Johnson County poised to put funds toward Coralville arena project

CORALVILLE - The Johnson County Board of Supervisors plan to put some financial skin in the game toward Coralville's proposed $70 million arena and sports center.

An actual dollar amount will be decided soon, but the five-member board on Thursday expressed interest in providing some form of financial assistance toward Coralville's efforts.

'I think this is an investment in the area and if we can help I want to be a part of that, but obviously we need numbers,” said Supervisor Lisa Green-Douglass.

The Iowa Economic Development Authority board last month told Coralville officials that approval of $12 million in state funds toward the city's project was close, but the board wanted to see local investment in the project from the county.

Coralville City Administrator Kelly Hayworth said he is working to get more information from the state board on a specific dollar amount that would suffice.

Approval seemed unanimous among members of the Johnson County Board of Supervisors during the Thursday meeting and a formal vote could take place next week.

Supervisor Janelle Rettig said she too supports the project and added that she is open to a variety of investment options, including through affordable housing, solar power or stormwater management efforts, which align with county goals.

'I for one am not going to stand in the way of this project,” Rettig said. 'I want the county involved. I think we just have to figure out what the dollar amount is and the rest we can figure out, but we just have a few weeks to figure that out.”

Coralville officials hope to secure a county pledge before the IEDA's June 17 meeting.

The county's investment should be enough to secure $12 million in state money being eyed for the project, which will take place in the Iowa River Landing.

Officials first presented the project to the state authority in late May 2015.

The city wants $12 million from the authority's state-funded Reinvestment District program, which allows new state sales taxes and excise taxes - which are sales tax collections at hotels and different from locally collected hotel/motel taxes - to be reinvested within approved districts.

If approved, those funds would go toward construction of a 6,216-seat, multiuse arena and the Iowa Fitness and Sports Performance Institute - projected to cost more than $69 million.

Officials say ground could break on the project next J

The state board last summer pledged Coralville about $9.5 million. But with Davenport - which received a pledge for $10.7 million - since backing out of the program, Coralville's request bumped back to $12 million.

While viewed by those involved as a boon for Johnson County, some to the north in Linn County have raised concerns over Coralville's arena plans and the competition it brings to the market. It could put pressure for bookings on the U.S. Cellular Center in Cedar Rapids.

In order to receive state funding, Coralville officials need to ensure the project opens debt-free.

Those state funds are tied to the arena project, but city officials have much larger goals for the 180-acre Iowa River Landing. All told, the area is poised to see a more than roughly $160 million investment - much of which would be private.

Other projects include a $9 million retail building that also would provide a home for the Antique Car Museum.

Hayworth said a study found that the district could have an economic impact of $1.2 billion over 20 years.

Josh Schamberger, president of the Iowa City/Coralville Area Convention and Visitors Bureau, said about $14 million still needs to be secured for the arena project, which does not include the potential $12 million in state funds.

The bulk of those funds likely will be secured through sponsorships and naming rights.