The mayor has been tooting his horn lately that the EC will operate in the black, he even mentioned it in his State of the City address yesterday.
Do I believe him?
I don’t think it is far-fetched, I think if we have enough private sponsorships subsidizing the operating costs, it is possible. But how much truth is in the word ‘black’. The Pavilion has tooted this horn in the past (without mentioning there entertainment tax subsidy and building maintenance CIP subsidy).
The same goes for the EC. While the EC may have their operating costs covered and probably even some bonuses for the facility manager, what about the bond payment taxpayers will be responsible for each year?
I think if there are any surpluses (profits) at the EC it should go directly towards the bond payment. DIRECTLY.
See, because if the EC does well and operates in the black, the facility manager will wallow in the financial bonuses BUT if it comes up short it will expect the taxpayers to bail it out.
So the mayor can talk ‘black’ all he wants, taxpayers will still have to pay the mortgage each year for the next 30 years (around $180 million) no matter how successful the operations are.