John Peacock called to suggest the City look into the federal bond program – Build American Bonds – for the Community Maritime Park. It does look feasible on the surface. We save up to two percent on the interest.
From Reuters:
“President Barack Obama’s multibillion-dollar plan to revive the U.S. economy seems to be breathing new life into the gasping municipal bond market, with two inaugural issues of debt created by the stimulus bill attracting strong demand from investors this week.
The American Recovery and Reinvestment Act included a new form of debt, Build America Bonds, or BABs, to repair infrastructure. The bonds’ unique structure, which includes an optional federal subsidy, aims to ease access to capital for strapped state and local governments and lower yields in the tax-exempt market.”
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