how to buy viagra super active online how to get levitra super active acheter pas cher zoloft albuterol proventil dosage cheap suprax pills cordarone rxlist pravachol spain rhine inc generics cheap ortho tri-cyclen online where to buy cytoxan drugs online acai costa rica acnur all types skelaxin pills buy floxin online ordering viagra cialis levitra where altace atrovent side effects depression arrested for buying prescription drugs online betneval 0 1 betamethasone online pharmacy lotrisone cheap generic zetia florida compazine how to order cialis professional online taking half an aspirin a day buy keftab quick buy antabuse disulfiram triamterene online meds best sumycin prices zovirax canadian pharmacy meri adalat online movie cost of xeloda in australia urispas where can i buy it compare prices minipress ginseng medicine online ditropan xl 5 mg tablet apcalis sx legal in england does celebrex work better than motrin digoxin para que se usa phexin brands india over the counter erection pills walgreens pain meds online legally hoodia and thyroid medicine syrupy french cordial made from pomegranate juice half price liposafe buy prevacid online cheap what does the medication hydrochlorothiazide do cheap aciphex no prescription rabeprazole list of tesco stores selling sumycin taking prescription medication to mexico liquid pletal review voltaren on line in the mexico protonix and plavix 2012 very cheap starlix ibuprofen dosage children uk provera dosage to stop bleeding side effects celexa medication can we trust extendaquin online low price metoclopramide uk can you buy lotrisone over the counter cipla pharmaceutical industry in india dilantin daily use reviews para que se usa dramamine order erection packs 11 prescription kamagra oral jelly mist canada augmentin in usa anastrozole 1mg tablets aricept ships from india cozaar from europe usual dosage of prednisone for poison ivy order allegra pills online pharmacy coumadin dostinex prescription assistance buy vytorin online pharmacy no script lipothin mg what is apo-azithromycin for ditropan comments zyvox cost 2014 purchase seroquel in uk buy levitra online no prescription uk topamax 100 aciphex medicine online buy elimite pills fluoxetine hydrochloride 20 mg side effects buy snovitra super power 200 buy geriforte syrup pills online lamictal in canada exelon patch online antabuse australia pharmacy abc acai berry diet pills reviews where does digoxin work in the body what is prevacid side effects low amitriptyline effects one guy one jar link tamsulosin 0.4mg capsule cialis tadalafil 20mg rezeptfrei how to take didronel mg buy promethazine 200 allegra tv commercial generic brand for aleve buy baclofen fast shipping buy compazine in india online simvastatin drug contraindications l-tryptophan tablets side effects indocin generic brand buy online amoxicillin no prescription zyrtec dose for dogs comprar amantadine pela internet finasteride 5mg hair loss cut billig himcolin online kaufen canadaian neighbor pharmacy purchase ventolin canada buy generic cialis with bonus where can i buy toradol what are the side effects of taking singulair best drugstore powder foundation 2012 order benadryl online uk there generic drug zovirax where do i buy kamagra oral jelly eulexin flutamide ed drugs list allopurinol tablets for dogs all types styplon pills diclofenac to buy from europe augmentin generic side effects buy florinef paypal accepted diovan with paypal payment anxiety in children signs buy hydrochlorothiazide tablets glucophage 850 mg tablet propranolol wzf 10 mg tabletki what is the average cost of cymbalta acheter silagra 100 blood pressure medication side effects impotence what works better than lamisil where could i buy accutane without prescription how long after antibiotics alcohol generic viagra sildenafil 100 mg uk cheapest bactrim in the uk furosemide tablets side effects in dogs voltaren sr 75mg tablets purchase drugs by debit canadian neighbor pharmacy scams lariam prices at costco diabetes "worldwide shipping" topamax mg no prescription plavix fast india nizagra canada otc asthma inhaler brands acticin buy on line lipitor shop aspirin canada prescription arava 20mg tablet ampicillin medication online cheap pills prescription gasex online ventolin overnight shipping cheap donde comprar finasteride en argentina amoxil without rx female cialis bonus pills doxazosin online shipping compazine canadian source does allegra make you gain weight caverta shortage altace tablets prescribing information no rx propranolol online valtrex phone orders vente de liv au quebec buy generic diovan online no prescription what is nizoral cream good for quinine sulphate tablets bp 300mg can i get a flu shot while on prednisone everyday pills that get you high pediatric safe dose range for prevacid purchase advair diskus how long do acai berry tablets take to work differin fast usa how to use nizoral for hair loss inderal 10 mg cost side effects of forzest natural erectile dysfunction aids lipothin buy canada tamoxifen citrate 20 mg side effects canada cheap drugs doxycycline ranitidine hcl 150 mg tablet motrin generic wikipedia drugs over the counter viagra sublingual aciclovir dosis herpes oral indocin in italia depakote discount coupons pharmacy pfizer vgr 100 price proventil hfa inhaler cost premarin in the uk now dostinex price canada how much does femara letrozole cost acticin cream 5 directions buy finpecia 1mg best online pharmacy generic tretinoin 0,025 tegretol where can i buy it premarin online usa prednisone pills for dogs prednisone and alcohol intake ceo one largest generic drug manufacturers how long does it take to withdraw from risperdal where dutas lithium ion batteries new zealand best place buy aceon buy noroxin from mexico online colchicine cheap uk pharmacy get nootropil las vegas adalat shelf life levothroid pill shortage how to take levothyroxine best place buy robaxin pct buy accutane 30 mg what does accutane cost order topamax online no prescription with a amex where to buy femcare how much do promethazine cost finasteride colombia viagra soft without prescription best price for real tinidazole buy bactroban no prescription fast delivery best generic proventil sites buy amaryllis minerva renagel medicine children comprar viagra plus en argentina tadalis sx 100mg cheap pharmacy buy drugs silagra buy aldactone pfizer discount coumadin warfarin side effects risperdal pill shop discount code how often do you have to take propecia domperidone 10mg and alcohol prednisone dose pack for asthma quality of drugs from india risperdal express canada the online drugstore chloramphenicol buy meclizine online no prescription non persciption exelon azithromycin for strep throat sale naprosyn generic trileptal no prescription can i make prednisone order tetracycline online what does lisinopril 10mg look like rosuvastatin drug store online tetracycline resistance genes buy unisom mg buy aceon no prescription omnicef italiano propranolol canada drugs is it illegal to order generic voltaren what does albenza treat what is losartan 50 mg used for ramicomp genericon lamisil cream usage do otc erection pills work acheter lasix where can i buy fluoxetine uk clomid success rate by age where to buy levothyroxine for dogs prescription doxycycline usa cvs prices where to buy mentat drugs online generic from lasix order cytotec no prescription novartis diovan discount phenergan children flying bactrim acne medicine i pill prazosin website drug genuine prilosec 100mg buy avalide online no prescription united states doxycyclene wit out perscrition brand levitra to buy in australia buy aciclovir discount alesse without rx abilify medication aripiprazole used to treat abana himalaya dosage https www online pharmacy cc do you need rx desyrel top 10 online diclofenac gel sites malegra dxt paypal purchase plavix 75 mg what is the half life of biaxin xl buy lasuna online overnight sumycin buy online ireland side effects of digoxin overdose how much luvox does it take to overdose online coumadin dosing fosamax 35 mg tablet is generic fluoxetine available in usa power slim acai berry pills reviews ou acheter livres paris overnight delivery buy wellbutrin sr without healthy manly meals como comprar diltiazem adalat drug store online purchase protonix pills cheap generic betoptic clomid 50 mg tablet decadron tablets dosage order non generic trandate lasix medication heart what is hoodia drugs fosamax patient uk i pill indinavir website flonase order in the us crestor dosage levels lowest priced levitra plus bactrim ds online no prescription provera where to purchase cost of zaditor eye drops generic astelin canada coreg usa pharmacy depakote for sale australia best generic vpxl sites buy lamictal online usa can you get high off of citalopram hydrobromide ephedraxin online from usa zyprexa olanzapine 5mg coated tablets online forum allegra order allegra deltasone 20mg tab compare alli prices uk where can i buy brand viagra in canada buy flonase from canada buy himalaya spemann differin prices brand advair diskus without prescription buy naprosyn online no prescription usa half price amantadine plendil online cheap order seroflo pill purchase nizoral in us vytorin for sale uk where can i order tetracycline what is kamagra soft used for discount tricor lipitor what is the medicine keppra used for order zovirax online uk side effects of asacolon what does abilify make you feel like naproxen uk paxil price without insurance periactin usage sildenafil citrate women nizoral anti-dandruff shampoo amazon medrol dose pack dosage schedule is there a generic drug for effexor xr what does avapro treat how to get off paxil safely harper prescription drug betnovate rhinocort aqua coupon discount oder mg tablets of atarax himalaya menosan tablets review anxiety pills over the counter vasodilan medication side effects fucidin h impetigo what is the medication cozaar used for buy phentermine 37.5 uk medrol tablets uses suprax and drinking alcohol cheap diflucan canada skelaxin pills online in the usa amantadine 1500 mg capsules is dulcolax an over the counter drug advair dosage for kids cheap tricor 145 mg where do i lantus in canada diltiazem medicine florida reglan attorney is ranitidine available over the counter in australia where can i order diamox para que se usa el metformin paroxetine discounts codes kamagra vs generic viagra motilium noprescrition needed usa online pharmacy actoplus met in the uk now adalat online in usa brafix drug schedule generic estrace cost viagra order hong kong get dapoxetine toronto provera order online cicloferon spray aciclovir buy lithium carbonate capsules meclizine barato yasmin results forum can i buy synthroid in mexico order parlodel online hyzaar 100/12.5 cleocin gel to buy in australia no prescription buy lipitor online hyzaar barato serophene maximum dosage propranolol 40 mg anxiety 500mg zithromax chlamydia viagra sellers uk buy nexium overseas revatio new zealand international online pharmacies reviews nombre generico del decadron celadrin for sale philippines best price generic viagra zyloprim without a prescription buy brand retin-a ge atarax 50 mg cost buy serevent inhaler canada ordering cialis online canada cheapest legal buy levitra plus online canada glucophage discount code acquistare kamagra gold in italia do male enhancement drugs really work what is the drug desyrel used for suprax 40mg mail-order abilify is it illegal to order generic aceon purchase generic ginette-35 what is cymbalta made of kamagra sur amazon cephalexin in italian purchase pyridium online can you buy arjuna guarantee fast worldwide shipping half price baclofen discount rx direct sarasota discount buy alphagan drugs phenergan to buy in the uk without a prescription overseas pharmacy no prescription yasmin nexium 40 mg dosering micronase tablets buy brand aristocort indian roaccutane online online medicine store canada colchicine mg mexico moduretic from canada viagra generika kaufen paypal canadian seroquel xr s and m chords quickest buy benicar online carafate shop net cialis how long does it last florida himplasia sandoz valsartan 80 mg side effects dostinex from epivir-hbv tablets uses prescription biaxin what type of medication is solu medrol nizoral tabletas 200 mg purchase finpecia pills does minocin mr work provera generic viagra sublingual pharmacies yasmin pill side effects headaches aristocort pill canadian cabergoline price uk what does maxalt do to you nexium 40 mg 14 tablets how to import unisom ranitidine canada head office mixing azithromycin and alcohol 1 gbp to eur tesco buy hyzaar online no prescription us albenza dosage children teva naproxen 500mg what is it used for prevacid discontinued best place to buy crestor without a prescription best drugstore face powder for oily skin tegretol spain over counter asthma relief inhalers go on sale at asda what is the generic of voltaren emulgel antihypertensive effectiveness of low-dose lisinopril-hydrochlorothiazide combination depression medication lexapro generic avapro in brand name mg buy depakote online with out prescription himcolin gel online cytotec tablets dosage canada and viagra super active avodart dutasteride 0.5mg side effects what are the side effects of diclofenac sod ec cheap kamagra no prescription aurochem viagra reviews tinidazole drug class maximum dosage of furosemide for dogs buyers of danazol canada hoodia express canada nizoral coupons canada paxil brand positioning buy metformin online where to purchase retin a online minomycin price propecia prescription cost walmart alli capsules reviews where can i get some cozaar 20mg levitra vs 100mg viagra what is tegretol for no rx prometrium online nolvadex comprar online does ceftin make you gain weight can you only get tricor on prescription cheapest betnovate cytotec on line in the usa canadian acivir pills tablet perrigo minoxidil foam what does shatavari do
Home Pete Toms LWIB: Can Stadium Development Be Done With Reasonable Public Investment?

Like Shoot to Thrill - An AC/DC Tribute on Facebook!

An authentic tribute of AC/DC that covers the best of the Bon Scott era and the best of Brian Johnson's material

Who's Online?

We have 860 guests online

Atom RSS

LWIB: Can Stadium Development Be Done With Reasonable Public Investment? PDF Print E-mail
User Rating: / 4
PoorBest 
Pete Toms Article Archive
Written by Pete Toms   
Monday, 14 September 2009 00:01

Last Week in Bizball by Pete Toms

LWIB, in San Jose began the always inevitable battle for public support which accompanies any proposal to invest public money in stadiums/arenas for professional sports franchises. The same debate that arose in the San Jose media last week concerning the benefits of the City of San Jose investing in a new ballpark to accommodate the Oakland A’s has played out in sizeable number of communities since the stadium building boom of the 1990’s. Professional sports franchises continue to receive public assistance in building their new homes but much has changed since the 1990’s when governments were much more generous toward such initiatives. The public appetite for such investments has diminished (in part) as large amounts of academic research and opinion opposed to the practice has filtered down to media and policy makers. This research has overwhelmingly concluded that investing public dollars in new stadia does not generate the economic benefits promised by new stadium advocates. More recently the tenor of the debate appears to be moderating. Some “sports economists” are now arguing that while public investments in new stadia remain of no benefit economically perhaps they remain a defensible investment as a “public good”. At the same time, stadium proponents appear to be more realistic and less verbose concerning their promises of the economic benefits that accompany the constructing of a new stadium.

On September 3rd the City of San Jose released an “economic study” touting the economic benefits to be realized from the construction of a new baseball stadium. Voter approval is necessary before the city can acquire additional real estate and commit funds for infrastructure improvements to support the new stadium. Eric Young reported for the San Francisco Business Times on the release of the “study”.

A new Major League Baseball stadium in downtown San Jose would create 1,000 new jobs and give the city an annual $130 million boost, according to an economic study released Thursday.

With a fully operational facility in 2014, the ballpark — designed to be the new home of the Oakland A’s — would create 1,000 new jobs paying wages of about $62 million, according to the report.

Critics of public partnerships with professional sports often refer to these commissioned “economic studies” as “advocacy studies” or “fantasy documents”. The recently released study commissioned by the City of San Jose was conducted by Conventions Sports and Leisure International. According to the CSL website, “Over the past 20 years we have worked with 75 percent of the major professional sports franchises or on projects related to those franchises.”

LWIB the San Jose media began to follow up on the release of the City of San Jose’s commissioned “economic study”. A number of “experts” were quoted in reports questioning the viability of the claims of future economic benefits made in the “study”. Tracy Seipel reported for the San Jose Mercury News, “Sports economists also say the city's analysis is overly optimistic on the stadium's projected number of jobs, the ripple effect on the local economy created by direct spending, and the impact of the teams' salaries in the area.” (Sports economists discredit the “direct spending” figures with the “substitution effect” argument. Money spent at the new stadium is money that otherwise would be spent elsewhere in the community. Multiplier effects cited in these documents are usually thought grossly exaggerated by the same economists). Ms. Seipel also reported that critics pointed out that the study had not accounted for land acquisition and infrastructure costs to be borne by the City.

As the public has become increasingly sceptical about the economic benefits of constructing a new stadium, governments and franchise owners have become more sophisticated in acquiring public dollars. The public share of “stadium construction” is often a relatively small amount of the final public contribution. New stadiums often benefit from being constructed in “entertainment districts”, allowing access to revenues from tourism taxes (“bed taxes”, car rentals), tax abatements, favourable development fees and tax increment financing (the public investment to be repaid via future property taxes collected from future development surrounding the new stadium). Although the franchise usually keeps all or most of the revenues from the new stadium, the stadium is owned by a quasi governmental body (often called a “stadium authority“) which allows the franchise owner to avoid property taxes. Financing is sometimes raised via tax exempt (cheaper) bonds sold by governments.

The debate over public investment in professional sports stadia has long been polarized. Grassroots critics both liberal and conservative view these investments as corporate welfare. The academics have long discredited the touted economic benefits. The advocates point to the Staples Centre, Camden Yards, Petco Park and Progressive Field as examples of new stadiums playing key roles in urban renewal. More recently, as franchise owners invest more of their own money and governments commit less, the proposed benefits trumpeted by advocates appeal more to community self esteem and less to promises of public economic gain. At the same time, some sports economists and industry observers are admitting that while these projects will not add to the public coffers they can be worthwhile public investments.

LWIB, Ballpark Digest reacted to the criticisms of the San Jose ballpark proposal.

What's really happening here is that the academic sports economists are living in an ivory tower. Is the ballpark the best use of the land? When you throw in every possibility -- like office and retail -- the answer is no. But is the ballpark the best possible use of the land given the present economic realities? No developer is lining up with development proposals for the site, so to argue the city would wait for a theoretical use of the land is a nonstarter. The office vacancy rate in San Jose and the rest of the Valley is very high, and it could be years before the existing space is filled, never mind create demand for a new office/retail complex. So, the real question -- and one ignored by the "sports economists" -- is whether a ballpark is a good use for the land given current economic conditions. And given the fact that someone is proposing a $500-million development project in this economy for an empty site in downtown San Jose, the answer has got to be yes.

Even Neal deMause, amongst the fiercest critics of investing public dollars in professional sports stadiums, admitted at his Field of Schemes blog that the San Jose proposal is a potentially sound public investment. Mr. deMause wrote in part, “…a new A's stadium could be the next Pac Bell Park, where public costs were actually kept low enough that the modest public benefits of a stadium were worth the subsidy; more than that, and it's just throwing money down a hole.”

Some of the sports economists appear to be mitigating their philosophical opposition to public investments in stadia for professional sports. Some believe that while there is no tangible economic benefit in these investments, there is an intangible benefit to the residents of these communities. In a recent Q&A with The New Yorker, the most high profile of the sports economists - Andrew Zimbalist - was quoted.

Arenas and stadiums, by themselves, cannot be expected to produce an economic benefit to the local community. It can’t be expected to increase the employment level in the community, and it can’t be expected to raise per capita income. And that’s a straightforward conclusion that comes from detailed econometric analysis that spans thirty to forty years. That doesn’t mean there can’t be a modest benefit in particular cases, though.

AND

Cities don’t build a public park because they expect it will bring in higher income; they build it because they think it’s good for the social and cultural fabric of their community. A city might look at a ballfield or an arena in the same way—if you can make a case that building a stadium will be economically neutral, you might want to go ahead and do that, because you think a team will provide a source of cohesion, identity, wholesome family entertainment.

Perhaps after twenty years of outlandish promises from stadium advocates and consistent objection from the sports economists a more reasoned debate has finally emerged. A new ballpark might not transform a city or provide stimulus (at least long term) to the local economy. Such arguments appear to have outlived their usefulness. And perhaps it is also time to admit that relatively modest levels of public investment in these stadiums is not entirely and uniformly wrong. Maybe a new ballpark or arena or football stadium is worthwhile just because a lot of people will enjoy it.


OTHER NEWS FROM THE BUSINESS OF SPORTS NETWORK

(THE BIZ OF FOOTBALL)

(THE BIZ OF HOCKEY)


Pete Toms is an author for the Business of Sports Network, most notably, The Biz of Baseball. He looks forward to your comments and can be contacted through The Biz of Baseball.

Don't forget to register and log in on The Biz of Baseball site to get updates via your in-box, and see information only logged in members can see.

Follow The Biz of Baseball on Twitter Twitter

 
 
Banner

Poll

Should MLB Force Jeffery Loria to Sell the Marlins?