For 2301.
File this under single purpose local government financing:
Harris County taxpayers may have to inject up to $7 million a year into the Harris County-Houston Sports Authority for the next two years due to a financial crisis sparked by the souring of bonds used to build Minute Maid Park, Reliant Stadium and the Toyota Center.
Facing balloon payments on $117 million in variable-rate bonds, the authority now is obliged to pay off the debt in five years instead of 23 years. That would require $24 million a year — a figure that, together with more than $30 million in additional obligations, would push the authority to the brink of insolvency.
This appears to be a further consequence of the recent financial crisis.
For further info about the HCHSA, and related news and history:
- Official website.
- Sports authority ties could get sticky for Houston mayoral candidate Gene Locke
- Make Way for McLane
- Sports Afield
- "I Didn't Create This Mess ..."
