The Birmingham City Council on July 15 approved a resolution declaring a public purpose for hosting the Alabama State Parks and Recreation Swimming and Diving Championships at the CrossPlex and amended the resolution to request an economic-impact analysis of the CrossPlex’s finances.
AJ Holser of the CrossPlex told councilors the event will draw about 1,200 swimmers and divers over three days and is the largest swimming event in the facility’s three years. "Our very conservative estimate on economic impact for beds only is in excess of $1,000,000," Holser said, adding that the event required a bid fee ($12,000), trophies and hospitality costs (about $7,000), and that a $5,000 Convention & Visitors Bureau grant reduced net exposure.
Councilor Scales pushed for clarity on how much city money would be spent to support the event; staff said the expense was already budgeted. A member of the administration said the city’s anticipated contribution for the event was about $17,000, and Holser described how entry fees, retail rights and parking would be expected to generate revenue. Council members also debated whether the CrossPlex can be made more self-sustaining and called for improved revenue capture and development around the facility.
In response to council concerns about the facility’s broader financial performance, the council approved an amendment directing the administration to provide detailed economic-impact and revenue/expenditure reporting for the CrossPlex. The motion to declare public purpose and to request the economic impact data passed unanimously.
Why it matters: the CrossPlex is a major city asset used to attract events that bring visitors, hotel nights and local spending; councilors sought the economic analysis to better understand the facility’s net cost and the return on city support.
Next steps: the administration will supply the requested economic-impact numbers and a detailed income/expenditure report to the council.