(Source: Odessa American)

By Geoff Folsom, Odessa American, Texas
Nov. 2--A split Odessa City Council voted to potentially give developer Larry Lee's planned shopping center more money than was originally anticipated.
With councilmen Bill Cleaver and Benjamin Velasquez opposing, council voted 3-2 to amend the original proposal to award up to $5.1 million in infrastructure incentives at the planned Chimney Rock Center, located at the northeast corner of Highway 191 and Northeast Loop 338. Velasquez had moved to award the development the $4.48 million that was part of the original agreement.
"It was what the developers feel they needed to make the project work," City Manager Richard Morton said after the meeting.
City Attorney Larry Long said the incentives come from reimbursement of half the city sales tax spent on the project until the development's infrastructure requirements are paid for or it reaches the cap of $5.1 million.
Among the improvements that can be made with money from the city, which is part of the Chapter 380 retail incentive guidelines council approved at its Oct. 13 meeting, are water and sewer construction, electric infrastructure installation, Texas Department of Transportation improvements for access to the center, parking lot work, and landscaping improvements that include a retention pond.
"If they spend less than ($5.1 million), they will get less," Morton said.
The city projects that, even with splitting sales tax revenue into 2019, it will make $116,166 next year off the center, $311,665 in 2011 and $509,296 in 2012, when construction is expected to be completed. By 2024, it projects bringing in a total of $12,703,531 in sales tax. The city also plans to make money off construction-related sales tax.
Best Buy, Academy Sports and Outdoors and Marhsall's and other retailers are expected to build at the Chimney Rock Center, which could cost $40 million and employ more than 600 people when complete.
Also Tuesday, council approved a $4.437 million bid with Onyx Contractors Inc. of Midland for renovations to Sherwood Park. Though Onyx actually offered the second lowest price of the four companies to bid on the project, it outrated the others on a competitive sealed proposals scale that also takes into account the number of planned working days, the resume of the project superintendent, the contractor's experience with similar projects and experience from irrigation and electrical contractors on similar projects.
Although one company bidded lower than Onyx, Morton said the best company won out, and that the city was able to negotiate an additional $400,000 off Onyx's original bid.