Quote:
Originally Posted by FiveSeven
Does anyone have any insight into how you reply to the 60 million in cuts but spending 275 million on an arena? Assuming the person is completely ignorant of the situation.
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$60MM cut out of a ~$4B operating budget. Negligible in the grand scheme of things.
$275MM from the capital budget. Some of that $275 was already there from cost under runs on other projects, iirc. Capital and operating are different animals. This particular capital project (unlike a road) will generate revenue. Which, I suppose, could be allocated to operating budget in the future. Or more capital projects.
Could the city have reallocated some of that $275MM to operating and not built the event center? Probably/Maybe. But, it’s not sound business practice to minimize investment/growth just “to keep the lights on”.
It’s all normal, just terrible timing and optics.