Denver’s City Council today asked Mayor Michael Hancock to withdraw from a joint application with Aurora for state subsidies to help relocate the National Western Stock Show.
All 13 council members signed the letter to Hancock, who could not be reached for comment because he is traveling in Japan.
“It makes no sense for us to persist in this application for a project that appears to do nothing but harm to Denver,” said Council President Chris Nevitt.
The letter is the latest shot in a growing resistance to moving the Stock Show from its century-old location north of downtown Denver to a new spot in Aurora — and also an indication of the strained definition of regionalism between Denver and Aurora.
Denver and Aurora in August signed on as co-applicants for subsidies under the Regional Tourism Act — a new program that enables developers to pocket a portion of state sales taxes their projects generate for a period of 30 years.
Aurora seeks $85.4 million from the RTA to help Nashville, Tenn.,-based Gaylord Entertainment Co. build a 1,500-room hotel and convention complex.
Denver’s request is for $6.1 million from the RTA to help relocate the National Western Stock Show from downtown Denver to Aurora next to the Gaylord complex.
Last week, Denver’s Auditor Dennis Gallagher also said the city should pull out of the application for RTA money.
Hancock in July created a working group to examine the Stock Show issue and in August requested a business plan, facilities plan and financing plan from officials with the National Western Stock Show.
Paul Andrews, the Stock Show’s chief executive officer, said his group is focused on finishing the requested business plan.
“Keep in mind if Denver retracts the RTA application, the National Western Stock Show will still need a solution for our long-term survival,” Andrews said.
The Stock Show has said that its facilities are aging, its site is too constrained and that it is beginning to lose its competitiveness with other events around the country.
Dawn Bookhardt, who is chairing the mayor’s Stock Show working group, said the members also are leaning toward withdrawing from the RTA application.
A report by Visit Denver, the city’s convention and visitors bureau, said the proposed Gaylord complex would siphon $186.3 million in visitor spending from the rest of the metro Denver area.
A separate report also by Visit Denver said Denver would lose $31.3 million a year in off-site visitor spending — as well as significant tax revenue — if the National Western Stock Show & Rodeo were to relocate to Aurora.
“Our opposition to Denver’s further participation in the RTA application and the (National Western’s) removal from Denver is not merely borne of sentiment and nostalgia,” says the letter to Hancock, which was read at tonight’s council meeting. “Certainly, the stock show is part of our history and character as a city, but it is vital fuel for Denver’s economic engine.”
The letter also says the withdrawal from the RTA isn’t contrary to the spirit of regionalism.
“The burden of this project would fall solely on Denver, to the tune of $20 million every year,” the letter says. “Such an outcome fits no reasonable definition of ‘regionalism’ or any model of partnership between local governments.”
Aurora Mayor-elect Steve Hogan today said he was disappointed that the council had decided to make such a decision without consulting first with Aurora’s council.
“It would be beneficial to everyone if we could talk some things through before we take action,” Hogan said.
Denver Councilman Nevitt responded, saying that Aurora’s council did not consult Denver in September when it approved $300 million in tax incentives for the Gaylord project.
“Aurora is free to do whatever it wants,” he said. “It’s up to them how they pursue economic development. We won’t stand in their way. But we have an obligation to the citizens of Denver to do the right thing for Denver. How could we do otherwise?”
Jeremy P. Meyer: 303-954-1367 or jpmeyer@denverpost.com
