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Originally Posted by topfiverecords
Geez guys, don't you think we all essentially paid for most of the Saddledome and McMahon in one way or another?
CS&E is putting up $450 million. Are you surprised that $250M they're going to reclaim by a ticket tax? The other $200M, the owners are obviously going to want a return on through general profits which we all pay for in tickets, concessions, merchandise, concert tickets, Grey Cup profits, etc etc.
The $200M from the City for the field house & communty rink is possibly fair, but it's the $240M CRL that I'd have the most issue with. This complex isn't giving anything to the West Village community that suggests they deserve to take $240M out of that fund. I'm not sure what the East Village CRL amount was for all of the public infrastructure but I doubt that area would have been as successful with $240M chopped off the top.
There better be operating funds going back to the City, such as the teams paying rent.
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The way it's worded makes me assume that the City will be picking up the 250M loan, and will be collecting the ticket tax over a period of time.
If CS&E is picking up the 250M and collecting the ticket tax, then I think the overall plan is quite reasonable.
Also here's the relevant section of the ticket surcharge from the edmonton deal, which I assume will be similar:
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Ticket Surcharge
The ticket surcharge will be levied by the City, with the rate set by the Edmonton Arena Corporation (EAC).
The amount collected must fund the principal and interest payments for repayment of $125-million over a 35-year term, plus a $1.5-million annual contribution to the City to create a fund for ongoing major capital expenditures.
Capital contributions will be reviewed after 15 years.
Ticket surcharge collected in excess of what is required to fund the $125-million in initial capital costs and the $1.5-million per annum for ongoing capital maintenance will be retained by the EAC.
A ticket surcharge will be levied on admissions at Rexall Place at the same rate as the ticket surcharge charged on non-hockey events at Rogers Place, to a maximum of 7%. The proceeds of this surcharge will go to the City.
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