City explores options to fund Eastside Sports Complex
The City of El Paso is exploring options when it comes to funding the Eastside Sports Complex.
The Eastside Sports Complex was approved during the 2012 Quality of Life bonds, but the city says there’s not enough money in the general fund to pay for both Phase 1 and Phase 2 of construction. During Tuesday’s city council meeting, city representatives were presented with information on moving along with creating a Public Improvement District and a Tax Increment Reinvestment Zone to help fund the project.
The project is broken up into two phases. The city says Phase 1 is mainly funded by bonds, but they need an additional $13.6 million dollars to pay for Phase 2. The complex would include 16 flat fields.
The Tax Increment Reinvestment Zone, or TIRZ, is an economic development toll established by the city in 2006. When property values in that zone go up, the additional revenue in property taxes is reinvested in that area, instead of going to the city’s general fund where regular property taxes are allocated and used to pay for city services. A Public Improvement District or PID, works similarly but separately where each person or entity in that specific zone would pay an additional “tax” added to amount taxed per home. The money goes into a fund that goes back directly to the area. In order for the city to move forward with a PID, the majority of those living in the area must vote to approve it. The money would pay for the improvements, operations and maintenance.
“Whether it’s better streets, better lighting, better anything. It will improve your neighborhood, your park, so the money as they pay goes right back to them” City Representative Dr. Michiel Noe said.
The area in question is in an undeveloped area about 800 acres which includes at least 19 parcels but has the potential to develop 2,200-2,300 housing units in the future. City Rep. Dr. Michiel Noe tells ABC-7 since the area is being developed, the city would go directly to property owners for approval.
PID and TIRZ are a unique way to fund projects in El Paso, but the city says they’re used frequently across the state.
“It’s a unique way to sort of finance things in El Paso. It’s not a unique way of financing things in other cities and it works very well. And already some of the other representatives are looking up areas in their district that this may work out for them in trying to provide things their communities have asked for that they’ve had no success in funding in the past through our traditional means,” Dr. Noe said.
Before voting to approve the motion, Dr. Noe spoke about the need for the complex.
“It’ll help bring something that the city so desperately needs. If anybody has been out there recently, the lights are up it’s amazing. the grandeur, the scale of this thing, it’s huge and we’re just getting started with Phase 1,” Dr. Noe said.
Dr. Noe tells ABC-7, the city will be keeping a strict eye on the complex, to help maintain the integrity of the park.
“We can’t get flat fields to recede water or anything because after one team leaves, another team is back on every single day and to block off the fields so that we can recede it or improve it or flatten it or whatever, then you take away a field that you just need to practice on. The city is really having a hard time keeping up with the demand. Eventually there will be 16 nice flat fields out there, very well-maintained, very well-lit, all together. You’re going to have a great tournament out there, but it’s going to be controlled. You’re not going to be out there practicing on it, you’re not going to be out there after hours,” Dr. Michiel Noe said.
Shirley Cienfuego, with BIC Homes, says amenities like nearby parks are important to homeowners.
“It’s amazing how many homeowners, that’s what they’re after. What do you have near the park? What do you have in front of the park? I want to be able to see my kids playing, so to me that shows it’s a huge asset to have in a community,” Cienfuego said.
BIC Homes has developed several homes just blocks away from the complex. Cienfuego says the anticipation for its completion is growing and once its done, interest in Far East El Paso will too. She says with an added incentive like living in a TIRZ or PID, the interest will be even greater.
“I think it’s a good asset, because at least you know what’s in your neighborhood is going to be built and it’s going to be maintained.”