mikejs78
Well-Known Member
4. I've talked with another Florida attorney who verifies that the bond debt would go to Bay Lake and Lake Buena Vista as they are the controlling government entity.
I don't see how that's possible.
- They are two separately-incorporated cities and the bonds belong to the entity that controls those cities - the controlling entity, Reedy Creek, which is more like a county.
- If the legislature dissolved a county, the bonds of the county wouldn't be transferred to the cities in the county, that would be impossible. They would go to the state.
- Reedy Creek is more than just these two municipalities - it also consists of unincorporated RCID land, which has some of the infrastructure in question. So, how does the bond debt related to the unincorporated RCID land get divided with the incorporated land of LBV and BL? And how does bond debt that applied to elements of both cities get divided among the two cities along with the unincorporated aspects?
- The statute doesn't say "controlling government entity". It says "the dissolution of a special district government shall transfer the title to all property owned by the preexisting special district government to the local general-purpose government, which shall also assume all indebtedness of the preexisting special district." The local general-purpose government which Reedy Creek was part of was the the two counties, since not all of the assets of Reedy Creek fall within LBV and BL.
- I have heard one theory that states that because Reedy Creek strattles two counties, and that things like bonds can't be split, that they could essentially end up transferring to the state - don't know if there's any validity to that.
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