Early voting in Texas is underway, and one of the most talked about items on the ballot for Dallas residents is Proposition A, which would increase the Hotel Occupancy Tax to pay for a new convention center and some Fair Park improvements.
Prop A would raise the hotel occupancy tax by 2% — from 13% to 15% — which will reportedly generate about $1.5 billion over 30 years to repay the bonds that would initially fund the projects.
The majority of the money will go to a new Kay Bailey Hutchison Convention Center, with about $300 million going to renovate and repair Fair Park attractions such as the Cotton Bowl, the Coliseum, the Band Shell, the Centennial Building, the Automobile building, and the Music Hall.
Many Dallas city leaders have expressed support for Prop A, including Mayor Eric Johnson, as reported by The Dallas Express.
“At both sites, we are not putting our best foot forward,” the mayor said last month, referring to the current convention center and Fair Park.
Johnson has said that the passage of Prop A will turn the center “from an albatross to an engine,” suggesting that “It’s up to the citizens of Dallas to take the next step.”
In May, Dallas City Council voted 14-1 to place the proposition on the ballot, as reported by The Dallas Express.
The lone dissenting vote came from Councilwoman Cara Mendelsohn of District 12, which consists of the portion of Far North Dallas that touches Denton and Collin counties.
Mendelsohn has continued to lead the charge against Prop A, tweeting earlier this month that “Billionaire land owners LOVE this project.”
Billionaire land owners LOVE this project. Some folks ask what I think about @CityOfDallas Prop A on Nov ballot. My response: How much will it cost to tear down & rebuild? Answer: Nobody knows. We need actual financials. Recession coming. Ps-You still owe $200m on it. pic.twitter.com/bR5vHo4PJN
— caraathome (@🏡) (@caraathome) October 12, 2022
Mendelsohn has argued that the project’s actual costs have not been fully calculated and that there is no clear evidence the convention center rebuild would deliver the promised economic growth and jobs.
“Everyone likes to say the project will spur economic development in the area, and that has been said every single time,” said Mendelsohn.
Mendelsohn has also argued that the COVID-19 pandemic permanently changed the convention industry, and the full impact has not been determined.
“We don’t know the economic development benefit,” she added. “We have not seen examples where this type of transaction has actually paid off in visitors and economic impact. What we do know is only a tiny portion of the hotel room nights in Dallas are associated with conventions.”
Mendelsohn previously told The Dallas Express she wished the proposition would have been “broken up in multiple sections so voters can select what they want to see happen, from an update (or, modernization) to additional facilities like a ballroom and break out rooms, to tearing it down and rebuilding it.”
Mendelsohn has also expressed concerns that the city of Dallas does not have the resources to take on the project, citing leadership changes, staffing challenges, “and many departments that aren’t currently able to deliver day-to-day service at the level we expect.”
“These presentations haven’t answered the question: Does city management believe this a priority for the city? Do we, as representatives of our districts, really think it is? And do our residents think this is a priority?”
Supporters of Prop A claim that “visitors” to the city will fund the entire costs of the projects through the increased occupancy tax on hotels.
“If approved, this $1.5 billion initiative will require no increase whatsoever in sales taxes or property taxes,” Mayor Johnson said at an event to kick off the campaign for Prop A. “It will be funded entirely by visitors through a 2 percent increase in the Hotel Occupancy Tax.”
However, if the increase in the occupancy tax collects fewer funds than anticipated, Dallas taxpayers could potentially be on the hook.
The Dallas Express reached out to Mendelsohn for additional comment but did not receive a reply by press time.
This lady is so right!
Love it when a politician actually puts some real thought into things carefully weighing the benefit, risk and outcomes. Unlike Laura Miller who blew it for Dallas letting the Cowboys slip away to Arlington costing Dallas more than you can imagine and I for one can imagine a lot!
And she ran her ass to Lewisville. After one term on their city council she realised…people didn’t need her there either.
I’m not defending Horror Miller, the cowboys had been in Irving for 30 plus years, had MOVED way before Miller was Mayor..no a little research.
I will be voting NO as well. Dallas needs to focus on the homeless problem. It is out of control.
I will vote NO as well. Dallas should not take on new projects and expenses until they can keep up with current needs of the city, such as road repairs. Royal Lane, as an example, is so bad I had to find an alternative route because the road conditions were tearing up my car. Another project and expense is to find a solution for the homeless sleeping on the streets and begging at the intersections. This issue should be a priority if Dallas wants people to visit Dallas for conventions, reduce crime, as well as better care for the homeless. Dallas is certainly not ready for another bit project like tearing down and rebuilding the convention center.
“…What we do know is only a tiny portion of the hotel room nights in Dallas are associated with conventions.” That may be because no major trade associations want to convene in Dallas due to an outdated facility that cannot handle a large convention. Associations and their attendees don’t like the layout of the KBH center – it’s too broken up and multiple level halls are a no-no in modern design. Furthermore there not enough major hotels in downtown Dallas to accommodate large convention crowds. It’s a chicken-and-egg choice, but without the right venue the convention traffic will never improve. Yes, we need better accounting for costs and close monitoring but Dallas really does need a modern convention center to compete with the likes of Las Vegas and Orlando. I managed trade show participation for 40 years for OEMs and service companies and I can tell you they wrote off Dallas twenty years ago as a desirable venue not because of the location but because of the antiquated convention center and inconvenience of hotel locations.
Large corporations can just go give Jerry Jones some more $ at The Star in a different city 15 min away for conventions. I’m voting NO! Way to go, Cara M D12! State the facts & unknowns.
She must be the only one with any balls, remember all the hoopla about Cuban’s stadium?
I think Cara Mendelsohn might be in favor of a new convention center in Plano.
As to comments about the football team going to Arlington, professional sports organizations receive benefits from prominent cities that exceed what they contribute to the city.
Ms. Mendelsohn is the only council person to oppose; I see no reason to think she’s smarter than the majority.