State audit finds domed stadium is hurting this rural Arizona school district's budget

In 1991, a rural Arizona school district built an indoor sports stadium funded almost entirely by one of the state’s largest utility companies. But, decades later, the cost of keeping that stadium up and running is draining district coffers.

The Round Valley Unified School District’s Tot Workman Dome in Eagar seats up to 9,200 people and hosts football games and other sporting events in the eastern Arizona community about 20 miles west of the New Mexico state line.

The facility, the only domed high school stadium in the country, cost $11 million when it was built in the early 1990s and was funded using voter-approved bond measure. Tucson Electric Power and its subsidiaries ended up covering most of those costs, because, as the largest property taxpayer in the district, it paid around 85% of the property taxes used to fund the bond.

But the school district has been responsible for paying for costs to operate the dome, expenses that are putting stress on its budget, according to a report released by the Arizona Auditor General’s Office.

The report, prepared by auditing firm Walker & Armstrong, found the district spent $524,130 to operate the dome in 2024 and only brought in $128,864 in revenues, which are generated by selling tickets and renting out the facility for private events.

According to the auditors, the Round Valley district spends more on plant operations, which includes costs to maintain buildings and school district facilities.

“And these higher costs appear attributable primarily to the Dome’s operation and maintenance,” according to the report.

In 2024, Round Valley Unified spent around $2,345 per student on plant costs, about 18% than similar districts.

The district has incurred additional costs to rehab the stadium after flooding, including replacing turf and sports court flooring.

The auditors suggested the strain caused by the stadium could have contributed to other budget cuts, including a $1.4 million spending reduction that included 15 teacher and instructional aide positions.

The auditors recommended the district could close the gap by re-evaluating the fees it charges private users to rent the facility. Before updating those rates in 2025, the district had not updated those charges for a decade.

And even those current charges may not be sufficient to cover the costs to operate the stadium, auditors found.

For instance, the average daily cost to operate the stadium — which includes off days when the stadium is empty — is about $1,400. But the district only charges private renters $1,500 and some not-for-profit organizations can pay $950.

“Event days likely cost more than the daily average due to additional utility usage and staff time, indicating that the District may allocate District resources to cover a portion of the cost associated with hosting some third-party events,” according to the report.

District officials agreed with the auditors’ findings, though they emphasized that the dome provides community value beyond what is shown in the district’s bottom line.

“While we agree with this finding, we believe it is important to recognize that the Dome is much more than a revenue-generating facility,” according to a response sent to auditors by Superintendent Slade Morgan. “It is an iconic part of our community that is used by students, families, and community organizations throughout the year.

The district pointed out it updated its fees for the stadium in 2025 and said it intended to continue reviewing those rates “to ensure they remain appropriate and competitive while balancing community accessibility.”