Wednesday, January 15, 2003 |
Development Authority attorney says management deals still are legally OK By JOHN MUNFORD
The attorney for the Development Authority of Peachtree City has written an opinion defending the authority's legal basis for operating the city's tennis center and amphitheater. The opinion from Mark Oldenburg came days after an opinion from new city attorney Theodore P. Meeker III and bond attorney Earle R. Taylor III was made public. The Meeker-Taylor opinion said Georgia law indicated the authority wasn't authorized to "own, operate or manage an amphitheater or tennis center." But Oldenburg wrote in his opinion that the law allows the authority to run the tennis center and amphitheater since they are economic development "projects" the law refers to. "If a project undertaken by a development authority doe directly promote 'the development of trade, commerce, industry and employment opportunities,' it is permissible," Oldenburg wrote. "... The broad language of these code sections again emphasizes that as long as a project promotes the development of trade, commerce, industry and employment opportunities, it is permissible under this law." Oldenburg also cited a Georgia Supreme Court case that helps clear up the issue. The court ruled that a development authority could use a "sports facility" as a project as long as it was similar to "a stadium, coliseum, arena or similar structure used for professional and competitive sporting events and other large scale entertainment events." The case Oldenburg referred to, Haney v. Development Authority of Bremen, involved questions over the authority could issue bonds to construct a public golf course. The court ruled a public golf course did not meet the statutory requirements to qualify as an economic development "project." "Thus, although the amphitheater is not a sports facility, the language in the Haney case indicates that a facility like the amphitheater that supports 'large-scale entertainment events' is an appropriate 'project' (under the law) as it promotes trade, commerce, industry and employment opportunities," Oldenburg wrote. The tennis center is also a legitimate project for the authority since "it is a nationally recognized venue that draws numerous players and patrons to the city from across the state, region and nation," Oldenburg wrote. "As such, it clearly promotes trade, commerce, industry and employment opportunities." The approximate annual spending at the amphitheater is tabbed at $2.3 million, but the estimated financial impact is actually $5.7 million, Oldenburg wrote. The various tournaments hosted by the tennis center in 2003 are projected to have an estimated financial impact in excess of $3.7 million, largely due to the number of out-of-town participants who stay in local hotels, he added.
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