Taxpayers Foot the Bill as Professional Sports Teams Embark on Stadium Construction Spree
ICARO Media Group
In a wave of stadium construction projects across the United States, professional sports teams are turning to taxpayers for funding, with some seeking local and state assistance to the tune of billions of dollars. The trend has seen teams chasing both repairs and extravagant additions, despite the fact that many are still paying off debts from previous renovations.
As 2023 began, several stadium renovations were already underway, including those for the New Orleans Saints football team and the Toronto Blue Jays baseball team. However, the momentum only increased, with nearly one project per month being announced.
In January, the Cleveland Guardians kicked off the trend by announcing their plans for a $200 million renovation of their baseball stadium. This ambitious project, spanning over three years, is heavily reliant on public funding.
The Chicago Bears joined the fray in February, as they purchased a former suburban horse racing track with the intention of building a new football stadium and surrounding developments. Notably, this move comes despite the Illinois Sports Facilities Authority still owing a substantial $589 million until 2032 for the renovation of the Bears' current stadium two decades ago.
April brought the approval of a significant funding package by the Nashville City Council, totaling $760 million in local bonds and $500 million in state bonds, to finance a new $2.1 billion football stadium for the Tennessee Titans. As part of the agreement, the Titans pledged to pay off the remaining $30 million of public debt owed for their current stadium, which opened in 1999.
In May, the Buffalo Bills initiated construction of a new football stadium, although cost overruns since then have inflated the projected price from $1.4 billion to nearly $1.7 billion. Nevertheless, the contribution from New York and Erie County remains steady at a substantial $850 million.
The month of June saw the Jacksonville Jaguars unveiling designs for a $1.4 billion renovation of their football stadium, with an additional $700 million earmarked for surrounding area development. The team is hoping for a roughly equal financial commitment from the city, reminiscent of a previous successful model used for an adjoining amphitheater and practice facility. Notably, the remaining $38 million of public debt from those projects will not be paid off until 2047.
August brought the unveiling of two options for a new $1 billion baseball stadium by the Kansas City Royals, as part of a larger $2 billion development. The proposal includes the possibility of hundreds of millions of dollars in public funds. Royals owner John Sherman aims to have the new stadium ready by 2028, three years before Jackson County, Missouri, is scheduled to finish paying the remaining $265 million of public debt stemming from past renovations to the current stadiums of the Royals and Kansas City Chiefs.
September saw the Tampa Bay Rays revealing plans for a $1.3 billion baseball stadium, serving as the centerpiece of a vast $6.5 billion development in St. Petersburg, Florida, which also encompasses housing, shopping, dining, and a Black history museum. The team is counting on the city and county to cover $730 million of the project's costs.
In November, Major League Baseball owners gave the green light for the Oakland Athletics to relocate to Las Vegas, following the passage of a law in Nevada that provides $380 million in public funding for a $1.5 billion stadium. Notably, the remaining $13.5 million in public debt on the A's current stadium in California is scheduled to be paid off in February 2025.
December proved to be a busy month, with several teams making significant announcements. The Wisconsin government signed a law providing around $500 million in public funds to renovate the Milwaukee Brewers' baseball stadium, which originally opened in 2001. Additionally, the Baltimore Ravens revealed plans for a $430 million publicly funded renovation to their football stadium, to be carried out over a span of three years.
While details remain uncertain, other teams, including the Arizona Diamondbacks and Baltimore Orioles baseball teams, as well as the Carolina Panthers and Cincinnati Bengals football teams, are exploring the possibility of stadium renovations.
The wave of stadium construction projects shows no signs of slowing down, and as more sports teams join the trend, the burden on taxpayers continues to grow. As public funds are allocated, ensuring transparency and accountability in the process becomes crucial to avoid potential controversies and mismanagement.