Members of the Quality of Life Commission not only got their first look at the site plan for the proposed sports and recreation complex in Clarksdale, but also took the first step toward taxing those who will be using the facility.
Commission members Rosalyn Griffin, John Magnusson and Chad Robinson unanimously gave their approval to preparing a resolution to create an Urban Renewal Tax that will be used to cover the cost of public infrastructure at the Corey L. Moore Sports and Recreation Complex. Commission members Adrian Allen and Norvell Gooden were absent from the Tuesday, Aug. 7 meeting at the Clarksdale City Hall.
And the Clarksdale Board of Mayor and Commissioners unanimously gave their approval of the plan during their meeting Monday night at City Hall.
The tax, which won’t exceed 3½ percent, will be applicable to only those properties located on the 76-acre tract that is located off Highway 49/Desoto Avenue and adjacent to the Highway 61 bypass.
Dwan “Dee” Brown, who is a consultant for the city and the lead developer in the public-private partnership, said the revenues generated by the Urban Renewal Tax will be used to pay for the estimated $3 million in infrastructure that will not be covered by two Community Development Block Grants.
The CDBG Economic Development Grant and the CDBG Facilities Grant could provide an estimated $2 million to $2.5 million. Earlier in Tuesday’s meeting, the commission unanimously agreed to prepare a resolution to participate in both grant programs.
Brown estimated a cost of $5.4 million to provide water, sewer, streets, sidewalks, curbs, gutters and other utilities to the site.
The Urban Renewal Tax would be added on to such things as hotel bills, admission costs, food and drink items, and other merchandise sold at businesses located at the site.
“The taxpayers of Clarksdale are not having to foot this bill,” Mayor Chuck Espy said.
Brown agreed as he said, “It’s the tourists who use the project who will bear the costs.”
There is a 100-room hotel planned for the complex as well as a 15,000-square-foot convention center that would accommodate up to 750 people. There are also plans for a two-acre water park.
Brown said Thursday that he is preparing a franchise agreement with the Best Western GLo brand to operate the hotel at the site. According to the company’s website, GLō is an energetic new construction boutique hotel brand “that's breaking the suburban cookie-cutter hotel mold. By focusing on a dramatically iconic arrival experience, streamlined, contemporary guestrooms, and stylish, cost-effective materials, GLō is designed for savvy travelers who expect the best in value, design, and comfort.”
During Monday’s city board meeting, commissioners approved a recommendation from the local planning commission granting a 110-foot height variance for the site. The change from a 40-foot height limit will allow the hotel to be built at the site.
The site plan unveiled Tuesday also calls for a Checkers restaurant to be located on one parcel of property and a gas station on another.
Those properties are all included under the private part of the development.
The public portion of the project, totaling approximately $13 million, will be funded in large part by urban renewal agency bonds. The public part of the project entails the building of five synthetic turf athletic fields and the infrastructure needed to support the project.
The property owner, Hopson Nance LLC, donated the land for the public streets and right-of-ways.
In other new business, the commission unanimously agreed to prepare a resolution supporting the project’s participation in the Mississippi Tourism Tax Rebate Program. On Monday, the Clarksdale Board of Mayor and Commissioners also agreed to offer up a resolution of support.
The tax rebate program is an incentive for private developers of new tourism-oriented projects in Mississippi.
The program allows a portion of the sales tax paid by visitors to the eligible tourism-oriented enterprise to be paid to the applicant as reimbursement for eligible costs incurred during construction. The program provides for a rebate for up to 15 years.
Among the businesses that could qualify for the tax rebates are water parks, convention centers, hotels with a minimum private investment of $40 million and full-service hotels with a minimum private investment of $15 million.
