Marina Project, “more risk and debt”

The Marina District financing has become even more complicated with the blame being levied at the Toledo Public School System for not wanting to agree with the proposals that have been presented by the administration thus far. In reading today’s Blade questions come to mind on this. It’s been previously reported that the TPS share of the tax dollars with no abatement would be 25 million dollars over the course of 15 years. The article also seems to indicate that the previous documentation that Larry Dillin was to provide demonstrating he had the necessary financing in place will not be coming until prior to closing:
The funding strategy is complicated, the mayor admitted.
The city intends to issue $6.75 million in five-year notes with an interest rate starting at 2.5 percent annually and increasing to 4.5 percent by 2012.
The Finkbeiner administration is planning to shoulder more risk by issuing $8.71 million in 20-year general obligation bonds in 2012. That amount is expected to be sufficient to pay off the five-year notes and accrued interest.
(more…)