When the University of Nevada-Las Vegas proposed building a $900 million football stadium back in February, school president Don Snyder said he would “look creatively” for ways to fund it. “Creatively,” it now appears, means asking for county-wide sales and hotel tax hikes:
A UNLV stadium board member, Regent James Dean Leavitt, proposed Wednesday that the Clark County sales tax and the lodging room tax be increased slightly to help pay for an on-campus domed stadium of 50,000-55,000 seats.
Leavitt said University of Nevada, Las Vegas students should also pay a suggested $100 toward a “perpetual fund” for major university projects such as a stadium or medical school.
Raising the county sales tax by 0.25% would generate an estimated $79 million a year in new revenues, while a room tax surcharge of 1% would generate $44 million a year; since $900 million in bonds would cost something like $60 million a year to pay off, this would certainly cover the bill. As to why Clark County would want to do such a thing, presumably Leavitt believes that stadium consultant’s nonsense about $500 million a year in economic impact from a new stadium, even though the actual operating profit is estimated to be just $13.9 million a year — or way, way less than the stadium bonds would cost to pay off.
Anyway, plenty of other members of the stadium board are opposed to one or the other of the tax hikes, so this will probably now enter the haggling stage for the time being. But with the board set to make recommendations to the state legislature by the end of September, it’s fair to say that we can see what direction this thing is heading in.