Circuit of the Americas Development Updates

[KevinFromTexas]

Originally Posted by Armybrat

I recall the no-growth crowd objecting to tax incentives for Michael Dell's little computer company back in the early '90s, so he moved most of his operation to Round Rock.

How'd that work out for keeping Austin "smaller", and how many millions did the city lose in tax revenue over the past 15 years?

Not to mention the horrid traffic on I-35 that ensued afterward. You have to figure the Dell executives or anyone making a decent salary at Dell would rather live in West Austin or some central neighborhood in Austin than in Round Rock.

[BevoLJ]

I live in Westlake and the area is full of current and former Dell execs. Hell Dell's home is right down the road from here. All these people have to travel all the way across Austin and up to Round Rock every day. Not to mention all the people who fly into Austin every day to do business up at Dell have to cross Austin every day.

How much do you think it has cost Austin to have to deal with all of that traffic by having Dell move out of Austin? How much in lost performance due to sitting in a cars rather than working or shopping, how much due to having to build more roads, expand roads, repave over used roads, upgrade roads....? How much has Austin lost in property taxes, hotel taxes, and sales taxes that has gone to the burbs?

How many schools, parks, .... could all of that payed for?

[Armybrat]

Check out this 4 year old article about Dell's impact on Round Rock....and what Austin lost by it's non-progressive attitude:

http://impactnews.com/round-rock-pfl...ged-round-rock

[KevinFromTexas]

This Galveston incident seems like nothing more really than a typo.

http://www.statesman.com/news/texas-...inglePage=true

Taking a closer look at economic benefits claimed for Austin's Formula One project

By Eric Dexheimer
AMERICAN-STATESMAN STAFF
Published: 8:08 p.m. Saturday, June 25, 2011

In the mid-1990s, the City of Galveston hired John Crompton to assess the economic benefit the city received from its Mardi Gras festival.

Located on a barrier island, the city has a single entry point, over a causeway. Crompton simply compared the number of people crossing the bridge on the weekends before and after the festival with the traffic count on the two Mardi Gras weekends. The difference came to about 80,000 visitors.

So he was surprised a few months later to read an article boasting that Mardi Gras lured 800,000 visitors to Galveston.

[KevinFromTexas]

People have mentioned that the track will host more events than just the F1 race.

Another big project in downtown that will host more events than just the one major one it was designed for is the ACL studio at the W Hotel. It will host 100 concerts a year besides other events.

People seem to have a lack of vision for these projects and have a one track mind (good pun) in thinking they can only be useful for one single use.

I'm posting this in this thread because I would imagine the F1 track will be similar in that it can be used for many more uses than just one.

http://www.austin360.com/music/acl/a...l-1561115.html

ACL Live becoming a popular pick for special nonmusic events

By Gary Dinges
AMERICAN-STATESMAN STAFF
Updated: 2:10 p.m. Saturday, June 25, 2011
Published: 9:42 p.m. Friday, June 24, 2011

Big-name music acts aren't all you'll find on the ACL Live stage.

The new downtown venue has quickly become a popular spot for a variety of special events — everything from Microsoft's unveiling of Internet Explorer 9 during South by Southwest to a May fundraiser attended by President Barack Obama and business gatherings.

"It has been a real whirlwind," said Colleen Fischer, the venue's talent buyer. "We're always busy. Most days, we've got multiple events going on."

KLRU, the station behind the "Austin City Limits" TV show, has access to the facility about 50 nights annually, and ACL Live expects to host up to 100 additional concerts each year. The rest of the time, the stage is up for grabs.

[Armybrat]

Not to mention the research facility (with UT involvement) that has been proposed as a part of the F1 track complex.

I'll bet even Tovo would go for it if they'd add a bicycle lane.

[Myomi]

Originally Posted by KevinFromTexas

This Galveston incident seems like nothing more really than a typo.

http://www.statesman.com/news/texas-...inglePage=true

Two points:

1. Why isn't Del Valle lobbying hard for this project. A school district that size to receive that kind of infusion of cash during these economic times seems incredible. This isn't even counting the extra development that will occur. If I was doing budgets in Del Valle, I would hate to see this project threatened by political posturing in Austin.

2. Looking at those numbers, it is sad that Austin couldn't get this project situated inside its city limits. We might be looking back when this project is all done and wondering how we let this one get away (much like Dell).

[BevoLJ]

Part of the agreement being proposed has Austin annexing the property. It would happen 3 years from now if Austin decides to endorse the project.

But you are right. Del Valley ISD needs this in a bad way. That is a very poor school district. A large part of the reason that are has seen so little growth vs the other parts of Austin has been because the schools have so little money are no one wants their kids going to school there. This would be huge for them.

[KevinFromTexas]

Originally Posted by Myomi

Two points:

1. Why isn't Del Valle lobbying hard for this project. A school district that size to receive that kind of infusion of cash during these economic times seems incredible. This isn't even counting the extra development that will occur. If I was doing budgets in Del Valle, I would hate to see this project threatened by political posturing in Austin.

2. Looking at those numbers, it is sad that Austin couldn't get this project situated inside its city limits. We might be looking back when this project is all done and wondering how we let this one get away (much like Dell).

Actually someone with the Del Valle ISD is against F1. Don't ask me why, I have no idea.

Btw, my sister lives in Del Valle, about 2 miles from the track. Their property taxes have gone up inside of the 2 years they've lived there. They're wanting to protest them since there is very little around there to warrant the increase. Their nearest grocery store is on East 7th Street in Austin, or the Walmart at Ben White & I-35. The traffic is bad at times, too. There is really little reason for the property "values" to be that high. They're paying $2,000 a year when everything they need requires them having to drive 10 to 12 miles into Austin for.

[Spaceman]

Originally Posted by BevoLJ

Part of the agreement being proposed has Austin annexing the property. It would happen 3 years from now if Austin decides to endorse the project.

But you are right. Del Valley ISD needs this in a bad way. That is a very poor school district. A large part of the reason that are has seen so little growth vs the other parts of Austin has been because the schools have so little money are no one wants their kids going to school there. This would be huge for them.

Aren't several members of the Del Valle school board filing a lawsuit against the track??

[Armybrat]

Originally Posted by KevinFromTexas

Actually someone with the Del Valle ISD is against F1. Don't ask me why, I have no idea.

Btw, my sister lives in Del Valle, about 2 miles from the track. Their property taxes have gone up inside of the 2 years they've lived there. They're wanting to protest them since there is very little around there to warrant the increase. Their nearest grocery store is on East 7th Street in Austin, or the Walmart at Ben White & I-35. The traffic is bad at times, too. There is really little reason for the property "values" to be that high. They're paying $2,000 a year when everything they need requires them having to drive 10 to 12 miles into Austin for.

I believe one of the DV school board members said he was against it.

That fool should be run out of office at the next election.

The only two large businesses in DV are the Austin Airport and the Travis County jail facility - neither of which pay a dime to the DVISD. That school district taxes are primarily derived from property taxes on homes & very small businesses.

The F1 track would be a HUGE golden egg for them, as they wouldn't have to build an extra school to service it. They could even LOWER their local taxes.

[hookem]

Originally Posted by Armybrat

The F1 track would be a HUGE golden egg for them, as they wouldn't have to build an extra school to service it. They could even LOWER their local taxes.

Technically they would almost certainly HAVE TO lower the local taxes. The property tax reform from 2006 means that they have to have a special election to increase the property tax to a rate that is over the "effective" tax rate, calculated by the rate that would bring in the same amount of revenue for the entity as the budget from the previous year (slightly different for ISDs). So if the tax base goes up sharply, the rate to achieve the "effective" tax rate will be much lower. If they DIDN'T lower the rate accordingly, it would trigger a rollback election and the citizens could vote to accept the lower rate that meets the budget.

So bottom line, the homeowners in the Del Valle ISD would likely be getting a really nice surprise after the track hits the tax rolls -- an almost certain reduction in their property taxes.

[electricron]

Originally Posted by hookem

So bottom line, the homeowners in the Del Valle ISD would likely be getting a really nice surprise after the track hits the tax rolls -- an almost certain reduction in their property taxes.

That's not necessarily true. The property taxes from the "circuit" might put the school district over the hump as far as "Robin Hood" is concerned, and they might have to raise property taxes because they will now be a "donor" district.

I'll admit I don't know which scenario is true for this specific district, but my scenario is a valid concern of homeowners and school districts throughout the state.....

[hookem]

Originally Posted by electricron

That's not necessarily true. The property taxes from the "circuit" might put the school district over the hump as far as "Robin Hood" is concerned, and they might have to raise property taxes because they will now be a "donor" district.

I was referring to property taxes in general, and I did mention that the ISD taxes are a little different; however, property rich ISDs have lower rates even with Robin Hood.

Austin's most property-rich ISD, Eanes, has a rate of 1.2025%. They are a chapter 41 donor ISD.

Del Valle is currently 1.53%, over 25% higher.

In fact, if you look at ALL the ISDs in the Austin area, you can see that Del Valle, Elgin and Manor (among the lowest property tax bases) have the highest rates. Eanes, Lake Travis, AISD, etc are all much lower and they are donor ISDs.

AUSTIN ISD 1.227000
DEL VALLE ISD 1.530000
LAKE TRAVIS ISD 1.315900
EANES ISD 1.202500
LAGO VISTA ISD 1.180000
PFLUGERVILLE ISD 1.460000
HAYS CONSOLIDATED ISD 1.461300
COUPLAND ISD 1.040050
ELGIN ISD 1.540000
MANOR ISD 1.515000
ROUND ROCK ISD 1.380000

So while I'm not 100% certain, I am 95% certain that property taxes for those residents in Del Valle ISD will go down significantly because of the big bump in the property tax base. I'd be willing to put money on it, if you want...

[Spaceman]

The COTA vote is tomorrow...Anybody have an inside scoop as to how the council will vote??? I'm almost certain morrison and tovo will vote against it...So much on the line for Austin....

[Spaceman]

Awfully quiet in here on this subject...This is more important than falling glass..This vote could be one of the most important in Austin's history

[Dale]

What precisely are they voting on ?

[verybadgnome]

I expect Morrison and Tovo (if she is in office) to vote against it but Cole, Spelman, Riley (who put through the environmental deal), and Leffingwell (who wanted to vote already) to vote for it. No idea about Martinez.

Yes, this is a big vote. Overall, and aside from being a racing fan, I hope it passes. I think is a beautiful thing that we don't have a professional sports team, but instead have an event that has 4-5 times the viewership of the Super Bowl as well as great college sports. This will help define Austin as an entity in and of itself apart apart from Texas as a whole. How many American cities in any other state can copy such a course of action?

[BevoLJ]

http://www.statesman.com/news/local/...type=rss_local

With environmental deal, F1 may be nearing city approval
By Marty Toohey
AMERICAN-STATESMAN STAFF
Published: 10:34 p.m. Tuesday, June 28, 2011

Formula One racing appears to have secured the City Council's approval after negotiating a familiar Austin issue: the environment.

On Tuesday, Council Member Chris Riley announced a tentative environmental agreement between local F1 promoters and the city. The deal is co-sponsored by Mayor Lee Leffingwell and Council Member Mike Martinez. Council Member Bill Spelman indicated he was likely to support it as well, which would make a majority.

The agreement comes after Riley and environmental activists spent two frantic weeks trying to secure environmental concessions from local F1 promoters. According to Riley's office, the promoters agreed to plant hundreds and perhaps thousands of trees. And raise $5 million for on-site research into green technology. And provide 5 acres for a community garden. And hire enough low-emission shuttles and provide enough off-site parking to transport most of the spectators to and from Austin.

The City Council is scheduled to ratify the deal today. It is also expected to vote on the much-debated financial contracts, in what could be a final up-or-down vote that will surely draw opposition based on, among other issues, skepticism that the city will have no obligation to subsidize the event, as race promoters and city officials say.

Riley said F1 promoters agreed to the strongest environmental standards ever applied to an Austin event.

"This project shouldn't just be about fast cars," Riley said in a statement. "Austin's version of the event should convey our commitment to clean technology research and development, and should inspire people across the planet to think green."

....

[Armybrat]

Originally Posted by BevoLJ

http://www.statesman.com/news/local/...type=rss_local

Told you so....

I'll bet even Tovo would go for it if they'd add a bicycle lane.