March 21, 2004
MN teams to guarantee STIF?
More on that odd sales-tax increment financing plan that Minnesota Gov. Pawlenty wants to use for the state's share of Twins and Vikings stadiums: The Star Tribune's invaluable Jay Weiner reports that only the marginal increase in tax revenues over those currently collected at the Metrodome would be used, and that the teams would have to agree to pay any shortfall if revenues don't rise by $7 million a year as projected. Such a plan would still leave the state open to economic losses - how to guarantee, for example, that the new stadium revenues aren't being cannibalized from other parts of the local economy, as people buy more stadium hot dogs and fewer Happy Meals? - but even so, it seems unlikely to pass muster with the teams, who are already griping about being asked to pay one-third of contruction costs out of their own pockets.
