On 6/8/04 8:19 AM, "Victoria Heller" <[EMAIL PROTECTED]> wrote:

> According to the Minneapolis Comprehensive Financial Reports for 2002:
> 
> Total debt service in 2002 was $210 million, up from $137 million in 2001,
> an increase of $73 million, or 53% IN ONE YEAR!
 
http://www.ci.minneapolis.mn.us/financial-reports/cafr2002/p142debt_totalGen
Exp.pdf

OK - so I took a look at this table on debt service.

Vicky's right that debt service went up a lot from 2001 to 2002.

What I think she failed to notice was how those debt service payments break
down.

Out of the total of $137 million that was paid in 2001, $44 million went to
interest and $93 million went to principal.

Out of the total of $210 million that was paid in 2002, $48 million went to
interest and $162 million went to principal.

I believe that's known as "paying down the credit card" and it seems to me
that would be a good thing.

Mark Snyder
Windom Park


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