The time has come for all good men to rise above principle. ~ Huey Long
mmm?
This thing reads like a screenplay for a movie about graft and corruption and most certainly those who find themselves at odds with abusive government.
But it’s reading is unfortunately a very real series of events unfolding in Northern Michigan that threatens 150 employees, and a 65 year old family owned business. Playing out in a way that at first glance may have its tale told in full.
Shepler’s Ferryboat service is under attack.
In July, rumors of Mackinac Island proposing a single franchise agreement down from three began circulating in the straights area. Then, a rumor of a merger of Star Line and Arnold Transit came out. Even as the GM of star line Mike North was denying this, it seems it was a done deal. Reportedly, attorney Jim Wynn, by then owner of Arnold line, had already penned a deal for a $21 Million short term loan to facilitate the buyout and ownership of the two as a single entity to be called the Northern Ferry Company.
Such a purchase requires a solid revenue stream to pay back.
One that ‘competition’ only makes more questionable.
A single franchise, (more commonly known as a monopoly) given by the Island council would protect such an investment. It would allow money saving measures such as reducing the number of trips to the island for cost savings by having fuller boats, reduced advertising and potentially higher fares. (thought Wynn has said they would not be) A single service according to Wynn, would result in the Island receiving a higher revenue from the single franchisee than they do currently. According to the Petoskey News, Wynn’s attorney Erik Stone points out:
“It’s not a monopoly any more than having a single cable company or electric company isn’t a monopoly,” Stone said. “What Jim is proposing is significantly better service and a much higher percentage of franchise fees to the city.”
At a Mackinac Island City Council meeting on Wednesday, Oct. 20, Wynn told the city council that if Northern Ferry Company was granted the sole franchise, he would be able to lower ticket prices, increase freight service and offer service year-round. He also offered an increase in the franchise fee to the city.
Currently, the city collects about $300,000 a year from the three ferry companies combined. Wynn proposed his new company would offer a minimum of $1.2 million to the city annually.
Its not a monopoly and the city will get more money because of lower ticket prices. ..
Something has to give right?
As the City has indicated it might only franchise Northern ferry ALREADY.. Perhaps it has already been the moral compass of a couple of Mackinac Island commissioners?
Two of the commissioners have direct ties to the new Northern Ferry Company. One of the council members, Alderman Mike Hart works FOR Northern. He apparently runs the freight department the same freight department that has exclusive 24-7 license to service the island. For eight years, Sheplers has been operating under an agreement that they cannot run freight past 1030AM. Sheplers BTW apparently OWNS their dock.
Alderman Sam Barnwell employs Jim Wynn as family attorney (his business ) and is the owner of the Iriquois Hotel on Mackinac Island.
Both of these men weighing in on the PURCHASE of UTP property on Mackinac island BY the city. UTP harbor property OWNED by Mr Wynn.
How convenient.
Lets see.. to recap..
- Family run company which employs 150 and has been around for 65 years finds livelihood threatened by government ‘new rule’.
- Government imposed monopoly promises benefits operation which is owned by Jim Wynn
- Wynn has big bills to Pay
- Wynn EMPLOYS One of the government ‘deciders’
- Wynn is Employed BY one of the ‘deciders’
- Wynn is selling harbor property to the city entity which also has those ‘deciders’ weighing in on the purchase.
- 34 year veteran Mayor Margaret Doud oblivious, to what to some, might seem obvious.. Somewhat MIA?
This story is only developing… Stay tuned.
UPDATE – !! – Reader Writes:
Jason – one more for you – Dennis Cawthorn of Kelley and Cawthorn, public advisor and lobbyists in Lansing. Dennis Cawthorn is vice-chair and Frank Kelley is chair of Mackinac Island State Park. Cawthorn is also a large property owner on the Island. Cawthorn is also the advisor and lobbyist for Wynn, listed in Northern Ferry Proposal as primary advisor to Northern Ferry.
correction – In a previous version of this article I had mistakenly named Mike North the OWNER of the star Line. He was the General Manager.
correction – A link through to a Petoskey news article was incorrectly labeled “Detroit News” and has been corrected
