As a matter of simple fact, SPA8, the required service area of allcove Beach Cities, is 91% non-taxpayer, non-resident. Assuming that BCHD intends to honor its contract, then the value of the facility to the taxpayers of the District will be less than 10%. Unless the District taxpayers receive a fully compensatory rent on the building and site for 91% of the facility, it should not proceed.

Further, the funding agreement from the state requires continued use of the building for 30 years minimum. That will become a 100% liability of District taxpayers, while we gain only 9% of the benefit. This asymmetric risk renders this project unacceptable to taxpayers.

BCHD has failed to consider the fully compensatory value of the land and the potential outrageous cost of maintaining the facility and its operations for 30 years with no secured revenue source.