So now what

I have been watching the last 2 weeks as the budget workshops have been going on.

I've also been going through the packet of paperwork I have received, and sorted through other things that have been coming my way.

First, in fairness to all I have a copy of the Mayflower invoice in my possession, and it is from Colorado to Gonzales.  It's for 14,000 lbs of household goods.

The payment to Borrer Electric Services stems from a failed inspection (I have the copy of that too) and that DH (David Huseman) authorized for payment.  After speaking with other city managers (2 of them) both of them stated that they would of turned it into insurance company for indication as to where or not they felt there was any liability, if not they wouldn't pay, if it didn't exceed the deductible they would of paid. While I'm certain this didn't exceed our deductible I'm also certain DH determined that it was easier for you and I to pay than to pack up our Code Enforcement. 

The rest of the package I'm going to have to defer on for right now.  I'm having to get some guidance from those more those who understand the laws better than I do.  I will update you later on those.

As for the budget. Let me start out by saying that JB Wells lost $16,069.46 if you don't take into account trailer rentals in the month of January.  On top of that we want to expand JB Wells by 91 slots at a cost of $225,000 (plus city labor).  So at this rate JB Wells will cost the city of Gonzales $425,000+ this year.  That's COST us dang near a half a million dollars.  (Entire JB Wells breakdown for January will be at the bottom of this blog)


Look I'll say it again, we have JB Wells, it's not going away. But to continue to throw good money after bad is just plain stupid! Why haven't we as a city taken the appropriate action to fix these problems? Why don't we have a committee that is looking into processes and procedures to rectify this issue.  So now yo and I will all be paying $75 each for every man, woman and child for the privilege of....of.....heck I'm not sure what privilege I can exaggerate and say here.  But I know that means my house hold is responsible for $450 this year and I haven't even been out to the arena in years.  So yeah, I'm not happy.


I also want to know why are we paying Friends of Gonzales Animal Shelter over $4000 a month? It was my understanding they were given a building and the city would pay utilities, but that the shelter was to be at no cost to our paying citizens.  Instead our cats are being treated for diabetes, fed the best food out there, and treated like royalty while our city is trying to maintain the most basic of services to our citizens.

Included in this years budget is $300,000 in transferring funds and $100,000 in reduction of the General Fund. That's $400,000 down, and yet we're throwing $425,000+ to the arena and $50,000 to the cats. Let me see, $400,000 in the hole, and almost $500,000 wasted. $400,000 in the hole, $500,000 wasted. Nope I don't see any way to make a difference at all.

Look, I don't expect JB Wells to make us millions.  I do expect it to carry it's own.  If that loss was $1,500 a month I wouldn't blink an eye.  But we can't keep $20k a month in losses out there, we MUST plug the leaks!

There are other areas of the budget I don't get.  I don't understand how we can see an actual amount of revenue this year, and expect a 40% increase (or more) next year in any one area with the one exception of Trailer Space Rentals, which I expect to go up $400,000 or better this year.

Again, not against JB Wells, just want it managed like we have a $400,000+ deficit in our budget and we have to watch every penny that is issued.  Look over the entire breakdown of January 2011 JB Wells report at the bottom.

God Bless,
Dennis Nesser

J.B. Wells Park Financial Report

January, 2011

INCOME:

                Arena Fees                                                                   5,502.00

                Horse Stall Rental                                                         6,960.00

                Woodshavings Sales                                                      4,190.00

                Concessions                                                                  7,405.58

                Table Rental                                                                      20.00

                                                                                                   ________

                Gross Income                                                                                                        24,077.58

EXPENSES:

                Payroll                                                                        18,744.48

                Uniforms, etc.                                                                    87.18

                Office Supplies                                                                 114.58

                Fuel                                                                                  837.11

         Maintenance

        Buildings                                                                                   170.62

                Grounds                                                                         1,619.16

                Vehicles                                                                            166.15

                Equipment                                                                     3,203.72

         Telephone:

                                Landline                                                              96.39

                                Cell                                                                   129.07

                Misc.                                                                                   16.50

         Concessions:

                                Supplies                                                           4,649.81

                Woodshavings                                                                 4,860.00

                Utilities:     Field Services                                                2,623.23

                                 Arena                                                             2,282.56

                                 Practice Arena                                                  541.48

                Break (Hot Choc.)                                                                 5.00

                                                                                                    ________

                                Total Expenses                                                                                     40,147.04

                                Net Loss                                                                                             ( 16,069.46 )

R.V. RENTAL SITES:

Income                                                                                                    34,207.00

 Expenses:

                                Utilities                                                        4,454.48

                                Misc.                                                               131.78

                                                                                                      _______

                                Total Expenses                                                                                       4,586.26

                                                                                                                                           ___________

                                Net Profit (RV Sites)                                                                             29.620.74

                                Net Profit or (Loss)                                                                              13,551.28               

Note:   1)  Labor was compiled in report but not broken down and some of labor may need to be applied to other parks.

            2)  A percentage of vehicle and equipment repair may need to be allocated to other parks         

            2)  No explanation on field services for electrical payment under utilities  

                               

                                                                                                   

Detente?

So once again a city council meeting came and went and again I spoke of workings of our city council and how they needed to be open and honest to the taxpaying citizens of Gonzales.  Did it do any good?  I doubt it.

Unfortunately I was not able to stay for all the budget meeting discussions because of prior commitment to Boy Scouts and the induction of 6 fine young boys into Boy Scouts from Webelos.  These boys have worked hard to earn their place next to their older brothers and I needed to be a part of that day.

But I did swing by after the clean up to see if the budget meeting was still going on.  It appeared that everyone was just getting out so I stopped to see what had happened.  I understand there is a lot of work still to be done, but that the managers and the new interim city manager will be working on that today.

But as that was going on the mayor stepped out of the city building.  As he was shaking someone else hand I reached out to shake his hand and he shook it and we started talking.  Now I have to say that about this time I watched the faces of those around us.  There was fear of lightening strikes.  There was fear of instantaneous explosions.  No one came close to the two of us.  As a matter of fact I watched people, both supporters of the mayor, and those who don't support him, walk out of the city building and walk as far away from the two of us standing there as possible.  As for the lightening or explosions, it just didn't happen. 

The mayor told me that I was right that the citizens of Gonzales did deserve some answers to some questions and that Jackie (city attorney) was working on getting those answers. I in turn reminded the mayor that regardless of the intent, the appearance of secrecy creates and element of mistrust of our city government, and especially after the events of the last couple of years we (read 'the city') needs to go out of its way to be open and honest with the citizens to gain the respect and bring us back together.  I reminded him that the voter fraud started a lot of the mistrust that is in this city, and that it will take a lot to get it back.

We agreed that the new interim city manager should be good for the city, and that our city is going to struggle with this years budget, that this is not the time for expansion of city projects when we have a million dollar deficit in the budget. 

We spoke about the JB Wells, our downtown and some of the other issues that have come up over the last year to include Mr. Huseman.

I reminded the mayor of the time I invited him into my house and we sat around my dinner table as he met my wife.  This was only 2 short elections ago. And that the disappointments I had in him we probably greater because of the support I had given him in the past.

Did we get anything accomplished?  Probably not. But let me tell you what we did do, and what needs to be done throughout Gonzales right now.  For those 20-30 minutes, we talked to each other.  We listened to each other.  We acknowledge that both of us have room to give, and neither of us are perfect, nor do either of us have all the answers.  There was a moment of detente as we spoke.  Neither of us raise our voices about a thing.  Neither of us called the other a name.  Neither of us said the other didn't know what they were talking about.  Neither of us were trying to slam the other person.

I have said before and I'll say it again, there are some issues in this town that have polarized the citizens.  JB Wells and  Mr. Husemans firing are the biggest two, but think about the animal control issue.  We have a historic homes issue before us now.  And there are others.

I will be the first to admit I'm pretty black and white, not much gray in what I see.  But I don't take it personally when someone disagrees with me.

Point and case, I work out most every weekday morning with a group of guys that disagreed with me over the Huseman issue.  These are guys I respect but we disagree on this issue.  I'm not going to not speak with them because of it.  We are going to work together to make sure the next time something comes up we talk more and hash out things before hand.  But we respect each other enough to not allow that to get into the way of the betterment of the city.

The mayor told me last night what is done is done, it's time to move on.  I can't agree more.  This city has to much work ahead of it to dwell on this issue or to let it tear us apart as a city.  We're to small, to close, to much family to not move on.

So were any minds changed last night? Again probably not, but in that moment of detente we were at least talking and listening, somehow I think the entire city council needs the same detente, and honestly that a town hall meeting or two where we could get some of this in the open would be in order.  Respectfully hearing it all, and respectfully considering what the other side has to say.  Who knows, there might be some 3rd options that we can agree on when both sides are heard.

So what's next? I don't know, but I know that today we've got a start, a handshake, and a thought process started.  I'd love to know what the mayor was thinking when he left our meeting, but I have to believe it was similar to what I was thinking.

We really do have one of the best little towns around.  We have so much untapped potential, and so much room for positive growth.  We right now have a great opportunity with the oil boom to help make some improvements in the next couple of years if we manage it all properly.  Let's not waste these opportunities, and let's move forward in the most positive manner possible.

God Bless,
Dennis Nesser

Doesn't Add Up

So things are still not adding up, and I'm just as lost as ever.  Let me start at the bottom of the board and work my way up. 

Check 88321 - $421.30 - The amount paid to Borrer Electric Services for work performed  at 215 Smith Street.  The Location is owned not by the city but by Suzy Hicks.  The invoice #2391 is ok'd by DH.  Why is the city paying for a private citizens bill? 

Reimburstment for $9185.52 to pay for moving expenses for Mr. Huseman, not in March 2008 when he moved here, but December 2010 for a move in November 2010.  Now his contract said he was suppose to be here with in 1 month of the contract, so why would we be paying for any amounts in 2010?  Not only does this not add up, but the fact that his ex-wife moved about that time is in the least suspicious.  It still doesn't add up why he got reimbursed for a move almost 3 years after he moved here.  Unethical is the least of it.  But is it criminal?  I have requested through Freedom of Information Act the detailed invoice from the city.  This reimbursement went against city policy for reimbursement, and yet we paid it.  The city needs to IMMEDIATELY submit a disputed charge.  If it is not for Mr. Husemans stuff from Colorado to Gonzales, then we do not owe Mayflower.  If it is, then we don't owe it.  Either way we are not responsible for a 3 year old move.

$66766.50 - Mr. Husemans final paycheck breaks down as follows:

Pay increase retroactive to April 1, 2010 - $88,842.00
Current Salary                                      - $85,000.00
                                                                 ------------
                                                                3,842.00

Retroactive Pay 4/1/10 - 1/21/11                                 - $3,115.70
Current Payperiod (7 days @ $42.71/hr)                      - $2,391.76

Termination and Severance Pay
6 Months of Salary @ $7,403.50 per month               - $44,421.00
Travel Allowance for 6 Months                                   -  $ 3,000.00
Vacation Accrued from 3/31/08 to 1/31/2011
     @ $42.71 (340 Hours less 16 hours used)             - $13,838.04
                                                                                    -------------
Gross Pay                                                               - $66,766.50

Health Benefits will be provided at City Expense under Cobre for the next 6 months.

So let's start with the easy question.  Who the heck gets a pay raise after they were fired?  Especially after 2 councilmen submitted a 'no step promotion' evaluation, and a 3rd didn't turn one in.  So there could NOT have been a majority vote for a step promotion on the council.  And honestly a pay raise two days AFTER you get fired?  Mayor, it sure sounds like you're pushing your ethics just a bit don't you think?  Let's jab one more time at the 3 council members that voted out your henchman?  I want to hear how this good christian man (cause that's all I hear from the Mayors supporters is what a good christian man he is), could unethically if not illegally signed a check that granted a pay raise that was not authorized by the city council? A copy of this check with the Mayors signature was also asked for in the FOIA request along with any documentation that granted Mr. Cavaso the right to give that pay raise. 

Then comes the travel allowance of 6 months.  I understand if his contract granted Mr. Huseman 6 months pay, but 6 months travel after he's left the employment of the city?  Really?  $3,000 for travel that will not occur for the city?  How can we in any way shape or form justify that expense?

In 3 years here Mr. Huseman missed 2 days of work?  Maybe my memory is bad, but seems to me he took time to go move his family down to Gonzales.  I also can't believe in 3 years he didn't take any time off.  You know if anyone could put Mr. Huseman not at work for more than those 16 hours, it's falsifying government documents.  

Mr. Husemans contract and termination salary is based upon his performance and actions.  The mayor circumvented the taxpayers opportunity to insure we were treated fairly.  I want to stress, I figured that Mr. Huseman would get his $44k, but a payraise, travel, and 340 hours of vacation? Btw, the Mayor attempted to get additional sick leave paid against city policy and Mr. Cavaso held firm, thank goodness!

We need to call in the Texas Rangers and perform a forensic audit. The Rangers are there for purposes like this.  They will do one of 2 things.  1) clear the name of those in question, 2) make sure justice is done, and charges filed if there were wrong doings without local bias or pressure.  The forensic audit will trace money that is in question.  Moneys from the JB Wells, Money internally like the 9K+ charge, etc. will be traced.  Again, either to clear up these matters or to allow us to recoup or money through criminal charges or civil suits. 

We the citizens of Gonzales deserve real answers to these questions.  I'm wondering how many more question are there, and we just don't know them yet. 

God Bless,
Dennis Nesser

4 Mins

Tonights city council meeting didn't even last 5 minutes.  It was an embarrassment of a city meeting.

There were 4 items on the agenda. 

1. Call to Order.
2. Discuss Interim City Manager
3. Discuss and Consider Budget Amendments to the 2010 budget.
4. Adjourn.

Two of the items were to start and end the meeting, so 2 items left. 

The first didn't have any action item to it, so even if they did want to they couldn't vote on it. 

The second item was not prepared for by the city financial person, we are waiting for info from an engineer. 

It took longer to set up the extra chairs for the citizens who showed up then it did for the meeting to happen. Additionally the City Secretary failed to put public comments on the agenda, and left the Gonzales Cannon off as a public source. 

How disrespectful to the room full of citizens that came out to support the city.  So now we have a Friday night meeting at 6:30 PM.  Really? Because no one ever has anything to do on a Friday night now do they?  I know I have one scouting event, and one church event scheduled for that night.  But I'll be there.

I know that they plan on considering hiring the city manager from Victoria.  I honestly don't know, as I haven't seen his resume, or hear anything about him.  I do know he's been city manager for 37 years which is better than what we've had in a long time.

Personally I think we need to take care of some issues inside the city before we get there.  We need to find out about dropped investigations, we need answers to to many questions that only the council can get, we need to understand where we are financially (how can you know what we can pay someone if you don't know what you have to spend?), they need to know what Gregs Computers was doing at the City Managers office last week with the mayor and Mr. Huseman.  And that's just the start. 

Several of the points of Mr. Husemans $66766.50 check has several questionable items on it.  I can't believe in 3 years Mr. Huseman never took a day of vacation, and that we keep vacation for 3 years.  Most companies have a 1 year, use it or lose it policy.  I can't believe 3 years later we are paying for Mr. Huseman to move TO Gonzales.  I can't believe we are paying him 6 months of travel after he was fired.  I can't believe that when at least 2 city council members turned in their evaluation with a NO to a step increase, and the 3rd didn't turn his in yet (that makes it 2-2 vote)  that the mayor can take it upon himself to give retroactive to 4/10 a 3% pay raise.  Where are the answers? 

Come on Mayor, doesn't the city of Gonzales deserve honest answers? 

God Bless,
Dennis Nesser

It was so much more

Ever since the City Council meeting on Tuesday night I've heard a lot of conversations about the firing of Mr. Huseman.  The misconceptions, the rumors, the ....the lack of facts.

So here are a few.

Again today I confirmed with several of the city council members that there is no agenda for Steve Hendershot in any way shape or form to be appointed interim or permanent city manger.  I don't know where those rumors started, and anything I say would in itself be a rumor.  So take that for face value, Mr. Hendershot is NOT, repeat NOT going to be our city manager.

The lack of communication mentioned by both Mr. Hernandez and Mr. Schurig is not something that happened last week, but something that has continued over the course of a year.   The City of Gonzales - Code of Ordinances list the following:


Section 4.01.A - "The city council shall appoint a city manager who shall be the chief administrative and executive officer of the city and shall be responsible to the city council for the administration of all the affairs of the city."


Section 4.01.C.4, under City Manager - Duties list "Keep the city council advised of the financial condition and future needs of the city and make such recommendations as may seem desirable." and

Section 4.01.C.5 reads "Perform such duties as may be prescribed by this charter or may be required of him/her by the city council, not inconsistent with this charter."

I have heard about Mr. Huseman being at plenty of meetings throughout the city last night.  Problem is that Mr. Huseman wasn't tasked by the city council to do many of those thing.  Some of them come in the nature of the job, I understand, but Mr. Huseman has been given direction as to the way the council wanted to operate in matters at JB Wells, in matters concerning roads and infrastructure in Gonzales, to make getting grants a top priority, to explain to them why the documentation he gives them for financial monthly, which have changed since he had taken over, can't be made heads or tales of, and why the numbers don't jive when you try to add them all up.

A month after being told we are not going to expand JB Wells, he signed a contract that obligated the city to pay money to, to provide labor for, and provide logo and date on many of the supplies all as part of the contract, as well as trailer slots and hotel rooms.

With that Mr. Huseman went to the individual members of GEDC asking them to go get a USDA loan that the city would pay back at a higher rate then GEDC borrowed it at.  Apparently the pulse wasn't strong enough for him to pursue it at a meeting, but he was looking to build 300 more slots, and needed to get it done in a hurry for the March rodeo.  Don't believe me? Ask any of the GEDC board members. 

Now he didn't ask the council if he could go borrow that money.  It wasn't budgeted.  It was specifically not approved, and yet he was moving forward with his agenda, not that of the council.  So how is he being following the guidance of the council?  How is he keeping the council advised of the financial future needs when the council didn't find out about it until 4 months later when the newspapers broke the news.

And don't tell me that the slots weren't promised, the promoter called city hall today asking if the 61 new slots were ready.  There was no mention of primitive camping to the promoter.  Give me a break, these are rodeo'ers with their trailers.

The council members never could get any answer other than "oh it's all taken care of" when the pictures of the dumping in the Guadalupe river was exposed.

The council was mislead on the St. George project. Not one of the council members I've spoken to had ever heard of breaking up the rebuilding of the street and sewage in 3 parts as Mr. Huseman did.  So they were shocked when he came back for more money.  They have asked him several times when is this project going to be done (they've asked at city council meetings), and it's always, it's almost done. It's time to be finished with.

GBRA came to the council 2 months ago and told the council that after 2 years of frustration they needed to be aware that projects were in jeopardy because of lack of response by Mr. Huseman to projects that the council had approved 3 years ago.  That they could not get Mr. Huseman to respond to their continued request for action.

On 2 occasions Mr. Huseman created boards (the Texas Center and JB Wells) in direct violation of the city charter.  Section 3.07.F of the Code of Ordinance gives all board creating and appointments to the city council themselves, and does not delegate those duties in any way shape or form to the city manager.

When they went to the retreat in October this topic was a major point of discussion.  They needed more information, they needed to know things that were effecting the city management and finances, they needed more timely information.  One out of three was accomplished.  The council now receives weekly updates instead of monthly.  Admittedly this was a positive.

Several of the members have asked about specific roads or issues, and get the run around time and time again.  One the council members has told me that he'll bamboozled you so bad you just don't know what to believe. 

These are just a few of the things I am aware of, and I'm not even on the council.  I have spoken with several of the council, and heard their frustrations to not be able to get things accomplished for this city.  To not be able to get accountability for the funds that were being spent. To not be able to get a handle on the losses of JB Wells, because Mr. Huseman continued to run interference.  Every one of the council members that voted Aye last night are approachable, and will listen, even when they disagree with me, they will listen and discuss the issues with me.

I know that in the coming weeks there will be more exposed on the situation.  I believe that many will go "oh I can't believe that he was involved in that, he was so nice" and once again not want to listen to the facts.  But it will come out.

Last night I heard many points of 'he's a nice guy, and he talks to us' over and over again.  Never once did I hear "he's financially responsible", "he's fixed the problems with our infrastructure", "he's directing the police/fire department in a fantastic fashion".  I didn't see one city employee come forward and say how great he is to work for, though I have seen a huge turn over in employees during his tenure in Gonzales. This is not indicative of  great leadership.  People last night wanted to make this a personal issue, and it had nothing to do with his personal self, but his business and managerial abilities.  It can not be taken personally, it was not! It was business!

Look, Mr. Huseman did things no other city manager has done in a long time (or at least before my time here).  He got out from behind his desk and went to group meetings, many of them social meetings like the Rotary, and people got to like him as a person.  Why shouldn't they?  He would listen to anyone and nod politely.

But don't confuse liking a person from liking the job he did, and remember, ultimately his job was to work for the city council.  They were his boss, and NO BOSS likes the surprises and slaps in the face that the council received time and time again by his lack of communicating to them what was going on in the city. 

Filing fees are $0 to run for city council.  Applications should be available shortly.  Run if you think the council members aren't doing the job they should be.  I don't understand why we don't have 10 people running for each position every time under the current system. There are no party lines to declare.  There are no filing fees.  Sign a couple of papers and you're running for city council.  But be ready, because regardless of whos on the council, you are going to have to face some tough issues, it comes with the job.  And you are going to have those for something, and some against.  And when they get mad, you will hear about it.  So you might think about the job these council members are doing before you chastise them to bad.

These three men were elected by the people to do the best job for Gonzales they are capable of doing.  Sometimes that means they have to make tough decisions, and these men did it.  They didn't hide from their duties.  They didn't keep sweeping the problems under the rug, hoping it would go away.  They approached it and took care of it.  God bless them for their faithfulness!

God Bless,
Dennis Nesser

As a side note, you might read Dave Mundys column or Granby, Colo. or  Lawrenceburg, Tenn about Mr. Huseman have the same MO in other cities, it ultimately came down to he forgot who he worked for.

Reply to letter from the Mayor

The Mayor posted a letter to the editor on 2/3/2011 on the Gonzales Cannons Website. I have the following answer in response to that letter:

Mr. Mayor,

With all due respect I hope you can look in the mirror and see yourself in so much of what you have written. You and your faction have control this city to a point that to quote Mr. Huseman, "there is no money."

Mr. Mayor, I posted on my website (www.90asign.com) in response to someones comment asking if you'd be willing to sit down with guys like me and instead of 'hiding behind fences' bring it up front and be transparent.(Note from Dennis, I moved that response to here instead of comments)

But Mr. Mayor, if you would,  please answer  a couple of questions that I have like who authorized Mr. Husemans final paycheck with his severance pay when the city council didn't direct it. Section 3.08 of the citys code of ordinances says no member of the council can direct any employee to do anything, they can only direct the city manager to do something, so who authorized the payment?

I would ask why Mr. Huseman was in his office today with you and our city police when Mr. Huseman is no longer an employee of the city.

I would ask why Mr. Huseman was given a step promotion pay raise, retroactive to 4/2010, when at a majority of the council didn't authorize that raise?

And that's the type of secrecy and lack of transparency in just 1 day Mr. Mayor that drives me and any person who cares about how this city operates nuts.

You see Mr. Mayor, I didn't profit a dime from anything that's happened. I haven't gotten any position of authority, haven't taken (and actually refused 2 request to take) a position on a city board, I haven't gotten my road fixed so water doesn't flood my house every time it flash floods, nor have I gotten Ft. Wahl street fixed where the vehicles my tax dollars pay for travel on a daily basis. I haven't gotten answers as to why the arena (another 'faction group') can't be run without loosing money, I haven't gotten answers as to when St. George is going to be finished, do I really need to go on?

So either I'm doing a piss poor job of running 'the city from behind their fences', or I'm just not going to take your silence as an answer that I will accept. I and every other taxpayer deserve honest and open government from our city.

So Mr. Mayor, are you ready to sit down and talk? I would love to talk, and lets come up with REAL solutions to the real problems in this town. Why don't we have business downtown? How can we get JB Wells at least to a break even so we can expand the park? How are we going to attract businesses to our fair city so that we have jobs for everyone here? What are we going to do for our younger generation so they have some reason to stay in this town and help it grow? What are we going to do/how are we going to afford our infrastructure from falling apart?

I'll meet you in any public forum to discuss these and any other pertinent issues of this town. I'm ready, but it has to be transparent, honest discussion, open to anyone that wants to attend. And please don't waste my time with words with no action.

So there it is Mayor, you want to accuse with words but no backing, I'm willing to put action to my words, what about you?

Dennis Nesser
A Concerned Citizen of this great city!

A Tough Decision

As I sat in the council chambers tonight the first thing I noticed was the anguish on the faces of all that were sitting on the council bench.  The 4 councilmen, the mayor and even the city lawyer were all struggling with this issue that was basically item number one on the agenda, that of the City Managers David Husemans continued employment. 

I can tell you that not one member, not the 3 ayes, nor the 2 nays took this vote lightly.  It was serious, and they all knew that this would be a sad day for Gonzales.  Some of you are probably thinking, 'yeah right, Nesser has been after him for a year now'.  And you'd be right.  I have thought for many months now that Mr. Husemans management of our city finances and over at the arena were far less than we deserved.  In my mind he had gotten in over his head and was playing the deck out hoping he could distract us with a slight of hand instead of showing us the truth. But that doesn't mean I'm jumping up and down with joy.  I'm not, and no one in Gonzales should be!

It was a matter of business, a matter of lack of oversight, a matter of lack of courtesy, and lack of communication with those that Mr. Huseman was ultimately responsible too, and that's the city council members. Three fifth of the council felt like he refuse, even after being talked to about the matter at the city retreat in October, section 4 of the city managers job description, and further did not follow the direction they had given him in several matters.  In business world we call that insubordination and is grounds for terminations every day of the week.

I have said it before and I'll say it again, I do not know Mr. Huseman personally, and have no personal beef with him.  He's never kicked my dog, whipped my children, or anything of the sort for me to have a personal grudge against.  All my beefs are with his job at the city.

So why should it be a sad day? Because once again this city was polarized by a topic.  There are very few that were middle ground on this issue, it was very clear where the lines laid today in the chambers. 

Because we have to go through the painful task of going through a vetting process to find a new city manager, and we have to do it during our budgeting period. 

Because a man lost his job, and regardless of my thinking this was the right thing or not, it's a sad situation.  Not to mention the stress it has put on the city council the last week or so when they decided to bring this up.  I am sure it's been completely unbearable stress. 

So now what?

Well first let me dis spell the rumor that ex-councilman Steve Hendershot is going to be our new city manager.  I heard that brought up in the council chambers by Mr. Hanson.  I've spoken to at least 2 of the council members, and never once was his name brought up, and when I specifically asked about him they both said no, not even in consideration.  So let's stop the rumors. 

There will be someone appointed as an interim manager to get by the daily operations.  There will also be a vetting process for a new city manager, and within a couple of months the newspapers should be announcing a welcome ???? to Gonzales. 

Next we can continue to let this issue be a sore spot, or as someone so keenly reminded us tonight, we can and should come together and get past the handful of issues that have been polarizing this community and come to some conclusions we can live with.  How are we going to handle downtown?  What is going to be the resolution and design for JB Wells?  How are we going to deal with this oil boom?  That's just to name a few of the issues right now that need to be figured out. 

Last, and actually needs to be first, we need to pray for the 5 men that are our elected officials to make the difficult choices to make Gonzales a better place to live.  We need to be praying for our town.  We need to be praying for healing.  We need to be praying for truth.  These men are struggling to make sure they keep the promise they made to their constituents, even when it is unpopular, but is right.  Those are the toughest calls of all, and tonight was one of those nights.  I am thankful we live in a country, and a town where there are men willing to do those jobs!

Honestly it's not a happy day in Gonzales, but it is a day of new beginnings.  A day that the potential for our town is unlimited.  A day that we get a fresh beginning. A day that we can look forward to great things coming. 

Do you believe Gonzales is a great town and has even greater potential?  I do!  So let's start this day and support out council, ALL OF THEM, in their path that lies ahead.

God Bless,
Dennis Nesser

Dear Lord,

We have struggled as a town polarized for so long that I'm not sure we remember what it's like to work together, all of us, for the betterment of our city.  I pray that in the coming days that the truth be revealed, and that you will bring healing to those wounds and peace to those who were so greatly affected tonight.  That You will lead us in a way to bring us together so that our town can prosper the way You would like for us too.

I pray for our mayor and our councilmen, that they continue to have the strength and courage to do what's right for Gonzales.  That they lead us down a path of Your will, and that you will bless them for their faithfulness. 

I pray for Mr. Huseman, that he will quickly find his next place of employment.


I pray for those that are appointed to so many of the boards in Gonzales, they they too are following Your desires for our community, that You are the guide in each and ever meeting held for/by the city of Gonzales and their boards.



All in your name - Amen

City Managers Job

For those of you who are unaware of it David Husemans job (our city manager) is on the agenda for tomorrow nights city council meeting.

He has been good as schmoozing groups of individuals and nodding his head often to appease everyone but he's not leading our city in a manner which we need to be lead, and our council if finally sick and tired of it.

Bottom line is he does not communicate to the city council members at large, and has not followed their direction given him time and time again. He's tried to run several things under the radar, and when caught always comes up with a sweet talking snake in the grass answer to get out of it.

Honestly if I was a council member this item would of been on the agenda every month for a year now.

I know some of you don't agree with me on the rodeo issue, but bottom line is this year he is scheduled to lose over $200,000 in your and my tax money out there this year. After 3 years you would think he would of gotten it under control.

We are about to experience the largest growth our county has ever seen, we need a manager we can trust, is transparent, open and honest about the operations of this city. I totally support our council members in removing Mr. Huseman tomorrow and look forward to working with a city manager that will take us forward in the next 5 - 10 years.

I encourage all of you to attend the meeting at city hall at 6 pm Tuesday night.

God Bless,
Dennis Nesser

Shhhhhh - It's a secret

Two months ago a gentleman stood up at the city council meeting and asked the council and the city manager why there was so much secrecy in our city government.  He pointed at specific points like a book that contained city offices, and a listing of all members of all city appointed boards that sat behind a desk at city hall that he was told was not available for public viewing.  He spoke of several other specific incidences that he didn't understand.  Isn't our city government our government, working for the citizens of Gonzales?

His words ate on me for an entire month.  For those of you who know me well, you know I like to know what's going on, and am willing to share with anyone I know.  I go to every city council meeting I can (about 90% of them), and have never gotten up to say a thing, even though I've been passionate about several of the issues the council has discussed. But after a month of thinking about it I knew this gentleman was correct and I needed to reiterate it for the council and the city manager.

So at January's city council meeting I got up for the first time and spoke to the council in open forum.  I told them the words from last month had bothered me because they were so true.  Things like the removal of the river trash, the "JB Wells committee" that was illegally meeting and was not appointed by the city council, the expenditures of dollars that the city council has no clue of, and on and on and on.  And that whether or not it was intentional, or real the reality is the people of Gonzales believe that our city government is not only working in secret, but going to do what ever they want regardless of what the people of this town want.

There is an old saying that states, "Perception is reality".  Our perception of the city management and it's workings is that they are working in their interest, not those of the town, and they are doing it in secrecy.

Afterwards the city council members found out exactly what I was talking about as the mayor passed out evaluation forms for the city manager.  This wasn't on the agenda for the meeting that ended just 30 seconds before.  It wasn't discussed under new business, where the mayor can put any item on the agenda at his own whim.  And it wasn't in the package received by any of the city councilmembers prior to the meeting. 

The next morning is when the real slap to the council and the people of Gonzales came.  We found out that one month after the city council voted not to expand JB Wells (September city council meeting), the city manager signed a deal, obligating the people of Gonzales to well over $100,000, if not $250,000 in a 10 year deal for a new rodeo.  Not one of the city councilors had a clue this was even in negotiations, much less had been signed 4 months prior.

And then for the 'Official Signing Ceremony' only a few of the city managers supporters were invited. Selected businesses were told, most of ours were not.  Shhhhhh, the rest of the city might find out.

If this was my business and my General Manager had done that, he'd been gone.  Plain and simple.  If I was a city council member I would stand up at the next city council meeting and let everyone know "I do not appreciate the actions of the city manager in embarrassing me with my constituents.  The last I looked the city manager took care of the daily operations based upon my, and my fellow councilmen guidance.  He has failed to do that. in this matter, and it is unappreciated, uncalled for, and I have no confidence that any time in the near future our city manager is going to be able to operate this city as we instruct, above board, and in the best interest of our community."

People, it's time we as a community stepped up and spoke up.  We are the employers of our city government.  They work for us! We do not work for them!  Let your councilman know what you are thinking.  Let them know you are tired of "but it's always been done that way in Gonzales", tell them we deserve better than that! Tell them you want to see an above board, legitimate city government being run. It's the least we deserve!

God Bless,
Dennis Nesser

Youth Rodeo Contract

So for those of you who are living in a cave or under a rock you might of missed that in October our city manager signed a 10 year agreement to host another rodeo here in Gonzales at taxpayer expense.  The Gonzales Canon and the Gonzales Inquirer both printed these press releases that spoke about how wonderful a deal we got out of these deal.  I take exception to these postings, and to Mr. Mundys editorial "Arena expansion: You have to spend money to make money" (http://www.gonzalescannon.com/node/3647" telling us that we need this to grow, even though we don't have the infrastructure in place to benefit from the upcoming rodeo.  


I posted the following rebuttal to Mr. Mundys editoral:

While I agree we need change, and have supported issues like liquor by the drink to help bring an economy to this town I have several issues with this agreement that has been made with the rodeo.

1) We do not have the spaces needed to properly host this event. So now Mr Huseman and his hence men are trying to make this happen with sweet deals to GEDC if they will approve the money. The last time we added spaces to the arena it was estimated by Mr. Huseman to cost $1000 each, wound up costing approximately $2500 each, and now they want 300 more? Tally that on your fingers and toes.

2) Not even our elected city government (or at least 3 of the councilmen) we even aware of this contract, a significant liability to the city, until the papers ran the story. Why even have officials if there is no say? This contract was signed in October, see an issue here?

3) The city council told the city manager NO to expanding JB Wells, and yet he has ignored them.

4) We, as a city were promised an area for all of Gonzales out in JB Wells. I have copies of the plans that were originally brought to the people of Gonzales and to the Texas Parks and Wildlife, for funding, and it is NOT a huge rodeo area, but a common park for all of Gonzales. Why are we changing plans instead of completing the plans we have already in place?

5) Why are we again putting the horse before the cart? Even you said it, we have NO PLACE for these people to come spend money in Gonzales. The business base is not set up for it, and so we are NOT going to prosper from it. We need to be working on getting our 2 town squares filled with businesses as a #1 priority so that we CAN deal with visitors like these.

6) Even with JUST the $25 per head for 550, these rodeo visitors would have to spend $687,500 to break even on sales tax (2% sales tax rate, 550, $13,750 we are paying out, simple math), and that's not counting all the other concessions and items we are responsible for in the contract. Please someone lie to me and tell me we'll get real close to that number, but I don't think so.

7) We STILL haven't gotten a handle on the way we run our arena and the accounting over there! So lets make the problem bigger, because bigger will only make our losses greater....oh wait, something isn't right with that statement is it?

8) I spoke at the last city council meeting about secrecy in our city government. I understand contracts and negotiations, but this is once again a case of our city manager (and who ever else is involved) ignoring the will of the people of this town, the city council and going behind our backs to do something they were told we don't want. So in secrecy they've gone and done it and are taking the approach it's better to ask for forgiveness that permission. I for one and tired of this attitude from SOME of our city employees that think we work for them. This is our city, our taxes, our budget, and our livelihoods that are affected here, and we are suppose to have a say that counts!

And for the record I didn't read in the paper where the arena and all of it's facilities are at NO COST to the association putting on the event. That we will be providing most of the items used during this rodeo at our cost with their emblem and the year put on everything.

I wish I could run a business where I didn't have to pay for my building, my equipment, and oh the city is going to be providing a good bit of the labor for it, so the association isn't paying for that either, I AM as a taxpayer here in Gonzales.

I'm surprised that every business doesn't move to Gonzales with incentives like that, oh but wait, I'm not a rodeo, so my business doesn't count to the city does it?

Dennis Nesser

So my question is why are we allowing anything to happen without ramifications to those ignoring the elected officials and the taxpayers of this town?   Why can't we take care of long standing problems before we move forward?  Why is it our city continues to run in secrecy thinking we as citizens, "aren't smart enough to handle the truth"?

God Bless,
Dennis Nesser

Voting Time

Ok, it's that time to Vote!  Early voting started in Texas today and there are several things on the agenda that need attention.

I'm not going to spout my political views on most of the races or items to be balloted on this election, but I do want to talk about 2 of them.

First and the easiest one for me is the vote for Liquor by the Drink.  I've said it before (read my previous blogs) that if we in Gonzales County ever want an opportunity for a nice dinning facility then we need liquor by the drink.  Even if you don't drink you are directly effect by the tax revenues that are lost by our going to Roberts, Chilis and variously other out of county establishments that have liquor by the drink on their menu.  Please support this worthy cause.

The second is for congress.  I am still reeling from the fact that Lloyd Doggett would submit any bills or amendments that would potentially take away millions from our childrens' education funding.  I'm still reeling from his support of the unconstitutional Obama Care bill.  His lack of support for you and I as taxpayers taking away $500 of our children credits, adding back the marriage penalty.  He's part of the congress that has voted in the largest debt in our nations history, and I'm honestly tired of it.  Send him home!  I've spoken with Donna Campbell.  Talk about a no nonsense lady, it's her. 

There's a contested Governors race, locally there is a JP race and a County Judge race.  All are important to our community and how we fair in the next couple of years.  How would I vote on them?  I am going to tell you exactly how I would vote if I were you.....I'd educate myself on the records of those in office now, and read what I can about those running against them.  Personally if what is in office is not worst that whats there, then I'd just leave (better the devil you know syndrome).......I'd PRAY about my decision.....then I'd make my way down to the ballot box and VOTE!!!  That's right Educate, Pray and Vote!

God Bless,
Dennis Nesser

Apologies

I have to apologize to all those who have followed this blog for not having been able to update it recently.  Between start of school year, scouts membership drive, and work I haven't had time to follow up on leads that have been sent my way. Doesn't mean there are still things to follow up on, doesn't mean there isn't good and bad going on in town, just means I haven't had time to follow up on them.

Keep the info coming though and I will.  dennis@90asign.com will get you right to my email.

Thanks, and soon there will be writing up on the newly painted chalkboard.

God Bless,
Dennis

A Mix Bag

I've got to tell you with this having been first week of school and all time has just gotten away from me.  I'm not sure 48 hour days would allow me to catch up on all that needs to get done.  But one thing that does happen in my travels back and forth to customers is that I get time to think about all the things going on. 

I had originally decided I was going to talk about GCAM and what a great group of people they are over there and how they can always use our donations.  I know especially things like canned meats and fruit are always in short supply.  But there is just to much pressing to spend the time to do that right.

So back to the "what's going on....."

First the Lynn Theater.  GEDC basically told the City Council that this was their football, and while they might not be going home with it, they were going to sit on it till the city played nicely.  So in this lose/lose situation, we the citizens of Gonzales are now on the sidelines watching both sides do nothing because they can't play nicely together.  GEDC owns the note as it stands, but can't make any changes without the councils approval.  The council voted not to make changes, but have not bite with their bark.  So who looses?  We do!

If you'll remember I told you that this issue could take years and years to resolve if we don't give Mr. Colins a chance.  I personally think Mr. Colins made some poor business decisions in taking the original debt, not letting GEDC know when there were first problems, and not showing up to the city council meeting this month.  Very poor decisions on his part.

GEDC was at fault for loaning the amount they did on a property that wasn't worth that much, and that couldn't maintain the debt services that they were undertaking.  That's like a bank loaning me a quarter million dollars for my house worth $100,000.  Not good business practices. Also at fault for not demanding monthly or quarterly statements to be submitted as is standard practice.

It's times like this I wish we could put all 3 parties involved - Mr. Colins, GEDC, and the city council - in a locked room and tell them they aren't coming out till they come to an agreement.  We the people of Gonzales are going to miss out theater for a long time if they don't.

Second also involves GEDC and the city at JB Wells.  While I can't remember exactly when, I believe the June meeting the city council approved $16,000 for the 39 new RV slots.  I remember laughing at the time thinking no way in hell.  Well now at least part of the truth is coming out, those lots didn't cost us $16,000.  The city manager went over budget just a bit and asked for $40,000+ to be reimbursed by GEDC.  Now I want to point out a few problems with this $40k.

1) It's almost 3x the original estimate.  HOW CAN YOU BE THAT FAR OFF ON RV SLOTS??? This isn't a billion dollar high rise taking years to build, it's 39 slots of electric, water, and rock.

2) We still haven't gotten the $40,000 bill sitting at GVEC.  I'm not sure if I'm more upset as a shareholder at GVEC they are not giving the city the bill, or thankful as a taxpayer they aren't.  But don't think the $40,000 asked for this month was the real cost, we're at $80,000 now.

3) In Mr. Husemans presentation to GEDC he told them that the City of Gonzales and the County of Gonzales "donated" the labor.  Donated?  Really? You think that's the appropriate word for 'the taxpayers already paid that money in salaries to the individuals who worked out there'?  Donated? Now don't get me wrong, those employees deserved the money they earned working there! In some cases it was their job.  In others it was all hands on deck, so if you had two legs and two arms you were working down at JB Wells for over a week.  But what did the entire city payroll for that week run us? That's not donated, nor are they properly accounting for it on the books.  Every department in the city got charged their normal payroll even though they didn't receive the employee that went with it!  It's a way to legally cook the books and hide the cost from auditors and those wanting to know the truth.  So on top of the $80,000 we're up to, there is the payroll issue.  We're well over $100,000 (more like $150,000) at this point for the 39 slots.

4) The city (read Mr. Huseman) did not turn in any paperwork, or paper trail to backup the $40,000 request. This was more like a kid passing a note to another, "hey I forgot my lunch money, would you send me some?" No forms filled out. No documentation.  No anything except a memo requesting the money.  You nor I could get anything from GEDC that way.  There is proper protocol and procedures to follow, but I guess Mr. Huseman is above all that.

5) We have a case of putting the cart before the horse.  These spaces were built in May/June time frame and this is August by my calendar.  That means that unlike everyone else that has to ask permission to do something, the city just did it with the assumption that GEDC would give them the money.   We know what happens when you ASSUME! Right now it's the city running GEDC instead of GEDC members running it properly.  This is not the first case like this, I seem to recall a recent issue with the city manager having his name put on a contract 'on behalf of GEDC'. 

The third thing I want to bring up with GEDC and the city is this $4444 for work in industrial park.  This is for work the city should be paying for (infrastructure) leading up to a property, and for the part up to the needed location.  The city is responsible for work up to the property line. Period.  End of sentence.  That's what our tax dollars go for.  But we are NOT responsible for it after that.  Yet Mr. Huseman at the GEDC meeting when asked about it and if the city was responsible for it responded, and I quote, "sometimes".  SOMETIMES? What if you are liked by him, then yes?  If you're not then no? Sometimes? This isn't a gray area, this is a black and white area.  I'm not sure if I'm more upset at the 'sometimes' or the fact GEDC went ahead and approved the monies.

Last thing I want to bring up is the recent visit by the Army Corp of Engineers and TCEQ here in Gonzales.  Regardless of what Mr. Huseman tells the Corp or the newspapers, there are pictures of the concrete laying right where it is long before the flood came earlier this year.  It's laying right where he had it dumped, in the middle of the Guadalupe River.  Now I told you eventually this would have to come out, and after last weeks visit you and I the tax payer are going to have to pay for the removal of some of this, if not all of it.  It should of never been dumped in the first place!  There is NEVER an excuse to put pipes in the river like we did.  The Corp specifically forbids the dumping of concrete with rebar in the water.  And we've already misused our firemen and their equipment removing some of it. 

GBRA, myself and other concerned citizens filed formal complains because of this dumping, and to be clear the spot we are talking about has nothing to do with the new section that was recently built for the paddling trail.  This is where the city dumped the old St. George street and it's trash 2 weeks before the elections.

Mr. Huseman can claim he contacted the Corp for moving concrete all he wants, but he's just trying to cover his rear.  He's months to slow, and trying to take advantage of a natural disaster.  The problem is the pictures tell it all!

I'm going to put this as clear and simple as I can, Mr. Huseman is lying! He's lying to the Corp.  He's lying to you and I the taxpayers of this town that employ him.  And sadly enough it's not the first lie we've caught him in. 

So Gonzales that's all I've got time for today, but hopefully now with school in full swing I'll get back in a roll here.  So what's your role?  1) let others know what's going on, educated voters/taxpayers are what make the difference. 2) Comment here, there are plenty that read this blog, and your comments, on either side of the issues, will at least get debate going on, and who knows you might make the comment that changes someones mind or brings everyone together. 3) If you know something with the city that needs to be out there, let someone know!  You can email me at dennis@90asign.com or either of the newspapers in town.  Don't dig your head in the sand, make a difference!

God Bless,
Dennis Nesser

Those that care

I keep hearing for people over and over, "I don't know why you bother, no one cares" or "I don't know why you bother because nothing is ever going to change in this town".  I beg to differ with all those naysayers! There are plenty that care about this town!

When the issue of the 2 year old flags were brought to my attention I made it my personal goal to have them removed.  First of all I let people know what was going on.  Everyone was appalled that the flags were still up.  They honestly hadn't noticed them, was the most common response.

So I went over to Gonzales Lumber and they were well aware of the flags.  I knew they had large ladders because I had rented from them several times.  David over there was more than willing to allow my scouts of Troop 262  to use the ladders to remove the flags.  Unfortunately the large ladder was to large and the other ladder to small, but I wanted to make sure that everyone knew that Gonzales Lumber was willing to help this town look better.

In my disappointment that day I was talking with someone who mentioned that someone else here in town had a bucket truck.  I went over and spoke with the owner of the truck and he was absolutely behind making this happen and getting this eyesore off of our main drag in Gonzales.  So I have a very special thanks to Lorenzo Hernandez of Lo's Auto for loaning us his bucket truck for this.  His son Kenny and grandson Darron came out and took the time to remove them from the poles.  So the picture on the top are the flags removed from the old Quality place.  Please thank all of these guys next time you see them.

So I now have the flags and the scouts with Troop 262 will properly retire them.  It's one of the things we do for community service about once a year.  These flags have served their country well, and will be respectfully retired.

So things can happen in this town.  Someone has to care.  Someone has to follow through and coordinate.

I've seen this with "Liquor by the drink" here recently and even more recently heard about a group getting together to clean up the city cemetery on College street on September 25th from 9 AM - Noon.  No pay.  Not looking for glory.  No real reason other than it needs to be done. It makes my heart feel good to know that all those naysayers are wrong.  Gonzales CAN change! Gonzales DOES care!  There might be those that don't, but I believe all in all Gonzales Cares.

God Bless,
Dennis Nesser

The Lynn Theater

OK, I'm going to try to tackle the Lynn Theater issue here in town.  Mind you I've spent a lot of time contemplating this before I wrote because honestly I've been a bit torn on the issue.

Let me start with the simple stuff, Mr. Collins hasn't received a dime from the city or county in cash to line his pockets.  It's one of the biggest complaints I've heard.  "How much more are we going to give him?"  The answer is not a dime.  He hasn't gotten a dime, and not about to get a dime from the city or the county.  As a matter of fact he has spent a good deal of his personal money fixing up the mess that he took over. So unfortunately it's a misunderstanding that Mr. Collins has received anything from the city, county or any other organizations.

Now let me move on to what I consider a huge mistake by Mr. Collins.  In an effort to appease all Mr. Collins took over the previous owners business with debt included to the tune of about $400,000.  The business worth is less than 1/2 of that.  It was a poor decision on his part to accept the current debt, but in the interest of fairness to GEDC and the citizens of Gonzales County and the City of Gonzales he did it.  It was a decision that has haunted his ability to make ends meet.

In addition Mr. Collins agreed to accept a list of demands by the boards that as a business owner I would never have agreed to.  Business owners need to be flexible and the list of demands, while I understand where the GEDC was coming from, are unreasonable.

Now comes the messy part.  We have almost $300,000 in loans by the City of Gonzales through GEDC and an additional $85,000 by the County of Gonzales that are unsecured. Now this is like a house loan where the money went to pay off previous owners and debt holders, not to line Mr. Collins pockets.  So what does the rest of this mean? 

First of all it means that the County of Gonzales has no recourse what so ever in collecting their money. If Cal Collins for any reason defaults, you and I, the taxpayers will be 100% out that money, no if ands or buts about it. And don't think it doesn't effect you, if you live in the City of Gonzales you are also paying taxes for the County of Gonzales. It doesn't matter if those taxes come out of your left or right pocket, we are still paying the taxes to cover that loss. It also means the County will be less likely in the future to make loans to bring jobs and other businesses to the county in the future.

Second the building and business that the Lynn sits in has been valued at less than $150,000.  So anyone in the future who would be looking to purchase the building would not be willing to pay more than $150,000.  The city at that time will be out $150,000 in their loans.

So any closures by the city will cost you and I over $235,000 in real cash lost.  This is money that every taxpayer in Gonzales will be stuck with. No going back, no chance of recovery, just gone. Did you hear the toilet flush, because that's where the money is going.

Now lets consider some of the other options that could occur here.  Mr. Collins could declare bankruptcy  chapter 11.  This means that the city, county, and all others that are owed money will be put on hold indefinitely and Mr. Collins will be able to operate without anything the powers to be can do.  We, the lean holders would probably get pennies on the dollar, and Mr. Collins would still wind up with the theater in the end.  This is still an option for Mr. Collins, regardless of what the City of Gonzales has done.

Mr. Collins could declare Chapter 7 and take months or years to settle up the debt.  During that time neither the city or Mr. Collins will be able to do anything with the Lynn Theater.  It will remain a vacant building as it has for many of the 15 years I've lived here.

Last Mr. Collins could allow the foreclosure to happen without fighting it in some form or fashion.  This would take time, possibly years to get the deed back so that the city could resale it. It would also be very unlikely as Mr. Colins has a personal interest in the outcome on his financial.


Now one last thing on what Mr. Collins has agreed to.  He's agreed to limitations on what he can do inside and outside of the building.  Any major changes have to be approved so that the city keeps the Lynn Theater sign up and lit for the citizens of Gonzales.  It's a great icon for the town square.  Any new owner could come in and immediately remove it.  They are not obligated to keep it as a theater, either live or movies.

So I've been bothered with giving a guy a second chance.  But have found out a couple of more things.  First of all prior to bringing anything to GEDC or the City Council there were studies done by the Small Business Administration on feasibility of running a theater in a town with our demographics.   This group worked with Mr. Collins and GEDC to come up with a way to make this work for everyone involved.  Business 401 if you will was used here to make sure that anything that was purposed would actually work.

Second I found out that prior to opening up Mr. Colins caught up all the taxes and utilities bill that the previous owner had left.  He had also spend a substantial amount of cash in renovating the theater out of his pocket that the SBA has confirmed since the closure trying to get ready to reopen. 

Last I found out how much time our GEDC has spent making sure that the citizens of Gonzales and the county had the best chance of recovering the money on the loans they've issued.  Part of my point here is why do we have a board that has been picked by the council if they aren't going to look at all the facts?  These guys unanimously agreed that the best interest of the City of Gonzales, also taking into consideration Gonzales County, to give Mr. Collins a second, more educated chance, to make this work.

Now I'm not going to excuse Mr. Collins for not communicating to the GEDC when he ran into trouble.  It's been my experience that when I've had large loans the I was required to give the bank a monthly or quarterly financial statement along with my payments. I'm sure this would of been a wise agreement to start with.

As for Mr. Logans antics on "will Mr. Collins please come down", let's get real!  Mr. Collins has sent, I'm sure at his cost, a representative to most of the GEDC meetings.  This is not Mr. Collins primary business, and while it's important to him, no business man in his position would have attended those meetings.  When I ran Kactus Korral I was the one that sat with Pat Frost during all the meetings when we were negotiating loans through Frost Bank.  Mr. Jenkins, the owner, didn't get involved except when it was time to sign papers.  It's how business works.

Would it have been prudent for Mr. Collins to show up at the City Council meeting this last month? Yes, without a doubt.  Part of what Mr. Collins has to understand is in a town like ours, your handshake, and your word are as important as your signature. It's one of those learning curves he should pick up quickly if he wants to make it in a town like ours.

As for the GEDC looking for another buyer at this point it's pretty simple, WE DON'T OWN THE BUILDING!  The deed is to Mr. Collins with the City being a lean holder. GEDC trying to sell it would be like the City saying they are going to sell your house.  They don't own it either.

So where from here?  First of all the City Council could reverse it's decision.  It could follow the recommendation of GEDC and at the next Council meeting reverse the motion they made.

They could stay on course and years from now the building will revert back to the city and we can start the process to sell the building again.

Along those lines there are rumors going around that there is a group that is expecting to take over the building.  Notice I said take over, not purchase.  It would be a rent free or grant type arrangement.  The sources of this murmurs are reliable enough to scare me.  That would not only put the City of Gonzales years out, but $400,000 down that toilet we spoke about earlier, and we'd still not have a movie theater.

So as much as I hate to admit it the best option for the citizens of the City of Gonzales and the County of Gonzales is to let Mr. Collins attempt to make a go of the Lynn under the new arrangements.  Might we wind up here again in the future? Yes we might.  But if there is ANY chance of recovering the most money out of this deal it's with Mr. Collins.

The worst that can happen is that Mr. Collins doesn't make it and we have to go through the above mentioned options, foreclosure or bankruptcy on Mr. Collins part.  The best that could happen if he is given a second chance is that we recover 2x in cash payments than we will ever have a chance to recover otherwise.

One last thing, the Lynn has analogue projectors.  It's a dying technology that will not be supported forever, heck it's not going to be support for long.  That upgrade is a $200,000 upgrade.  Do you really think someone would purchase the existing Lynn Theater and keep it as a theater knowing what they'd have to sink into it to make it profitable?  Not very likely!

This is a bad situation all around.  Not even in my furthest reaches can I not fault Mr. Collins for some of his actions.  But bottom line is that as taxpaying citizens of this great town, our best option is to try to work this out with Mr. Collins and support him when he opens back up.  It can still happen, but it's going to take some work.

Our council will have to be business like for the moment and look at the information that SBA and GEDC have put together on how this can work with some modifications to the current agreement.  Is it the perfect situation? Nope, but I'd rather have a chance to collect on the $400,000 than have no chance at all.


God Bless
Dennis Nesser