Reply to Virginia is for Suckers: VA leg looking to spend $1B to lure Washington Commanders

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[quote=Anonymous][quote=Anonymous]Public finance PP here again. Since people don’t seem to grasp how public financed projects work:  the issuer (in this case the Virginia Football Stadium Authority) will issue government bonds for which the payment that is pledged will solely come from taxes generated and collected at the stadium (ticket sales, merchandise sales, rental sales, licensing sales, etc). Taxes will NOT be raised on Virginia residents to pay for these bonds. That’s not how it works. Public finance is the method of financing projects for the public good without raising taxes or diverting funds from a budget.

How is this for the public good? I suspect the argument is: jobs (in construction and then once built in performing its functions), entertainment for the public, good will for the state, and “if we build it they will come” sense that with the stadium will come supporting business and increased opportunities (hotels, retail, restaurants, etc).

Historically public finance has been heavily favored by democrats since people are trying to make this political.

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And what happens if tax revenues generated by the stadium are insufficient to cover the debt obligations?  Will the stadium authority default on its debt, or will taxpayers make up the difference?  You keep ignoring this question, and it’s really tedious.[/quote]

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