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Vadnais Heights Breaks Pledge in Downgrade Debacle: Muni Credit

A $25 million sports complex that wasn’t supposed to cost taxpayers money has left a Minneapolis suburb on the hook for about a third of its annual budget and with a credit rating 12 levels lower than it was in July.

Vadnais Heights, a city of 12,453, sold bonds through its economic-development authority to finance a 200,000-square-foot (18,600-square-meter) sports center in 2010 with amenities such as ice rinks and soccer fields. It joins localities across the U.S. that have seen their credit ratings cut after failed bets on sports and industrial projects intended to spur growth.