I don't believe anyone could justify replacing him due to very modest cost overruns.

If council wanted to find scapegoats they should have gone after the staff that approved the legal framework but that would be much less glamorous as nobody knows those names. Not to mention they'd be lawyers and much more likely to go after the city for damages.

I'm not so sure why all of a sudden Millennium is a backwaters developer, why they have not done much in this city they are certainly up there with the big dogs. Not Concord pacific big obviously but definitely with Wall and others. And lets be honest had Concord received the contract and everything did go smoothly we'd have people complaining about Concord having the city in their pocket and how the process must of been corrupt because their was a larger bid on the table.

[ravman]

Originally Posted by usog

http://www.vancouversun.com/Vancouver+borrow+Athletes+village/1191422/story.html


http://www.theglobeandmail.com/servlet/story/RTGAM.20090117.wathletes0117/BNStory/National/home

Emphasis mine. Looks like the NDP went along with it. Can't just hang this one on the liberals this time.

Lets talk in the "politics" section but to reply to your response

The NDP for 20hours or something tried to hold GORDO accountable. GORDO held this on a Saturday to avoid QP to avoid answering the questions. Heck there were only 3ish members of the liberals presents at any given time in the chamber during the debate. The NDP would have taken this until monday or whenever, but the Liberals wanted to have the bill passed in one day and a member can speak for 30 minutes each and therefore, they all spoke asking many many many questions about the Olympics and the govt refused to answer any! The NDP did what they could to get answers, but at the end of the day, the NDP supports the olympics and they did not want the CoV taxpayers to be paying the 11% interest on the loan! They actually care and that is why the bill passed. If Gordo was more caring, he would have called the Legislature back earlier like a month ago when Gregor Robertson called the Gordo to tell him about the mess. ( i am going to state 29 days as Gordo cant recall when Gregor called Gordo {sometime during the holidays}
Mods: feel free to move question + response to the political arena

[mr.x]

Woes beyond our control: Ladner
Ex-councillor says Robertson using misleading info to blame predecessors

By Lena Sin, The Province
January 18, 2009 9:01 AM

Former Vancouver NPA councillor Peter Ladner says the city's new mayor is using misleading information on the troubled Olympic Village project to blame previous council members "for problems beyond their control."

Ladner was in charge of the city's finance committee when problems on financing of the village began to surface in 2007.

He has not spoken publicly about the project since losing the mayoralty bid to Gregor Robertson in November.

But last week, Ladner broke silence when he sent an editorial to the media stating: "No one was able to predict the unprecedented real-estate-market meltdown, credit freeze and skyrocketing construction costs that undermined the financial feasibility of the project."

The full editorial, titled Time to Focus on Solutions on Southeast False Creek, will appear in the upcoming edition of Business in Vancouver, the weekly newspaper Ladner publishes.

Problems surrounding the village were brought to the public's attention last fall, when Fortress Investment Group stopped lending money to developer Millennium Development Corp., citing cost overruns.

In a secret meeting in October, the previous city council approved a $100-million loan to cover Millennium's monthly bills.

Leaked news of the loan dominated the November civic election, during which Ladner, the NPA mayoral candidate, insisted the Olympic project was sound. He resisted all calls to release further details of the land deal or the loan to the public.

Robertson, the Vision Vancouver candidate, by contrast campaigned on the promise to assemble available information about the project and the city's financial status with it and to publicly release the info.

On Jan. 9, Robertson announced Vancouver taxpayers could be on the hook for the full cost of the development, now pegged at $875 million -- $125 million overbudget.

Ladner maintains in his editorial that the project is "still a development jewel" and that it's on track to break even. "To suggest the cost to city taxpayers will be anywhere near $1 billion is inaccurate, inflammatory and highly irresponsible," wrote Ladner.

"The $875-million outside cost estimate doesn't take into account the $70 million in equity Millennium has in the project, the $50-million contingency still to be released by Fortress and the $200-million-or-so guarantees the city has in the form of Millennium's other holdings worldwide.

"Add all that up, subtract anticipated price discounts, and the project is still on track to break even."

Geoff Meggs, now a Vision Vancouver councillor, said the mayor has not exaggerated the problem and that Ladner should accept some responsibility for exposing taxpayers to so much risk.

"The mayor has not suggested that taxpayers will lose $1 billion, he says we're responsible, which is true," said Meggs. "When people ask how we got into the situation we're in, we have to say the facts. We got here because it was decisions made by the last council. And it would be helpful, in terms of toning down the rhetoric, if he acknowledged that was the case."

The true cost to taxpayers won't be known until after the 2010 Olympics, when units in the village are sold.

[email protected]
© Copyright (c) The Province

[deasine]

Originally Posted by ravman

Lets talk in the "politics" section but to reply to your response

Oh shut up. When you become a moderator, and if, you can make the rules. The last article you posted was all about politics.

[ravman]

Originally Posted by mr.x2

Woes beyond our control: Ladner
Ex-councillor says Robertson using misleading info to blame predecessors

By Lena Sin, The Province
January 18, 2009 9:01 AM

Former Vancouver NPA councillor Peter Ladner says the city's new mayor is using misleading information on the troubled Olympic Village project to blame previous council members "for problems beyond their control."

Ladner was in charge of the city's finance committee when problems on financing of the village began to surface in 2007.

He has not spoken publicly about the project since losing the mayoralty bid to Gregor Robertson in November.

But last week, Ladner broke silence when he sent an editorial to the media stating: "No one was able to predict the unprecedented real-estate-market meltdown, credit freeze and skyrocketing construction costs that undermined the financial feasibility of the project."

The full editorial, titled Time to Focus on Solutions on Southeast False Creek, will appear in the upcoming edition of Business in Vancouver, the weekly newspaper Ladner publishes.

Problems surrounding the village were brought to the public's attention last fall, when Fortress Investment Group stopped lending money to developer Millennium Development Corp., citing cost overruns.

In a secret meeting in October, the previous city council approved a $100-million loan to cover Millennium's monthly bills.

Leaked news of the loan dominated the November civic election, during which Ladner, the NPA mayoral candidate, insisted the Olympic project was sound. He resisted all calls to release further details of the land deal or the loan to the public.

Robertson, the Vision Vancouver candidate, by contrast campaigned on the promise to assemble available information about the project and the city's financial status with it and to publicly release the info.

On Jan. 9, Robertson announced Vancouver taxpayers could be on the hook for the full cost of the development, now pegged at $875 million -- $125 million overbudget.

Ladner maintains in his editorial that the project is "still a development jewel" and that it's on track to break even. "To suggest the cost to city taxpayers will be anywhere near $1 billion is inaccurate, inflammatory and highly irresponsible," wrote Ladner.

"The $875-million outside cost estimate doesn't take into account the $70 million in equity Millennium has in the project, the $50-million contingency still to be released by Fortress and the $200-million-or-so guarantees the city has in the form of Millennium's other holdings worldwide.

Add all that up, subtract anticipated price discounts, and the project is still on track to break even."

Geoff Meggs, now a Vision Vancouver councillor, said the mayor has not exaggerated the problem and that Ladner should accept some responsibility for exposing taxpayers to so much risk.

"The mayor has not suggested that taxpayers will lose $1 billion, he says we're responsible, which is true," said Meggs. "When people ask how we got into the situation we're in, we have to say the facts. We got here because it was decisions made by the last council. And it would be helpful, in terms of toning down the rhetoric, if he acknowledged that was the case."

The true cost to taxpayers won't be known until after the 2010 Olympics, when units in the village are sold.

[email protected]
© Copyright (c) The Province

i think no one will no anything about the true costs about Olympics for a year and a half! ( i say april, may June 2010ish)

[TwoFace]

Originally Posted by mr.x2

$70 million in equity Millennium has in the project, and the $200-million-or-so guarantees the city has in the form of Millennium's other holdings worldwide.

This Soap opera is turning into an Abbott & Costello movie. Now it’s looking like Millennium is the biggest fool.