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Kevin Gullette, the city's director of Economic Development and Tourism (foreground), listens to speakers. |
For more than three hours last night, more than 50 people told Fredericksburg's City Council what they thought about plans to offer incentives to Kalahari Resorts for its plan to build a $200 million water park hotel in Celebrate Virginia.
As of 10:15 last night, speakers had come out nearly 3-to-1 in favor of the project, but several voiced strong opposition.
Several speakers referred to past events that paved the way for the Kalahari project.
Former Mayor Bill Greenup and former Councilman Harold Bannister said they thought past councils showed great foresight in annexing the city land to the west of Interstate 95 and rezoning the land for Celebrate Virginia.
But Kitty Farley, who spent hours sitting in the public hearing back in 1998 that preceded the council's controversial vote for the rezoning for Celebrate Virginia, said she feels the Kalahari decision could be as detrimental to the city as she thinks that decision was.
Like several other speakers, she asked council members to slow down, and to wait until they receive and analyze the results of an outside consultant's study of the project's impact before they approve anything.
"It feels like dejà vu all over again," Farley said, referring back to the 1998 vote on Celebrate Virginia. "Please don't repeat the past mistakes of City Councils by rushing this decision."
Many speakers brought up concerns that have been voiced throughout this debate--whether there's enough water for a giant water park and how much traffic the project will bring.
City officials have said they have the capacity to meet Kalahari's water needs, and that the traffic impact won't hit at rush hour.
Other speakers questioned the sustainability of the water park business. As the city is watching revenues from Central Park, once its prized cash cow, dwindle, several residents wondered what happens if water parks fall out of favor with tourists?
City resident Anne Gray Fuller asked whether the city could believe the promises that have been made that Kalahari will be the catalyst that gets Celebrate Virginia going.
"It has been called an anchor that would spur development," she said.
"I thought the conference center was supposed to do that."
But other residents called the Kalahari decision a "no brainer," and said it's crucial if the city wants to have enough money to keep providing basic government services.
A presentation before the hearing by Economic Development Director Kevin Gullette implied that having Kalahari is critical to Fredericksburg's continued survival as an independent city.
"The Kalahari resort can help the city avoid a devastating real estate tax increase," city resident Susan Spears said. "Do not negotiate Kalahari out the door."
Patrick Timpone asked, "If not Kalahari, then what?"
He said homes would bring kids to educate, retail would bring more traffic, and offices wouldn't generate very much tax revenue.
"Kalahari is the only source of immense tax revenue that has come down the pike to Fredericksburg in many years," he said.
Amid the discussion was another common message: that Kalahari's African theme, which a few speakers mocked, just doesn't "fit in" in a small historic city like Fredericksburg.
"Kalahari Waterpark may transform Fredericksburg as a tourism destination, all right, but in a way that detracts from rather than adds to Fredericksburg's value," said city resident Rebecca Hanmer.
She said Kalahari would "trivialize" the city's location at the Falls of the Rappahannock, and that the park misuses its African theme.
"We will be the city of Kalahari, home of the Tanzanian Twister, described by their Web site as a giant toilet-bowl flush," said city resident Sallie Dayger.
On the other hand, a few city business owners pleaded with the council to approve the Kalahari deal.
They said the more than $200 million Kalahari plans to invest in the area, and the services that such a giant resort would need on a regular basis, would provide more work for all of them.
And a young mother of three, Cynthia Hendrickson, said that although some have turned up their noses at the service-level jobs Kalahari would bring to the area, she's glad to have them.
"Not everyone has the education or training to earn an executive six-figure income," she said. "My husband is looking for work, and if Kalahari were here today he would have a plethora of jobs to apply for."
Emily Battle: 540/374-5413|
700 hotel rooms in the first phase. The second phase of the project would include an additional 200 rooms.
a 125,000-square-foot indoor water park a 170,000-square-foot outdoor water park 100,000 square feet of hotel will also include a spa, mini golf, bowling and other family |
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The city will waive more than $3 million in up-front fees that Kalahari would have to pay to build its project. Fees to be waived include:
water and sewer availability and connection fees various zoning and planning fees building permit and inspection fees fire permit and inspection fees The city will return 47.5 percent of the local tax revenues that Kalahari generates to the resort for 20 years. Kalahari has projected that it will generate about $6 million a year in local taxes. Those local taxes include: business license tax real estate and personal property taxes the one percent of the sales tax that is local, and not designated for education meals tax lodging tax admissions tax The city is going to sell water and sewer services to Kalahari at cost. Kalahari's rate will rise and fall as the city's cost rises and falls. In addition to its more than $225 million initial investment, Kalahari must invest an additional $25 million in the property within the first 10 years of this 20-year agreement. That additional $25 million would translate to another 200 hotel rooms, and more water-park space. If Kalahari doesn't make this additional investment, all the incentives end after |
| Steve Pine, development director for Kalahar: "We understand that people have questions. The group you have in front of you here has studied harder and done more due diligence than anybody ever has. I think, for sure, you will find us to be a good neighbor."
Conrad Warlick, chairman of the Economic Development Authority: "It will help make Fredericksburg a destination, not just an area for people going up and down 95 to drive by." Anne Gray Fuller, Fredericksburg resident: "All the taxes in the world do not matter if there is no water available. ... Please do not sell us down the river, or what's left of it, for the almighty dollar." Jeff Small, city business owner: "I think the golden goose has dropped the golden egg in the lap of this city. ..." "Don't lose these guys, these guys will provide jobs. ... I'd like the council to have the money to not raise our taxes anymore." Ed Sandtner, city resident: "If the water park and hotel complex are going to be such a great success why does the city need to subsidize it and provide a financial buffer?" Sallie Dayger, city resident: "Kalahari is another hideous addition that Mr. Silver is imposing on this historical city." |
