Quote:
Originally Posted by Frequitude
I hate the incomplete nature of the funding model as much as anyone, but it is accurate to portray it as close to 50/50. Ticket tax is money out of the owners pockets. It is effectively a tax on their future revenues.
For example, let's say a base ticket cost was $100 and the ticket tax was $10 for a total cost to the consumer of $110. Now take the ticket tax away. It's not like the owners would benevolently keep the price at $100. They would keep it at $110 and keep the difference. The demand curve is set by the total net cost to the consumer.
So on an $890M project (yes, excluding the fact that that's a ridiculously underscoped cost), $200M of owners money + $250M in ticket tax represents about a 50/50 split.
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Does the city get 50% of the revenue?