City Takes Next Step Toward New Tourism-Related Facility
Posted/updated on: November 10, 2011 at 2:35 pm
TYLER — The Tyler City Council has voted unanimously to contract with Garfield Traub Developments, LLC (with PKF Consulting USA as a subcontractor) to conduct a market and feasibility study for the construction, financing, and operation of a conference center and/or multipurpose center. Tourism was identified as one of Tyler’s chief opportunities for economic growth in the Industry Growth Initiative that was adopted in mid-2010. It is estimated that nearly 20,000 visits are lost each year because Tyler has not had the facilities to accommodate large conferences. “Tourism brings fresh dollars to our economy,” said Mayor Barbara Bass. “This is money from outside our region being spent in Tyler. The result is jobs for Tylerites and economic vitality.”
During the last Texas Legislative session, the City requested that Senator Kevin Eltife and Representative Chuck Hopson sponsor and carry bills to amend the Tax Code to allow for an additional two percent hotel occupancy tax to be collected within Tyler City Limits. This legislation was subsequently adopted by the Legislature and signed by the governor. An enabling ordinance was also passed by the City Council. By law, this additional two percent must be used for the construction, expansion, maintenance, or operation of convention center facilities, which may include a conference/convention center, multipurpose facility, arena or related facility. “A new facility will give us a competitive advantage when trying to bring large conferences to Tyler,” said Shari Rickman, general manager – vice president, conventions for the Tyler Convention and Visitors Bureau.
The City’s budget includes a separate accounting for this additional two percent hotel occupancy tax, and funds have been programmed to commence with a market/feasibility study for a new or expanded facility. Garfield Traub Developments will provide development economics, financing, planning and project support to the City to complete preliminary, yet realistic, financing models for development. The contractor would also examine any related studies performed by others, as well as gather input from the local hotel industry/association and other interested parties or potential partners.
“The need for larger conference/event facilities has been discussed for years. With the adoption of the IGI, we felt that the time was right to begin putting funding sources in place to address the call for expanded facilities. Now that some ‘seed’ funding is in place, we are exploring the facility and location that will be most beneficial for Tyler,” said City Manager Mark McDaniel. Officials say the entire study will be completed in approximately 90 days, at which time the consultants will report their findings to the Council.
