Gov. Nixon gets more wrong on St. Louis MLS deal in three sentences than most can in lifetime

Lame duck Missouri Gov. Jay Nixon opened his mouth about the proposed St. Louis MLS stadium on Friday at a meeting with reporters, and this poured out:

“Folks may want to anguish a little bit over all this sort of stuff, but it’s the price of doing business,” Nixon said in a meeting with Post-Dispatch reporters downtown. “And quite frankly, we’re getting in, relative to what other areas of have done, so much more cost-effectively here.”…

“If we’re going to sit around the table and complain about this little part of the deal or that little part of the deal, then the $250 million to $300 million in private money that’s going to be invested will go somewhere else,” Nixon said, “and that site will sit there looking the way it is.”

Nixon has never been known for being the most savvy sports subsidy negotiator, but that’s a whole lot of stupid packed into just three sentences. Let’s break it down:

  • “It’s the price of doing business.” This is mostly meaningless rhetoric, but to the extent it has any meaning, it’s “this is the best deal we’re going to get.” Except the $129 million in state and city spending being proposed is literally the team owners’ first ask, so there’s no way to know whether this is the price of doing business or just what a couple of wannabe MLS owners decided they can sucker the public into giving them.
  • “We’re getting in, relative to what other areas of have done, so much more cost-effectively here.” There could be a word missing here in the transcript (“of have”?), but regardless, Nixon is off his rocker here, since this would be the second-largest MLS-only stadium subsidy ever, meaning that by definition more than 20 other areas have gotten off most cost-effectively. Unless he just means “ha ha ha ha, we’re making the city foot most of the bill instead of the state,” which is true, but not exactly what most people mean by “cost-effective.”
  • “The $250 million to $300 million in private money that’s going to be invested will go somewhere else.” Of that private money, $150 million will go into the pockets of the other MLS owners as an expansion fee — and that will happen regardless of whether a team goes to St. Louis or some other city. (In fact, you could even argue that it would be better for the Missouri economy if the St. Louis-based prospective owners didn’t waste their money on an MLS team, and instead spent it on something else local.) The team would be putting about $71 million into actual construction, but since it would also be taking up a piece of land that then couldn’t be used for anything else ever, not to mention $129 million in public money that couldn’t be used for anything else, that’s not necessarily a plus even if you think the land would likely remain undeveloped for a while otherwise.

Nixon was, by all accounts, a successful litigator and popular state attorney general before becoming governor, so you’d think he might know a little bit more about haggling than he’s shown with his sports dealings. Guess there’s really no accounting for the effect of the toy department.


7 comments on “Gov. Nixon gets more wrong on St. Louis MLS deal in three sentences than most can in lifetime

  1. You just hit the nail on the proverbial head with the mentioning of this nitwit being a successful litigator. Litigators extract money from people and/or businesses on behalf of others. He is simply doing what he knows as a politician.

  2. Still cheaper than keeping the rams. Any idea of the domes future in St. Louis? Wonder if San Diego will partner with sd state and MLs post chargers moving to build a new stadium.

    • The Dome stands as a reminder to Missouri and St. Louis that they should never, ever again use public money to subsidize professional sports team and their billionaire owners.

        • I’m sure there are. I mean if Oakland still has a 9-figure sum left to pay on Mt Davis, which was an addition rather than entire new stadium, then I’m sure St Louis is in the same boat.

          • http://www.slate.com/blogs/moneybox/2016/02/03/st_louis_is_still_deep_in_debt_for_the_rams_old_stadium.html

            total owed is about 144 million. With 129 million on the bonds alone.