Quote Originally Posted by Richard View Post
Who are the taxpaying American construction workers?

The contracts are held by Canadian companies.

The projected costs have gone up from 2.4 billion to 4.8 billion due to the low Canadian loony,when it is completed and the hand over clock starts ticking what determines Michigan’s tab and at who’s exchange rate.

One company had pulled out due to Canada’s misgivings because they were tied to the Chinese.But they are still listed as a contractor under Bridging North America,and they still have some unresolved fraud cases overseas.

Remember in the event of fraud,the contract becomes null and void.

City of Detroit permanently lost a tax base and federal road funding is guaranteed to the bridge company until Michigan pays off thier half 50 years down the road.

The traffic will be bypassed highway,so what residual trickle down benefits the city that gave up thier tax base?

Okay,a nice pretty new bridge,but it’s intent was never to benefit COD.

Over 30% of the projected revenue was based on truck traffic,so what are the projections now that the plants have closed and the manufacturing aspect no longer needs to be running parts to build cars to ship back over?

It still boils back down to if projections are not met,who covers the operating loss? It’s a 4.8 billion dollar speculative venture that if it goes south it’s going to tax an already stretched and taxed population.
If toll revenue projections are not met, 1 of 3 things could happen:
1- The tolling period is extended, as in, tolls are collected for additional years until the necessary revenue is reached.
2- Toll amounts are increased to generate more revenue. Yes there is an economic breaking point where if you increase the toll too high, no one drives across. But realistically even a $15 toll is not going to cause significant diversion, and I fully expect the initial toll to be less than $10.
3- If all else fails, the bond holders who bet on the bridge are out the money, and not the Michigan Taxpayer. Toll bridges are generally very safe bets, especially at key crossings like this one. It is a big part of the reason Matty Moroun is so rich.

Either way, it is a pretty safe bet by Canada. And yes Detroit doesn’t get any of the toll revenue, but then again, Detroit isn’t paying to build or maintain it either.