Good to see this cowtown conducting its own Wall Street Bailout:
Kansas City's Finance and Audit Committee recommended a restructuring of almost $180 million in variable-rate bonds issued for the Power and Light District project.Again, the cost for this maneuver will be millions . . . However, discriminatory dress code policies and all kinds of government subsidized cannibalization of Kansas City's Entertainment market is PRICELESS!!!
The bonds will still pay a variable rate, but they'll be backed by a letter of credit from J.P. Morgan Chase.
By the way, how's that Renaissance coming? Will the last person that can afford a $9 P&L District beer please turn off the lights.
Price discrimination is so much more pleasing to me.
ReplyDeleteso, in other words, you couldn\'t have been more wrong when you said they\'d never be able to refinance the bonds.
ReplyDeletethat link doesn't go anywhere.
ReplyDeleteSee, Tony I would have called this a Kansas City economic stimulus.
ReplyDeleteAll things considered this is not a bad deal for KC. I don't like the amount of debt this town is carrying but what's done is done. This was really the only option available. No matter how much you would like it Tony, they weren't going to shut down the place and I think this move secures the debt and buys us some time.
Even cynics like yourself have to admit that there's a possibility that the economy just might improve.
Cauthen hired the underqualified Deb Hinsvark and L.T and they cooked up this disaster of a financing scheme which was then blessed by Chuck Eddy who was chair of the Finance Committee.
ReplyDeleteHinsvark and L.T. were thrown under the bus, but Cauthen and Eddy are still on the taxpayer teat having the last laugh.
Put simply . . . Kansas City can't refinance these bonds if the tax exemption status isn't there . . .
ReplyDeleteLooks like you were wrong. Imagine that.
Looks like you've been reading TKC for the past 3 months.
ReplyDeleteTony Botello is not afraid to write the real news on Kansas City's finances.
ReplyDeleteHe said this city was in financial crisis, he was right along with most of his sources.