Wouldn’t decreasing the debt make more sense?

It seems that at least one of our city council representatives thinks we have a way of getting $25 million in sales tax rebates back from the state.

EL CHUQUENO pointed out to us that in order to get the $25 million the city would have to invest in a project that was “ancillary” to a convention hotel that was within 1,000 feet of our convention center.

The city representative wants to spend the money to expand the arena.  We can’t wait to hear how the arena will be declared to be ancillary to a convention hotel.  That should prove to be another lesson in the kind of wordsmithing that would land a citizen in jail but somehow we allow our politicians to do.

Paying our bills

Even more remarkable is that she seems to want to use the money to make the arena bigger.  That would take it from a planned amount of $180 million to $205 million.  Who knows what the actual cost will turn out to be.

Some of us that pay property taxes to the city would suggest that the $25 million (if it turns out to be available) be used pay down the arena cost.

We deserve better

Brutus

8 Responses to Wouldn’t decreasing the debt make more sense?

  1. D2V says:

    In order to be eligible for the state funding, does the investment have to be private? Because an arena is definitely ancillary.

    Ancillary: providing necessary support to the primary activities or operation of an organization, institution, industry, or system

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  2. anon says:

    Rodney Linkous posted this response to the El Paso Times story about the arena and the $25 million in free money.

    “And they’re lying by omission again. The city seems to think the $25 million can be accessed. It’s ONLY for private business so the center doesn’t apply unless they plan on selling or leasing it to a soccer team. Hmmmmmmmmm.”

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  3. Haiduc says:

    Spend, Spend and more Spend…Great business plan NOT!

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  4. Reality Checker says:

    Voters approved a $180-million dollar arena in 2012, not a $205-million dollar arena. Niland and friends should not be allowed to unilaterally increase the budget just because they think they have found an additional source of funds.

    Brutus is right once again. If funds are available, they should be used to pay down debt, not add to the debt.

    If they increase the cost of the arena by $25 million and then decide to finance that $25 million, the incremental cost will be substantially greater than $25 million.

    If they try to spend more than the $180 million approved by voters, someone should file a lawsuit seeking an injunction against the entire project. This is basically the same stunt they pulled with the ballpark, which ended up costing a lot more than the public was originally told it would cost.

    Liked by 1 person

  5. Jerry K says:

    Agreed. Maybe they can pay down the Wilson Premium on the stadium bonds that she gifted us with to celebrate Steve Ortega’s mayoral victory.

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  6. Waste, tax, spend, tax some more. That’s all that City Council, the Mayor, that City “Manager” and the Commissioners know. “The stupid, ignorant, peon taxpayers have money in their pockets and WE are going to TAKE it from THEM”. How many BILLIONS$$$$ in debt is El Taxo?? Anybody really know? Bet the 3 MILLION$$ that was “Lost” in the “Scam” was just money THEY gave away to somebody. Politicians in El Taxo, just one big criminal enterprise.

    Liked by 1 person

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