Americans for Prosperity-Missouri (AFP-MO), the leading grassroots advocacy organization against corporate welfare, is responding to the City of St. Louis’ request for $40 million to help pay for a new stadium and their plan to ask city voters to approve a sales tax increase to pay an additional $80 million towards the stadium.
AFP-Missouri state director, Jeremy Cady, states:
“It’s not the role of government to own and operate sports stadiums. When municipalities are in the business of negotiating these contracts, taxpayers are left on the hook for unnecessary and risky spending that could otherwise fall on private enterprise.
“Millionaire sports team owners should not be punting their bills to hardworking taxpayers.
“Rather than funding a new stadium at taxpayers’ expense, government officials should focus on the real needs of our community.
“We applaud Governor-elect Gretiens standing up for Missouri taxpayers and rejecting corporate welfare.”
- A study by Harvard professor Judith Grant Long found that, on average, 78 percent of stadium costs fall on the taxpayers, with only 22 percent being paid for by team owners.
- Victor Matheson, an economist at Holy Cross who has studied the economic impact of stadium construction for decades, states that the true economic benefit of major events like the Super Bowl or championship games is typically one-tenth of what supporters like the NFL and team owners claim.
- Matheson also points out that stadiums aren’t new revenue generators because most tickets are purchased locally, money that would have been spent at another local business if not at the stadium.