Wednesday, February 13, 2013

New Sports Centers: Beneficial or Burdens


People’s prayers have been answered, hockey is back on and we Canadians couldn’t be more thrilled. One aspect of our national culture that tends to bring people together in mutual understanding is hockey. It is after all one of the defining parts of Canadian society.

Not all Canadians are interested in hockey, though. There are all types of sports that unite people in good-natured frivolity. Sports play a big part in people’s lives. They can serve as a sort of refuge for people after a tiresome day at the office; they can be scenes for first dates, birthdays, anniversaries; they can even be a source of one’s paycheck.

The point is people tend to spend a lot of time and money watching sports and supporting the various teams they have affiliation with. Apparently certain Canadian municipalities have noticed this too, as one of the areas of major developments in cities across Canada is that of sports stadiums and arenas.
Edmonton and Markham are only two of the cities involved in the current trend of mobilising the movement for local sporting centers. The justification for these developments goes beyond that of promoting a passion for hockey or basketball; its appeal, as you can imagine, revolves around money.

Cites involved in the building of new sporting arenas are concerned with the profits that they believe will inevitably follow after creating more job opportunities and attracting foreign visitors.

While the idea of creating a sanctuary where passionate sports lovers can drain their income on countless events seems logical, it is sadly misinformed. The profits that these cities have anticipated to produce are greatly exaggerated. While it is possible that these sports arenas would create more job opportunities for local people, the assumption that its revenue would come from outsider ticket sales is exceptionally flawed.
The first point to mention is that most of the ticket sales of these sports arenas are from the local community. Generally it is about 80% of the purchases coming from community members themselves. This just goes to show that the goal of attracting fans outside of the local constituency is not likely to be met. Now call me old fashion, but I don’t think it’s right to mislead the public into funding a project under false pretenses. While the arenas may generate revenue, I wouldn’t call it a profit for the citizens.

Furthermore, the indicated funds for these projects are only conservative estimates. Markham is already at an estimate of 325 million and Edmonton at 480 million, both of which have a large portion provided by the public. How much further are they willing to go in their dire necessity of having their own sports arenas? If today they’ve demanded 1 million from the public, are their costs still fair if they require 10 million tomorrow? The bottom line is that while everyone is supposed to benefit from these arenas, it is the municipality footing the bill.

As if that weren’t bad enough, there’s more. One’s understanding of the costs of these projects would not be complete without acknowledging the hidden expenses. Asides from costs of labour and raw materials, there are also those of subsidies and concessions given to team owners that have been conveniently left out of the equation. By this I mean the lack of property taxes that will be collected from the site. Not only does the city miss an opportunity to collect taxes, but the sporting arena projects could potentially leach public funds from other beneficial projects that could have been provided to the community.

While the idea of a city having its own sports arena does seem to have a certain appeal; providing the community members a haven in which to cheer on their local team, thereby boosting people’s pride in their cities, it comes at a price. I don’t think these benefits even begin to outweigh the costs the projects pose for the public. Don’t get me wrong, I myself enjoy watching live sports and would like having a sports arena in my city. The matter becomes more complicated, though. How fair is it for the government to demand public funds for a project when those members of the public have been so misinformed about its true profitable potential? Shouldn’t the city ensure that the public know all of the facts about a development before asking them to delve into their personal savings to pay for it? I certainly think so, but apparently my opinion differs from that of the municipalities’.