Investigation: Waste of the Day – Throwback Thursday – Trump Building Stopped, Taxpayers Left With Bill
By Adam Andrzejewski
Will this presidential election be the most important in American history?
Investigation by Adam Andrzejewski originally published by RealClearPolicy.com and made available via RealClearWire.com
Topline: In 2008, a 450-foot segment of the Tampa Riverwalk in Florida was supposed to be completed with private funding.
That was until businessman Donald Trump sued to stop the construction of the eponymous condominium development, “Trump Tower Tampa,” leaving the adjacent Riverwalk short on cash and in need of $294,000 from the federal government, or $430,000 in 2024 dollars.
That’s according to the “Wastebook” reporting published by the late U.S. Senator Dr. Tom Coburn. For years, these reports shined a white-hot spotlight on federal frauds and taxpayer abuses.
Coburn, the legendary U.S. Senator from Oklahoma, earned the nickname “Dr. No” by stopping thousands of pork-barrel projects using the Senate rules. Projects that he couldn’t stop, Coburn included in his oversight reports.
Coburn’s Wastebook 2008 included 65 examples of outrageous spending worth more than $1.3 billion, including the $294,000 in funding for the Riverwalk.
Key facts: The Tampa Riverwalk was set to begin the next phase of its construction in early 2007. Florida’s then-Gov. Charlie Crist had approved $2 million in funding, and private developer SimDag LLC had promised to build “Trump Tower Tampa,” a 52-story condominium that would be the tallest building in the city.
A city ordinance requires developers who are building along the Riverwalk’s 2.3-mile stretch to pay for segments at their properties, according to the Tampa Tribune.
Trump had no role in the condo project; SimDag was paying him to attach his name and celebrity to the building. Both parties kept this secret, and Floridians began buying the future condos under the belief that Trump owned the building.
But before construction began, the plan hit a snag. The housing market was crashing, and limestone found at the construction site needed to be (expensively) cleared away.
Soon, SimDag had no more money to pay Trump. He sued to stop them from building the tower with his name, and construction never got past foundation footings.
SimDag also disconnected its phone lines, leaving customers unable to get back the deposits they had made on units that would never be built. Dozens of lawsuits were filed against Trump and SimDag.
That left an entire section of the Riverwalk unfunded, meaning development would need to stop. The Department of Housing and Urban Development sent $294,000 of taxpayer funds to help construction continue.
Tampa residents contributed 14% in those years, with the city adding more of its own money in later years.
Summary: Today, the 2.6-mile Riverwalk includes an aquarium, an art museum and more. The city spent $38 million last year to expand the Tampa Convention Center into the area once designated for Trump Tower.
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By Adam Andrzejewski – The #WasteOfTheDay is brought to you by the forensic auditors at OpenTheBooks.com
This article was originally published by RealClearInvestigations and made available via RealClearWire.
