The Tulsa suburb of Broken Arrow will work with a private partner in its bid to develop a hotel conference center that was to have been financed with bonds.
The City Council last week directed city manager David Wooden to negotiate with Stoney Creek Hospitality Corp. It was the only company to respond to the city’s request for proposals.
A city committee has recommended creation of a tax-increment financing district to assist the project. It would be financed by city sales and hotel room taxes generated by the conference center.
Voters in May 2004 approved $6.6 million of bonds for the project, but officials last year called the funds insufficient. The latest estimate is $15.5 million.
In November, voters rejected an $8 million bond package to complete the financing for the facility, along with a separate request for $8 million of bonds for a new public safety complex.
Wooden said the bonds authorized by the 2004 election would not be issued. Using the proceeds for a different purpose would require another election, he said.
Broken Arrow’s GO bonds are rated A1 by Moody’s Investors Service and A-plus by Standard & Poor’s.