PHOENIX (AP) — On paper, the Phoenix Convention Center appears to be doing well after hosting a string of high-profile events including the NBA All-Star Game and President Barack Obama.
However, the $600 million convention center is struggling to make payments on the bond debt it owes.
The problem is fewer sales tax revenues are coming in to fund the center.
The Arizona Republic reports city taxes provide 80 percent of the convention center's revenue.
Sales tax receipts are falling and are expected to generate nearly $35 million this fiscal year, 30 percent less than previous projections.
The Republic reports the center is having trouble paying the nearly $15 million annual payment on its $300 million city debt.
To help its financial situation, the convention center has cut more than 60 vacant positions while eliminating nonessential services.
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Information from: The Arizona Republic, http://www.azcentral.com
