Wichita Voters Nix Subsidy

A plan to rebate $2.25 million of city hotel tax revenue to developers of a new hotel in downtown Wichita was rejected last week by 61% of voters.

Less than 14% of registered voters in the city actually cast ballots.

The rejected plan, which was approved earlier this year by the City Council, would have rebated 75% of the room tax generated at the 117-room boutique hotel to the developers for 15 years.

Proponents of the rebate plan reported they spent almost $300,000 on a media campaign.

Opponents of the plan said they spent approximately $30,000 to fight the proposal.

An opinion survey before the election funded by proponents found 55% of those expected to vote early were in favor.

The developer of the project, which is about 15% complete, said work would continue to convert an old bank building into a hotel.

The rebate was to provide 10% of the funding for the $23 million conversion effort.

For reprint and licensing requests for this article, click here.
Kansas
MORE FROM BOND BUYER