Friday roundup: Another Canadian sports bailout request, and everyone pretends to know when things may or may not reopen

Happy May, everybody! This crisis somehow both feels like it’s speeding into the future and making time crawl — as one friend remarked yesterday, it’s like we’ve all entered an alternate universe where nothing ever happens — and we have to hold on to the smallest glimmers of possible news and the tiniest drips of rewards to keep us going and remind us that today is not actually the same as yesterday. In particular, today is fee-free day on Bandcamp, when 100% of purchase prices goes to artists, and lots of musicians have released new albums and singles and video downloads for the occasion. Between that and historic baseball games on YouTube with no scores listed so you can be surprised at how they turn out, maybe we’ll get through the weekend, at least.

And speaking of week’s end, that’s where we are, and there’s plenty of dribs and drabs of news-like items from the week that just passed, so let’s catch up on what the sports world has been doing while not playing sports:

Here’s a bunch of ways rich sports owners are looking to get pandemic bailouts

The owners of the Los Angeles Lakers have voluntarily returned $4.6 million in refundable government loans they received as part of the Payroll Protection Program—

Hold up, let’s try that again.

The owners of the Los Angeles Lakers, a sports franchise worth an estimated $4.4 billion that turns an annual $178 million profit, asked for and received $4.6 million in federal government loans as part of its Payroll Protection Program for small businesses. (The loans convert to grants if recipients keep their current employees on payroll through the end of June.) Like other prominent companies that took advantage of the PPP program — Shake Shack, Potbelly, Ruth’s Chris friggin’ Steakhouse — the Buss family that owns the Lakers chose to return the money “so that financial support would be directed to those most in need” once they realized they’d bum-rushed the subsidy line and edged out actual small businesses, and also probably realized that the PR hit from doing so would have been worth way more than a relatively piddling $4.6 million in government grants.

That a billionaire sports family got approved for small-business loans should be alarming, but not surprising: The federal government has already approved more than $2 trillion in spending to help Americans hit by the coronavirus-spawned economic crash, and it’s all but inevitable that some less-needy Americans would put in applications as well — the feds define “small businesses” based in part on how many employees they have, and sports teams don’t employ a ton of people on payroll. And it’s also inevitable that they’d also be among the first to be approved, since programs like PPP are first-come first-served and rich folks are more likely to have lawyers on staff who know how to file paperwork fast, as well as established bank connections that made them more likely to get approved.

In fact, sports team owners are working many angles to get a cut of the Covid stimulus bailout cash, just as less-deep-pocketed individuals are as they try to figure out whether to consider themselves unemployed gig workers or entrepreneurs in need of cash to keep themselves on payroll. Among the ways:

  • The Sacramento Kings owners are renting out their old empty arena in Natomas for $500,000 a month to the state of California for use as a field hospital, which is the same rent the state is paying for other temporary facilities, but maybe a tad disingenuous given that Gov. Gavin Newsom previously praised Kings owner Vivek Ranadivé as “an example of people all stepping in to meet this moment head-on” without mentioning that he’d be getting paid for his selflessness.
  • The owners of the D.C. United MLS team are part of DC2021, an advocacy group of Washington, D.C. business leaders lobbying the district for “a massive new tax relief program” to help the local restaurant, hotel, and — apparently — soccer industries survive the economic shutdown.
  • The stimulus measures approved by Congress weren’t all expanded unemployment benefits and checks with Donald Trump’s name on them; they also reestablished a tax loophole involving what are known as “pass-through entities” that will allow mostly wealthy people to save $82 billion on their tax bills this year. The biggest beneficiaries will be hedge-fund investors and owners of real estate businesses, a list that obviously includes lots of sports moguls: Just owners of hedge funds who also control sports teams include Milwaukee Bucks co-owners Marc Lasry and Wesley Edens, Los Angeles Dodgers owner Mark Walter, Tampa Bay Lightning owner Jeffrey Vinik, and a pile of others.

Now, not all of this should be considered a fiasco: In the case of the PPP in particular, Pat Garofalo notes in his Boondoggle newsletter that the money is intended to keep low- and moderate-income workers from being laid off — the reimbursements top out at $100,000 per employee — and people who work for sports teams or chain restaurants are just as deserving of keeping their jobs as those who work at genuine small businesses. The main problem with PPP is that Congress massively underfunded it, then made it first-come first-served, then left it up to banks to decide who to approve — okay, there’s actually a lot here to consider a fiasco, but sports team owners deciding to fill their wallets at the same firehose of cash as everyone else is far from the worst part of it.

As for some of the other bailout proposals, though, sports owners come off looking a lot less innocent. That DC2021 plan pushed by D.C. United owner Jason Levien, for example, includes such things as tax holidays for corporate income taxes and property taxes, which Garofalo notes won’t help most small businesses that don’t turn large profits or own land.  (Levien, you will not be surprised to learn, is not just a sports mogul but also a real estate investor.) And the pass-through tax break is almost entirely a sop to millionaires and the Congresspeople who love them, which though it doesn’t single out sports team owners, certainly helps many of them given that they’re far more likely to invest in pass-through companies than you or I.

I’ve said this before, but it really is worth harping on: The recovery from the pandemic is already involving a ton of government spending, and will unavoidably involve a ton more, since the feds are pretty much the only institution that has the power to keep food in people’s mouths during this crisis. (At least until the U.S. Mint is deemed a non-essential business.) This will invariably create winners and losers, both in terms of who gets what money and in terms of who ends up paying off the government debts that are being racked up now. There’s no way to avoid this involving subsidies — pretty much the whole idea of government spending to prevent an economic crash is about creative use of subsidies — so what you want to shoot for is fairness, where you have the most money going to companies and individuals who were most hurt by coronavirus shutdowns, and the least to companies and individuals that just were able to lawyer up the fastest.

Individuals who were most hurt except, of course, for Miami Heat and Carnival Cruises owner Micky Arison, who may have lost more than a billion dollars thanks to the collapse of the cruise industry, but who also lobbied the Trump White House to let them keep sailing even after it was clear that cruise ships were perfect Covid incubators. The cruise industry was notably left out of the stimulus bills, and while that’s more about the fact that they all registered as foreign businesses in order to duck U.S. taxes than their owners being money-grubbing jerks who prioritized profits over public health, I think we can all agree: Screw those guys.

Angels owner who got $175m subsidy is stiffing stadium workers, because outsourcing

Another day, another news story about sports stadium workers who can’t pay their rent because teams are refusing to pay third-party employees during the coronavirus shutdown:

On March 17, the Dodgers and Angels — and every other major league team — each committed $1 million to provide financial assistance to game-day workers.

Luna believed that meant he would get financial assistance. He has not seen a dime. The fact that he works for third-party concession companies and not the Dodgers or Angels complicates his situation.

“It’s getting pretty stressful,” he said. “I rely on this income.”

That million-dollar-per-team relief fund got a lot of attention when it was announced, even though the total isn’t much more than each MLB team will be paying the last guy on their bench. But the bigger problem is that most of the people who sell you hot dogs or scorecards aren’t actually team employees — they work for concessionaires like Aramark, which means baseball owners feel entirely justified in not paying them squat during the sports layoff. Some teams have relented — the Red Sox added an extra $500,000 to cover some subcontracted employees after a public outcry — but plenty of others haven’t.

As discussed before, this is somewhere between irony and hypocrisy, given that every team that comes seeking stadium or arena funds makes sure to cite the jobs that these subsidies will help make possible. Los Angeles Angels owner Arte Moreno and his supporters, in fact, used precisely that argument in pushing for a land deal that gave Moreno about a $175 million subsidy for his stadium plans:

“For every fan who told us to keep the Angels, this proposal would do exactly that,” Mayor Harry Sidhu said in a statement. “This proposal reflects what we’ve heard from the community – keep the Angels, a fair land price, money for neighborhoods, ongoing revenue, affordable housing, parks and jobs for Anaheim.”

Okay, Sidhu didn’t say good jobs, I guess. But even if “I am proud to sign a deal that will provide my city with shitty part-time jobs that can be terminated at the drop of a hat because of the magic of subcontracting” might have been more honest, it doesn’t fit as well on a bumper sticker.

Friday roundup: If you’re watching TV sports in empty stadiums by summer, count yourself lucky

Michael Sorkin, who died yesterday of COVID-19, was a prolific architecture critic (and architect) and observer of the politics of public space, and so not a little influential in the development of my own writing. I’m sure I read some of Sorkin’s architecture criticism in the Village Voice, but he first came on my radar with his 1992 anthology “Variations on a Theme Park,” a terrific collection of essays discussing the ways that architects, urban planners, and major corporations were redesigning the world we live in to become a simulacrum of what people think they want from their environment, but packaged in a way to better make them safely saleable commodities. (I wish I’d gotten a chance to ask him what he thought of the Atlanta Braves‘ new stadium, with its prefab walkable urban neighborhood with no real city attached to it.) In his “Variations on a Theme Park” essay on Disneyland and Disney World, he laid out the history of imagineered cities starting with the earliest World’s Fairs, up to the present day with Disney’s pioneering of “copyrighted urban environments” where photos cannot even be taken and published without prior approval of the Mouse — a restriction he got around by running as an illustration a photo of some clouds, and labeling it, “The sky above Disney World.”

I really hope this isn’t the beginning of a weekly feature on great people we’ve lost to this pandemic, though it seems pretty inevitable at this point. For now, on with the other stadium and arena news, though if you’re looking for a break from incessant coronavirus coverage, you won’t find it here:

Friday roundup: Ex-D.C. mayor says his $534m Nats stadium expense was worth it, Clippers arena stymied by car trouble, MLS franchise fees to go even higher

Shouldn’t posting items more regularly during the week leave less news to round up on Fridays? I’m pretty sure that’s how it’s supposed to work, but here I am on Friday with even more browser tabs open than usual, and I’m sure someone is still going to complain that I left out, say, the latest on arena site discussions in Saskatoon. I guess lemme type really fast and see how many I can get through before my fingers fall off:

 

Friday roundup: Lotsa new vaportecture renderings, lotsa new crazy expensive bridges

I’m traveling this week and next, so there will likely be some weird scheduling changes for posts, such as this Friday roundup appearing close to noon Eastern time. (I think. I’m not entirely sure what time it is here or anywhere, just that it’s hot, which doesn’t narrow it down much because it’s hot everywhere.) The news watch never stops, though, so here’s a somewhat abridged week of highlights:

  • New Los Angeles Clippers arena renderings! This vaportecture is honestly all starting to look more or less alike to me, though what appears to be a transparent roof on an arena is novel — the article refers to “indoor/outdoor ‘sky gardens,'” though, so maybe this is those, whatever those are. (Gardens open to the sky? Wouldn’t that be … “gardens”?) Anyway, constantly releasing renderings is a great way to show people that you absolutely are going to be able to build an arena, despite any lawsuits trying to block it, because everyone knows cartoons always come true.
  • And on the other side of the pond, Everton has released its own stadium renderings, with more lens flare and balloons and promises that 1.4 million more people will visit Liverpool just by Everton moving into a new stadium. (The balloons are probably the least fanciful of these predictions.)
  • Norman Oder has a long analysis of the New York Islanders Belmont Park arena plan laying out all the remaining questions about the project, from the value of land and tax breaks to how exactly the state expects a Belmont arena to host sports and concerts without cannibalizing shows from the nearby Nassau Coliseum. (Not that it should matter to the state if the Coliseum loses business, but if shows are just relocated, they’re not new economic activity. For that matter, if Long Islanders just go to more shows and fewer restaurants, say, that’s also not new economic activity. So very many questions.)
  • Dodger Stadium is getting a $100 million facelift this offseason, including a new centerfield plaza, new elevators and bridges for fan circulation, and a statue of Sandy Koufax. A hundred million dollars seems like a lot for that, but it’s Magic Johnson‘s stadium and his money, so whatever floats his boat.
  • And finally, the cost of the Atlanta Falcons‘ pedestrian bridge has now surpassed $33 million. up $6 million from the last accounting. On second thought, maybe $100 million for some bridges and a statue isn’t that crazy at all.

Friday roundup: Leaky fountains, cheap stadium beer, and the magic of computers

The world may be on vacation this week, but the stadium news decidedly is not:

Friday roundup: Trump tariff construction cost hikes, Beckham lawsuit tossed, Elon Musk inserts himself into headlines yet again

Lots of news to report this week, and that’s even without items that I can’t read because of Tronc Troncing:

Friday roundup: Senators owner stalling on arena commitment, Jaguars owner wants to buy Wembley, and gondolas, forever gondolas

As late as Wednesday, I thought this was turning out to be a slow news week. Then the news made up for it in a hurry:

  • The New York Islanders owners held a question-and-answer session for residents near their planned new arena on Tuesday, and when asked about how they plan to increase Long Island Railroad service to avoid tons of auto traffic, a state development official said, “We are in very active discussions with the LIRR — meeting with them once a week — and those talks are ramping up.” Hopefully they’re involving Dr. Strange in those discussions, because they badly need to find some new topological dimensions.
  • Ottawa Mayor Jim Watson says he plans to talk to Ottawa Senators owner Eugene Melnyk about whether he actually plans to pursue the LeBreton Flats arena development he won rights to last year, after Melnyk called it “a huge project with tremendous risk” and said, “If it doesn’t look good here, it could look very, very nice somewhere else, but I’m not suggesting that right now” and “Something’s got to break somewhere and I mean a positive break.” Melnyk has made threats like this before, but you’d think now that he has an agreed sale price for the land he’d be happy; it sure sounds like he’s angling for some additional public subsidies now that he has his mitts on the land, which you can’t really blame him for, since Watson opened the door to that already. Come on, mayor, haven’t you learned yet not to get the can opener out when the cat is around?
  • Tampa Bay Rays 2020, the group started by the Rays to push for business support for a new stadium, is signing up plenty of members, but DRaysBay notes that “the real test of commitment will come when businesses are asked to make clearer financial commitments to a stadium plan.” Yeah, no duh. (The subhead here, “Business leaders line up behind stadium plan, but financing questions linger,” is also a masterpiece of understatement.)
  • MLB commissioner Rob Manfred says that the Toronto Blue Jays‘ Rogers Centre “needs an update to make it as economically viable as possible,” noting that other stadiums “have millennial areas, things like that that have been built and become popular more recently.” So, like, an Instagram parlor?
  • Here’s a story about how 25 years ago the NHL handed Norman Green the rights to move the Minnesota North Stars to any open market as consolation for putting an expansion team in Anaheim, where he’d wanted to move, and he ended up going to Dallas. Also it has Roger Staubach in the headline for some reason.
  • And here’s a story about how 50 years ago NHL expansion inadvertently kicked off the rise of arena rock, which is probably overstated but it has links to vintage Cream videos in it, if you like that sort of thing.
  • Jacksonville Jaguars owner Shahid Khan is in talks with the Football Association to buy London’s Wembley Stadium for £600 million, which is certain to raise eyebrows about the possibility of the Jags moving to London, but is probably for right now more about Fulham F.C., which Khan also owns, being about to get promoted to the Premier League and wanting a bigger place to play. Khan also said, “I think it needs investment and updating. Compared to American stadiums the video boards are something that need to be looked at. The lounges are a little bit dated.” The current Wembley Stadium was built in 2007.
  • The son of former disgraced Los Angeles Dodgers owner Frank McCourt wants to build a gondola to take fans from Union Station to Dodger Stadium to avoid traffic. “It’s not actually crazy,” Los Angeles Mayor Eric Garcetti insisted on Thursday, which, given that this is a city considering allowing Elon Musk to build a network of tunnels to whisk residents about via some unknown technology, maybe we should take that with a grain of salt.
  • San Diego State says its stadium plans could eventually be expanded to fit an NFL team, for a mere additional $750-$850 million. Most San Diegans responding to an internet poll (which means some San Diegans, some non-San Diegans, and some dogs) don’t think they’re getting an NFL team anytime soon, anyway.
  • The Port of Oakland has approved giving the Oakland A’s owners exclusive negotiating rights to develop Howard Terminal, which now gives the A’s exclusive rights to two possible stadium sites. As DRaysBay would say, financing questions linger.
  • NBA commissioner Adam Silver has toured the new Milwaukee Bucks arena and says it has “unique sight lines.” Hopefully he means that in a good way, though I’m still wondering about that “sky mezzanine level.”

Dodger Stadium springs a sewage leak, time to build a new one

Last night’s spring training game between the Los Angeles Dodgers and Los Angeles Angels was called off in the 5th inning after a giant pool of sewage poured out on the field from a broken pipe. Guess it’s time for the Dodgers to demand a new stadium, huh?

(I have nothing else to add about this story, except to give props to the Associated Press for the opening line of their report: “Spring training came to a repulsive end Tuesday night at Dodger Stadium.” Sheer journalistic poetry.)