City plans for ULB stadium cancelled

United Sports Equities LLC proposed bringing United League Baseball to Brownsville on city-owned land along Alton Gloor Boulevard, but it took a detour to bankruptcy court. And, one of its minor league teams, the San Angelo Colts Baseball Club, also filed for bankruptcy soon afterwards.

The bankruptcy filings cast doubt on the future of a ULB stadium in Brownsville.

"I'm not surprised. This confirms my sound advice to commissioners and management to not build a stadium," Mayor Pat M. Ahumada Jr. said Saturday.

United Sports Equities and the San Angelo Colts voluntarily filed for Chapter 11 in U.S. Bankruptcy Court, Southern District of Florida on Monday and Saturday respectively, allowing them time to financially reorganize the firms and to pay creditors over time. Gary Wendt with United Sports Equities did not return a telephone call for comment.

Ahumada strongly opposed last year's October decision of a split commission to finance a $7.5 million 3,500-seat stadium on city property that would house a United Sports Equities ULB franchise. "It was a risky venture. The city should not be in the business of building stadiums with taxpayers' monies. It would have been a huge mistake," Ahumada said.

The initial agreement with private investors struck in 2007 called for ULB to finance the stadium, but the economic crisis affected its ability to obtain financing.

The commission majority, however, changed its mind in November and decided not to fund the stadium. Instead, the commission gave investors 90-day notice of default because they had not come up with financing for the stadium.

"It's unfortunate (that they filed for bankruptcy)," Commissioner Charlie Atkinson said.

"It was a good move (for the city) to back off," Atkinson, who initially voted to fund the stadium, added.

The stadium would have been the centerpiece of $21 million in commercial development that the Hope Property Group of Brownsville envisioned on city property.

A staff member with the Hope group, who declined to identify herself, said Saturday that the Hope group is no longer associated with United Sports Equities, but that it is in talks with other investors that could develop a stadium.

Atkinson said that he no longer would support a stadium at any other location other than at the Brownsville Sports Park off Merryman Road, but he emphasized the Hope Property Group has done tremendous commercial development in Brownsville and that those efforts should always be supported. "We need them on our side," Atkinson said. Richard Hope with the Hope group also was not available for comment.

Ahumada said he would support a stadium only through partnering with other governmental entities, such as the Brownsville Independent School District, that have sports programs, but would stay away from partnering with private ventures. But the mayor also stressed that the city has too many needs right now.

Atkinson said there are plans to have a "Brownsville United Summit" on Jan. 15 with governmental entities to explore projects to consider.

The implications of United Sports Equities' and San Angelo Colts' trips to bankruptcy court on the other teams could not be immediately gauged, but these include the Alexandria Aces, Amarillo Dillas, Edinburg Coyotes, Laredo Broncos and Harlingen WhiteWings.

Bankruptcy court records reflect that United Sports Equities reported $264,494 in debts while the San Angelo Colts Baseball Club is reporting $24,350 in debts.

Also last year, and as reported by The Monitor, United Sports Equities was hit with a state court injunction out of Dallas stopping it from making any changes to the league or liquidating any of its assets. The August injunction barred the ULB from transferring its Amarillo and San Angelo franchises to the Golden League and abandoning the teams in Edinburg, Harlingen, Laredo and Alexandria, La.