People and the news media are starting to question the proposal that Dick Barker, city’s finance director, quickly presented to the Pensacola City Council at its workshop meeting last week.
As I understand, Barker wants to use short-term loans to finance the CMP while the municipal bond market settles down. I’ve received the details, but the spreadsheet had significant increase in the total cash outlay for the debt – primarily the short-term debt payments would be interest only.
The Pensacola City Council has yet to review the Barker plan and vote on it. However, it should be understood by all the the City has an obligation to provide $40 million for the park construction. It was approved by city-wide referendum and the City signed an agreement with the CMPA.
Barker and others have drug their feet on the financing. Bonds could have been sold in 2006, 2007 or 2008. Last summer, the City Council approved various financing options, but the city staff delayed action.