Fiscal 2023 DIF Account

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BallPark Digest: Worcester struggles under Polar Park debt

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When the city was working on a funding plan for the $160-million ballpark to back 30-year bonds, it turned to a familiar formula in the sports-venue world: Tap into increased revenues generated by anticipated development surrounding a new ballpark. Worcester officials argued the ballpark would pay for itself, based on the assumption the development would generate additional economic activity. Whether it be a TIF district or a special taxation district, it basically represents money that would not exist if it were not for the new ballpark.




Comments

David Z. said…
Congratulations Bill. No new posts in awhile but you had to make one of your final ones of 2022 about Polar Park and how the city financials are doomed! 😀

Happy New Year!
December 30, 2022 at 2:45 PM
Anonymous said…
The issue with the ballpark's financials is a simple one. Every dollar that is being used to pay the bonds is diverted from another use such as repairing roads (which are the worst I have seen in years), funding education or the laundry list of other services needed. If the WooSox were a good company which wishes to contribute to the Canal District and the City in large, they would pay real estate taxes on the building we built them, like the restaurants at Union Station and Major Taylor Blvd. This was sold as a project that would pay for itself, lets not forget that and hold the City to that promise.
December 31, 2022 at 7:24 AM
Anonymous said…
I forgot to wish a Happy New Year, my apologies.
December 31, 2022 at 7:27 AM
Anonymous said…
The talk of the two new projects is not fully true. The initial cove project was used in some of the discussion of payback previously off I remember correctly. Before it was reduced in size. And I would imagine, since the table talk property has been in the discussions since the beginning with Eminent Domain talks and such, it would be hard to imagine there was not some creative math used by Augustus somewhere to help justify the investment with project paybacks for associated development. Would love to see a transparent project analysis of it all from day 1. Estimates to current reality with deviation from the budget
December 31, 2022 at 4:20 PM
Anonymous said…
Do we have a schedule yet on when the airport work is expected to begin? I was reading proposals and did notice that runway 29/11 would have to be closed as well as the cross area of 15/33 when work begins but there can be some times where that other runway can be open. My guess would be the end of March because JetBlue changes it’s A320 schedule on 3/26 an hour back and leaves a window where 29/11 can be worked on (JetBlue’s E190s, Delta’s CRJ 700/900s, and American’s E175s all can land and take off on the 5,000ft runway which is 15/33 and I’ve seen them all do it except for delta take off from it).

Just a little thought because if the runway has to be closed, when do they expect the work to be done? There is a window between 7am and 3pm but that ruins American’s time if they don’t change their schedule. It’ll be interesting to see how flights potentially become affected by it.
December 31, 2022 at 11:15 PM
Anonymous said…
One other thing being generally ignored with the ballpark debt weight on the city: the city needs to take on new, regular borrowing that it does every year. The interest on those bonds are on the rise so the normal, non ballpark debt load will be greater, diverting more city revenue to just pay debt.

Make friends with your potholes and crumbling sidewalks and disintegrating sewer system .
January 1, 2023 at 7:14 AM
Anonymous said…
Why is it all articles quote this guy named Dunn who says that the City Assessor and Chief Financial Officer say the bonds will be paid from the increased revenues. Can't either one of these individuals speak for themselves? I am not a finance expert but if your not able to pay the bond payments current when the amounts are low how do you expect to pay them as they get larger, Ascending Debt previous post.
January 1, 2023 at 8:01 AM
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