Cowboys wanted a new stadium. Dallas refused to fund it. Arlingon, a suburb of Dallas between Dallas and Fort Worth, decided to foot the bill.
Recently however, the rate of return on their bonds increased due to the economy, and they had to refinance the bonds at a fixed rate, costing the city $2 million more, in addition to all the other money they are putting in.
Spectacular morons.
http://www.dallasnews.com/sharedcont...d.3dfbff2.html
Quote:
The city expected the bonds to be paid off by 2027 and cost the city $495 million, including interest. Due to higher than expected sales tax revenue, it is projected that the bonds now will be paid off by 2023 and cost $465 million. That assumes no further increase in sales tax revenue.
By doing nothing, Mr. Mosby said, the city's ultimate cost could range from $450 million to $550 million, depending on whether MBIA rebounds.
"The risk on the backside of doing nothing is just too big," he said.
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