HomeMy WebLinkAbout19-83 RESOLUTION-YS
4.
RESOLUTION NO. /I ?-2.3 ^�
A RESOLUTION AUTHORIZING THE MAYOR AND CITY CLERK
TO EXECUTE AN AGREEMENT WITH THE STATE BOARD OF
FINANCE FOR FINANCIAL ASSISTANCE TO THE CITY UNDER
THE CITY -COUNTY TOURIST MEETING AND ENTERTAINMENT
FACILITIES ASSISTANCE LAW.
BE IT RESOLVED BY THE BOARD OF DIRECTORS OF THE CITY OF
FAYETTEVILLE, ARKANSAS:
That the Mayor and City Clerk are hereby authorized
and directed to execute an agreement with the State Board
of Finance for financial assistance to the City under the -
City -County Tourist Meeting and Entertaining -Facilities
Assistance. Law: A copy of the agreement' authoried. for
execution hereby is attached hereto, marked Exhibit "A",
and made'a.part hereof.
PASSED AND APPROVED this /5f day of MQoic1?:G�/ , 1983.
APPROVED:
By: (:),;LJ
- Mayor
6.1%
S07- A4
r M )r.
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Er,
ATTEST:
By:
wt . a fig
City Clerk
FAYETTEVILLE, ARKANSAS
P. 0. DRAWER F
1•
TO: Jim McCord
FROM: Olivia Kelly
SUBJECT: RESOLUTION TO EXECUTE AN AGREEMENT WITH THE STATE
BOARD OF FINANCE/CITY-COUNTY TOURIST MEETING AND
ENTERTAINMENT FACILITIES ASSISTANCE LAW
OFFICE OF CITY CLERK
72701
MEMORANDUM
DATE: February 2, 1983
Jim, I am attaching the original Agreement regarding the
above in that it needs the signature of the representative
of the State Board of Finance. When this has,been accomplished,
please return the executed copy for the vault,files.`
Thank you.
/oak
Att.
1501 521-7700
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next... toehelpn ..$pa�1199g39 the hoard's refusal to, include
serviserviceon the helfr million in ebt the parking,deck will not red'ucc
c ssued an timid th>4r�a_.. ,. the amount of rumba& funds to
the city because these are based
,. • • on 'the; number.. of.:'out-of-state
. • . ; delegates) who_;visit "nu+'rrF
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AGREEMENT
•
THIS AGREEMENT made and entered into this 1..5* day of
, 1983, by and between the State Board of
Finance, an Agency of the State of Arkansas (hereinafter
called "State") and the City of Fayetteville, Arkansas, a
city of the first class organized and existing pursuant to
the laws of the State of Arkansas (hereinafter called "City"):
WITNESSETH
WHEREAS, Act 763, Acts of Arkansas of 1977, as amended,
cited as the "City -County Tourist Meeting and Entertainment
Facilities Assistance Law," authorizes financial assistance
to qualifying cities and counties for constructing and/or
securing tourist and entertainment facilities; and
WHEREAS, the General Assembly, in the enactment of said
legislation, found and determined that "it is in the interest
of both the State and its Cities and Counties for the State
to assist any City or County in financing tourist meeting
facilities and tourist entertainment facilities by paying to
the City or County a portion of the increased State Sales
Tax revenues and State Income Tax revenues attributable
thereto as in this Act provided;" and
WHEREAS, the City has constructed in the said City
"tourist meeting facilities" being a convention center and
has made appropriate application to the State for financial
assistance for said facilities all in keeping and conformance
with provisions of said legislation; and
WHEREAS, the State, after notice and in keeping with
all other provisions of said Act 763, as amended, held a
public hearing on October 6, 1982 on the City's application
fi
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and following such public hearing made the following findings
and determinations:
(a) That the tourist meeting facilities of and by the
City, are eligible facilities and have been financed by the
City through the issuance of Four Thousand Four Hundred
Seventy -Five and No/00 ($4,475.00) Dollars in Tourism Revenue
Bonds issued by the City under Act No. 380 of the Acts of
Arkansas of 1971, as amended; that the financing of such
facilities through a combination of the City's bonds and
state assistance under said Act 763, as amended, is in the
best interest of the City and the State and the City's
application should be approved.
(b) That the additional State Sales and Income Tax
revenues to be derived from the City's tourist meeting
facilities is estimated and projected and found to be $122,278.00
for the fiscal year 1983-1984 and $179,759.00 for the fiscal
year 1984-1985.
(c) That the investment multiplier for computing
additional Street Sales and Income Tax revenues is fixed at
4x.
(d) That the debt service requirements of the City for
the bonds issued to finance these facilities for the years
1982 through 2014 are set forth on page 3 of the City's
application for state assistance a copy of which, marked
Exhibit "A", is attached hereto and made a part hereof as
though set out herein word for word.
(e) That the State assistance shall be two/thirds
(2/3) of the additional State Sales and Income Tax revenues
herein estimated and projected to be generated by the facilities
annually, but in no case shall such exceed eighty (80%)
percent of the annual debt service on the bonds issued to
f
finance the facilities.
MIEM
NOW, THEREFORE, THE PARTIES HERETO MUTUALLY AGREE AS
FOLLOWS:
The State hereby covenants and agrees to pay to the
City for debt services as reflected on page 3 of Exhibit "A"
attached hereto on the City's bonds hereinabove described
issued to finance the tourist meeting facilities an amount
equal to two-thirds (2/3) of the additional State Sales and
Income Tax revenues hereinabove estimated and projected to
be generated by said tourist facilities as described in the
City's application, but not more than eighty (80%)'per cent
of the annual debt service requirementsof said bonds.
II.
The State hereby covenants and agrees that it will
certify to the State Treasurer the amount of assistance to
be paid the City which the State hereby agrees to be the sum
of $81,519.00 for the fiscal year 1983-1984 and the sum of
$119,839.00 for fiscal year 1984-1985 and directs the said
Treasurer to make quarterly payments to said City from the
"City -Counties Tourist Facilities Aid Fund" established
pursuant to the provisions of Act 763, Acts of Arkansas of
1971, as amended. It is understood by the parties that the
City will recertify, at the beginning of each two year term
that this Agreement is extended, if any, for the State's
consideration and determination, the additional State sales
and income tax revenues to be generated by said tourist
meeting facilities of the City during the ensuing term all
for the purpose of computing the amount of state assistance
to be paid the City for said ensuing term.
r
I1I.
Payment of such assistance funds by the State shall be
made to the Trustee designated by the holder of the City's
bonds (First Bank & Trust Company of Mountain Home, Arkansas,
or its successor) and said Trustee shall apply all such
funds received from said City -County Tourist Facilities Aid
Fund to the payment of or redemption of said bonds of the
City and to the payment of interest thereon. City covenants
that any remaining funds received from the State after
retirement of said,bonds shall be returned forthwith to the
State Treasurer.
IV.
Payment of assistance funds as provided for herein is
subject to approval by and appropriation of the General
Assembly of the State of Arkansas and nothing herein contained
shall be construed to be a demand of the General Assembly to
make any appropriation pursuant to said Act 763, as amended,
or to prohibit the General Assembly from amending or repealing
the said Act at any time.
V.
The term of this Agreement shall be for two (2•) years
commencing July 1, 1983, but subject to approval of the
General Assembly, will be extended from time to time for
additional terms, which additional terms shall not exceed
two (2) years.
This Agreement may be executed in duplicate of counter-
parts, each of which when so executed and delivered shall
constitute an original, but all of which together shall
constitute one and the same Agreement.
Y
THIS AGREEMENT executed in duplicate originals this
/Mk day of fv23x.�/ , 1983.
ATTEST:
ATTEST:
STATE BOARD OF FINANCE
By:
CITY OF FAYETTEVILLE, ARKANSAS
By:
C& ,K�'
Mayor
4
71.
APPLICATION TO STATE BOARD OF FINANCE FOR
ASSISTANCE UNDER CITY -COUNTY TOURIST MEETING
AND ENTERTAINMENT FACILITIES ASSISTANCE LAW
Applicant: City of Fayetteville, Arkansas.
Contact person: Donald L. Grimes, City Manager, or
•
James N. McCord, City Attorney, Post Office Drawer F, Fayetteville,
Arkansas 72701.
Eligible facilities: Tourist meeting facilities con-
sisting of a 40,500 square foot, 5 -story convention center
and adjacent parking facilities consisting of a 3 -level 290
space parking garage.
The Convention Center is located at the northeast
corner of the downtown square (intersection of Center Street
and East Avenue). It consists of auditoriums, meeting
rooms, and office space. The Convention Center, completed
in the Fall of 1981, has been leased by the City of Fayetteville
to the University of Arkansas for use by the University's
Division of Continuing Education in conducting educational
programs, short courses and seminars on a regional and
statewide basis. The seminars will be taught to groups of
both professional and nonprofessional status. These persons
will pay a fee to the University for their attendance at the
various functions. During periods of non-use by the University,
the Center is available to the general public so long as
such use does not conflict with the public use policies of
the University Board of Trustees for off -campus facilities.
The lease limits the fees the University may charge the
general public for use of the Convention Center to the cost
to the University of custodian, janitorial, and other special
services (exclusive of utility services) in connection with
such use.
The lease between the University and the City is for a
term of 23 years, subject to biennial appropriations by the
General Assembly. The basic rent payable by the University,
$122,000.00 per year,lhas been pledged by the City toward
the debt service on tourism revenue bonds issued by the City
to finance construction of the Convention Center. Under the
lease, the University is responsible for all operation and
maintenance expenses of the Center.
A 290 -space, 3 -level parking garage has been constructed
by the City on property iuuuediately northeast of the Convention
Center. The garage was financed from the proceeds of parking
revenue bonds. It will be operated by a parking management
company with whom the City has contracted. The facility
will be available to the general public on a first-come,
first-served basis. The operator will charge .hourly rates
as specified by the City; provided, spaces on the uppermost
level will be leased on a monthly basis during normal business
hours with said spaces to be made available to the general
public after normal business hours on a first-come, first-
served basis upon payment of a gate entry fee.
Fayetteville, a City of approximately 36,800 persons,
was without a Convention Center prior to construction of the
existing facility and adjacent parking garage. A 250 -room
Hilton Hotel has been constructed immediately north of the
Convention Center by private developers. Thus, the City can
now offer a Convention Center with proper seating and acoustics
conveniently located to parking facilities and room accommo-
dations. The complex is only one block from the business
route of the only interstate highway traversing the City of
Fayetteville.
Financing of eligible facilities:
The City financed construction of the Convention Center
by issuing $4,475,000.00 in tourism revenue bonds under Act
No. 380 of the Acts of Arkansas of 1971, as amended, and
financed construction of the 3 -level, 290 -space parking
garage adjacent to the Convention Center by issuing $591,000
1The annual rent is equivalent to $3.00 per square foot.
•
in parking revenue bonds
as amended, and Arkansas
4
•
•
under Arkansas Acts 1971, No. 380,
Acts 1949, No. 463, as amended. The
bonds are secured by a mortgage of the improvements antra
pledge of:
(1) rentals received by the City under its lease with
the University of Arkansas;
(2) all revenues collecte& under the City's 1% gross
1982
1983
1984
1985
1986
1987
1988
1989
1990
1991
1992
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
receipts tax levied on hotels, motels,
within the City; and
(3) net parking revenues
Debt service requirements on the bonds
CONVENTION CENTER
TOURISM REVENUE
BONDS
$341,686
341,636
387,686
404,324
424,904
438,694
440,994
437,474
438,474
438,686
433,101
432,001
435,081
436,956
432,706
437,706
431,206
433,094
438,406
441,750
443,125
442,531
289,969
Estimated Number
Year
1982
1983
1984
1985
1986
•
PARKING REVENUE
BONDS
$ 58,320
70,920
82,920
95,180
105,760
114,660
124,880
133,060
143,900
155,100
58,300
and
are
restaurants
as follows:
TOTAL ANNUAL
DEBT SERVICE
REQUIREMENT
$400,006
412,606
470,606
499,504
530,664
553,354
565,874
570,534
582,374
593,786
491,401
432,001
435,081
436,956
432,706
437,705
431,206
433,094
438,406
441,750
443,125
442,531
289,969
of Delegates Attending Regionall Meetings:
Number of Delegates
1,832
2,565
3,591
5,027
7,038'
Estimated Average Length of Stay Per Delegate
Attending Regional Meeting:
2.63 days
1 Meeting intended primarily for Delegates from outside
Estimated Amount of Expenditures by Delegates:
Year
1982
1983
1984
1985
1936
Amount. Daily Average for Delegate
$ 314,463 $ 64.05
462,290 67.25
679,633 70.62
998,965 74.15
1,468,408 77.85
Estimated Investment Multiplier: 4.0 *
Estimated Additional State Sales Tax and State Income
Tax Revenues to be Derived as a Result of the Expenditures:
Year Amount
1982
1983
1984
1985
1986
$ 56,100
82,473
121,247
178,215
261,964
See attached statistical survey prepared by Bureau of
Business and Economic Research, College of Business
Administration, University of Arkansas, Fayetteville,
Arkansas.
Expected additional expense to the State:
Estimated Additional expense to the State consists of
the basic rent and maintenance expenses payable by the
University of Arkansas under its lease with the City of
Fayetteville for the Convention Center. Basic rent is
$122,000.00 per year, or $3.00 per square foot. Mr. Fred
Vorsanger, University of Arkansas Vice President for Finance,
estimates annual maintenance expenses at $2.00 per square
foot or $81,000.00.
Local support:
The project has been endorsed by the Fayetteville
Chamber of Commerce, Downtown Fayetteville Unlimited, and
the City of Fayetteville Advertising and Promotion Commission.
•
Request for formal determination:
Tne City of Fayetteville respectfully requests the
State Board of Finance to determine that:
(1) The proposed facilities are e'•_igible facilities.
(2) The State assistance shall be t.wo-thirds of additional
State sales tax revenues and ad! o'aal State income
tax revenues estimated to be generated with the amount
of State assistance fixed separately for each of the
1 -
two bond issues.1
The economic mu'._tiolier for computing additional
State sales and income tax revenues is 4x.
(4) The estimated State sales and income tax revenues
to be produced annually shall_ be subject to-.d_ustment
based on .surveys of actual delegate/attendee expenditures
and numbers of such attendees.
Respectfully submitted,
CTTV 0P PAYET.VTT , ARKANSAS
Q1.0.S.,
Ark. Stat. Ann §19_55^.4(g) orovides t'h if a City
issues t:ao or more iso -.les of '.c•^d_; to finance e.__.gible faciiitieq
the amOL..`_ J- State assistance shall be fixed separately for
.'h issue. As ._^Cicated herein, Fayetteville issued
S4 475.000.00in r revs ,_.. bonds to __±raa
neeconvention
_eater `nand$_ 91, 000. 00in narki-pc., reven'_ ^ bonds to -finance
an adjacent parking para e.
ESTIMATED FUNDS AVAILABLE FROM ACT 763
ACTS OF ARKANSAS OF 1977, FOR THE
- CENTER FOR CONTINUING EDUCATION
FAYETTEVILLE, ARKANSAS
Prepared by: Phillip Taylor
Bureau of Business and Economic Research
College of Business Administration
University of Arkansas, Fayetteville
Fayetteville, Arkansas
July 9, 1982
ESTIMATED FUNDS AVAILABLE FROM ACT 763
ACTS -0F ARKANSAS OF 1977, FOR THE
CENTER FOR CONTINUING EDUCATION
FAYETTEVILLE, ARKANSAS
This report contains estimates of the economic impact, and consequent
state tax flows, that may be generated by the visitors utilizing the
Center for Continuing Education constructed by the City of Fayetteville.
The methodology used in generating the estimates presented here has been
patterned after that contained in a letter submitted by the City of
Little Rock to the State Board of Finance on June 8, 1977.
ACT 763, ACTS OF ARKANSAS
OF 1977, AS AMENDED
This act provides the possibility for acquiring State funds to
support the .construction of tourist meeting facilities. Application for
such funds must be made to the State Board of Finance and if the Board
rules the subject tourist meeting facilities to be eligible, the city or
county making the application may receive from one-third to two-thirds
of the additional State tax revenue generated by the facility, not to
exceed 80 percent of the debt service requirements of the facility.
The Act specifies that an investment multiplier of from 2 to S can
be used in making the revenue estimates. It also provides that only
increases in State revenues resulting from the use of the facility, and
after allowing for any increases in State costs, shall be considered in
determining the amount to be refunded to a city or county.
•
DELEGATION UTILIZATION
OF THE CENTER FOR CONTINUING EDUCATION
The data contained in Table
both the number of functions and
from Fiscal 1971 to Fiscal 1982.
•
I indicate considerable fluctuation in
the total attendance at these functions
However, prior to the construction of.the
Center for Continuing Education there was little space available for
continuing education and conventions on the campus of the University or
in the city. Also, coinciding with the opening of the Center for
Continuing Education, the Division of Continuing Education began to
actively develop a plan for marketing the programs that would utilize the
new facility.
The first regional meetingl utilizing the Center for Continuing
Education was held on January 15, 1982. A summary of the number of
meetings of this type during the six-month period from January through
June, 1982, is provided in Table II. As shown in that table, there
were eleven such meetings with 916 delegates. The "average length of
stay" for each delegate was 2.68 days. Annualizing the above data yields
an estimate
of 1832 delegates staying a total of 4,910 days during 1982.
At the present
events listed on its
time, the Center for Continuing Education has 72
calendar. The distribution of these events by
date and estimated attendance is given in Table III. Based on this infor-
mation and existing development plans, the Division of Continuing Education
estimates an annual increase of 40 percent
in the number of delegates
attending regional meetings at the Center between 1982 and 1986. These
estimates are shown in Table IV.
'As defined in Act 763 of 1977.
•
TABLE I
ATTENDANCE AT CONFERENCES, INSTITUTIONS & WORKSHOPS
UNIVERSITY OF ARKANSAS
FAYETTEVILLE CAMPUS
(1970-1982)
Fiscal Number of Total
Year Conferences. Attendance
Percent Change
in Attendance
1970-71 63 8,003
1971-72 81 12,127 51
1972-73 73 6,471 - 52
1973-74 62 7,565 27
1974-75 81 9,534 26
1975-76 109 13,001 36
1976-77 122 12,010 8
1977-78 57 7,600 - 37
1978-79 98 12,746 68
1979-80 85 11,497 - 10
1980-81 96 13,954 21
1981-82 115 15,069 8
Source: Division of Continuing Education, University of Arkansas,
Fayetteville.
TABLE II
REGIONAL MEETINGS AT THE
CENTER FOR CONTINUING EDUCATION
JANUARY 1, 1982 - JUNE 30, 1982
Length of Number of Number of
Stay (days) Events Delegates
1 1 45
2 6 470
3 1 145
4 2 244
S 1 12
11 916
Source: Derived from information
provided by the Division of
Continuing Education, University
of Arkansas, Fayetteville.
TABLE III
FUTURE MEETINGS CURRENTLY1
LISTED ON CALENDAR
• CENTER FOR CONTINUING EDUCATION
Number of Estimated
Year Month Events Attendance
1982 July 19 1;613
August 10 1,925
September 5 510
October 11 1,050
November 7 907
December 1 100
1983 January 1 100
February 2 200
March 1 100
April 6 1,580
July 2 266
October 1 150
November 1 200
1984 March 2 400
April 2 600
1985 October 1' 1,200
1July 8, 1982
`Source: Derived from information provided by the Division of Continuing
Education, University of Arkansas, Fayetteville.
TABLE IV
PROJECTED NUMBER OF DELEGATES
VISITING THE CENTER FOR
CONTINUING EDUCATION
1982 - 1986
Year
Number of
Delegates
1982 1,832
1983 2,565
1984 3,591
1985 5,027
1986 7,038
Source: Derived from information provided by the Division of
Continuing Education, University of Arkansas, Fayetteville.
It should be noted that the Hilton Hotel, adjacent to the Center for
Continuing Education, also promotes the use of the Center. Moreover, by
September 1, 1982, the Hilton management expects to add a person to their
staff with the specific objective of further enhancing the flow of
delegates utilizing the Center facilities. Consequently, the projections
presented in Table IV would appear to be reasonable and, in fact, minimum
in nature.
DELEGATE EXPENDITURES
There are no studies.currently available that reflect the expenditures
of delegates visiting the Center in Fayetteville. However, for the 1978-1979
period a study conducted by the Little Rock Convention Bureau found the
average daily expenditure per delegate to be $55.62. Moreover, that same
study found delegates attending trade shows spent $78.00 per day, while
exhibitors at those same shows spent $193 per day.
For purposes of this report, it would seem reasonable to assume that
delegates attending meetings in Fayetteville spend amounts similar to those
attending meetings in Little Rock ($55.62). Thus, the data presented in
Table V are premised on that assumption and, in addition, are adjusted
for inflation. Table IV combines the information in Tables IV and V to
develop total spending by delegates attending regional meetings.
IMPACT ON STATE
REVENUE COLLECTIONS
Act 763 of 1977 specifies that the state revenues to be considered in
making estimates of impact are those derived from the income and gross
Year
TABLE V
EXPENDITURES PER DELEGATE
Daily Total
1978-1979 $55.621 $149.064
1980-81 61.002 163.48
1982 64.053 171.65
1983 67.25 130.23
1984 70.62 189.26
1985 74.15 198.72
1986 77.85 208.64
11973-1979 Convention Expenditure Survey, Convention
Bureau, Little Rock.
2Adjusted for inflation as estimated by the U.S.
Travel Data Center, Washington, D.C.
3Assuming a 5% inflation rate for each year from
1981 through 1986.
4Based on the Center for Continuing Education (Fayetteville)
experience in 1982 that indicates an average length of delegate
stay at a regional meeting of 2.68 days.
Year
1982
1983
1984
1985
1986
TABLE VI
ESTIMATED TOTAL SPENDING OF DELEGATES
ATTENDING REGIONAL MEETINGS
Number of
Delegates
1,832
2,565
3,591
5,027
7,038
Spending per
Delegate
$171.65
180.23
189.26
198.72
208.64
Total
Spending
$ 314,463
462,290
679,633
998,965
1,468,408
•
sales taxes. Thus, the estimates developed in this report are based on
individual and corporate income taxes and the gross sales tax.
The Act also specifies that an "investment multiplier" of from 2 to
5 may be used. The term "investment multiplier" is not defined in the
Act. Thus, for purposes of this report, it is assumed to mean the number
of times a dollar spent by a delegate will "turn over" in the Arkansas
economy. In its letter to the State Board of Finance dated June 8, 1977,
the City of Little Rock assumed a multiplier of four (4). The estimates
that follow are predicated on that same assumption.
Since the "multiplier" may be said to act on Gross State Product,
rather than income, but the subject taxes are generally related to income,
a transition must be made between Gross State Product and Personal Income.
Data, for 1975, developed by the Industrial Research and Extension Center
indicate the Gross State Product to by $9,745,000,000. For that same
•
year, the Bureau of Economic Analysis of the U.S. Department of Commerce
estimated Personal Income in Arkansas to be $9,775,000,000. (Subsequent
alterations in base data from which these estimates were derived may have
caused the actual numbers to be modified slightly since the original
work was carried out.) Given the similarity between these two estimates,
it is assumed that, numerically, Gross State Product and Personal Income
in Arkansas are equal
Table VII contains a step-by-step illustration of the estimating
methodology used to develop the estimates of the impact on State
revenue of -the Center for Continuing Education. The following table
(VIII) presents the estimates for each year from 1982 through 1986,
using the illustrated methodology.
Individual Income1
Corporate Income-
Gross Sales2
Total
•
TABLE VII
ILLUSTRATION OF THE METHODOLOGY
USED TO COMPUTE
STATE REVENUE IMPACT
1980
Tax Collections
$314,698,501
83,580,805
332,566,535
$730,845,861
Personal Income in 19803 = $16,402,000,000
Total Tax Collections
Personal Income
$730,845,861
$16,402,000,000
Effective Tax Rate
0.044558 or 4.46%
1982
Delegate Spending4
Multiplier
• Personal Income Generated
Effective Tax Rate
Additional Revenues
$ 314,463
x 4
$1,257,852
x .0446
$56,000.1992
1Individual Income Tax liability as shown in Arkansas Individual
Income Tax Data from 1980 Returns, Revenue Division, Department of Finance
and Administration, January 6, 1982, p. 7.
2Statement of Gross Tax Collections, Revenue Division, Department of
Finance and Administration, January 1, 1982.
'Bureau of Economic Analysis, U.S. Department of Commerce, April 1982.
4Table VI.
Year
1982
1983
1984
1985
1986
TABLE VIII
ESTIMATED ADDITIONAL STATE REVENUES
GENERATED BY THE
CENTER FOR CONTINUING EDUCATION
Regional
Delegate
Spending
$ 314;463
462,290
679,633
998,965
1,468,408
Personal
Income Generated
$1,257,852
1,849,160
2,718,532
3,995,860
5,873,632
Revenue
Yield
$ 56,100
82,473
121,247
178,215
261,964
ALLOWED REFUND
OF INCREASE IN STATE
REVENUES
The Act provides two conditions in establishing the allowed refunds
from any amount of increase in State revenues generated by delegates
meeting at the Center for Continuing Education. The first condition
provides that not less than one-third nor more than two-thirds of any
established increase in revenues may be refunded. Table IX contains the
estimated minimum and maximum as determined by this condition A second
limiting condition pertains to 80 percent of the debt service requirements.
This latter condition has not been considered as a factor in making the
estimates contained herein.
Year
TABLE IX
ALLOWED REFUND RANGE
Revenue
Yield Minimum Maximum
1982 $ 56,100 $18,700 $ 37,400
1983 82,473 27,491 54,982
1984 121,247 40,416 80,831
1985 178,215 59,405 118,810
1986 261,964 87,321 174,643
FAYETTEVILLE, ARKS vSAS
POSTAL DRAWER F
September 27, 1982
OFFICE OF CITY ATTORNEY
72701 (501) 521-7700
Mr. Joe Stewart
Department of Finance and
Administration
P. 0. Box 3278
Little Rock, Arkansas 72204
Re: Application for Assistance under City-
Coiinty Tourist Meeting and Entertainment
Facilities Assistance Law
Dear Mr. Stewart:
As requested by the subcommittee of the State Board of
Finance reviewing the applications of the cities of Little
Rock and Fayetteville for financial assistance under the
City -County Tourist Meeting and Entertainment Facilities
Assistance Law, I enclose an addendum to the July 9, 1982,
statistical survey attached to Fayetteville's application.
The addendum is submitted to update the data in the original
survey based on information currently available and to
convert the estimates to a.fiscal year basis. The application
of the. City of Fayetteville should be considered amended in
the following respects to conform with the addendum:
Estimated Number of Delegates Attending Regional Meetings:
Year Number of Delegates
1982
1983
1984
1985
1986
916
3,803
5,324
7,454
10,435
Estimated Amount of Expenditures by Delegates:
Year
Amount Average for Delegates
1982 $ 157,231 $171.65
1983 685,415 180.23
1984 1,007,620 189.26
1985 1,481,259 198.72
1986 2,177,158 208.64
Mr. Joe Stewart
September 27, 1982
Page Two
Estimated Additional State
Tax Revenues to be Derived
Year
1982
1983
1984
1985
1986
If additional
upon request. 'It
of Finance will ho
1982, beginning at
Room of the State
Thank you for
JNM/ts
Enclosure
cc: Mr. Don Grimes
Amount
$ 28,050
122,278
179,759
264,257
38S,405
Sales Tax and State Income
as a Result of Expenditures:
information is needed, I will provide it
is my understanding that the State Board
ld the required public hearing on October 6,
1:30 p.m. in the Governor's Conference
Capitol.
your assistance.
Sincerely,
CITY ATTORNEY
%iYvL✓
,��mes N. McCord