Now that the Legislature has approved a 1-percent increase in the city of Starkville’s restaurant tax, city officials are meeting to plan exactly how they will proceed pending a vote by Starkville citizens.
The additional revenue is earmarked for recreation and much of it will go to a now sports facility at Cornerstone Park, which is estimated to cost between $18 million and $22 million to build. Once finished, the city expects the venue to be an economic boost for the city, attracting teams from throughout the state for tournaments, filling hotels and restaurants and fattening the city’s tax receipts.
Based on their early talks, it seems certain the city will hire a private company to operate the facility.
That makes a lot of sense. The sports tournament business is lucrative, but also highly competitive. Finding a private company with a proven track record in this niche makes perfectly good sense.
Even so, there are potential problems with this kind of arrangement.
Public-private projects can be successful, but they can also create tension when one party’s interest conflicts with the other’s.
Tentatively, the plans for the management of the Cornerstone Park call for the city to subsidize the management company over the course of several years before the management company relies on revenues from the facility for funding.
When that happens, there is a potential for conflict.
The management company is not a nonprofit. It will expect to make money. That will naturally be its greatest priority.
In some cases, that has created a situation where public access is greatly limited. At some venues, the facilities are closed not only on tournament weekends, but in the days leading up to the tournaments as the fields are prepared for the weekend.
How much and how often will the facility be available for residents? That’s an important question.
It is a potential problem the city must carefully consider as it negotiates its contract with a management company.
It is important to remember that this project is funded by tax dollars and is presented as a public service for city residents.
Residents have every right to expect that they will be able to use the facility.
There is a balance that must be maintained. Certainly, there is a benefit from the revenues produced by attracting tournament play. But there is also the need to ensure that folks can use the facility their tax dollars paid for.
When voters go to the polls to determine whether or not to approve the additional tax, they will likely need some assurances of that.
The Dispatch Editorial Board is made up of publisher Peter Imes, columnist Slim Smith, managing editor Zack Plair and senior newsroom staff.
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