SPI Council weighs growth vs. costs

By JACQI LEYVA-HILL

Special to the PRESS

South Padre Island City Council moved forward on multiple development, infrastructure, and financial items during its April 15 meeting, with a major focus on the future of the city’s convention center and tourism strategy.

A presentation from Hunden Partners dominated the discussion. The consulting firm, hired to evaluate expansion options for the South Padre Island Convention Center, concluded that demand exists for a larger facility, citing lost business due to space limitations. The firm recommended a venue between 70,000 and 120,000 square feet, significantly larger than the current center.

Consultants outlined three possible paths including renovating and expanding the existing facility, constructing a new purpose-built center on a separate site, or pursuing a hybrid approach combining both. Council members later voted 4–2 to continue exploring all options, including extending discussions tied to a potential partnership on alternative land.

The vote revealed a clear divide among council members.

Councilman Ken Medders, one of two votes against moving forward with additional Hunden work, expressed concern about continued spending.

“I think that we ought to take what we have, what we can afford, and fix up, renovate what we already have and look at the possibility of building a convention center on our own land, but right now, I’m real skeptical,” Medders said.

Councilwoman Aarin Hartwell, who also voted against proceeding, raised concerns about affordability and long-term financial commitments.

“Just because we can qualify for something doesn’t mean that you can afford it and we cannot afford all of these different things and maintaining and keeping debt service on all of these different projects that we already have going,” Hartwell said.

Councilman Joe Ricco, who supported continuing the study, emphasized the importance of long-term planning and land acquisition.

“Land is the future. Movement is the future. If we don’t acquire the land now there will be nothing for the next generation. I’m not sure if the Agora tract is right. I think there’s a lot of potential with it,” Ricco said.

Public comment also reflected concern over cost, transparency, and environmental impact. Resident Barry Patel urged the council to take a closer look at finances tied to tourism spending and convention center operations.

“I think it’s important that we have a very, very detailed forensic audit of the books,” Patel said.

Another resident raised concerns about long term environmental changes on the island, warning that development decisions could impact local wildlife and habitat.

“If you look at the facts… 90% is not an exaggeration of what we have lost,” he said, referring to declines in bird and wildlife populations over the last few decades.

Financial considerations were also discussed in detail by city staff, who outlined potential funding strategies using revenue from the Convention and Visitors Bureau (CVB) and the city’s Hotel Occupancy Tax (HOT). Preliminary scenarios suggested a project cost in the tens of millions, with ongoing operating losses expected but offset by broader economic impact, including tourism spending and tax revenue growth.

Beyond the convention center discussion, council approved several consent agenda items, including funding from the Tax Increment Reinvestment Zone (TIRZ) for a stamped crosswalk near new pickleball courts and museum parking, a reimbursement from the CVB to the General Fund, and a City-County meeting agreement.

Additional action items included approval of workforce development collaboration with Cameron County, funding for side street improvements totaling over $1.3 million, and continued progress on landscaping plans for TxDOT medians at the island’s entrance.

Council also approved the creation of an ad hoc eco-tourism committee, signaling growing interest in balancing development with environmental considerations and quality of life.

The meeting highlighted the recurring theme of how to grow tourism and economic activity while weighing financial risk and long-term community impact.

The next South Padre Island City Council meeting is scheduled for Wednesday, May 6, 2026, at 5:30 p.m. at City Hall, 4506 Padre Blvd.

Permanent link to this article: https://www.portisabelsouthpadre.com/2026/04/23/spi-council-weighs-growth-vs-costs/

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