SPURS CHOOSE COUNTY OPTION FOR NEW ARENA
August 12, 1999
Copyright 1999 MediaVentures
The San Antonio Spurs made a choice Wednesday and opted for the county's plan to build a new arena adjacent to Freeman Coliseum rather than go with the city which preferred a new venue next to the Alamodome. For the team, the issue came down to public opposition to a proposed sales tax that would be needed for the city's plan. The county would get money from hotel/motel and car rental taxes, along with user-based sources for the $175 million arena. The decision means the team will suspend talks with the city.
The city and county had been working on separate plans after the city rejected county overtures to plot a common path. City officials are concerned that a new arena could threaten the profitability of the Alamodome and wanted to control both venues. The county came back with an offer to create a sports authority that would oversee the Alamodome, a new arena and the county's Freeman Coliseum, but the city still declined.
The county must will work out details of its plan and the Spurs must say how much they are willing to contribute to the new arena. That work must be done by Tuesday so state officials can approve ballot language for November's vote. If approved, the new venue could open in 2002.
Nearly 60% of San Antonio residents polled say they are opposed to an increase in the sales tax to fund a new arena for the Spurs, but a larger margin, 66%, says a tax increase would be fine to pay for city infrastructure improvements. There is similar support for new taxes for job training, education and childhood development programs. The poll was conducted privately by six council members and has a margin of error of 4%.
The arena question found 44% in favor of a *-cent sales tax over 20 years. The city proposed a *-cent tax over 10 years.
The county's proposal does not call for a sales tax increase, but does require an increase in the hotel and car rental taxes, a ticket fee and parking taxes. The idea is opposed by those who profit from the tourist business who believe the taxes are already too high. The increase would put San Antonio on a par with Houston as having the highest hotel taxes in the nation. Houston's tax is 17%.
Another benefit to the county's plan is that the Freeman Coliseum is already host to the San Antonio Livestock Show. The major show draws large crowds that can help pay the cost of the new venue.
The poll also showed that voters by a slim margin preferred the idea of a new arena near the county's Freeman Coliseum as opposed to downtown near the Alamodome as the city has proposed. City officials said the question did not reflect the fact that parking is included in the city's proposal and residents believe more downtown parking is needed.
The Spurs have reportedly conducted their own poll, but those results have not been made public. Reports say the Spurs' poll shows the public favors a sports authority to oversee the Coliseum, Alamodome and new arena.
The new arena would cut business at the Alamodome where the team held 40% of the venue's total event dates. In a campaign last year for a new arena at a different location, the Spurs expressed confidence they could replace many of those dates and keep the venue profitable. The team pays nearly $1.5 million a year for its lease.