The latest news is that the final number looks like the CCA is short by
$1,344,419. This will raise the taxpayer's total amount to at least
$3,344,419. The CCA has indicated that they will ask for a loan from the
Township to bridge the difference. My concern is that there are no
assets within the CCA to repay the loan. They are not legally
accountable for repayment. If they go out of business, there is no way
to recover any money. In addition, a loan of this amount would require a
repayment over 10 years at 1% interest of $17,170 per month. For 20
years, the amount is still $12,544 per month. I don't see that this
operation can generate anywhere near enough cash flow to cover this
payment. The other issue is collateral for the loan. The only thing that
can be used is the building itself, but the building is already owned by
the Township. Therefore, if the loan is not repaid, the township cannot
repossess a building that it already owns.