In our previous update on Phases 3 and 4 of the Paradise Coast Sports Complex, the Commissioners expressed the need for a more detailed financial and contractual analysis of the project before any action is taken. At the October 22 BCC Meeting, all commissioners voted in favor of approving Phase 3 as well as $92,800 in funding for an updated market, financial feasibility, and tourism economic impact study for the current and planned expansions of the Paradise Coast Sports Complex.
Phase 3 is proposed to include Field No. 9 and its associated pre-engineered metal building structure, a south parking lot, and bathroom facility. County staff anticipates utilizing a conventional design-bid-build contract. Construction could start in late 2025, with an approximate construction timeline of twelve to eighteen months and an estimated total design and construction cost of $9-$10 million.
Funding for Phase 3 is available in the Sports & Events Complex Capital Fund. However, considering the outstanding debt balance incurred from the development of Phase 2, a formal debt repayment plan for the currently existing tourist tax loans borrowed from the Beach Renourishment Fund and the Beach Facilities Fund should be established. The current $250,000 annual repayment schedule would take almost 40 years to fully repay the Beach Renourishment fund loan, and the Beach Park Facilities loan repayment would take almost 30 years. Given the severity of recent storm activity, major beach renourishment projects will most probably be required. Planned repayment of these existing loans should be included in any consideration prior to incurring additional capital expenses or debt.
The updated feasibility and economic impact study for future phases requested will be conducted by Hunden Partners, who worked on the Sports Facility Market and Needs Assessment in 2015, and the previous Sports Complex Feasibility and Economic Impact Study in 2017-18. This study will serve as a prerequisite for the Tourist Development Tax (TDT) funding, which requires an independent professional analysis demonstrating the positive impact of the infrastructure project on tourist-related businesses in the county. I suggested to include the following details in the study to provide a better financial outlook regarding this project:
- Pro-forma outlining all potential future Stadium Complex costs and how they would be funded.
- Analysis showing how this additional investment in facilities would reduce/eliminate the existing General Fund subsidy of the Sports Complex. In FY 25, the General Fund subsidy of the Sports Complex is estimated at $2,979,500.
Design and development costs for this project escalated significantly over the initial facility cost projections, with expenses to date amounting to a total of $114.6M. If Phases 4 through 11 are approved, the estimated total cost of the cost of the Complex could reach over $280 Million
We will continue to monitor this project and hopes to see a better financial breakdown after the feasibility study.