Voters approved a 2 percent increase in hotel occupancy taxes to fund major renovations at the 65-year-old Kay Bailey Hutchison Convention Center and Dallas’ Fair Park, launching a “transformative investment” of $1.5 billion into downtown and South Dallas.
The measure passed with 67.68 percent of the vote and more than 186,000 residents voting in favor.
However, if the hotel tax doesn’t bring in enough revenue to pay for the bonds, the burden shifts to local taxpayers, an issue that prompted about 32 percent of voters to oppose the measure in Tuesday’s election.
Brian Luallen, CEO of Fair Park First, shared his reaction with Daltxrealestate.com late Tuesday night.
“We’re so excited that the citizens of Dallas recognize the importance of investing in our tourism and hospitality economy, as well as our history at Fair Park,” Luallen said. “This is going to be a transformative investment which secures Fair Park for generations to come, along with an incredible economic development opportunity which literally bridges downtown and South Dallas for the first time ever.”
It also opens up development opportunities and creates local jobs, said Jennifer Scripps, president and CEO of Downtown Dallas Inc.
“Downtown Dallas Inc. is grateful to Dallas voters for empowering our city to move forward with this once-in-a-generation opportunity to transform the southern side of downtown and restore six treasured Fair Park venues,” Scripps said in a statement. “The DDI team has been working with our partners at City Hall on the Kay Bailey Hutchison Convention Center master plan for years. We are excited to continue the important work of designing and building a new walkable, vibrant, mixed-use entertainment district that will create thousands of new jobs and generate millions of dollars in economic development, as well as attract new visitors and residents for decades to come.”
Proposition A By The Numbers
The Dallas County Elections Department reported at 5 a.m. Wednesday, Nov. 9, that 623,306 ballots were cast at 464 vote centers, representing 43.81 percent of the county’s 1.4 million registered voters.
Dallas voters cast 186,338 ballots (67.68 percent) in favor of Proposition A, and 88,991 ballots against the measure (32.32 percent).
The Plan for Fair Park And Kay Bailey Hutchison Convention Center Dallas
New designs were unveiled in September for Fair Park, showing about $300 million in upgrades to park facilities including the band shell, coliseum, Cotton Bowl Stadium, and exhibition halls.
Fair Park officials have outlined their vision for the future of the park in a 260-page master plan.
The Kay Bailey Hutchison Convention Center, already one of the largest in the nation, has more than a million visitors annually for everything from concerts to athletic competitions. It boasts 1 million square feet of exhibit space, three ballrooms, 88 meeting rooms, a theater, and an arena.
But the space is badly in need of renovations and reconfiguration, officials say.
Hutchison herself appeared before the Dallas City Council in April and said the expansion has the potential to remake the city, connecting downtown to the vibrant southern part of Dallas. The longtime former U.S. Senator lives in District 11.
“I’m for this expansion because I know what the competition is like,” Hutchison said. “I know that the competition is heavy from other coasts, as well as in Texas. We need to be competitive. We want to be the best. We want more visitors to come to our city. When we have conventions, people come back and bring their families. It will not affect our general fund or our taxpayers. The visitors will pay for this expansion.”
Hotel occupancy taxes cannot be used for things like public safety, street repairs, or other city services, but rather have to go toward tourism-related ventures.
