Susan Sieger, president and CEO of Crossroads Consulting, presented a feasibility report to the Walton County Board of County Commissioners regarding the possibility of establishing a new DeFuniak Springs sports complex. Ms. Seiger said they considered a potential complex featuring 8-10 tournament-quality, lighted baseball and softball fields, with some multi-purpose fields for lacrosse and soccer or a possible indoor facility for basketball, volleyball, gymnastics and other indoor sports. Ms. Sieger noted that there is a demand for both outdoor and indoor sports facilities. “There’s more demand, from a short-term perspective, for the outdoor field complex, just because you have less of those fields.” Sieger went on to say that the demand came from various user groups that utilize such fields, and said the area has a good package from an amenity perspective and strong industry partners who are used to hosting events. “It’s not recession proof, but it really weathers economic downtowns much better than other industries,” she added. She noted that potential challenges include strong competition from existing facilities – both indoor and outdoor. There are planned new facilities in nearby markets – Panama City Beach and Pensacola. Another concern is the distance from major airports. Motel room rates and availability are issues, too, as well as general economic conditions. Sieger suggested that if the commissioners proceed, they should do the development in phases, beginning with the outdoor fields first, phase two could be construction of the indoor facility at a later date. Sieger’s team identified eight possible sites, and then outlined the top three sites that seemed most able to accommodate the planned outdoor and indoor facilities. The top ranked site is a parcel north of the former Healthmark Regional Medical Center on U.S. 331 South. The second is near a local chicken farm and the third is on Bob Sikes Road. From a cost perspective, the indoor facility is estimated at $22 million dollars. The outdoor field costs vary between $33 million to $43 million depending on the site. Following the presentation, Commissioner Danny Glidewell made a motion to schedule a staff workshop with TDC and Parks and Recreation personnel, which would be open to the public, to get public input on the various site options. Commissioner Brad Drake noted that the decision of whether to move forward had not yet been made, so choosing a potential site would be premature. He also commented on the significant short-term losses while the complex is in its early stages. He and Commissioner Donna Johns expressed concern about possible funding sources and potential operating losses. Commissioner Glidewell noted that while the daily operating costs would present a loss, the net gain from the increased tax revenue shown in the report could help make up for the deficit in operating costs. Ms. Sieger noted that there were also additional revenue streams that were not specified in the report, such as naming rights, user fees, possible leased retail space in the indoor facility, and parking fees, which could help mitigate loss. She said the outdoor site could host as many as 26 potential tournament days or 58 event days. “Again, much more opportunity with the outdoor complex,” she added. “These (sports complexes) tend to operate at a deficit, no different than some of your other assets, whether that is a library or a park. The difference is these do contribute a lot toward the expenses,” said Sieger. The estimated revenue from the new sports complex would be about $1 million dollars, with expenses at about $1.1 million. “About $200,000 on the deficit but covering about 80 percent of its expenses,” she said. Sieger noted that the local community impact would be significant. “Getting back to the sports tourism centric, we are able to generate significant output. Spending in your hotels, your restaurants, your retail… the outdoor field complex is about $17 million dollars in total output, compared to about $5.2 on an annual basis,” she said. “And then jobs – the spending creates jobs in the county – so, about 130 jobs created, not at the complex but because of the spending.” The outdoor field is estimated to have a higher economic impact than the indoor complex due to its projected usage. According to Sieger, the complex would also create additional tax revenue. The outdoor field complex should bring in around $1.2 million annually. “So, if you think about that, that’s easily offsetting your deficit.” Another factor is the temporary positive economic impact of construction itself, which would be between $19 - $25 million dollars because of the estimated 125 - 160 construction jobs. Following the presentation, the commissioners discussed the various pros and cons of the issue. Commissioner William ‘Boots’ McCormick said, “Let’s give the public a chance to weigh in because if the public’s not even behind the general concept of doing this, then we’re all fighting a losing battle. So, I say we eat this apple one bite at a time. Let’s get some public input and see if we even have support, generally, from the public.” Commissioner Donna Johns said, “I think we need to consider the funding budget first – where are we going to get the money from, how much money are we going to be able to get, that sort of thing, before we start having the public decide where to put this. I think we need to back up a little bit and take the steps as they come.” After more discussion, County Administrator Stan Sunday suggested that the commission schedule a public workshop, with Parks and Recreation and Tourism Department staff, as well as the consultants, for the purpose of finding out what the public thinks about the overall concept. “Assuming that they approve of the concept, we would then move into ‘what type of facilities and amenities would the public like to see,” he said, “and then move into a site preference and, at that point, that would give us an indication of a budget that would be required, based on the price for the property. Move through that and bring the board back something from that workshop, addressing all those things.” The commission agreed to schedule the workshop to discuss the feasibility of a new sports complex in DeFuniak Springs, which could encompass all issues. The motion passed unanimously. The date and location of the workshop will be announced later.
