When first envisioned and approved by voters, the Rio Nuevo project was estimated to cost $360 million; however, the latest estimate by a financial analyst says the cost now is closer to $750 million and could be even more, says City Manager James Keene. But the additional millions won't come out of the pocket of local taxpayers, he says.

The $750-million figure is the total amount of projects that could be built as part of the sprawling development, which runs from one side of the Downtown area to the other. Those projects may or may not materialize during the next 40 years as the project evolves, and most of those additions would be borne by private developers, he says.

The first 10 years of spending occurring on the Rio Nuevo Multipurpose Facilities District will remain the same, he says. Also, only if everything in the design were developed would the price tag approach $750 million.

The cost of what voters approved really hasn't doubled, Keene says, and is quite close to the original cost. The single exception is an additional $22 million for transportation improvements, including the widening of some streets and intersection improvements within the district. For those improvements, funding would come from the state Department of Transportation and Federal agencies.

Rio Nuevo will combine museums, a sea aquarium, an IMAX theater, a visitor center, retail and theme shop areas, a convention hotel, historical reconstructions, residential areas, Native American cultural presentations and outdoor water features. Construction is scheduled to begin in summer 2002.

Last week, the Rio Nuevo Citizens Advisory Committee approved the master plan and on March 14 the district board will vote on the issue. Earlier this month, the city council deferred voting on the issue until both the two other boards reviewed the final master plan and approved it. The city council is scheduled to vote on the issue on April 2.

Instant Insights /

$750-Mil Downtown Redevelopment Won't Cost Taxpayers More

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