It’s time to pay the piper.
We were told that our ballpark would be paid for with hotel occupancy taxes. The city raised our hotel occupancy tax to the highest in the state to make that possible.
The state legislature reacted by putting a cap on how much a city can charge–they set the maximum rate at El Paso’s.
As a result the city cannot raise the rate.
When hotel occupancy taxes are not sufficient to pay the debt payments on the ballpark the money has to be taken from the city’s general fund.
Take a look at this:
Don’t expect travelers on Interstate 10 to stop in El Paso when they can go to another city where they will pay less.
Sales tax revenue, franchise tax revenue, property tax revenue–actually all revenue sources for the city are expected to drop as a result of the current COVID situation.
The ballpark will become a larger expense to the general fund at the same time that revenues are dropping.
In Over our navels in debt we pointed out that 57% of our property taxes in 2019 were used to pay for debt.
We need to stop building luxuries until we get our financing in order.
We deserve better