Letter: Mitchel Field deal hurts taxpayers
One of the properties at Mitchel Field for which Nassau County sought upfront money in exchange for 30 years of lease payments by tenants (2010) Credit: Newsday/Danielle Finkelstein
To fulfill his campaign promise to eliminate the home heating tax, Nassau Executive Edward Mangano has done something even worse . To make up for the lost revenue, Mangano entered into a transaction to sell 30 years of Mitchel Field leases, totaling $114 million, for a fire-sale price of $37.5 million. The 2.5 percent home heating tax was bringing in about the same amount of annual revenue.
Astonishingly, even though the transaction effectively borrows money at a rate of 9.5 percent, the Nassau Interim Finance Authority blessed the transaction in a 5-2 vote. I applaud board member George Marlin for being one of two who voted against the transaction, calling it a "sweetheart deal."
A pledge to give Nassau County residents a tax cut that is fulfilled by borrowing at a rate of 9.5 percent is an egregious and dishonest way to keep a campaign promise and should be noted by voters.
Ray Xerri, Oceanside
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