City’s Reaction To New CVB Proposal

COLUMBUS, Miss. (PRESS RELEASE) – Below is a press release from the City of Columbus regarding the negotiations with the of a proposed restaurant tax.

 

CVB Surprises City With New Demands In a series of surprise actions at their meeting on Monday, January 22, 2018, the Columbus Convention and Visitor’s Bureau disregarded a previous agreement with the City and added new demands.

By a unanimous 9-0 vote, the CVB Board added two new requirements to the City for adoption of an agreement to submit to state officials for approval.

The first surprise was a requirement for the City to donate one-third of the property on Main Street where the old Gilmer Inn once stood.

The City spent $926,547 on that lot with land purchases and clearing.

CVB is now demanding approximately one-third of that lot at no cost.

The second surprise is a requirement that the CVB manage and operate the new Terry Brown Amphitheater that is being built by the City just off the Tombigbee River.

Working with the State of Mississippi, the City has invested $3.2 million in the facility.

The demands surprised City officials on Monday since the CVB did not take part in either the Gilmer project or the Amphitheater project planning nor did it offer any financial assistance.

Tuesday evening, Columbus Mayor Robert Smith said: “The demands from the Monday meeting of the Columbus Convention and Visitor’s Bureau are punitive for the citizens of Columbus. The City of Columbus has made major compromises in our discussions and these demands are unbalanced and unfair to the City.”

“The CVB did not participate in the work at the Amphitheater or the purchase and demolition of the Gilmer Hotel and the adjacent property. Handing over these assets of these sites to meet the demands of the CVB would be irresponsible.”

“For several months, the City of Columbus has been negotiating with the Columbus Convention and Visitor’s Bureau to enter into an interlocal cooperation agreement that would benefit all parties involved regarding the distribution of funds from the special two-percent sales tax.”

“An initial agreement was in place for funding toward Propst Park and the Terry Brown Amphitheater from the special tax. We have negotiated in good faith and have been more than fair, but we have to draw the line on where this stops with the unrealistic demands of the CVB.”

“As Mayor, I hope the CVB will drop the new demands that threaten an agreement between the CVB and the City. I cannot recommend to our City Council that we give into these unfair requirements.”

“We have made major compromises in good faith during these discussions and ask only for the same thing from the CVB.”

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