The Eight Hundred Thousand Dollar Man

Earlier this year, Massillon's Extraordinary Mayor for Life, King Francis the Eternal, Lord Sovereign of the City, had someone write a letter defending the amount of debt our Dear Leader had accrued for our city during his lengthy term in office.

The letter was written by Albert W. Erickson, III, Vice President for Public Finance of Fifth Third Bank, and was sent to us by one of our faithful readers. Mr. Erickson basically opined that things were great, and the city could take on more debt.

When referring to the city owned golf course, Mr. Erickson stated;

"The golf course debt is paid by fees from those who use the Legends Golf Course*. Only those individuals, including many who do not live in the City of Massillon, that use the facilities support the debt."

(Notice the asterisk)

* Occasionally the City does subsidize the golf course from the general fund

"Occasionally the City does subsidize the golf course from the general fund"

Occasionally means every year. And by the way Albert, the city uses Park dollars to subsidize it too.

It is clear that Mr. Erickson's letter on debt capacity was meant to be a tool for the mayor as he headed in to an election year. A tool for the mayor to use defensively.

And why would Albert Erickson write this document defending the city's over 23 million dollars of debt?

Perhaps because a good chunk of this debt was serviced by Fifth Third Bank, Albert Erickson's employer.

We will be getting back to Fifth Third Bank in a moment.

Frank and Joy Cicchinelli own a lovely home, with a golf course view, on Cyprus Drive SE, in the Perry Local School District.

The home and lot are valued by the county auditor at $229,900 dollars.

Seems reasonable.

Here's the catch.

On December 12, 2006, two mortgages are recorded with the county auditor.

One is for $249,900 dollars.

The second one is for $249,900 dollars.

Two separate loans, made on the same day, for the same amount.

Strangely enough, both were ever so slightly under the $250,000 dollar mark.

$499,800 dollars in loans on the same day for the same house.

Made by....

Fifth Third Bank.

In addition, the mayor has a $125,900 loan on another Massillon property, as well as another $201,300 loan on the house on Cyprus Drive.

$249,900
$249,900
$125,900
$201,300

Total loans = $827,000 of home loans.

$701,100 dollars of debt on a home appraised at $229,900 dollars.

According to our crack Massillon Review research team, the interest alone, if it were just 5% per year, on $827,000 dollars would be over $41,000 per year.

The interest alone.

Over $41,000 dollars per year.

For a mayor making less than $70,000 per year.

Before taxes.

No wonder he can't retire.