FAILURE BY BCHD TO ANALYZE ALLCOVE 30-YEAR OBLIGATION COST
StopBCHD.com is extremely concerned about the negligent actions of BCHD Board and Executive Management regarding the assumption of a 30 year obligation to continue the services operation of allcove and a corresponding 30 year obligation to operate the allcove building. Recapping, allcove Beach Cities is required by contract to service LA County SPA8, an area of 1.4M population. The District Resident-Taxpayers represent less than 9% of SPA8, yet, BCHD has accepted a 100% obligation for 30 years.
$175M POTENTIAL 30-YEAR DISTRICT RESIDENT-TAXAPAYER LIABILITY FOR ALLCOVE
Following careful analysis using sources such as BCHD, US Census, FRB of St. Louis, BOMA, and others, we have concluded that BCHD is shifting nearly $175M across the 30 years from District resident-taxpayers to the allcove operation and building. The categories of costs include:
Repayment of Building Upgrade Debt $ 25.0M (Source BCHD Bond)
Operation of the allcove Service $102.0M (Source BCHD forecast)
Operation of the allcove Building $ 9.7M (BOMA - LA)
Donated Rent on the Building Site at Beryl & Flagler $ 9.6M (Cain Bros psf Rent)
BCHD Executive and Staff Overheads $ 28.5M (BCHD Budget)
ALLCOVE DEBT EXCEEDS BCHD NET CAPITAL ASSET VALUE OF $31,644,525 BY 500%
2022-23 Financial statement of BCHD Pg 45/90
This is a existential threat to the District finances, as BCHD is now forced to pass the hat, rattle the tin cup, and beg for annual funding of roughly $5M per year in order to meeting its legal obligation without depriving District resident-taxpayers of services.
FAILURE BY BCHD TO ANALYZE ALLCOVE 30-YEAR OBLIGATION COST
StopBCHD.com is extremely concerned about the negligent actions of BCHD Board and Executive Management regarding the assumption of a 30 year obligation to continue the services operation of allcove and a corresponding 30 year obligation to operate the allcove building. Recapping, allcove Beach Cities is required by contract to service LA County SPA8, an area of 1.4M population. The District Resident-Taxpayers represent less than 9% of SPA8, yet, BCHD has accepted a 100% obligation for 30 years.
$175M POTENTIAL 30-YEAR DISTRICT RESIDENT-TAXAPAYER LIABILITY FOR ALLCOVE
Following careful analysis using sources such as BCHD, US Census, FRB of St. Louis, BOMA, and others, we have concluded that BCHD is shifting nearly $175M across the 30 years from District resident-taxpayers to the allcove operation and building. The categories of costs include:
Repayment of Building Upgrade Debt $ 25.0M (Source BCHD Bond)
Operation of the allcove Service $102.0M (Source BCHD forecast)
Operation of the allcove Building $ 9.7M (BOMA - LA)
Donated Rent on the Building Site at Beryl & Flagler $ 9.6M (Cain Bros psf Rent)
BCHD Executive and Staff Overheads $ 28.5M (BCHD Budget)
ALLCOVE DEBT EXCEEDS BCHD NET CAPITAL ASSET VALUE OF $31,644,525 BY 500%
2022-23 Financial statement of BCHD Pg 45/90
This is a existential threat to the District finances, as BCHD is now forced to pass the hat, rattle the tin cup, and beg for annual funding of roughly $5M per year in order to meeting its legal obligation without depriving District resident-taxpayers of services.