Texas F1 circuit, race in limbo

Work on the purpose-built circuit that was to host the US Grand Prix from 2012 has been halted in a dispute among developers, Formula One and promoters that has put the race in doubt. As the Circuit of the Americas issued a statement on Tuesday confirming construction had been halted, the project was dealt another blow as Texas state comptroller Susan Combs said in a statement that $25 million in state money for the event won't be paid in advance. A statement issued by the circuit said construction would be halted "until a contract assuring the Formula One United States Grand Prix will be held at Circuit of The Americas in 2012 is complete." "The race contract between Formula One and Circuit of The Americas has not been conveyed to Circuit of The Americas per a previously agreed upon timetable," the statement added. Then came the remarks from Combs, who has backed the plan announced in 2010 under which $25 million in state funds would be use to support the race as part of a business incentive programme called the Major Events Trust Fund. According to correspondence between Combs’ office, Formula One chief Bernie Ecclestone and promoter Tavo Hellmund, the original money would have been paid to F1 a year in advance of the first race to cover the cost of the international sanctioning fee. But on Tuesday Combs said no money would be paid in advance, citing, in part, "concern" over the recently announced plans for an F1 race in New Jersey. "The recent announcement of an annual Formula One race in New Jersey is a concern, as additional races have the potential to reduce the number of attendees to a Texas race, thereby decreasing the economic impact," Combs said. "Additionally, the reports of a slowdown in construction at the Circuit of the Americas, and recently publicized disagreements between the race rights-holder and the circuit developers have prompted speculation about whether the Austin race will even occur. "The ongoing controversies are a concern and we will continue to monitor them." In the meantime, Combs said, "We have not paid out any money for the Formula One event. The only dollars that can be spent on the United States Grand Prix are tax revenues attributable to the successful running of a race. The state of Texas will not be paying any funds in advance of the event." Formula One's last appearance on US soil was in 2007 at the famed Indianapolis Motor Speedway. In October, New Jersey governor Chris Christie announced plans for the Grand Prix of America to be held from 2013 on a road course on the Jersey shore opposite New York City.