Finnegan's Wake receives grant

[NoLibPerson]

Is this a joke? First, they use connections to get shady approval for this ridiculous rehab project and now they're getting free money to pay for it? Someone wake me up, I think I'm having a nightmare. The corruption/bad decisions surrounding this project are endless.

http://blog.thesomersteam.com/2012/07/finnegans-wake-receives-large-grant-from-special-services-district-say-what/

[bernie]

wow ...just wow

[RSR]

$74,000 is two-thousandths of a percent of the city budget. It's a pimple on the ass of a rounding error. Even if this wasn't Finnegan's, we still have the pathetic charade of modern government and capitalism that asks us to bow down at the alter of casinos and special services districts who do for us what our government can't or won't do.

But it is Finnegan's, which just adds insult to useful idiocy.

[NoLibPerson]

Where is the local news expose on this? What's the best station to contact for that type of story? This should really be getting A LOT more press.

[ArcticSplash]

Somers put this out around 1030-ish this morning.

I and I'm sure several other people have e-mailed the entire board of PTSSD asking for confirmation that this is true. If it is true, this is extremely troubling news. There was already an issue when PTSSD distributed funds to a newspaper that's not organized as a not-for-profit. But to fork over cash to Mike Driscoll (or say a phony partnership set up by Mike to receive the money), to spend on Bodine Street is very, very disturbing news.

First of all, this COMPLETELY destroys the reputation of the PTSSD board. I would be totally on board with calling it a "Sugarhouse Slushfund for Select Friends" if this were the case.

We have so much need for other projects. For instance, not one fucking penny has gone into doing anything with Front & Girard, the most fugliest intersection in the entire river wards, for eons. If we can't find a way to spend money to improve the safety/lighting and upkeep of the portal between Fishtown and Northern Liberties, then something is fucking wrong here. Perhaps the PTSSD board is what's wrong.


This is the most recent 990-PF for PTSSD:
http://www.guidestar.org/FinDocuments/2 ... 1736-F.pdf

Further, because PTSSD is set up as a private foundation, the IRS sets these basic guidelines:

---------------
In addition, there are several restrictions and requirements on private foundations, including:
1. restrictions on self-dealing between private foundations and their substantial contributors and other disqualified persons;
2. requirements that the foundation annually distribute income for charitable purposes;
3. limits on their holdings in private businesses;
4. provisions that investments must not jeopardize the carrying out of exempt purposes; and
5. provisions to assure that expenditures further exempt purposes.
---------------
Source: http://www.irs.gov/charities/charitable ... ,00a.html/


Dispersing what would be PTSSD's largest grant since it's founding over to improve what amounts to an outdoor smoking-permitted patio for Finnigan's patrons smacks heavily of violating item No. 5., even if the money is channeled through a temporary non-profit set up to cut the contractor checks.

And if that is true, I will personally file an IRS 13909 complaint against both Finnegan's and also Penn Treaty Special Services District for doing this if that's the case.


I happen to support Sugarhouse and I gamble there infrequently, although I was not in favor of a slots barn--I would rather have a full-on entertainment and destination resort on the river which is richer in amenities, supplies more jobs and with better pay. In exchange for allowing Sugarhouse to get its riparian palace, they signed a CBA and were to distribute funds back to our community for our own improvement.

Nobody in their wildest dreams would have ever imagined it was to go for an at-grade patio for drunk patrons to puke on at a pitstop on the Erin Express.

Nobody.



PTSSD, please tell me this isn't so. If this is true you will be heckled at every community meeting we both are ever present at.

[Dan]

$74,000 is two-thousandths of a percent of the city budget. It's a pimple on the ass of a rounding error. Even if this wasn't Finnegan's, we still have the pathetic charade of modern government and capitalism that asks us to bow down at the alter of casinos and special services districts who do for us what our government can't or won't do.

But it is Finnegan's, which just adds insult to useful idiocy.

It's even a smaller piece of the national budget, but I don't see the relevance here....

[Chris]

I sent an email to the writer of this PlanPhilly article asking for a little investigating, wonder if it will go anywhere...

http://planphilly.com/news/notebook/nor ... mstrung-ci

Seems like this is just ridiculous and without merit (at least a weak case could be made for the computers for the newspaper) and not what the PTSSD was set up for (unless Bob Brady had a hand in it, then it's just what he wanted).

Squilla should be hung from the new balconies.

[Domester]

@arctic

I've seen you all over phillyspeaks and its good to see you getting in on this issue over here. Way to go man, this is absolutely criminal. Not only do they ignore a proposed community compromise but they take public money to finance the project....there are almost no words for this.

[RSR]

I wonder if this is something the PA Attorney General Charitable Trusts and Organizations Section should investigate?

Charitable Trusts and Organizations Section

The Charitable Trusts and Organizations Section protects the public's interest in all property committed to charitable purposes. Among its variety of responsibilities, the Section:

Investigates and initiates legal actions against charitable organizations and/or their professional fundraisers to ensure that charitable donations are lawfully raised and expended;
Oversees nonprofit corporations generally, including nonprofit mergers, conversions and acquisitions, and may seek to revoke an organization's franchise and articles whenever it misuses, abuses or fails to use its powers and privilege;
Reviews the actions of executors and trustees in wills and trusts containing charitable gifts to make certain that the fiduciaries have acted properly and efficiently; and
Makes copies of Internal Revenue Service Forms 990PF of Pennsylvania's private foundations available for public inspection.

[azurebob]

http://fishtown.us/content/forum/penn-t ... igans-wake

[Dan]

This was already posted earlier here:http://www.northernliberties.net/msgboard/viewtopic.php?f=9&t=3950

Please delete this thread if you can so that we don't splinter the conversation.

[JLM]

Please delete this thread if you can so that we don't splinter the conversation.

The threads have been merged.

[ArcticSplash]

I have emailed this to every PTSSD email account, and also to Representative John Taylor, NKCDC, ORCA, FNA, EKNA and Mr. Squilla's office:

Dear PTSSD Board:

This is my second email to the whole Board of the Penn Treaty SSD requesting confirmation that the Board has indeed entertained and authorized a grant and disbursement of funds, as reported to be in the amount of $74,000 towards improvements to Bodine Street first proposed by Mike Driscoll, owner of Finnigan's Wake, at 537 North 3rd Street and subsequently passed by Council for the striking of a public street into a private alley for a private for-profit enterprise.

In addition to this, the Northern Liberties Neighborhood Association felt it necessary to disperse this disturbing news to its members which has been widely read in the community. In its most recent mailing to Northern Liberties residents, to wit:

Finnigan's Wake. Neighbors expressed concern and displeasure at Council's passage, at Councilman Squilla's behest, of bills legalizing the striking of the 500 block of Bodine St. and large outdoor balconies covering Spring Garden St., for Finnigan's Wake.

This week, Councilman Squilla visited the NLNA's Board of Directors meeting, where we reiterated the neighbors' concerns. He reiterated his statement that Finnigan's will not construct the balconies unless or until there's an agreement with the community. He also committed not to put through similar legislation in the future unless a community agreement already is in place.

Finally, many neighbors have approached us asking about a grant from the Penn Treaty Special Services District to Finnigan's Wake. (The SSD disperses annual funds from SugarHouse casino, and has generously funded the NLNA's most recent phase of its Community Center renovation). Our understanding is that the SSD has granted $74,000 to Finnigan's Wake for work on Bodine Street.

I should not have to be one to remind the Penn Treaty SSD that this type of transaction is highly suspect unless the bar has formally promised a community use of what is soon to become private property. If it is to be closed, limited, restricted, cordoned-off or constricted away from the beneficiaries that PTSSD has sworn in its incorporation to serve, that makes this disbursement to Mr. Driscoll a taxable gift no matter what type of entity receives the funds, either for-profit or non-profit.

I have reviewed your most recent publicly-available income tax return on GuideStar for TY2009, which reveals you are structured as a non-profit private foundation. I have also reviewed the Sugarhouse CBA and incorporation of PTSSD which was filed in New York State: http://www.comptroller.nyc.gov/bureaus/ ... useCBA.pdf

The IRS specifically has these overarching guidelines concerning your type of entity. I suggest you take these guidelines to heart:

1. Restrictions on self-dealing between private foundations and their substantial contributors and other disqualified persons;
2. Requirements that the foundation annually distribute income for charitable purposes;
3. Limits on their holdings in private businesses;
4. Provisions that investments must not jeopardize the carrying out of exempt purposes; and
5. Provisions to assure that expenditures further exempt purposes.

http://www.irs.gov/charities/charitable ... ,00a.html/

It is my opinion that this type of disbursement does not meet the IRS guidelines for your type of entity as the striking of Bodine Street for Finnigan's expansion and conversion to a commercial use can hardly constitute a cause worthy of a charitable contribution either directly or in an ancillary fashion. It could be ameliorated if the funds are going into an over-arching commercial improvement project, but a sole distribution for a single property owner for non-public property would not meet those conditions. Or, in exchange for the funds, the property is held in an exempt entity and access to the property is not constricted to a private commercial use (namely, for Finnigan's Wake next door), provided Finnigan's has a covenant that with such an entity in control of the private alley permitting use of the alley at the pleasure of the entity which owns it. Even if such an entity were erected, it's doubtful that anyone in the river wards would consider that entity to be legitimate.

If this news is truly the case, then I will inform you today that I will prepare and file IRS Firm 13909 - Tax Exempt Organization Referral requesting a review of the Special Services District to answer the question of treatment over this transaction, and similarly, IRS Form 3949-A for Finnigan's Wake as being the recipient and benefactor of this disbursement with an additional question of tax treatment and any other entity created for this purpose. I will file these documents as your fiscal year draws to a close so that you have time to account for these transactions and all entities involved consider and book their treatment.


If this news turns out not to be the case, I implore you to announce the Board's position to the community in the most expeditious fashion possible. This type of disbursement is not only alarming, but it would completely destroy the PTSSD's reputation as a charitable entity for the betterment of the community.




I await your reply.


--Christopher Sawyer

[Chris]

Progress... they're all still a bunch of weasels and the PTSSD should be investigated for how they're running their neighborhood friends & family slush fund. Love how Bob Brady's keep quiet on this one.

http://www.philly.com/philly/news/polit ... erted.html
Philly Clout asks questions, "special services" money gets diverted

Chris Brennan
Philadelphia Daily News
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A SHORT STRETCH of Bodine Street, a narrow alley that runs north from the 200 block of Spring Garden Street in Northern Liberties, has more than its fair share of political power and problems.

Must be the neighbors.

Mike Driscoll, a Democratic committeeman who runs Finnigan's Wake, a massive bar and catering hall popular with politicians, convinced the Penn Treaty Special Services District last month to pay $74,000 to fix up Bodine Street with landscaping, lighting and a fancy walkway.

Driscoll's bar is on the west side of Bodine Street. The new Democratic City Committee headquarters, which opens in August, is on the east side.

City Councilman Mark Squilla pushed legislation, approved unanimously by City Council on June 21, to erase Bodine Street from the map and give the land to Finnigan's Wake. That legislation is now waiting for Mayor Nutter to sign it into law or veto it.

Some neighbors, upset about the rowdy crowds that sometimes gather at the bar, didn't like the idea of a $74,000 grant that would benefit Driscoll and the new Democratic headquarters.

They're also angry that Squilla got legislation approved to allow Driscoll to build two decks on the front of his bar. That legislation is also in Nutter's hands.

Word of the grant first circulated Tuesday on TheSomersBlog, a real-estate blog.

Now it looks as if the grant is going to disappear.

Kevin Kelly, a member of the Penn Treaty Special Services District board who was not at the meeting when the grant was approved, said that he expects the district to ask Driscoll to drop the idea. The problem, Kelly said, was that the board thought that Bodine Street would remain public property. Instead, the bar will own it, but an easement will allow the public to stroll there.

The district is funded with $500,000 per year from the SugarHouse casino. That will increase to $1 million per year when the casino completes a planned expansion.

The district has given out 41 grants totaling $827,043 as of May 2, according to its website. The Bodine Street grant would have been the second-largest amount given by the district.

Driscoll told us that he is willing to revisit the grant or drop it.

"This will sort itself out," he said. "If there's a problem, we'll resolve it. If this doesn't fit their mission, we'll withdraw it."

U.S. Rep. Bob Brady, a former investor in Finnigan's Wake and chairman of the Democratic City Committee, declined to comment.

A City Committee source said that Brady knew Driscoll was asking for the money but played no role in the request or the project.

[Dan]

Wow a reporter getting something right for once. Good article!