Big debt, big questions | Durham County | Indy Week
Pin It

Big debt, big questions 

The breakdown on the Durham Performing Arts Center

What is the total project cost?
An estimated $46.8 million.

What does the city owe?
With interest, an estimated $67.8 million.

How will the city pay for DPAC?
Durham has borrowed $33.7 million in the form of certificates of participation, privately invested bonds. The city will repay this debt with a budgeted annual installment of $2.5 million, for the next 28 years.

What are the funding sources for the annual $2.5 million payments?

  • Hotel occupancy tax: $1.4 million
  • Naming rights: $800,000
  • Facility fee: $100,000 ($1-$1.50 per ticket)
  • Parking revenues: $100,000
  • Downtown fund: $100,000
  • What other costs are involved?
    In addition, the city owes more money to the construction company, Skanska USA Building. The funding sources and amounts are as follows:

  • $1.96 million construction fund interest earnings
  • $2.75 million occupancy tax proceeds collected before construction
  • $5.5 million Duke University contribution to DPAC
  • $570,000 real estate earnings from sale of former Durham Area Transit Authority site (DPAC location)
  • $100,000 operator funding
  • $248,000 pre-design funding
  • $2 million other sources**
  • ** Additional contribution from Duke University, not specifically for theater, but chosen by city to go toward project.

    Source: City of Durham

    • The breakdown on the Durham Performing Arts Center

    Comments

    Subscribe to this thread:

    Add a comment

    INDY Week publishes all kinds of comments, but we don't publish everything.

    • Comments that are not contributing to the conversation will be removed.
    • Comments that include ad hominem attacks will also be removed.
    • Please do not copy and paste the full text of a press release.

    Permitted HTML:
    • To create paragraphs in your comment, type <p> at the start of a paragraph and </p> at the end of each paragraph.
    • To create bold text, type <b>bolded text</b> (please note the closing tag, </b>).
    • To create italicized text, type <i>italicized text</i> (please note the closing tag, </i>).
    • Proper web addresses will automatically become links.

    Latest in Durham County



    Twitter Activity

    Most Recent Comments

    Somebody has blocked a car in front of your driveway. You dont know what to do then call Xtreme Towing …

    by noel on Free parking is expensive (Durham County)

    Among NC's wealthiest counties, ranked by per capita income, Orange is the richest, Wake is #2, and Durham is #8. …

    by McCleary on The Legislature’s New Sales-Tax Plan Is Going to Cost Durham Big (Durham County)

    Punishment for Durham's votes and support of lgbtq citizens?

    by J.P. McPickleshitter on The Legislature’s New Sales-Tax Plan Is Going to Cost Durham Big (Durham County)

    When I hear the echo chamber justification for exchanging free parking for metered spaces, "something virtually every fast-growing city eventually …

    by DR B on Durham’s New Parking Meters Are Confusing. We’re Here to Help. (Durham County)

    Light rail is a fun idea, but definitely not cost effective to build, maintain or use. The upcoming infrastructure spending …

    by alberthall on Donald Trump Promised Big Bucks for Infrastructure. Could That Save Light Rail? (Durham County)

    Comments

    Somebody has blocked a car in front of your driveway. You dont know what to do then call Xtreme Towing …

    by noel on Free parking is expensive (Durham County)

    Among NC's wealthiest counties, ranked by per capita income, Orange is the richest, Wake is #2, and Durham is #8. …

    by McCleary on The Legislature’s New Sales-Tax Plan Is Going to Cost Durham Big (Durham County)

    Most Read

    No recently-read stories.

    Visit the archives…

    © 2017 Indy Week • 201 W. Main St., Suite 101, Durham, NC 27701 • phone 919-286-1972 • fax 919-286-4274
    RSS Feeds | Powered by Foundation