Coral Gables’ Renaissance Debt Is Not Free

Both the city manager and the city commissioner have bought into the silly idea that the new “Renaissance Debt” is free.   The taxpayers will surely pay for the new debt because that $2 million will have to be paid for by someone,  the money has to come from somewhere and the money could be used for other purposes, including reduce taxes.  Taxpayers will be losing a tax cut with by this debt.

Property tax appraisals are surely going down so it is likely that we will get another Kerdyk Tax (the rollback rate that keeps the property tax revenues the same–the millage rate that Mr. Kerdyk loves to approve).

In other words property tax revenues will probably have to be maintained, the Biltmore lease problem solved (unlikely), or salaries and benefits reduced (also not likely).

Taxpayers will be paying nearly $2 million for twenty years for the debt.

Why not use the “free”  $2 million to cut taxes?

About Stephen E. McGaughey
International consultant in economic development programs and projects

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