Here's a quick financial note that better explains how Kansas City is going broke in order to pay for the P&L District.
Even better . . .
IT LOOKS LIKE KANSAS CITY WILL BE TAKING ON MORE P&L DISTRICT BOND LENDING FOR A PARTY THAT HAS YET TO PAY OFF!!!
Here's the damage:
"City Finance Director Randy Landes said the administration is proposing to issue $29.7 million in new KC Live bonds this spring. Doing that and restructuring the maturities for the existing 2005 and 2011 series, he said, will allow the city to reduce the 2014-15 general fund transfer for KC Live debt service to $8.2 million from $14.3 million in the current fiscal year.
"Like refinancing your house," Landes said, the savings will come at the cost of a longer repayment term — ending in 2040 instead of 2033.
"Without the new bonds and restructuring, he said, the subsidy during the next fiscal year would top $15 million."
In other words, this pricey party won't stop any time soon as Kansas City's finances continue to grow worse and none of the big promises of a "Downtown Renaissance" pan out.
Developing . . .
Throwing sand down a rat hole. What did you expect from James? Well??
ReplyDeleteFollowing on the home mortgage analogy:
ReplyDeleteCK you're underwater!! Your P&L District is worth less than your loan, you're spinning your wheels going nowhere. Better look into doing what big business does all the time....default, walk away, ring-fence your bad loans away from your assets!
This should be used as an example of why CK should be extremely reluctant in the future to go on the hook for a developers plan. If it's not economically feasible to do private financing, then the project shouldn't be done.
In this case, the city is sweeping the problem under the carpet, willing to let some future administration deal with it. Meanwhile, they're going to ask you to raise your taxes again for more things like streetcars.
So anyway, how's about them Chiefs! Did you hear about the new waterslide in Kansas? Hey, Cerner is building a new facility (tax payer subsidized) in South Kansas city on top of the bannister mall cemetary!
ReplyDeletePlease ignore that man behind the curtain.
KC is screwed financially. That's not a good look for any city looking to attract more residents. Really. We need to rethink our strategy about economic development.
ReplyDeleteDidn't Detroit try the same thing?
Bond payments until just 2040?
ReplyDeleteWhy that's just around the corner and by then CK will have restructured its streetcar bond payments so that they'll be running through at least 2055.
And the streetcars will be ignored, not maintained just like everything else in CK, and up on blocks.
And the new council will be off chasing some brand new bright shiny thing from the urban futurist gang.
Maybe the new thing will be that we really should all be living on farms in the country. Better ask the next generation.
All aboard!
This is all the result of hipster wannabes trying to make KC into something it's not. It has always been a cowtown steeped in agriculture, albeit a successful and lucrative one. There's nothing wrong with that. KC has always had a lot of "culture" for a cowtown. However, it has never been and never will be a Chicago, Boston or other large city. P&L is the first disaster, and the toy train will be the second. You have too many people in power that are throwing money into the wind.
ReplyDeleteKC = Detroit
ReplyDeleteCordish specializes in convincing local leadership around the country that if they give him taxpayer money he'll build something that will make money.
ReplyDeleteObviously leadership hasn't learned anything
Instead of trying attract new citizens, KC had better pay attention to the ones they have. The exodus from this shithole will begin to pick up steam before too much longer. Who the fuck wants to live in Detroit???
ReplyDelete2:46 = WISE!
ReplyDeleteRelax in a few years CK will be so cutting edge tourists around the world will be setting aside their plans to visit New York, Paris, Montreal, London, Hong Kong to ride the toy train down to Stretches joint. Then back up to Hamburger Marys for a Five Star Restaurant experience. Then up to The Plaza to see Flush Creek.
ReplyDeleteDon't forget Google Fiber. Tourists can come and admire the technological innovation of wires hanging on telephone poles.
ReplyDeleteSo...just like Kemper, we'll be paying off the bonds long after the building itself doesn't even exist (or at least isn't in use). Fantastic.
ReplyDeleteP&L....just another location ruined by niggers.
ReplyDelete4:29 = Nice & Truthy!
ReplyDeleteBut, but, but the bonds were used to replace infrastructure and sewers and sidewalks and streets and build public parking garages (THE ONLY THING THAT MATTERS!!!!!!).
ReplyDeleteIsn't that what bonds are for?
Fucking rubes.
DID anybody write CK yet?????????
ReplyDeleteThey should, cause is sooooo funayyyyy!!!!!!!!!!!
hahahahahah
KC is nothing like Detroit, you fucking bunch of dolts.
ReplyDeleteKC is more like Minneapolis, Cincinnati, or Omaha. Its very, very sound financially, but since facts don't matter when your boviating on the internet, carry on.
Man, I hope we vote down a real transit system so we don't have to wind up like horrible disasters like Minneapolis and Denver, and we can be more like wild success stories like OKC, and Topeka!!!!!
ReplyDeleteCause if there's one thing for sure, its that the private automobile is the wave of the future, and it totally free and doesn't require any money and only 20 somethings care about hipster fad like building cities the way they were built for thousands of years.
Shockingly, none of the suburbanite dick suckers on this blog mention the wild amounts of public debt propping up the suburbs here and elsewhere.
ReplyDeleteMore like Oakland Birmingham Memphis Cleveland. Wanna bees who are going to spend money they don't have and fall further behind
ReplyDeleteThe chinese are coming!
ReplyDelete9:16 +1
ReplyDeleteOakland Birmingham Memphis Cleveland >>>> Overland Park, Lenexa, KC North, Blue Springs
ReplyDeletedamn damn damn damn!!!! WE KNEW THIS WAS COMING. WE KNEW THE p&l WAS ALL VAPORWARE. fuck KAY BARNES AND Cindy Circo THE TROJAN horse THEY RODE IN ON!!!!!!
ReplyDelete