Plano Voters Reject $400 Million Arena Bond in 41-Year Financing Plan
Dallas Stars officials and Plano city leaders say the project is not dead, while UT Dallas experts warn the team has only weeks to secure new funding or face a long-term lease at its current site.
By Adrian Parker ·
Plano voters turned down Proposition A, a public financing package designed to fund a new Dallas Stars arena. The measure sought taxpayer support for a project that would have tied up municipal funds for 41 years. The rejection leaves the future of the proposed facility in Plano uncertain.
City officials said they will reassess their financial options and bring new proposals to the City Council. The administration is evaluating how to move forward without the specific public financing that residents rejected on Tuesday.
Dallas City Council members Bazaldua and Blackmon issued a statement affirming their desire to keep the hockey team within city limits. The council members noted that Dallas is the team’s namesake and that they believe the franchise belongs in the city.
"Dallas is the team’s namesake, and we believe Dallas is where they belong," the council members said in the statement.
Steven Haynes, an associate professor of finance and managerial economics at UT Dallas, said the election results show voters are reluctant to assume financial risk for a private organization. He noted that the Stars have several financial instruments available to them, including private investors or a scaled-back development plan.
Haynes warned that time is running out for the franchise to make a decision. "So there’s still a lot of financial instruments that can be pulled, but the Stars organization has literally a couple of weeks to make this decision or they may be locked back into a long-term lease at their existing location," Haynes said.
Plano Mayor John Muns said the city remains committed to thoughtful reinvestment and responsible stewardship of taxpayer dollars. The Dallas Stars released a statement expressing disappointment that Proposition A did not pass, but they maintained confidence in the long-term vision for a city-owned arena project. The team said it looks forward to continuing its partnership with Plano as it pursues a project finance zone to be created by the Texas legislature.
Karen Dubrow, chair of the Stop the Stars Arena PAC, called the rejection a victory for residents who opposed using public money for the project. Dubrow said her group was outspent by over $1 million, but citizens found the measure wanting. "We don’t want it because we don’t think our money should be tied up for 41 years for something that’s not proven," Dubrow said. She added that the opposition was never about keeping the Stars out of Plano, but rather about who should bear the cost. Dubrow said she is keeping the campaign signs for future issues, noting that they can tape over the Proposition A messaging.
