Taxpayers’ money shouldn’t go to mall

By Dick Fredericks

Despite the ominous tasks of flood recovery and flood protection, Physicians' Clinic of Iowa (PCI) has forced the issue of a taxpayer-funded medical mall onto the Cedar Rapids City Council agenda, with the forceful assistance of Mayor Ron Corbett.

If the benefits boasted by mall promoters were believable, the mall wouldn't need $26 million from taxpayers to provide investors with millions in return on their investments - and $275,000 compensations for its administrators.

PCI wants city taxpayers to assume all of the risks and costs of closing a major street and relocating all the storm and sewer water, gas, electrical, cable, drinking water lines, etc., that are buried there - before knowing where they can be relocated.

The mayor wants taxpayers to take on this horrendous financial risk with only medical mall conveniences in return. The risks are so great, the city can't obtain firm fixed bids for blocking the street and relocating all utilities, etc.

Beyond that, PCI has greatly increased its demands on the city since Corbett took office.

Those demands to close a street and build an $8 million parkade will stick taxpayers with a $26 million tax increase minimum - not to mention the losses for motorists finding alternates to a blocked major street, or the substantial increases in medical fees to pay for the building.

It is unnecessary and mindless to add these costs to the millions needed for flood protection, street repair, the $45 million Taj Mahal for school administrators and the $31 million “teaching hotel” at Kirkwood Community College that won't likely pay for itself as foolishly hoped - since it wasn't well planned and could have been replaced with a $2 million purchase of the Five Seasons Hotel.

The mayor needs to work with other public officials to prepare and release a priorities list based on Cedar Rapids residents' needs. The medical mall failed by far to meet the top 20 list posted on website www.iowalive.net/priorities.htm.

The mayor also needs to obtain and release a cost-benefit analysis showing all the firm fixed costs and cost growths for the medical mall.

In addition, a risk analysis and risk management plan must be prepared to determine the sustainability of a medical mall in competition with the highly respected capabilities of the University of Iowa Hospitals and Clinics in Iowa City and renowned Mayo Clinic.

If the medical mall is such a wonderful idea, why doesn't PCI borrow all the money from bankers and keep the profits without city government or taxpayer involvement? Or will it be operated as

a non-profit without any

accountability or oversight - and sticking

taxpayers with all the risks?

Cedar Rapids has a poor track record for managing successful projects. Previous failures were beset with poor planning, poor management and lack of analyses, as discussed above.

The failures were so egregious that a new form of city government was formed to put a stop to them.

It is now time to exercise that form of government and stop the medical mll nonsense and focus on meeting a prioritized list of vital taxpayer and residential needs - especially flood protection. A medical mall does not justify taxpayer support.

Dick Fredericks is the retired executive director of Organizational Development at Rockwell-Collins. He also is a spokesman for the Iowalive network of citizens and professionals for improving Iowa, a watchdog group that focuses on government and education. He submitted this column on behalf of the network's members and supporters. Comments: rafia@fmtcs.com