Hesperia still operating on Dark Side

AND FURTHER, that the second draw on the loan in the amount of $499,700 must receive Council approval prior to payment…” For review, Hesperia Development Corporation Pro Forma Income Statement, including Projected Cash Flow, and consideration of approval for second draw on the loan.
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This was the resolution approved on Monday that continued funding the Partnering Agreement that Council had approved at their last Council Meeting with its fully owned subsidiary the Hesperia Development Corp. The total draws on the $12,993,300 line of authorized revolving credit is now $1,200,200 which is money to be used in the July to December period of this year.

This second draw was approved with no discussion about the Income Statement or Cash flow statements and no indication that there will be any public input or revelations about the true value of the land being transferred to this new entity that sprung from the corpse of the Vernon Land Corps and what the taxpayers will be spending to subsidize the 125 units (out of 1000) of attainable housing that may arise on these 69 acres.

The first $1,200,200 that has been drawn is shown as been used for the following purposes: (this is my best guess from available cash flow backup statements.)

• 2007 administration costs $29,500 (includes $11,000 directors fee)
• 2007 pre. dev project costs $35,000
• 2007 Property transfer tax $50,000 (?) listed at $60,000 on cash flow.

• 2008 administration costs $159,000 (includes $25,000 directors fee)
• 2008 pre. dev project costs $586,000 (included $100,000 for project manager and $190,000 for a planner)
• 2008 Off Site Development costs $340,700 (included 12,500 for project manager (?) increasing to $37,500 in 2009, 2010 and 2011)
  

Total 1,200,200
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