Abstract
In the years 1990–2011, communities across the United States subsidized over 89% of professional sports complexes (including both arenas or stadiums), providing teams with $18.240 billion in public funding for some 54% of the total costs. Even today, subsidies continue, with the promise that such an investment will create economic and social benefits. However, these anticipated benefits are seldom completely fulfilled and in many cases, the public is left with a great deal of debt. As we enter into the second decade of the 21st century, America’s passion for sports continues to grow, and the pattern of subsidization requests is likely to continue. Should the public continue to subsidize sports complexes? Can the projects be configured so that the public is spared debt? How can public officials, academics, and the public alike truly evaluate a proposal for a sports complex? Through my research, I have identified the factors needed to critically assess sports complex proposals. My findings fall into three broad categories: economic, social, and political. The details of each category have been formed into a checklist that can guide an analysis of any project. After a thorough study, it is clear that subsidizing a sports complex as a standalone development—the predominant model over the last twenty years—does not yield net results greater than the invested funds. It is only when sports complexes are part of a broader public policy vision and are part of larger development efforts does a community stand to gain. Financial risk for the community is great whenever a sports complex is publicly subsidized. Public officials must ensure that future sports complexes are fiscally responsible and will maximize benefits for the community far beyond the profits for teams, sports leagues, and the players. Through due diligence carried out through the checklist included in this thesis, officials will have far better tools to assess a project and ensure that the resulting sports complex is truly of civic benefit.