IPR Fraud

[Speedyb]

Just checking in on the "other" message board, and someone mentioned IPR was using a half million dollars of I-Jobs money to help fund the purchase of KZHZ. Did a quick check of the Regents Agenda Item 13 and found this:

Valuation and Financing
The proposed purchase price of $1,750,000 is consistent with public radio industry valuation
models that include the following factors: coverage area, population within the coverage area,
and recent comparable sales of like-type stations. These factors are evaluated to arrive at an
average price per person served. Comparables for KZHZ-FM (formerly KZWU) and KZHC-FM
(formerly KZWF) are included in Attachment B.
Iowa Public Radio’s Board of Directors met on May 25, 2011, to review the purchase and
financing plan. The IPR Board determined that IPR will be solely responsible for funding the
transaction and hold all the financial risk. Iowa Public Radio proposes utilizing $672,500 from
cash reserves and $500,000 from I-Jobs funding for the initial investment. The remaining
$577,500 is expected to be financed through Iowa State University’s Wells Fargo line of credit
over a period of ten years, at an anticipated rate of 4.25% per annum. The University and IPR
will enter into a Memorandum of Understanding covering the terms of the financing and IPR’s
repayment obligations.

So, how is using I-Jobs money to buy a radio station, helping the unemployed???

 

[radiorobert]

I-Jobs money can be justified along alot of lines. I wouldn't get too worked up about it. Not really an issue.

If you are upset about KZHZ selling because of the format, it seems we amy have a similar format here soon on a bigger signal anyway, according to the 'talk' and speculation. (Whether the conspiracy theory's about Cumulus and Connissuer are correct or not)

Or, we may not. Can't know that.

 

[Goat Rodeo Cowboy]

If you were to track down the entire list of grants from funds to "promote new jobs" there might be a lot of rolling eyes and snickering and "grinding of teeth".

If I buy a company going out of business and reshape it, can I claim "I created new jobs" for people who were about to lose their jobs? The world of Public Broadcasting has to be pretty small potatoes in that discussion.

If you have been paying much attention to the Republican Presidential Candidates debate, you have been hearing a discussion that parallels your concerns about I-jobs and Iowa.

If the governor of Texas builds the employment numbers of Texas by luring companies from other states to come and take benefit from the benefits of doing business in Texas, has he CREATED new jobs, or has he RELOCATED existing jobs. Now, if the plant in New England was about to fail into bankruptcy because of local business climate and laws, and the employees would have become un-employeed, one can have a lively discussion as to whether moving that plant to Texas TRANSFER existing jobs or CREATES new jobs.

If public broadcasting in Iowa acquires and existing operation, have jobs been transferred rather than disappearing, or have NEW JOBS been created.

Trying to dissect that transaction will mostly result in a bit "bar room brawl" over politics more than resulting in intelligent discussion. Such are the times in which we live.

 

[grich]

...If public broadcasting in Iowa acquires an existing operation, have jobs been transferred rather than disappearing, or have NEW JOBS been created...

In this case, neither.

The Conni-sewer operation was already dead and IPR will just stuff one of their streams onto it. No new jobs. Just more taxpayer money being spent, and another site for Dave Knippel's engineering staff to maintain. Also, another non-com operating on a commercial channel. Lotsa ick here.