A proposed $450 million bond package for new police and fire facilities could ultimately cost Miami taxpayers nearly $800 million and commit the city to future operating expenses that have yet to be quantified, according to internal documents obtained by the Spotlight.
The documents — a list of questions submitted by District 3 Commissioner Rolando Escalona and written responses prepared by City Manager James Reyes — were released to the Spotlight by Escalona as city officials seek support for a public-safety bond that could appear before voters later this year.
The responses reveal that while city leaders have focused publicly on the bond’s $450 million price tag, the total cost to taxpayers over the life of the debt is expected to be substantially higher.
Asked by Escalona for the “true cost of capital” associated with the borrowing, including principal, interest and issuance costs, Reyes responded that the total repayment cost is estimated at roughly $345 million more than the amount initially borrowed — a premium of more than75% over the bond’s face value…