Part of the city’s problem with issuing the $69 million in certificates of obligation is that the debt would place the city over prior council’s mandated limit of 30 cents per hundred dollars of real estate valuation.
The $69 million would put them at 30.4 cents or so depending upon what issuing the bonds really costs.
Their solution is to raise the rate to 35 cents.
In fact once they do that they figure then can issue another $200 million in debt.
This slide was part of yesterday’s presentation:
We are surprised they did not ask for 40 cents.
We deserve better