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Legislation #: 090166 Introduction Date: 2/26/2009
Type: Resolution Effective Date: 3/15/2009
Sponsor: COUNCILMEMBERS JOHNSON, FORD AND SANDERS BROOK
Title: Directing the City Manager to explore and assess all reasonable alternatives that would eliminate or reduce the subsidy of annual operations for Kemper Arena, the American Royal Center Complex and related facilities; and directing the City Manager to report these alternatives within 60 days.

Legislation History
DateMinutesDescription
2/26/2009 Filed by the Clerk's office
2/26/2009 Referred to Finance and Audit Committee
3/4/2009 Immediate Adoption
3/5/2009 Adopted

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RESOLUTION NO. 090166

 

Directing the City Manager to explore and assess all reasonable alternatives that would eliminate or reduce the subsidy of annual operations for Kemper Arena, the American Royal Center Complex and related facilities; and directing the City Manager to report these alternatives within 60 days.

 

WHEREAS, the City of Kansas City, Missouri owns the Sprint Center, the American Royal Center Complex, including Kemper Arena, and the Bartle Hall Convention Center Complex; and

 

WHEREAS, the City is financially responsible for the operating costs and income at the American Royal Center Complex, including Kemper Arena, and the Bartle Hall Convention Center Complex; and

 

WHEREAS, prior to the Sprint Center opening on October 13, 2007, Kemper Arena was the primary arena venue for the Kansas City region and the primary generator of income to the American Royal Center Complex; and

 

WHEREAS, Kemper Arena and the other facilities within the American Royal Center Complex have historically supported and continue to support the Convention, Trade Show, Corporate Meeting, and Public Show activities and the economic benefits associated with these activities, by hosting public shows that cannot be accommodated at the Convention Center Complex and by providing supporting facilities complementing various conventions, trade shows, and corporate meetings; and

 

WHEREAS, even when Kemper Arena was the primary arena venue for the Kansas City region, the American Royal Center Complex incurred operating deficits; and

 

WHEREAS, since Kemper Arena is no longer the primary arena venue in the region, and operating income to the facility has been dramatically reduced, Kemper Arena and the American Royal Center both continue to have operating deficits and such deficits are projected to continue into the future; and

 

WHEREAS, the American Royal Center Complex hosts the annual American Royal Livestock Shows, rodeos, equine and other events; and

 

WHEREAS, the American Royal Association has an agreement with the City for the use of the American Royal Center Complex through 2045; NOW, THEREFORE,

 

BE IT RESOLVED BY THE COUNCIL OF KANSAS CITY, MISSOURI

 

Section 1. That the City Manager is hereby directed to explore and assess all reasonable alternatives that would:

 

        Eliminate, or at least substantially reduce, the need for the City to subsidize annual operations and future capital outlays for the Kemper Arena, the American Royal Center Complex and related facilities; and

 

        Eliminate, or at least substantially reduce, any existing debt service for the Kemper Arena, the American Royal Center Complex and related facilities.

 

Section 2. That the City Manager shall complete this assessment and provide a report of all the alternatives considered, an analysis of these alternatives, and recommend a course of action to the Mayor and City within 60 days of the adoption of this resolution.

 

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