The Lexington Council is asking the Kentucky General Assembly to grant the city the authority to raise its hotel-motel tax to help fund construction of a new convention center. The request is one part of a funding package outlined during Tuesday’s work session.
A two percent increase in the transient room tax and $75 million in state money is being sought to pay for the expansion of the convention center. The plan calls for growing the exhibit area, a new ballroom, and more meeting space. Lexington Center CEO Bill Owen told council that renovation alone is not the answer. “Heritage Hall cannot be expanded, it's bounded on all four sides by Rupp Arena, Vine Street, Main Street, Mary Todd Lincoln House and Mary Todd is not moving,” said Owen.
Jewelry store owner Sheila Bays told council the civic center retail area needs major improvements. “As a merchant who has made a long time commitment to downtown, I would like to stay downtown," said Bays. "But, having said that, I can’t continue to keep my business in a place that there’s no business."
Bays says a number of civic center retailers have closed their doors. Marty Rothchild with the Hilton Lexington Downtown says Lexington’s convention business is lagging behind other markets.
Unlike the last convention center proposal, a major overhaul of Rupp Arena is not included in the plan. Council Member Richard Moloney hopes UK basketball remains a part of the downtown scene for years to come. “We need to have a relationship with the University of Kentucky because, if we do get this, the last thing I want to see is the University pulls out, and puts one on their site," Moloney said. "I don’t want to ever see that, so hopefully, we’ll get a better relationship."
The $250 million project does includes a new roof and tech upgrades for Rupp Arena. ? A final vote on a state resolution on the transient room tax is expected next week.
