Reading airport lawsuit

The full article could be found in READING EAGLE

 FROM THE DESK OF OUR REP DAVID MALONEY:

So you have asked, why is this realtor PAC spending 11K dollars per mailer for incumbent commissioners?
How about because they want the county reassessed! 1 of them is a realtor! Remember the commissioners who Raised Taxes Twice, Spent Millions of Tax Dollars to expand Government, Voted themselves Raises (highest in the state) Lobbied for the largest Gas Tax Ever! with the 5 dollar per vehicle Tax!, denied a forensic audit of the election after the multiple debogles then THREATENED the local election services Director! Also supported Tolling 422!
STOP THE MADNESS, LIES, CORRUPTION!
Share This to Give Hope for the next Generation!

THE BIGGEST LANDLORD IN THE COUNTY

 Berks County’s Biggest Landlord
A  topic that often goes unnoticed but has real economic concerns and  impacts on all taxpayers is the amount of property owned by the Berks  County directly, or its agencies/subsidiaries.

With  their ability to invoke eminent domain, condemn properties and seize  them, or just reject an offer of anyone they want, the county has  amassed quite a collection – I recently counted 183 such properties in the county’s inventory.

As  long as these properties remain in the legal hands of the county  government, no property tax on them will be paid. What does that mean?  Well, the amount of tax revenue the county needs to operate will not be  cut, so that means all of us property owners pay extra property taxes to  make up for the loss of the county-owned properties.

For  example, in Oley, the Berks County Nonprofit Development Corp. took  ownership of a bingo hall at 590 Oley Road in October 2021 from a group  of individuals for a price of $635,000. The property with buildings is  currently assessed at $353,200.

There  is also word that a district judge will be housed in one of the  building’s office suites. Berks County typically owns all the offices  for judges in the county, and no tax is paid on those offices. What will  become of the rest of the building? Will there be businesses that pay  property taxes? Well, the redevelopment authority got a $1.1 million  federal grant to renovate the building, so I imagine it will be some  time before the county recoups any of that money in taxes.

We  need to remember; we all pay federal taxes and state taxes. So, when  you hear a state or local politician saying “but it’s federal money” as  if it were free and grows on trees, remember it is still your dollars  being spent without your consent.

Here is a small random sampling of other properties listed as owned by the Berks County Nonprofit Development Corp.:

•  6113 Perkiomen Ave. (Exeter Twp.) – purchased from a partnership in  November of 2020 for $180,000. It’s now home to a Berks County  magisterial district court. Prior to purchase, the lot did not have a  building on it (based on images from Google Streetview).
•  1022 Fox Run Road (Exeter Twp.) – purchased from an individual in  October of 2022 for $160,000. It is a townhome that was very recently  (5/1/23) sold to two individuals for $191,500.
•  400 E. Wyomissing Ave. (Mohnton Borough) – purchased from a real estate  firm in October of 2021 for $5.4 million. It is now a campus of Berks  County.
• 3200 Reading Crest Ave. (Muhlenberg  Twp.) – purchased from an estate in April of 2018 for $289,500. It is  now home to a Berks County magisterial district court.

While  I noted this is but a small sampling, given that the county or its  affiliates often own the magisterial district courts, I would not be  surprised if the 590 Oley Road property stays in the ownership of the  Berks County Nonprofit Development Corp. and becomes the new home of the  Oley Municipal District Court – tax free.
 

 Constituents,
I have been made aware  of troubling information regarding an economic development project at  the Reading Airport. Below is a Letter to the Editor I sent to the  Reading Eagle last night, which I also wanted to share with all of you:

Socialism for County Government!

Dear Editor,

What  if you went to the Berks County Commissioners to learn more about the  largest private investment in the history of the Reading Airport –  50,000 square feet of hangar space, another 20,000 square feet of Fixed  Base Operator space, contracts signed for training, a new fuel farm and  more – but the commissioners decided to revoke the contract and use  taxpayer money to buy the would-be development space for their own use?

That’s  exactly what the Berks County Commissioners are doing. The would-be  project, Coral Aviation, has plans for a training center with  state-of-the art flight simulators, which was going to be open to  public. It would have been the only one of its kind in the northeast,  drawing customers, their crews and owners from all over the country.  Flight crews in Reading for over a week at a time purchasing meals,  renting cars and hotel rooms - crews and owners that would not normally  have any reason to stay or stop in Reading.

Why  are the commissioners doing this? Well, that is the mystery. The Coral  Aviation project had strong backing until the commissioners made their  plans plain to those involved with the project. Strangely, that support  has begun to dry up as the county government intercedes in the Coral  Aviation effort.

Where  are the commissioners going to get the money? Well, all the money they  have comes from taxpayers, be it federal taxes or state taxes, it still  comes out of our pockets. The $14 million in COVID relief money they  have lying around? I am quite sure funds for a pandemic weren’t to be  used on a socialist adventure into running an aviation business.

Sincerely, Rep. David Maloney  Pike Township  

PS: I had gotten some information from people that have worked at the Reading Airport and know about aviation and what is required to bring commercial flights. "It is multi million dollar project. Then we will have to buy THEIR fuel. It will put us out of business""

5/5/2023 - UPDATE from David Maloney

 Socialist Governments Always Make a Financial Mess
Dear Constituents,
Last  week I shared with you a letter to the editor I wrote for the Reading  Eagle’s opinion page regarding concerns I have received regarding the  conduct of the county commissioners in the business affairs of the  Reading Airport.

One of  the opinion page editors responded back and I assumed my letter would be  printed. After all, on April 25 the Eagle printed a letter to the  editor titled “Letter: Answers are needed on airport proposal - Some  concerns need to be raised before Berks officials buy aircraft  maintenance operations.”

But  that is not what happened. Instead, “reporter” Karen Shuey asked the  county commissioners if they would like to respond to my letter  line-by-line. I understand if the newspaper wants to give everyone a  fair shake, but what is fair about a reporter behaving as the  commissioners’ stenographer?

In  fact, this is the second time Ms. Shuey has done this. On May 17, 2019,  a letter I wrote that was critical of the county commissioners plans to  sell Berks-Heim retirement home. Instead of my letter being printed – a  letter which had detailed funding numbers from the House Appropriations  Committee – an article by Ms. Shuey appeared, again allowing the  commissioners to respond line-by-line to each of my concerns.

But  a key point is why did the commissioners dissolve the airport authority  and install themselves as the new authority? Do they use our money to  play in the real estate and aviation business and then allow our  property taxes to go up to make up for the loss?

A  socialistic approach is in fact a bully approach by telling people what  they can or can’t do with their own property. Bully tactics and threats  are hallmarks of socialist government.

As  British Prime Minister Margaret Thatcher once said, “socialist  governments traditionally do make a financial mess, they always run out  of other people’s money.” 

UPDATE from the desk of David Maloney:

 Reading Airport Update
As  I feared would happen, a lawsuit has been filed against the Berks  County Commissioners due to their actions regarding Reading Airport. As  in the story above, these are the dangers of government taking over  businesses and private property. Should the county be found liable for  damages, the money, as always, comes out of our pockets.  

MORE ON THE AIRPORT
"  

Why is Reading Regional Airport Authority Offering up $13+ million to buy out two failing FBOs on the field?

Why  would the Berks County Commission- ers and Reading Regional Airport  Authority (RRAA) offer two Fixed Based Operators (FBOs) $13+ million —  much greater than their value? Appraisals for these two FBO’s aren’t  even completed to enable a fair price offering. Who came up with those  exorbitant figures and why? These are bailouts of two failing businesses  owned by families that can easily afford their respective losses. This  move was engineered by a left-leaning majority that recently won power  on the board.

County Commissioners and RRAA claim they only recently became aware that the FBO businesses at the airport were for sale.

Almost everyone operating at the airport knew the FBOs could be purchased. Nobody wanted to buy them as they are not profitable.

Let’s start at the beginning

Longtime  tenant, Coral Aviation Group (CAG) presented a plan in 2021 to RRAA to  build a first-class FBO, along with a state-of-the-art hangar that would  accommodate large jet aircraft such as a Gulfstream. Additionally,

the plan included retaining a very big player, Quest Diagnostics.

CAG’s project was approved by RRAA with a unanimous vote TWICE. Dec 2021. July 2022.

The  majority of delays for the project were in- sisted on by RRAA, not CAG.  CAG was ready to start engineering in January of 2022 with ground  breaking planned for summer of 2022.

In January of 2022 the current FBOs demand- ed and received a 60 day pause of the CAG project.

In December 22, after 18+ months of negoti- ations with RRAA, CAG reached a final agree- ment to proceed.

CAG was a few weeks away from signing the final agreement with Quest Diagnotics. RRAA

was aware of this impending agreement.

There was never any hint or discussion in all

the negotiations about a government take

over of the two Airport FBO businesses. • A new state-of-the-art, 50,000 square foot

hangar

Meanwhile, CAG was receiving overwhelming • Pilot flight planning

positive  responses from flight departments all • Overnight rooms for pilots over  the northeast. Did RRAA think they could • Locker rooms

capitalize on CAGs hard work “wooing” Quest • Conference rooms Diagnostics without CAG? • Crew cars and rentals cars

• Catering

A Bit of History about the current FBOs • Limousine service

Neither the Airport Authority or the FBOs • Full gym

have brought one new corporate flight depart- • Individual crew TV rooms

ment to the Reading Regional Airport. • Fill kitchen and coffee bar

Their facilities are old and outdated; in need • Brand new world-class fuel farm with self of remodeling and repair. serve fuel

• State-of-the-art, new electric aircraft Additionally, RRAA will be buying a 40+ year charging facility

old,  in-ground fuel farm. No one sophisticated • Hangar built to accommodate  the largest in aviation today even considers the use of in- modern day  corporate aircraft

ground  fuel farms. Certainly not if it was previ- • Development of a brand new  state of the ously re-mediated. That’s what you get when Pilatus  specific training facility utilizing

government starts making business decisions.

This  is another government bail out of two struggling businesses. Struggling  by their own admissions. The current FBOs (Reading Jet Center and  Millennium Aviation) objection to CAG’s project all along was that it  would be too much competition. Where is RRAA getting the money?  Taxpayers! Are the Berks County taxpayers interested in bailing out two  failing businesses?

Coral Aviation Group Equals Success

Coral  Aviation Group has been the most prolific developer at Reading Regional  Airport and responsible for the two largest corporate developments  ever: Quest Diagnostics and Northrop Grumman.

• CAG owned the most successful FBO

ever in Readings history.

• CAG had started the largest flight school

ever in Reading: Reading Flight Academy. • Received approval for a $3 million grant.

CAG’s track record speaks for itself.

new full motion electric simulators

• Corporate commitments amounting to

approximately one million gallons in fuel sales the first year of operation.

CAG received grant funds for their plan. That’s not cost- ing the taxpayers anything.

Sincerely,

James Dastra, President Coral Aviation Group

Details of CAG’s proposed new world-class full-service FBO included:

(Copied from D. Maloney social media)