[Vision2020] University Sale of Clark Fork Property

Jim Wallis wallis@moscow.com
Thu, 09 Oct 2003 08:04:34 -0700


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Representative Trail,
Thank you for raising the issue of the sale of the Clark 
Fork property on Vision2020. It is unfortunate that you 
could only parrot interim President Michael's letter (full text 
available http://www.uidaho.edu/openletter/), because that 
letter raises more questions than it answers. Perhaps, as 
an elected Representative, you could ask a few serious 
questions about the decision-making process and the sale 
itself.

Some sample questions: 

Sales process: Michael says  "the university decided to 
accept an offer of $450,000 for the property,"  but people 
make decisions. What person or persons made this 
decision? 

Retaining a valuable asset: An asset like this is not easily 
replaced, and the University might have undertaken efforts 
outside its current educational mission to preserve a 
resource that could develop into a very important part of 
the educational mission in the future. What measures were 
taken to preserve it by promoting use by the Natural 
Resources College itself? Were other state agencies, or 
other government agencies, offered use of the facilities for 
a fee? Were agencies or individuals offered lease 
opportunities?  Was active promotion of the site for non-
educational purposes considered? 

Commitment to North Idaho: The original intent was to 
offer courses and conduct research in North Idaho. Did 
those responsible for the sale review the reasons for 
original purchase decision? Has the University changed its 
goals since that time? Has the University or the Natural 
Resources College changed its commitment to North 
Idaho? Does the sale indicate that the University expects 
its programs in the North to shrink for the foreseeable 
future, with no expansion on the horizon? 

Establishing the value: There is much discussion about the 
inability to establish the value of the property by 
assessment. The only rational way to determine market 
value is to market the property. Who at the University does 
not understand this? While "more intensive marketing 
plan" makes it sound like a major undertaking, wouldn't a 
few newspaper ads have alerted most interested parties at 
a trivial expense?

Policy for asset sales: Hand-waving about the profit 
obscures the fact that the University failed to maximize its 
return on the sale. If the true market value of the property 
was a million dollars, then the University missed an 
opportunity to improve its financial condition. It is 
inconceivable that UI would purchase an item for a half-
million dollars without a competitive bid process. How is it 
that there is no corresponding process for sales of major 
assets? What specific administrative changes will be made 
to correct this glaring absence of process?  

Public trust: The failure to advertise the sale or inform the 
community makes the sale look like an under-the-table 
deal. Why were the administrators who made the decisions 
not sensitive to the necessity of building public trust? What 
measures are being taken to correct this insensitivity? 

You finished your Vision2020 message with the quote 
"That appearances are everything." This is patent 
nonsense. By that measure, a Representative who posted 
fluff about a serious issue to a discussion group would 
have accomplished "everything."  Far better that such a 
Representative exert himself to learn a few facts that 
would inform not only his constituents but also his own 
legislative decision-making. 

Jim Wallis
513 South Hayes
Moscow


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<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">Representative Trail,</span></font></div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">Thank you for raising the issue of the sale of the Clark 
Fork property on Vision2020. It is unfortunate that you 
could only parrot interim President Michael's letter (full text 
available http://www.uidaho.edu/openletter/), because that 
letter raises more questions than it answers. Perhaps, as 
an elected Representative, you could ask a few serious 
questions about the decision-making process and the sale 
itself.</span></font></div>
<div align="left"><br/>
</div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">Some sample questions: </span></font></div>
<div align="left"><br/>
</div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">Sales process: Michael says&#160; &quot;the university decided to 
accept an offer of $450,000 for the property,&quot;&#160; but people 
make decisions. What person or persons made this 
decision? </span></font></div>
<div align="left"><br/>
</div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">Retaining a valuable asset: An asset like this is not easily 
replaced, and the University might have undertaken efforts 
outside its current educational mission to preserve a 
resource that could develop into a very important part of 
the educational mission in the future. What measures were 
taken to preserve it by promoting use by the Natural 
Resources College itself? Were other state agencies, or 
other government agencies, offered use of the facilities for 
a fee? Were agencies or individuals offered lease 
opportunities?&#160; Was active promotion of the site for non-
educational purposes considered? </span></font></div>
<div align="left"><br/>
</div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">Commitment to North Idaho: The original intent was to 
offer courses and conduct research in North Idaho. Did 
those responsible for the sale review the reasons for 
original purchase decision? Has the University changed its 
goals since that time? Has the University or the Natural 
Resources College changed its commitment to North 
Idaho? Does the sale indicate that the University expects 
its programs in the North to shrink for the foreseeable 
future, with no expansion on the horizon? </span></font></div>
<div align="left"><br/>
</div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">Establishing the value: There is much discussion about the 
inability to establish the value of the property by 
assessment. The only rational way to determine market 
value is to market the property. Who at the University does 
not understand this? While &quot;more intensive marketing 
plan&quot; makes it sound like a major undertaking, wouldn't a 
few newspaper ads have alerted most interested parties at 
a trivial expense?</span></font></div>
<div align="left"><br/>
</div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">Policy for asset sales: Hand-waving about the profit 
obscures the fact that the University failed to maximize its 
return on the sale. If the true market value of the property 
was a million dollars, then the University missed an 
opportunity to improve its financial condition. It is 
inconceivable that UI would purchase an item for a half-
million dollars without a competitive bid process. How is it 
that there is no corresponding process for sales of major 
assets? What specific administrative changes will be made 
to correct this glaring absence of process?&#160; </span></font></div>
<div align="left"><br/>
</div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">Public trust: The failure to advertise the sale or inform the 
community makes the sale look like an under-the-table 
deal. Why were the administrators who made the decisions 
not sensitive to the necessity of building public trust? What 
measures are being taken to correct this insensitivity? </span></font></div>
<div align="left"><br/>
</div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">You finished your Vision2020 message with the quote 
&quot;That appearances are everything.&quot; This is patent 
nonsense. By that measure, a Representative who posted 
fluff about a serious issue to a discussion group would 
have accomplished &quot;everything.&quot;&#160; Far better that such a 
Representative exert himself to learn a few facts that 
would inform not only his constituents but also his own 
legislative decision-making. </span></font></div>
<div align="left"><br/>
</div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">Jim Wallis</span></font></div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">513 South Hayes</span></font></div>
<div align="left"><font face="Arial" size="3"><span style="font-size:12pt">Moscow</span></font></div>
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