Good Morning,

That is a good point.  The City of Minneapolis spending $7 million up front
doesn't seem bad.  My question is, who's butts are on the line for the
bonds?  If the projected income to cover these bonds falls short, who is
responsible for the shortfall?  Or will they be the type of bonds that the
investors take the hit on any shortfalls?  Those bonds are not being issues
by the Twins, those bonds are being issued by some public institution.  I'd
like to know more about them.  For example, in regards to the car rental tax
bonds, why is that being used for a public stadium?  Surely the lions share
of that tax revenue is derived from car rentals at the airport.  Shouldn't
the majority of it be put back into airport related projects such as sound
proofing properties around MSP?

In general, my issue with the public financing is the Twins, the group that
will directly benefit the most from a new stadium is only coughing up 1/4th
of the cost.  What will the public get for it's investment?  Over $5billion
in public dollars has been put into stadiums and arenas around the US since
1992.  I have yet to see a long term studies showing the public gets a fair
ROI (return on investment) for coughing up all that capital.  And to me that
is the difference between financing a new stadium and the public money that
has gone into other projects such as the Target HQ, the NWA loans in the
early 90s, redeveloping the old Sears warehouse on Lake Street, and other
projects such as these.  We can point directly at the number of jobs that
the Target HQ brought.  We can put some firm numbers on the value of NWA at
MSP to the state of Minnesota in terms of jobs and commerce.  But where are
the numbers for the stadiums?  

I feel the city is better served holding onto it's $7 million dollars to put
into other uses within the city.  The city would be better server using that
money to get Accenture to move their new ex-Best Buy employees downtown or
keeping the next Lawson Software to stay in located in the city.  

Allen Graetz
Prospect Park




-----Original Message-----
From: [EMAIL PROTECTED] [mailto:[EMAIL PROTECTED] On Behalf
Of Barbara Lickness
Sent: Wednesday, April 14, 2004 5:27 PM
To: Leurquin, Ronald; Jim Bernstein; [EMAIL PROTECTED]
Subject: RE: [Mpls] RE: Misplaced Minneapolis Bonding Priorities

The only Minneapolis Twins Stadium proposal I have
seen is the one from MNTwinsville,Inc. The finances
are laid out as follows:

Costs:

Ball Park - $332,255,000
Roof - $104,821,000
Infrastructure and Site - $57,008,000
Cost of Issue: (Temporary Financing) - $1,110,000
Contingency - $36,106,000

TOTAL COST - $531,300,000

Funding Version A:

Minnesota Twins Contribution - $120,000,000
City of Minneapolis - $7,000,000
Met. Sports Commission - $6,000,000
Permanent Seat Licenses (PSL's) $11,000,000
Seller financing on land $13,000,000
TAD Parking Revenue Bonds - $24,000,000
Car Rental Revenue Bonds - $118,000,000
Alcohol Revenue Bonds - $232,300,000

TOTAL SOURCE - $531,300,000

Funding Version B:

Minnesota Twins Contribution - $120,000,000
City of Minneapolis - $7,000,000
Met. Sports Commission - $6,000,000
Permanent Seat Licenses (PSL's) $11,000,000
Seller financing on land - $13,000,000
TAD Parking Revenue Bonds - $24,000,000
Car Rental Revenue Bonds - $105,000,000
Alcohol Revenue Bonds - $105,300,000
Hospitality Revenue Bonds - $127,000,000

TOTAL SOURCE - $531,300,000

So, those of you who are espouse public ownership of
this team and stadium care to tell us where the
additional $524M is going to come from to build it?
How about on-going operating and maintenance costs? 

The above plans only takes a direct to hit to the
city's budget for 1.5% of the costs. 

Barb Lickness
Whittier




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