Elk Grove City Council to Review Management Agreement for Proposed Water Park
October 4, 2013 | On Wednesday night, the Elk Grove City Council will review a proposed management and development agreement between...
https://www.elkgrovenews.net/2013/10/elk-grove-city-council-to-review.html
October 4, 2013 |
On Wednesday night, the Elk Grove City Council will review a proposed management and development agreement between the sole company who bid to manage and partner with the city for the proposed water park to be located in the civic center area.
According to the staff report, there was only one company who bid to manage and partner with the city in the development of the water park, P3 International of El Dorado Hills, Calif. The cost of the initial contract is $695,739.
For that fee, P3 will provide among other things, an initial conceptual design and marketing plan. The city will provide $14 million in funding and the 20-acre site for the water park that P3 estimates could cost up to $49 million.
The report notes P3 "did not identify the source(s) of private financing needed beyond the public commitment to deliver the Project" and the "model contemplates $10M in private equity contributions and $13M in bonded debt obligations beyond the City's contribution."
The reports also states the water park earnings will grow from $8 million in the first year to $9.7 after five years.
Concurrent to this, the city has commenced with an environmental impact report (EIR) that the report says will cost $190,000. One of the concerns voiced at recent scoping meeting for the EIR was the mitigation of traffic.
Elk Grove Planning Director Taro Ecihburu noted the city may consider construction of a new interchange near Whitelock Parkway and Highway 99 to handle the flow of traffic to the site which is directly adjacent to an existing residential neighborhood.
Wednesday night's meeting at City Hall starts at 6 p.m.
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6 comments
A million here, a million there and pretty soon you are talking real money!
All this talk about a destination city is starting to sound like a lot of cooked-up feasibility studies and blank checks being written!
After reading this agenda item and being a taxpayer of this fine city, I would have to say "this makes a chill run down my spine." We would have better odds putting our money on a crap table in Vegas than this fiasco.
This serves as proof our staff and city fathers are drinking the Kool Aid and have no knowledge or intentions of fixing the jobs imbalance.
Good deal--taxpayer subsidies take the risk out of capitalism.
It seems as though taking risks with other peoples money allows our city council to feel like they are entreprenuers, without the consequences that real risk takers live with. Lay it at the taxpayers feet....they'll be a NO SHOW for the big City Council HOORAH!
I have been trying to think of some way to understand the idiocy that is currently going on at city hall. This Aquatics Center may be a very good idea (I don’t think so, but I sure could be wrong). So why, I ask myself, are these people – who have to understand the damage they will do to an already weak economy – willing to play with the taxpayers money on this issue? Perhaps use it to advance some other political agenda.
The public comment period on the SEIR ends Monday, Oct. 7th and the city council is considering paying our funds to a management company for $700,000. on the 9th? I liken this somewhat to the sinking of the Titanic, which in this case is the city of Elk Grove.
Am I missing something here??????
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