November 01, 2011
The Town Toyota Center debt crisis will come to a
head one month from today. The Public facilities district must repay or refinance $42 million in construction
loans by December 1st. Judge John Bridges ruled the city of Wenatchee cannot back those loans, and so far there
has been no clear solution.
As reported yesterday, the state treasurer’s office will
now step in and try to intervene, asking the legislature at its special session to loan the money needed to cover
the debt. Assistant State Treasurer Wolfgang Opitz will try to convince lawmakers that even though they are
meeting to cut more money out of the state's budget, the temporary loan is needed to stop the impending
A lot rides on the legislature’s decision. Defaulting on the TTC loans
would have negative ramifications not just for Wenatchee and the 8 other entities involved in the PFD, it could
have a chilling effect on civic projects and bond issuance across the state.
But the three
day window of opportunity for such a loan is very tight. Isaac Kaplan-Woolner spoke with Representative Mike
Armstrong to gauge his his optimism.
The legislature will convene for a special session