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Norman council pauses vote on Sooner Fashion Mall sales‑tax rebate after heated public debate
Summary
The City of Norman postponed action on a proposed five‑year sales‑tax rebate for Sooner Fashion Mall after hours of council debate and a large public turnout. The agreement would have rebated up to $300,000 a year of new non‑dedicated general‑fund sales tax; council set the item for reconsideration on June 23.
The Norman City Council on June 9 paused consideration of contract K‑2526‑175, a proposed sales‑tax rebate for Sooner Fashion Mall that would reimburse the mall for certain capital investments by rebating up to 100% of new non‑dedicated general‑fund sales tax above an established baseline, capped at $300,000 per year.
Assistant City Attorney Katherine Walker told the council the city’s 2013 economic‑development policy was written to attract “quality jobs” not retail, and said the policy does not specifically envision the kind of retail rebate under consideration. She said economic‑development staff and the Norman Economic Development Advisory Board (EDAB) had discussed alternative structures, including a 50/50 split, before council directed staff to negotiate the current term sheet.
Derek Cwell, general manager of Sooner Fashion Mall, urged council to view the proposal as a partnership. “This was not brought to you guys to save the mall,” Cwell said. “What we wanted to look at is ways that the city could reinvest back into our area… Improving the property will help that. This will increase sales‑tax revenue for the city and add to the experience.” Cwell said the mall has invested millions in capital repairs in recent years and that a new tenant being pursued could bring contractors and as much as $25 million in build‑out activity.
Critics — including multiple downtown and neighborhood business owners and residents — said the deal amounted to corporate welfare and risked diverting sales tax from other Norman retail districts. “If this were a local business… it might make more sense,” said Alex Lanir, a Ward Two resident. Steven Ellis, a resident who spoke during public comment, said the mall and University Town Center may be competing for the same potential tenant and warned that the city would get the tax revenue in any case while surrendering a large portion of growth to the mall under a 100% rebate.
City staff presented baseline calculations and scenarios showing the level of incremental sales needed to trigger rebate payments; staff said Sooner Mall did not exceed the baseline in 2025 and therefore would not have qualified for a rebate this year. Officials emphasized that any rebate payment would be performance‑based and require annual council appropriation.
After extended council discussion and public comment, a motion to postpone consideration of the contract to the June 23 council meeting passed 5–4. Council members Dixon, Hinkle, Bruce and Kirby voted against postponement.
The council directed staff to collect additional analysis and to provide materials for the next meeting. The item will return to council on June 23 for further deliberation and any possible final action.
