Gym owner withdraws $1.9M subsidy request after public criticism and staff warnings

Speakers during public comment on Nov. 18 strongly criticized a proposed taxpayer subsidy for Extreme Amplitude, a local gymnastics business, and the applicant subsequently withdrew the request for funds.

Taylor, an Alamogordo resident, told the commission the applicant's payroll and enrollment projections did not match local demographics and called the owner's request for roughly $1.8M to $1.9M in city support a public subsidy that would create low-wage part-time jobs rather than sustainable local employment.

Serena Paul, a public school teacher, urged the commission to require an independent market and feasibility study before approving any Local Economic and Technical Assistance (LITA) funding for the project. Paul cited city staffs analysis that extreme projected enrollment (more than 1,500 students) and payroll growth were inconsistent with historical performance; she said staff described the projections as "overly ambitious," the city manager called the request a "high risk venture," and the city attorney warned that exceeding staff recommendations raised legal risk under the state's anti-donation clause.

The applicants representatives responded. Craig Johnson introduced his wife, Echo (the owner), who used her public-comment time to say the process had become toxic and that she would withdraw the application rather than continue amid harassment and negative commentary; she said Extreme Amplitude would continue to operate as a local business regardless of the funding decision.

Because the applicant withdrew during public comment, commissioners removed the related agenda item from consideration that night.

Next steps: The withdrawn application means no city subsidy will be voted on at this meeting. Commissioners and staff noted that for any future funding requests the city will expect complete documentation, independent analysis where warranted, and attention to legal constraints such as the anti-donation clause.