Watershed in Marlins giveaway: How high will bill soar?
Categories: Front Page, In The News
hiWeek of June 25, 2009
At a watershed for the taxpayer bailout of Florida Marlins owners, the county will learn Tuesday how much interest we’d pay to bond a $645 million stadium and decide whether to move ahead. A high rate would push the bill far past $2 billion.
Setting the stage to potentially exceed the 7.5% interest ceiling that commissioners have set or find other financing, Mayor Carlos Alvarez asked them Friday to be flexible.
That’s fine for him — he won’t be in office when 40-year bonds are paid off. The fattest balloon payment comes the final year: $75 million in principal alone, more than 18% of the total bond issue.
It’s like paying a $500,000 home mortgage at ever-increasing levels, leading up to a final bulge of $90,000 plus interest that could wipe out a homeowner who hadn’t saved enough cash. No intelligent buyer would sign that deal.
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