Classic Center authority says arena is driving near‑projected economic gains, flags bond and settlement issues

Paul Kramer, representing the Classic Center Authority, told the Athens‑Clarke County Commission that the authority’s facilities — including the Akins Ford Arena, theater and convention center — are producing near‑projected economic returns and have attracted new private investment. “We sit at 89,000,000,” Kramer said, describing the authority’s current annual economic impact figure and noting that the arena was expected to push impact to $90 million in its third year.

Kramer said ticket revenue has grown dramatically since the arena opened, from roughly $2,000,000 annually before to a projected $11,800,000 under the coming budget. He said the authority has reinvested capital and private funds into the facilities (he cited $20,000,000 historically returned to facilities and $60,500,000 raised toward the arena) and highlighted workforce development initiatives tied to venue operations.

Why it matters: The authority’s revenue and capital‑reinvestment claims underpin requests for continued hotel‑motel tax allocations and inform commissioners’ judgments about bond repayment schedules and district buildout. Kramer noted that the authority capitalized interest when bonds were issued but that construction delays caused bond payments to begin sooner than planned.

Commissioners pressed Kramer on the intergovernmental agreement (IGA) that governs hotel‑motel tax distribution. Kramer said the IGA locks in a 54.29% allocation to the Classic Center while other portions are required by state law to go to the Visitors Bureau; he warned that interest earned on some bond payments and a settlement with the builder still need resolution to finalize the authority’s repayment picture.

Kramer also described preliminary planning for an entertainment district, saying the authority’s committee hired Accenture for 90‑day predevelopment work and that the consultant expects to recommend a master plan by December and to begin offering land leases by late 2028 if the committee approves the program. Kramer framed district development as a revenue and jobs opportunity that could help with bond repayment and infrastructure needs.

The commission did not take a vote on funding changes during the presentation; Kramer returned materials to the shared folder for commissioners to review. The commission later discussed whether available funds under existing agreements could be redirected for related capital priorities and the procedural steps required to amend any IGA.