On February 22 the Birmingham City Council passed a resolution in support of a 65,000-seat domed convention complex and adjoining entertainment district development in downtown Birmingham. In January, Governor Bob Riley decided against pledging either $75 million up front or $5 million yearly for 30 years as requested by the BJCC authority, but did promise to seek other ways that the state might contribute to the facility expansion. Jefferson County currently gives $10 million a year to the BJCC (and will do so through 2008), and has pledged to continue for an additional 35 years if the city and state are on board. Birmingham currently gives $5 million [$3 million from occupational taxes and $2 million from lodging taxes]. The BJCC wants an additional $5 million from the city for 30 years, but the city has not secured a source for the money.

At the February 22 meeting, Councilor Valerie Abbott said that uncertainty about where the money is going to come from, as well as doubt about the city’s current financial state, gives her pause regarding the BJCC expansion. “It’s like driving down the interstate in a pouring rain toward Malfunction Junction, and your windshield wipers don’t work,” said the councilor, adding that consultant reports indicate that most conventions are failures and lose money. Councilor Carole Smitherman pointed out that people have shown a willingness to support local events, with many flocking from out of town for top concert acts. “Alicia Keys, sold out!” said Smitherman. “People from all over want to come see Alicia Keys. She passed up going to Nashville, Tennessee, to come to Birmingham, Alabama!”

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Kincaid said the resolution is intended to send a good faith message to the state that the city is very much committed to the expansion project, as Governor Bob Riley has indicated that the state still wants to help. “We have it from the Governor’s lips,” Kincaid said repeatedly when Councilor Joel Montgomery kept asking if the governor has put the pledge in writing. “When we talk about a domed stadium, it is as if we’re talking about a sports venue. It is not; it is an expansion of the exhibit space with retractable seats that has a dome over it,” explained the Mayor. He stressed it will be used primarily for trade shows and conventions, and he even feels that Birmingham can snatch the SEC football championship game from the Georgia Dome in Atlanta. “Cities of comparable size [bringing in] trade shows and conventions are eating our lunch,” Kincaid told the council.

Councilors Elias Hendricks and Bert Miller complained about naysayers. “Some people are against progress in Birmingham if it doesn’t agree with how they perceive and define progress, no matter what we do,” said Hendricks, who asked those with a better idea for development and creating jobs to step up to the plate. “Why do we always make it so difficult to give business to Birmingham?” asked Hendricks. “You cannot build jobs the day you need them. You have to do that five to ten years in advance.” Councilor Miller said that he intended to support the resolution. “I think part of the misconception is, it’s not a domed stadium. That’s probably got a lot of people rattled. It’s a convention center,” explained Miller. “But every city you go in, you’re going to have ‘cave people.’ What ‘cave’ stands for is ‘citizens against virtually everything! I’m gonna have a wrestling match, as soon as it’s built, between two people on this dais. I think it will sell out then!” said Miller, laughing, presumably referring to himself and Councilor Joel Montgomery, who opposes the project. He added that the expanded facility will “make a lot of millionaires in this city, particularly a lot of black millionaires.”

Calling Miller’s diatribe about “cave people” a personal attack, Joel Montgomery later responded, “Citizens against virtually everything? Well, if I remember correctly, these same people are going to hold you accountable when it comes time to be re-elected because those ‘citizens against virtually everything’ went to the polls in 1998 and voted MAPS down [MAPS won in Birmingham, but lost on a county-wide basis].” Miller replied, “Brother, I ain’t scared of nothing.” Montgomery voted no, while Abbott was not in the room at the time the vote was taken. The remaining seven councilors voted approval.

In a press conference following the council meeting, Kincaid said he was not surprised that some councilors were not on board. “No, I think the ones who aren’t going to vote for it, no matter how sanguine it is for the city, aren’t going to vote for it notwithstanding what I present. And some have said in advance that they are adamantly opposed to the notion, period,” said Kincaid. “A majority of the council, however, a super majority, obviously, will be in favor and will support our funding the enterprise.” Complaining that none has been shown him, Kincaid said that he needs to look at a preliminary offering statement [POS] that details “how the deal is to be structured.”

The Mayor said all he has received regarding proposed investors “was some peoples’ thoughts on a plain piece of paper. We’re going to want their financial advisor, their attorneys, to certify the money that’s going to be on the table.” Kincaid said, “Once we understand that, and once we see a POS that shows how the funding will take place, then I can feel comfortable saying to the council, let’s go . . . But what we have said and telegraphed to the world is that, as a city, we are inclined toward supporting this if the numbers work.”

Kincaid is waiting to see how the Alabama Supreme Court will rule in March on a lawsuit the city won in circuit court against the BJCC after the state legislature passed a law converting taxes to fees. The state’s action allowed the BJCC to keep tax collected at events there by designating the taxes as fees. The tax receipts otherwise would go to the city and county. The BJCC has appealed the circuit court ruling to the Alabama Supreme Court Circuit. The outcome of that case will shape the preliminary offering statement, said Kincaid. In an interview a week later, Kincaid expressed fear that the city would have another Visionland on its hands [The city was forced to give a five-year notice to get out of its deal with Visionland at a cost of $1 million a year]. The Mayor said the expanded convention center proposal must be sound legally and financially, and added that he was optimistic that the state would eventually be on board financially. &