University Plaza taxes shifted to major projects

Published 12:00 am Sunday, February 8, 2004

Wednesday, December 08, 2004

A divided Bowling Green City Commission gave tentative approval Tuesday night to funding major tourism projects with money from a 3 percent room tax at the Holiday Inn University Plaza Hotel.

That tax already flows to the Bowling Green Area Convention and Visitors Bureau from every other hotel in town. But the tax at the Holiday Inn University Plaza plus an additional 1 percent at that hotel alone has gone for years to pay off bonds at the city-built convention center attached to the hotel.

Since the city refinanced the convention centers bonds earlier this year, substantially cutting back on interest money, the 3 percent room tax should go back to tourism but in a fund set aside for special projects, City Commissioner Jim Bullington proposed.

The 3 percent tax produces about $140,000 to $160,000 annually from the hotel. The 1 percent special tax will continue to go to the convention center for maintenance.

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City Chief Financial Officer Davis Cooper made a seven-year projection showing that financial reserves were more than adequate to let the city start paying these tourism dollars back to tourism, Bullington said.

It will not be part of tourisms operating budget, he said. It will only go toward special projects.

Reasonable maintenance costs and foreseeable expenses have already been calculated into the financial projection, Cooper said.

The convention centers bonds will be paid off in 2019, and the CrossWinds Golf Course bonds in 2010, Cooper said. Most of the golf fund subsidy goes to pay those golf bonds.

Gary West, executive director of the visitors bureau, said that in determining which projects the money would fund, the tourism board would make a recommendation but the final decision would lie with city commissioners and Warren County Fiscal Court.

Commissioner Alan Palmer asked if projects such as paving a new convention center parking lot would be considered.

That should be possible, since the convention center actively contributes to tourism, West replied.

The idea was debated at a convention center board meeting earlier on Tuesday. That board consists of the city commission plus Warren County Judge-Executive Mike Buchanon.

The convention center subsidizes the city golf program with $499,000 per year, Cooper said. Taking $140,000 annually out of that would run golf into a deficit within a few years, as the golf program pays off its bonds.

The citys General Fund would probably have to make up the difference, but one of the citys financial goals for the last several years has been to get the golf subsidy out of the General Fund, he said.

Palmer and Mayor Sandy Jones questioned the idea, citing the coming need to enlarge the convention centers parking, install a new sign and eventually expand the building as reasons to keep things the way they have been especially since a new mayor and city commission will take over within a month.

The state statute allowing the room tax, and the original city ordinance on the subject, directed the money to develop tourism, Bullington said.

Palmer and commissioners Joe Denning and Dan Hall said that they support spending on major tourism projects, but thought that the incoming commission should make the decision.

I said Nov. 2 that this commission should just do two things: Pay the light bill and the water bill, Denning said.

Bullington said he has discussed the idea with incoming city commissioners, and found that theyre for it.

The reason that I put it on the agenda is that negotiations are going on right now to buy the Dr. Jones house, and LifeSkills wants to know how (the visitors bureau) is going to pay for it, Bullington said.

One of the projects mentioned for the money is the visitors bureaus possible purchase of the historic Jones-Underwood house downtown from LifeSkills. The probable asking price is $350,000 to $400,000, Bullington said.

LifeSkills will have an appraisal on the house done by Dec. 14, before the city commissions next meeting, West said.

Jones and Hall voted against the reallocation, but Palmer after a moment of silent thought joined Denning and Bullington in voting for it. It will be back for a second reading at the current commissions last meeting Dec. 21.

Speed limits

Speed limits through Bowling Green neighborhoods, now 35 mph unless posted otherwise, will drop to 25 mph if an ordinance change passed Tuesday night wins final approval in two weeks.

Roads with existing signs and major streets will not be affected, City Engineer Jeff Lashlee said. Only smaller, city-owned streets that are not currently marked with speed limit signs will change to 25 mph.

Neighborhood groups have frequently requested this change, and the city Public Works, police and legal departments agree that it is needed, he said.

The former city traffic commission authorized adopting a 25 mph speed limit in 1993, but city commissioners apparently never got around to approving it, according to a memo from Lashlee to commissioners.

Stormwater ordinance

Commissioners gave tentative approval to establishing new enforcement standards for water quality at construction sites.

As part of federally mandated runoff water cleanliness standards, Bowling Green has been working with other Kentucky cities to write uniform regulations for erosion control at construction sites, Lashlee said.

These other communities will be taking a very similar ordinance back to their legislative bodies, he said. This is more or less a model ordinance for this group.

The changes update the type of construction plans required from contractors, specify the level of erosion control that must be established, and include fines for violators.

Penalties are given for failure to prevent erosion and for illicit discharge of material in runoff water, ranging from $250 to $2,000, doubled if the fines are contested before the code enforcement board and a person is still out of compliance.

Public Works is ready on passage of the ordinance to begin issuing warnings and citations to runoff-standard violators, Lashlee said.  Daily News ·813 College St. ·PO Box 90012 ·Bowling Green, KY ·42102 ·270-781-1700