Spending Frenzy

This is the third year that the market value of condominiums have dropped. Estimates of the loss range from 25% to 60%. Floridians voted for proposition one, a massive government spending cut. Major insurance companies left Florida, cancelling policies. Companies that stayed raised rates, sometimes more than doubling the rates.

Since mid-September, the stock market has crashed, losing half of the $8 trillion that has vanished since October 2007. We have seen two record-breaking losses on Wall Street. Investments and 401K values have dropped at rates approaching the Great Depression.

All of America's great investment banks -- Bear Sterns, Lehman Brothers, Merrill-Lynch, Goldman Sachs and Morgan Stanley -- either ceased to be independent or ceased to be.

The nation's largest savings and loan, Washington Mutual, and largest insurance company, AIG, have gone belly up.

Wachovia declared a 29.6 billion dollar loss for the third quarter of 2008 and is being acquired by Wells Fargo.

Three trillion of the eight trillion in stock value that is gone disappeared after passage of the 700 billion dollar federal bailout of Wall Street.

Regardless of who you read, America – and the world’s economy is in serious trouble. Seniors are outliving their money. Foreclosures are at an all time high. Intelligent people are tightening their belts, holding onto cash, reducing spending, and delaying major purchases.

Except at Southpoint.

The Southpoint Board is on a spending frenzy and our costs are out of control. They raised our assessments 11.5 %, and are spending our money on non-essential projects. We have a spendthrift, financially irresponsible Board.

Actions speak louder than words, and their actions show they are out of touch with reality and are violating their fiduciary responsibility to Southpoint’s Owners.

Except in Fort Lauderdale.

Fort Lauderdale’s lame duck mayor and city commissioners are also on another spending frenzy. This time, they,

“gave tentative approval to a 5 percent cost-of-living raise to top managers who aren't in a union, at a cost of $1.1 million; the 5 percent raise will go to the highest paid city employees, City Attorney Harry Stewart and City Manager George Gretsas, as well as to the city clerk and city auditor and about 245 others.”

Stewart makes almost $350,000 a year, so the raise gives him an extra $17,500. Gretsas makes almost $315,000, so his raise is an extra $15,750. That is a combined raise of $33,250 – or more than the median household income in the United States.

I repeat, actions speak louder than words. Only Charlotte Rodstrom’s objected to this spending frenzy. The actions of Lameduck Mayor Jim Naugle, Commissioner Christine Teel, Cindy Hutchinson, and Carlton Moore show they are out of touch with reality.

What, you may ask, of the candidates for Mayor?

Of the four candidates for Mayor, only Earl Rynerson has exhibited leadership and is taking a position against these outrageous raises. Kudos to Rynerson, and shame on you, Rossi, Seiler, and Trantalis. Special mention must be made of Seiler's support of these raises.