Council to vote on arena ordinance

An ordinance to raise Greeley sales and use taxes for a proposed multi-purpose arena stands a 50-50 chance of surviving for public input, said Mayor Tom Selders.

Council members can vote to move the ordinance to a second reading for discussion and public input Aug. 15, or they can choose to stop it from going forward. If it survives, the question to raise taxes would be placed on the November ballot.

The arena would mostly serve the University of Northern Colorado for sports. It also would become a site for family shows, concerts, high school sporting events and graduations.

Proponents have a strong case, but the arena also faces some obstacles, Selders said.

"I thinks it's a great idea, and certainly they can show that it would be a real asset to the community and it would be a great thing to have here," Selders said. "In a perfect world, it would be a great thing to have here."

Some of the obstacles Selders identified included location, funding and the tax increase.

Proponents still haven't announced a location for the arena, and it is projected to have a $500,000 operating deficit in its first year. The city has other needs, such as road improvements, that need money from general funds, Selders said.

Taxpayers have approved three tax increases for food, quality-of-life projects and a new police station in recent elections. Selders said that could influence voters to oppose another increase. In the coming years, the city might ask for another tax increase for road improvements and regional transportation, Selders said.

Citizens for a Community Arena circulated a petition for about one month to determine the level of interest in an arena. Greeley City Clerk's Office determined 1,574 of the signatures were valid.

Greeley's city charter does not allow initiative petitions for taxation and appropriation, however. Proponents decided instead to ask the council to voluntarily put the tax increase on November's ballot.

The Citizens group agreed to fund the estimated $40,000 election costs if city council decides to put the tax increase on the ballot.

The proponents also commissioned a feasibility study about the arena, which determined that Greeley couldn't support one with so many other like facilities in the immediate area.

The consultants, however, suggested 3,000-6,000 seats would be adequate for an arena if one is approved in Greeley.