HomeMy WebLinkAbout12174RESOLUTION NO. 12174
A RESOLUTION AUTHORIZING THE SUBMISSION OF AN
APPLICATION TO THE COLORADO OFFICE OF
ECONOMIC DEVELOPMENT FOR APPROVAL OF A
REGIONAL TOURISM PROJECT WITHIN THE CITY OF
PUEBLO
WHEREAS, local governments may apply to the Colorado Office of Economic
Development for approval of a regional tourism project, as provided in the Colorado
Regional Tourism Act, Part 3 of Article 46, Title 24, Colo. Rev. Statutes; and
WHEREAS, the Urban Renewal Authority of Pueblo, working in conjunction with
the Chamber of Commerce, the Pueblo Economic Development Corporation, the
Historic Arkansas Riverwalk of Pueblo, Pueblo County, local businesses, community
leaders, and volunteers, has drafted an application for a project for submission by the
City of Pueblo, and seeks Council's authorization to submit such application to the
Office of Economic Development on the City's behalf; and
WHEREAS, the Council hereby finds that, if approved, the application would
significantly increases out-of-state tourism to the Pueblo area, and would allow the
development of unique projects not otherwise financially feasible but for the use of the
new state sales tax revenue. NOW, THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF PUEBLO, that:
SECTION 1.
The Urban Renewal Authority of Pueblo is hereby authorized to prepare and
submit on behalf of the City of Pueblo an application for a regional tourism project, in
substantially the form on file in the office of the City Clerk, to the Colorado Office of
Economic Development.
INTRODUCED June 13, 2011
BY: Judy Weaver
COUNCILPERSON
Background Paper for Proposed
RESOLUTION
# M-9
DATE:AGENDA ITEM
June 13, 2011
DEPARTMENT:
Urban Renewal Authority of Pueblo, Colorado
John Batey, Executive Director
Law Department
Thomas J. Florczak, City Attorney
TITLE
A RESOLUTION AUTHORIZING THE SUBMISSION OF AN APPLICATION TO THE
COLORADO OFFICE OF ECONOMIC DEVELOPMENT FOR APPROVAL OF A
REGIONAL TOURISM PROJECT WITHIN THE CITY OF PUEBLO
ISSUE
Should City Council authorize the submission of an application for a regional tourism
project by the City to the State Office of Economic Development to allow the capture
and use of state sales tax increment revenue attributable to new projects designed to
attract new out-of-state tourists?
RECOMMENDATION
Approve the Resolution.
BACKGROUND
The Colorado Regional Tourism Act ("Act") allows specific local governments to submit
applications for approval of a regional tourism project. Approval of such a project would
permit financing with a percentage of state sales tax revenue generated in the defined
Regional Tourism Zone.
The Urban Renewal Authority of Pueblo ("URAP"), in cooperation with the Pueblo
Chamber of Commerce, the Pueblo Economic Development Corporation, Historic
Arkansas Riverwalk of Pueblo, Pueblo County, City staff and community leaders, have
been working for more than a year to develop a regional project meeting the
requirements of the Act. The project includes the following tourism and entertainment
facilities: the New Pueblo Convention Center Exhibition Hall, Extended HARP Channel
and Heritage Plaza, Regional Aquatic Facility/Indoor Water Park, Gateway Welcome
Center with expanded boat operations, ‘Walk of Valor,’ expanded Memorial Hall, and
four-story parking structure with walkway to new exhibit hall. The project hopes to
attract more than $50 million in private development on lots located on the Riverwalk,
including a movie theater, hotel, and moderate-income residential housing. Financing
for the project would be arranged by URAP.
FINANCIAL IMPACT
URAP has or will expend approximately $65,000 for consultant work associated with
preparation and submission of the application. The application will be assigned by the
State Office of Economic Development to a third party for review and analysis, the costs
of which must be paid by applicant. URAP has committed $25,000 towards these costs,
the amounts of which are unknown at this time.
If the application is approved, the estimated amount of state sales tax revenue expected
to be captured and retained for development of the project and related infrastructure is
$23.5 million. Ancillary tax revenue generated from increased job growth, other tourism
spending, and related economic development is difficult to quantify but may be
expected to be significant.