Sep. 17, 2003 - Palm Beach County taxpayers would have to fork over $15 million as part of a complex arrangement designed to secure construction of a hotel for the almost-finished convention center.

Five of the seven county commissioners said Tuesday they were inclined to support the spending because the convention center -- scheduled to open by the year's end in downtown West Palm Beach at a cost of more than $80 million -- needs a nearby hotel to thrive.

"The hotel is really important to the convention center. Everybody knows you have to have a host hotel for the convention center," said County Commission Chairwoman Karen Marcus.

Without one, Commissioner Burt Aaronson said, the convention center would not be able to attract big-spending, out-of-town convention-goers. "It is a big price," Aaronson said, adding that it could be offset by conventioneers' spending.

Commissioner Mary McCarty agreed. "The amount of money it will cost us not to have a hotel will be a lot more than that $15 million."

Central elements of the deal: The city will trade a piece of downtown property to the developer of the CityPlace residential and shopping complex, which now controls the hotel site. The city Community Redevelopment Agency will contribute up to $3.5 million from property taxes on the hotel once it is built. The county will pay $15 million toward city waterfront redevelopment.

West Palm Beach Mayor Lois Frankel said the money would be used for repairing the seawall, building a boardwalk and boat docks, and planting trees to give the area shade. If the city fails to build the hotel, the county will get ownership of the land, she said.

Structuring the deal this way -- having the county pay millions to the CityPlace developer to relinquish control of the hotel site -- is something county commissioners have discussed within the past year. Still, county officials said the net effect is the same: The county is paying $15 million to get a hotel for the convention center.

The City Commission voted Tuesday to negotiate with Marriott for construction of a $100 million hotel. The County Commission is to take up the matter this morning.

Jordan Rodack contributed to this report.

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