Can Creationist Junk Bonds Keep the Noah's Ark Theme Park Afloat?

More than a week has passed since Bill Nye’s evolution smackdown against creationist swami Ken Ham, and so far, there’s been no major outbreak of culture war, and no bloody battles for the spiritual soul of America. Of course, this outcome was expected. The Nye vs. Ham superdebate was first and foremost a PR stunt, a media spectacle between a 90s era “Science Guy” last seen on "Dancing With The Stars" and a Young Earth evangelist whose $35 million Creation Museum imagines humans walking dinosaurs on leashes.

For Ham, the publicity was especially important. Attendance at the Creation Museum has been steadily declining every year since its opening, and Ham’s latest boondoggle—a Biblical theme park featuring a life-size replica of Noah’s Ark called Ark Encounter—could face financial collapse if investors fail to purchase $29 million in unrated municipal bonds before construction is set to begin next month.

The Creation Museum and its affiliates have vigorously denied any link between the evolution debate and the Ark Encounter theme park’s financial difficulties. But the timing is interesting. After three years of silence on how he planned to fund the theme park, Ham announced last fall that the project would be paid for through the sale of $62 million in unrated municipal bonds.

As of January, though, investors had purchased just $26.5 million, according to Bloomberg. To avoid triggering a redemption of all the bonds, investors needed to purchase about $29 million more by February 6—two days after the Nye debate.

Basically, Ham is hawking Creationist junk bonds—a fact that he has tried to mask with fire-and-brimstone evangelism and apocalyptic warnings about the “immense spiritual battle” for America. In a fundraising letter sent last month, Ham suggested that the project is being sabotaged by secularists and asked believers to “step out in faith” to support the project.

"From atheists attempting to register for the bond offering and disrupting it, to secular bloggers and reporters writing very misleading and inaccurate articles about the bonds, to brokerage firms saying 'yes,' but after reading these incorrect reports saying 'no' in allowing the Ark bonds into their client accounts—the obstacles were numerous and disruptive," Ham wrote. "Frankly, it has been an extremely stressful and frustrating time for all of us."

Like the rest of Ham’s projects, the Ark Encounter promises to be a hands-on Biblical fantasy, combining spectacularly cheesy Old Testament gimmickery with warped sophism and heady apocalyptic vibes. The main attraction is obviously the replica of Noah’s Ark—built to the biblical dimensions laid out in the Book of Genesis, naturally—which will also include a petting zoo and an aviary.

A “Special Effects Lake” will “mimic the explosion from the depths of the earth, which triggered a worldwide flood” and promises to be a real “crowd-pleaser,” according to bond offering documents prepared for potential investors, which were obtained by Motherboard. Later phases of the project include a a “Ten Plagues Ride” and a 100-foot replica of the Tower of Babel. As with the Creation Museum, all of this hands-on Bible fun will be intertwined with ominous warnings about America’s cultural deterioration, fulfilling the dual purpose of entertaining visitors and ushering in a final era of God’s judgment.

Underneath all of this Biblical interpretation, though, buying Ham’s Ark Encounter bonds is a high-risk proposition. The offering lists 39 potential risks to investors, including the possibility that animals in the petting zoo could contract infectious diseases, potential lawsuits by civil liberties and animal rights activists, and the fact that the bond relies almost completely on a competent, good-faith effort by Answers in Genesis. Ultimately, the park “may never achieve positive cash flow,” which the documents note could lead to a default on the bonds.

Most alarmingly, the bonds are not rated by a ratings agency—an indication that they are extremely risky. AiG has no obligation to pay the bonds, which means that the park will have to be up and running before investors see any returns. And if the project collapses, bond buyers risk losing their entire investment.

In an email to Motherboard, a spokesperson for Answers in Genesis, the Christian nonprofit that oversees Ham’s endeavors, said that the timing was “totally coincidental.” Ham himself shot down any connection to the bond sale during a pre-debate press conference last week, storming out of the room when reporters raised questions about fundraising for the Ark Encounter.

Even if the debate was designed to boost AiG’s bond sale, it is not clear if it worked. A week after the deadline, Ham and his organization still wouldn't say whether they were able to meet their goal. In calls and emails with Motherboard, several executives at AiG declined to comment on the results of the sale. Calls to the underwriter of the bonds, Ross Sinclaire & Associates, have gone unanswered, and the bond issue doesn’t appear to be listed on the firm’s website.

@grace_lightning