There's a good piece today on the background of North Minneapolis's
Concordia Care Center:

http://www.startribune.com/stories/462/4892246.html

In the story was this interesting nugget:

"Concordia, owned by Benchmark Healthcare of Minneapolis, has defaulted on
$2.8 million on revenue bonds issued by the city of Minneapolis to help
Benchmark buy the home in 1998. Benchmark is a unit of the nonprofit
Foundation for the Elderly, based in Arden, N.C.:

Can some city official (or finance person in the know) say whether city
taxpayers are on the hook for the default?

My semi-informed guess is no - revenue bonds are backed by the project's
revenue, not property taxes (those would be general-obligation bonds). So
the bondholders are out of luck, not the taxpayers. I think.

But more informed folks, please weigh in.

David Brauer
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