The planned 2012 United States Grand Prix at the Circuit of the Americas near Austin, Texas, on Tuesday afternoon suffered another potentially catastrophic blow when organizers announced that they have stopped construction on the new racetrack.

The announcement came just hours after the revelation by Texas state comptroller Susan Combs that no money from the state's Major Events Trust Fund will be paid before the race takes place, apparently meaning that there is no state money available to pay Formula One boss Bernie Ecclestone's $25 million sanctioning fee, at least not prior to the race as planned originally. And, if history is any sort of measuring stick, anyone who follows F1 knows Ecclestone and his traveling circus do not show up until he has been paid in full.

A Circuit of the Americas statement tried to soften the impact by saying that the facility's “readiness for F1 United States Grand Prix [was] not yet affected,” and that construction will cease “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.”

That statement supports Autoweek's story, reported on Sunday evening, that dissension within the Circuit of the Americas organization between race brainchild Tavo Hellmund and key investor Bobby Epstein is one of the key roots of the trouble.

Only “the delivery of the Formula One Grand Prix race contract will allow construction operations to resume,” the statement said. In other words, Epstein appears to want Ecclestone to transfer to him from Hellmund the contract to hold the United States Grand Prix.

“We have spent tremendous resources preparing for the Formula One and MotoGP Championship races, but the failure to deliver race contracts gives us great concern,” said Epstein, a founding partner of the Circuit of the Americas. “We believe the United States is vital for the future of Formula One and its teams and sponsors. Given the purpose-built Tilke design, creating a unique fan experience and iconic challenge for drivers, we hope that Texas will not be left behind. More than 100,000 fans have expressed an interest in purchasing tickets for Formula One alone.”

“It is in the best interest of all parties to reach a timely resolution,” said Red McCombs, chairman of McCombs Enterprises and a founding partner of the Circuit of the Americas. “Local businesses, fans and the state of Texas are counting on us.”

Hellmund on Tuesday evening issued a short and terse statement that, interestingly, implies that he has distanced himself from the project, which in recent weeks has become mired increasingly in rumor and controversy.

“After years of effort in getting F1 to Austin, Full Throttle Productions [Hellmund's company] and city, county and state officials have done all we could,” Hellmund said. “It is the responsibility of Circuit of the Americas to bring it across the finish line. For the sake of everyone, we are hopeful that they can reach an agreement with Formula One.”

The work stoppage announced on Tuesday, even if it ultimately turns out to be temporary, further complicates matters. With the inaugural U.S. GP scheduled for November 2012, workers were already up against a tight deadline to have the circuit ready in time.

When Autoweek asked circuit architect Hermann Tilke recently how the project was proceeding, he replied, “It's going well. They are working very hard, and so far it's on time. But a year [to get everything done] is nothing. As always, time is tight, and in the end, it will be very difficult, like everywhere. If a team is designing a new car, they are also ready at the last moment!”

Following Tuesday's developments, there are even fewer of those precious moments to spare.

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