|
$48.8 million for corporate welfare in Scottsdale???
Scottsdale Desert Center plans press on amid cost concerns by Beth Duckett - Dec. 27, 2011 11:16 PM The Arizona Republic Scottsdale is forging ahead with planning efforts to build a $74 million desert nature center at the base of the McDowell Mountains that supporters predict will become a major Valley tourist attraction. As the local economy still struggles to emerge from the effects of the recession, officials have been refining plans for the long-awaited Desert Discovery Center project. Central to those plans is a possible vote in 2012 that would ask city residents to approve bonds -- and a property-tax increase to pay for them -- to finance close to $50 million of its total cost. The rest would come from private sources. Backers say the project is needed to bolster the city's tourism industry and highlight its 21,400-acre McDowell Sonoran Preserve. The center has been on the city's radar for more than 15 years, with the tourism community touting its ability to attract more visitors than before in an unparalleled setting. While it may finally be getting closer to realization, there is still strong opposition. Critics, including some city officials and preserve activists, have raised concerns for several years about the planned center's sprawling size, location inside the preserve and multimillion-dollar price tag. Both sides agree that a mixture of public and private funding is needed to make the center a reality, which could be challenging -- some say nearly impossible -- in the immediate economic climate. "As it is right now, the timing and amount and circumstances are not particularly good," said Scottsdale Mayor Jim Lane, who supports the idea but has concerns about location and funding. The city's appetite for the center is about to be tested. Early next year, a "feasibility" committee that has been overseeing the business plan is set to present its recommendations on how to proceed to the Scottsdale City Council, which may decide to propose a bond to raise funds. That bond election could come as soon as next year. Showcasing desert A consultants' report from 2010 envisions a project that would help draw more visitors and showcase the city's nature preserve. The consultants' study, led by the Scottsdale-based architectural firm Swaback Partners, indicated strong support for a Desert Discovery Center and estimated a $15 ticket price for adults and annual attendance of about 333,000 after several years. That would put the center on par with other major tourist attractions in the Valley. The Desert Botanical Garden in Phoenix, for example, charges $18 for adult admission, with about 200,000 paid visits a year. The Arizona Science Center in downtown Phoenix has about 400,000 visitors per year, at $14 a head. Scottsdale's Desert Discovery Center is planned for land adjacent to the city's McDowell Sonoran Preserve Gatewaytrailhead near Bell Road and Thompson Peak Parkway. Wandering through a series of pavilions, visitors would encounter interactive exhibits that cover everything from human adaptation in the desert to the sex lives of plants. It would also feature an amphitheater, event space and a high-end restaurant with a view of the mountains. "It's a one-of-a-kind opportunity Scottsdale has to showcase the Sonoran Desert, which is the most beautiful desert in the whole world," said Melinda Gulick, a member of the feasibility committee. "We're the only ones with this opportunity." Some critics say the preserve is enough to attract visitors without the presence of a large building in the desert. Since May, the committee has been evaluating whether the project makes financial sense and how to move forward. Annual management costs are projected to be higher than revenue, and the funding gap would require separate fundraising, grants and other outside support and possibly a non-profit group to help sustain the center. Committee chairman Mike Nolan said that based on current market conditions, assumptions for business operations "might be achievable, but aggressive." He likened it to the Arizona Science Center, which incorporated as a non-profit in the 1980s and used Phoenix bond money to pay for its permanent home downtown. "That's the model we think would be the most appropriate," he said. Public and private money If the city decides to go ahead with financing the Desert Discovery Center next year, it is likely to ask voters to approve up to $48.8 million in a general obligation bond, the highest expense of more than 40 possible projects on the overall bond-proposal list, which also might include funds for a Western museum. The bonds would be repaid through property taxes. City officials worry, though, that voters might not have the appetite yet to raise property taxes. A year ago, Scottsdale voters rejected a scaled-back list of bond projects totaling $36.6 million. The last successful bond election was in 2000. The Desert Discovery Center's remaining capital and startup costs -- at least $25 million -- could come from private sources. A study, due out early next year, is expected to gauge the private community's willingness to provide financial support. Lane, the mayor, said he would be more likely to pursue the proposed $74 million project if there were private backing. To lessen the financial impact, Scottsdale could consider dividing the project into phases, Lane said. "Under almost any circumstances, I would like to see this is something viable, supportable and sustainable into the future," he said. With the addition of another 4,400 acres this month,Scottsdale's mountain preserve spans roughly 21,400 contiguous acres, or more than 33 square miles. The city hopes to acquire a total of 34,000 acres. Howard Myers, chairman of the Scottsdale McDowell Sonoran Preserve Commission, said that most people support the concept of a nature center and teaching visitors about the Sonoran Desert but that there were financial concerns. The staffing, projected to be 46 full-time and 60 part-time employees, seems very high, he said, and there was minimal evidence showing how the city would benefit from the project. Concept debated With countless hours and dollars invested into the concept, supporters say it is too late to turn back. Gulick said the city went through a "very painful process" to acquire land for the Desert Discovery Center. In 2008, Scottsdale and homebuilder Toll Brothers battled over the fair market value of 383 acres on the western slope of the McDowell Mountains, which the city had identified and claimed in 2004 for its preserve. Scottsdale sought to pay $34 million, but a jury ordered the city to pay $81.9 million. Carla, one of the preserve's founders, who legally goes by one name, expressed concerns about the project's proposed size and location. Though a self-described "big supporter" of the Desert Discovery Center concept, Carla said the scope of the project has grown considerably since 1996, when the original design came out. The center was envisioned as a place where everyone, not just outdoor lovers, could view the mountains and the preserve in an introductory setting without overshadowing it, Carla said. "I believe very firmly that everybody should visit the preserve. But you do it in an appropriate manner," Carla said. "You don't have to replicate the preserve within the preserve. Now we end up with the Desert Discovery Center on steroids." To build the center in the McDowell Sonoran Preserve, the city would need to alter its preserve ordinance, which Carla argued should remain sacred. "We promised them a preserve for their children's children," Carla said. "If you keep treating it like a park and putting things like this in it, you're not going to have a preserve." Rachel Pearson, a spokeswoman for the Scottsdale Convention and Visitors Bureau, said the tourism community is supportive of the Desert Discovery Center and wants to see it built. "It's such an important potential project for Scottsdale that showcases one of the reasons our destination is so popular," Pearson said. |