June 12, 2007

ANOTHER BOONDOOGLE AT THE MLGW, THE PRICE TAG $29 MILLION

The recent revelation of a $29 million dollar loss at the MLGW can be laid at the foot of Mayor Herenton, the City Council and the MLGW. It has now been shown conclusively that they never had the expertise to run a high tech, fast changing operation as was envisioned by Networx. The Mayor was pressured into it by his high dollar contributors who wanted to leverage the business with public rate payer monies. As it turned out, the fast changing cable business passed them by and all their promises about future profits turned to dust.

I have attached a contract that was signed by Mayor Herenton in 2004. I am checking to see if any of the promised work was ever done. Herenton calls the shots at the MLGW and this is another example of his incompetence and bad judgment.

Click here to read the Networx contract signed by Mayor Herenton in May 2004