The Comprehensive Annual Financial Report for Walton County Florida section shows that the TDC ran a $4,241,463 dollar deficit last year.
Folks that is
4 million dollars
Folks that is
4 million dollars
TDC Runs A deficit - To Many Blue Signs ?
- Thread starter RebelRider
- Start date
-
Trouble logging in? Send us a message with your username and/or email address for help.
Since the budget must balance, where do they get these extra dollars? Do they come from programs used to feed the elderly, day care for the economically disadvantaged, free lunch programs? Or do they just go borrow the difference and try to make it up later?
They borrowed $2million on a line of credit and used reserves to cover the rest.
Their reveunues for 2007 were $14,397,110 and their expenses were $18,638,573 resulting in the $4,421,463 deficit. They borrowed an additional $2,000,000. and used reserves for the rest. Their reserves at the end of 2007 were $13,470,892. Some of those reserves are restrict and some are unrestricted.
Not a lot of wiggle room left.
Their reveunues for 2007 were $14,397,110 and their expenses were $18,638,573 resulting in the $4,421,463 deficit. They borrowed an additional $2,000,000. and used reserves for the rest. Their reserves at the end of 2007 were $13,470,892. Some of those reserves are restrict and some are unrestricted.
Not a lot of wiggle room left.
I just looked at the 2006 CAFR, which is online, and it appears that they ran a six million dollar deficit last year and went and borrowed 8 million dollars. I wonder how much total debt the TDC has undertaken at this point. Deficit spending at the local level like this is sort of scary. If people suddenly quit coming, who pays the bill?
Amen! A disaster about to happen. I sat in on a recent County meeting and there were a couple on the council who were already aware that this isn't fair to just dump on the next of kin and were calling for more responsibility. I haven't been here to know how things shook out in the latest elections to possible change this.
The TDC currently (end of 2007) had two outstanding notes payable.
Both to SunTrust Bank with interest rates of 5.0% and 3.94%
Note #1 = $8,000,000 - - outstanding balance $6,947,368 - quarterly payments due of $219,526 plus interest
Note 2 $2,000,000 - outstanding balance 0f $1,856,529 with quarterly paymenst of $71,736.
Summary:
Outstanding notes total $8,812,897
Annual Principal Payments Total $1.1 million per year plus interest.
Both to SunTrust Bank with interest rates of 5.0% and 3.94%
Note #1 = $8,000,000 - - outstanding balance $6,947,368 - quarterly payments due of $219,526 plus interest
Note 2 $2,000,000 - outstanding balance 0f $1,856,529 with quarterly paymenst of $71,736.
Summary:
Outstanding notes total $8,812,897
Annual Principal Payments Total $1.1 million per year plus interest.
Makes me glad I just leaped from Suntrust to Wachovia.
I did it due to location and my corporate headquarters in Miami uses Wachovia. Suntrust has been good to me otherwise. hope the debt doesn't hurt Suntrust.
I did it due to location and my corporate headquarters in Miami uses Wachovia. Suntrust has been good to me otherwise. hope the debt doesn't hurt Suntrust.
Why would it? The debt is like gold cause it is backed by the citizens of Walton County. If the TDC does not pay it, the rest of us will.
I guess they could raise the bed tax another 1%, higher prices always bring in more tourists.
Wonder how they structured that note. Ad valorem taxes could not be pledged without a referendum. I wonder what the bank took as collateral? Maybe they would consider moving to the building at 331 and 98. But isn't that scheduled for demolition and reconstruction as they start the four laning of 331? Wonder where that money is going to come from.
Didn't the TDC costs just make a significant jump from what I am seeing? I looked back at the EALs and it seems we are spending a lot more dollars with some companies this year than we have ever spent in the past.
They pledge Bed Tax receipts as collateral. They get paid first before the TDC gets anything, and yes they are a entity of the WC BCC and therefore you and I are also liable.
Spending has sharply risen in the past few years while the Bed Tax collections have declined when you factor out the 25% rise in the bedtax revenue since 2004. They raised the tax rate from 3% to 4% in 2004.
Spending has sharply risen in the past few years while the Bed Tax collections have declined when you factor out the 25% rise in the bedtax revenue since 2004. They raised the tax rate from 3% to 4% in 2004.
Last edited:
Certain portions or percentages are restricted. So the amount of dollars used to pay these notes has got to be declining. I wonder if the decision makers are really paying attention to this. Almost like a ship, slowly taking on water. Costs are increasing slowly, revenues falling slowly, and there is that debt shrinking ever so slowly. 5% on 8 mill a year is some significant dollars.