Weeks before early voting begins, the two sides in Plano's arena tax election are making sharply different claims about who would end up paying.
Dallas Stars President and CEO Brad Alberts told FOX 4 in an interview published Friday, Oct. 2, that "false narratives" are circulating about Proposition A. "There are no hidden costs to taxpayers. We are responsible for the operating costs," Alberts said, adding that the taxes would mainly affect visitors rather than residents.
What the ballot measure authorizes
The measure, called by the City Council in an ordinance passed Aug. 10, asks voters whether the city may finance a new multipurpose arena in The Shops at Willow Bend mall area under Chapter 334 of the Texas Local Government Code. Its ballot caption reads "THIS IS A TAX INCREASE."
If voters approve it, the city could impose any of five levies: a rental car tax of up to 5%, a parking tax of up to $3 per vehicle at the arena, an admissions tax capped at 10% of ticket prices, a per-game charge of as much as $5,000 for each player on a major league team using the arena, and a hotel tax of up to 2%, which would put Plano's total hotel tax at no more than 15%.
The ordinance says the finished arena would be owned by the city.
The measure does not set the tax rates, and the city can choose which ones to levy, The Dallas Morning News reported. The city is also pursuing a tax increment reinvestment zone, which the paper said would put $700 million into the project, and the arena could still proceed if voters reject the taxes.
The case for
Alberts told FOX 4 that the city would own the building, the Stars would lease it for 30 years, and 60 to 70 non-hockey events a year would be booked there. "We're excited to redevelop a dead mall space," he said.
Victory Green Plano PAC, which backs the measure, says on its website that Proposition A authorizes no property tax and leaves Plano's sales tax rate unchanged, and that residents who skip local hotel stays, car rentals and arena events would pay nothing toward the building.
