QUOTE(blzrul @ Jan 13 2006, 08:43 PM)
I still can't believe that the City bought that stupid ferry. Did they really think anyone in Toronto would come to ROCHESTER of all places to visit and spend money? Rochester used to be a nice place but now...the last person out better remember to turn out the lights.
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The city didn't just buy it, they WAY overpaid. When they bought it, the bidding went to $27MM; what was Rochester's counter bid? $27.25, $27.5, maybe even $28? Heck no, the friggin' morons went to $32MM to show the sole other bidder "that we mean business". They are now HOPING to sell the boat for $20MM.
The genius Bill Johnson gave the people running CATS (the original owners of the ferry) a 40 YEAR lease on the property at the Rochester harbor for $1.00 / year REGARDLESS of whether they kept the ferry running or not.
The BEST operational month for the ferry last year was August. Fares topped $1.0MM for the month, unfortunately fuel costs topped $1.1MM.
The genius Bill Johnson wanted to force through a loan guarantee for the Ferry Corp. of $11.5MM 1 week before Duffy was to take over. Why have the City ONLY lose $20MM on this venture when it can lose $30MM?
The genius Bill Johnson agreed to give the Port of Toronto $250k/year to dock the ferry in Toronto and also pay TO $1/passenger and $3/car. There is a 14 year contract on this one, so it will be interesting to see what Rachacha has to do to keep from giving TO $250k each year for the next 13 for absolutely nothing at all.
According to Duffy, and I tend to believe it based on the results of the 2 year experiment, IF ridership doubled and fares went up 20%, the ferry would ONLY lose $2.7MM this year. This is actually very good considering the ferry lost $10MM in 10 months and the "value" of the ferry itself dropped about $12MM in 1 year.