Plaintiffs in a pair of multi-million dollar lawsuits against the town of Oro Valley have dropped their claims.
The suits, filed by Vestar Development Company and BP Oracle Crossings Investors, were connected to the Oro Valley Town Council January 2009 decision to withhold contract payments to the companies.
The companies dropped the suits after the town last month reinstated economic development agreement payments, following the resolution of an Arizona Supreme Court Case challenging the legality of a similar contract between the city of Phoenix and a retail developer.
The town had entered into economic development agreements with firms that own retail developments in Oro Valley.
Vestar, owners of the Oro Valley Marketplace, receives a 45 percent share of local sales taxes generated at the shopping center. In 2006, local voters approved the sales-tax sharing deal that over 10 years would pay the company $23 million.
BP Oracle Crossings Investors, owners of Oracle Crossings shopping center, penned a similar deal with the town for a cut a sales taxes. The town council approved the Oracle Crossings deal, which would pay the developer up to $6.5 million.
Economic developMent deals in Oro Valley
Oro Valley Marketplace
Vestar Development Company
45 percent of sales taxes
Up to $23 million
Oro Valley Town Centre
Cañada Del Oro Properties
45 percent of sales taxes and one-third of bed taxes
Up to $11 million
(This development has not been built)
Steam Pump Village
40 percent of sales taxes
Up to $7.6 million
BP Oracle Crossings Investors
46 percent of sales taxes
Up to $6.5 million
Hilton El Conquistador
Rebate one-third of town's 6 percent bed tax