Dolly Parton

Subpoena names company in Hudson case

ryanteaguebeckwith — Fri, 23 May 2008 13:20:09 -0400

Federal authorities who have charged a former state environmental official with public corruption subpoenaed a state agency in November 2007 for any records dealing with a company called Agri-Ethanol Products of Raleigh.

That subpoena, obtained today through a public records request, was related to a federal corruption charge against Boyce Allen Hudson, a former N.C. Department of Environment and Natural Resources official who is accused of trying to expedite permits for an ethanol company — not identified in court documents — in exchange for cash, Dan Kane and Ben Niolet report.

Court records show that Hudson will plead guilty to the charges next week in federal court. Efforts to reach Hudson and his attorney have been unsuccessful.

Officials with Agri-Ethanol Products could not be immediately reached for comment today.

The subpoena also sought information about the agency's dealings with a partnership that figured prominently in the Randy Parton Theatre.

More after the jump.

What is tax increment financing?

bniolet — Wed, 16 Jan 2008 11:02:52 -0500

Answer:

A form of financing in which a municipality borrows money for a project with the expectation that it will pay back the debt using increased tax revenue generated by the new project.

The often-stated goal of TIFs, as they are sometimes called, is to jump-start development in a blighted area. In theory, TIFs are a mutually beneficial arrangement between a private developer and a municipality. The developer gets the municipality to pay for public improvements to a site. The municipality benefits, because sucessful development means more property or sales tax revenue.

In a simplified example, a private developer wants to build a shopping center in a depressed area. The developer tells town officials that he can afford to build his project if the city is willing to build sidewalks and extend water and sewer connections to the property. The developer proposes a TIF.

In this arrangement, the town issues bonds—or simply put—borrows money, to build the sidewalks and sewer lines. Before the first shovel hits the ground, the town determines how much property tax revenue the parcel generates—a number based on the assessed value of the property. That amount of tax revenue is frozen—it is all the revenue town will collect from the property for some time.

The developer builds the shopping center. Customers shop, dine and visit and the value of the land naturally increases. Because the land is now worth more money, the assessed value increases, which means its owner must pay higher property taxes.

But all the town gets is the amount of tax revenue it collected before the project started. The additional money, or the "increment" will be used to repay the debt the city took on to build sidewalks and sewer lines. In time, the debt is repaid and the town can start collecting the full amount of property tax on its new, bustling shopping center.

TIFs have had a controversial start in North Carolina. In 2004, voters approved a constitutional amendment that allowed the deals. They were controversial and divisive even before they were allowed.

In 2007, developer John Kane proposed using one to build retail and office space at the bustling North Hills in Raleigh. The proposal was denied after it met opposition with members of the Raleigh City Council.

Then there is Roanoke Rapids. The city used a TIF to build a theater for Randy Parton, brother of country superstar Dolly Parton. The theater was supposed to be the centerpiece of an entertainment and tourist complex, but in its first few months, the project was riddled with problems.

The project was made an issue in the race for governor, since Democratic candidate Richard Moore, who was head of a commission that must authorize TIFs, approved Roanoke Rapids' plans.

Roanoke Rapids hires lawyers

ryanteaguebeckwith — Wed, 12 Dec 2007 07:51:30 -0500

Roanoke Rapids officials have hired a Raleigh law firm to fight Randy Parton.

After a closed session Tuesday, the City Council referred questions about possible legal action to Johnny M. Loper of Womble Carlyle Sandridge & Rice.

Loper said he will be reviewing documents before helping the city determine how to run the theater and whether to end its relationship with Dolly Parton's brother.

Also Tuesday, Carolina Journal reported that the former president of a state-financed economic development partnership that recruited the Partons had an ownership stake in their company, Moonlight Bandit Productions.

It is unclear whether Rick Watson had a stake in the company when Parton signed the deal, however. (N&O)

Dolly defends brother

bkrueger — Tue, 11 Dec 2007 16:53:20 -0500

Dolly is coming to the defense of her brother, Randy.

Country music legend Dolly Parton today spoke out in support of her brother, Randy Parton, who has been criticized for problems at his theater in Roanoke Rapids:

Randy had a very successful show at Dollywood for many years. When he was offered the opportunity to go outside and do his own thing, naturally he jumped at the chance. Almost every performer I know dreams of developing his or her own theater and developing their own show.

No one can dispute the fact the show he put together for the theater was top of the line. I know in my heart that Randy gave it his best effort. Unfortunately, now that things aren't working as well as everyone had hoped, everyone is pointing fingers and naturally no one wants to take the blame. It is not fair making Randy the scapegoat for a project where so much and so many were involved.