Council: $75M to finance Project Vector venue
November 21, 2024
Baytown city council has declared that it will use the $75 million provided by ExxonMobil to design, construct, acquire, purchase equipment and improve a multi-purpose venue as part of Project Vector.
Economic Development Manager Brian Moran said council’s approval was the first step of the process of potentially issuing “interim or stop-gap financing” that could be needed for Project Vector to build a multi-purpose use venue.
“Under state law, Baytown has the ability to finance this type of project, Moran said. “However, due to state and federal regulatory requirements, we are required to formally declare our intent for any early expenditures to comply with the tax-exempt financing rules.”
Moran said the resolution includes all filing expenses incurred up to 60 days before its adoption.
“It also allows the city to reimburse itself from any future financial obligation within a set time frame,” Moran said. “This is usually within 18 months after the project is completed and no longer than three years after the original expenditure.”
Moran emphasized that council approving the resolution did not mean the City of Baytown was issuing any type of debt or financing.
“It is simply a Declaration of Intent and we are not issuing any type of debt or obligation at this point,” Moran said.
Baytown Mayor Brandon Capetillo said he felt the resolution’s adoption adds an additional layer of transparency and accountability for the project.
In August, Ryan Walsh, CEO and executive director of the Harris County Sports and Convention Corporation, visited council and said the project involves building a sports-like facility somewhere in Baytown.
In September, council had approved giving $1 million to the Harris County Sports & Convention Corporation as part of an addendum to an interlocal agreement initially made in January.
Capetillo said at his State of the City in October that a site was identified for Project Vector. He described it as an entertainment district built around a multi-purpose arena that will host youth sports such as volleyball and basketball tournaments and seat from 3,000 to 5,000. The city has not yet announced a specific site for the venue.