National Western Stock Show & Rodeo officials are asking Denver leaders to hold off on making a decision to withdraw from a joint application with Aurora for state tax subsidies.
“I certainly believe it would be an inappropriate action to pull out . . . at this point,” said National Western chief executive Paul Andrews. “The mayor has asked us to show him a business plan, and we’re working with him to get that finished.”
Denver and Aurora co-applied for about $91.5 million from the Regional Tourism Act, a new program that enables developers to pocket a portion of the state sales taxes their projects generate for a period of 30 years.
Denver applied for about $6.1 million to help the stock show relocate from its 95-acre site near downtown to 300 acres in Aurora.
Aurora applied for about $85 million to help build a 1,500-room hotel and convention center by the Tennessee- based Gaylord Entertainment Co.
Several Denver City Council members on Wednesday said the city should withdraw from the RTA application after hearing a report that showed the city could lose up to $31 million in off-site revenue if the stock show leaves. Denver Mayor Michael Hancock also issued a statement.
“I have been made aware and am taking note of the possible negative impact to the city,” Hancock said.
Denver City Attorney Doug Friednash said both Denver and Aurora can make revisions to the RTA application before its final submission.
The stock show’s Andrews said National Western’s business plan to be delivered to Hancock will include four options: staying put and doing nothing; expanding where it is; moving to another site in Denver; and moving to the High Point site in Aurora adjacent to Gaylord. National Western will provide financial information and timing for all four scenarios.
“After we have all that data, then people can make an informed decision on what the next move should be,” Andrews said. “People should think rationally. It would be very inappropriate and irresponsible for (the mayor) to suggest that the RTA be retracted at this point.”
On Tuesday, Denver’s City Council will hear another report about the economic impacts of Gaylord’s complex on downtown Denver’s businesses.
Councilman Charlie Brown anticipates that it won’t be good news for the downtown area, which will encourage the council to get out of the RTA.
“I think it is going to be devastating,” Brown said. “I might bring some nails and a small coffin.”
Gaylord officials have said that their project doesn’t hinge on whether the stock show is next to the hotel, but the RTA money is a deal-breaker.
Jeremy P. Meyer: 303-954-1367; jpmeyer@denverpost.com;
