What is the impact to city taxpayers when Brookstown Development Partners (BDP) does not make the loan payments?

Bank of America advises that the team's management company, Mandalay is one of the best in the country. When you look at the current attendance of over 400,000 in Greensboro, and the fact that the Dash has sold more sponsorships and pre-season ticket packages than Greensboro did in its first year, it is likely that the team will be able to pay the lease to the city. We have actually reviewed signed sponsorships that total over $2.5 million and a signed multi-million dollar naming rights contract.

We have stressed a very detailed pro forma on the team operations to ensure that there will be funds available to cover our loan. The banks have reviewed all of this information with us. Unfortunately, because of the credit freeze their rules will not allow them to loan more than $15 million directly. If the projections are totally wrong and the team cannot meet the obligations, in the worst case scenario, the city would have to fund the $800,000 annual debt service payment.

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1. Does this agreement raise city taxes?
2. Does it anticipate subsidizing the baseball team with tax revenues?
3. Does it put any public money in the pockets of Mr. Prim or the other private investors in the project?
4. Does it permit those investors to make any profit from the project during any year, unless the city's obligations are paid first?
5. What does the city get in return for its $12.7 million investment?
6. What will be used to pay the principal and interest payments on the city loan?
7. What indications do we have that those revenues will be adequate to cover all obligations?
8. What other security will the city have to protect its interests?
9. What guarantees will the city have of timely completion of stadium construction, and responsible use of our loaned funds in that completion?
10. What ongoing monitoring will the city have of team finances after completion of the stadium?
11. At what point did the city turn over the $12 million to Mr. Prim? Please tell the public what happened and why there was an absence of standard lending practices?
12. Will there be traditional safe-guards for disbursing the money or does BDP simply get a $12.7 million check?
13. Why would foreclosure cost the city more than $12.7 million to complete the stadium?
14. Is the stadium being built on land that has not been bought, and who has title to the land?
15. Why would the city "give" $2 million to BDP? Is this legal? I know that it may or may not be a federal grant (still tax dollars)? What happens to the original project?
16. Has construction progressed too far to scale back the "upgrades"?
17. Is the amount owed for existing work $10 million or $475,000?
18. Why would the city purchase Phase II Land before the stadium proves itself?
19. What does Mr. Prim have in the project?
20. Will the city verify through legal documents that Mr. Filipowski's interests have been satisfied and he is clearly and completely out of the picture?
21. What is the impact to city taxpayers when Brookstown Development Partners (BDP) does not make the loan payments?
22. Please specify who the 'outside consultants' are and how they were funded; o these consultants have any connection to the developers?
23. When will the funding of this stadium cease?
24. Will the city be able to utilize the stadium as a multi-purpose arena and hold concerts or similar events there?
25. Why is there no legal contract between the city and the developer regarding these loans?
26. When will the stadium be ready?
27. What happens if the franchise relocates the baseball team outside the city or sell the team?
28. Why can’t Mr. Prim use funds from the $340 million sale of Blue Rhino to finish the ballpark?