http://www.azcentral.com/sports/superbowl/business/articles/0205wrapup0205.html
Taxes called key to get 2012 Super Bowl
Scott Wong and Carrie Watters
The Arizona Republic
Feb. 5, 2008 12:00 AM
Super Bowl organizers will try to nail down another big game for Arizona, possibly as early as 2012.
But for the state to stay competitive, taxpayers need to shoulder the majority of game costs, organizers say. And the organizers plan to lobby for legislation to accomplish that.
The weeklong celebration culminating with Sunday's Super Bowl XLII cost the local Host Committee about $17 million. The private sector, including such big contributors as the Fort McDowell Yavapai Nation and the Thunderbirds, bankrolled more than 80 percent, while state and local agencies chipped in the balance.
But with a slumping economy making fundraising a challenge, the Arizona Super Bowl Host Committee, the Arizona Cardinals organization and Valley business leaders want see that ratio reversed, with public dollars financing the bulk of the effort.
"The private sector has stepped up to make this happen," committee Chairman Mike Kennedy said in a recent interview. "But it seems that it's more equitable that this is a responsibility borne more and more broadly by the public.
"It's not just a large corporation or Indian nation that benefits from this. The entire community benefits from this, and we will be at a competitive disadvantage if we don't do something like Texas."
Upping the ante
Last year, Texas beat out Arizona and Indianapolis for the 2011 Super Bowl. Texas lured the bowl with the Dallas Cowboys' new $1 billion stadium and a game plan calling for up to $30 million in private and public funding. Most of that would come from corporate sponsors.
Texas law allows state sales taxes to be used to offset the cost of hosting major sporting events.
Incremental revenues, money generated above annual sales-tax estimates, are placed in a trust fund managed by the state. The money is then distributed to the local host committee for expenses such as staging events, volunteers and transportation.
Kennedy and others, including Cardinals President Michael Bidwill, want to see similar legislation introduced here.
They've been speaking with Gov. Janet Napolitano and state lawmakers, hoping to persuade them to support a future bill that would provide more public funding for major sporting events.
Those include future Super Bowls, NBA All-Star Games and NCAA Final Four basketball tournaments.
"We ought to be putting things in place to land these types of events," Bidwill said.
Battle in Legislature?
Still, the timing couldn't be worse.
Napolitano and state legislators are grappling over how to erase Arizona's $1 billion budget deficit.
Last week at the Super Bowl Media Center, Napolitano sidestepped a question about whether she would back such a bill.
"I don't speculate on future legislation," she told The Arizona Republic.
Such a proposal will be a tough sell, if Glendale's failed bid to obtain state funding for security costs is any indication.
A 2007 bill would have allowed cities to receive up to $1 million in state reimbursement for public-safety expenses for hosting big events. But a push at the end of the legislative session stalled and state lawmakers adjourned for the year without action.
Rep. John Nelson, R-Glendale, who had supported last year's bill, said Monday that he would like to see economic data from the Host Committee before backing any new proposal.
But he said he couldn't foresee the state handing over upward of $13 million to the Host Committee.
No one yet knows how much this year's Super Bowl will fatten state coffers, though organizers project the game created more than $400 million in spending. An economic-impact study won't be out for at least a couple of months.
Glendale Mayor Elaine Scruggs says she wants dollars funneled to public-safety efforts undertaken by Valley cities that host bowl-related events.
Glendale spent nearly $2 million for police and fire protection over the past week.
"If the Host Committee wants to go lobby for state assistance in meeting private-sector dollar goals, that's their right," Scruggs said. "I believe public-safety dollars should be included in there."
Kennedy said it will be at least a week before local stakeholders decide whether to shoot for 2012.
So far, Indianapolis, Houston and New Orleans are vying for the 2012 game. Bids are due by April 1.
"I don't know when we'll be back seeking another Super Bowl. Maybe soon," Kennedy said. "But we also have the thought that maybe that is an opportunity that shouldn't get away."
Taxes called key to get 2012 Super Bowl
Scott Wong and Carrie Watters
The Arizona Republic
Feb. 5, 2008 12:00 AM
Super Bowl organizers will try to nail down another big game for Arizona, possibly as early as 2012.
But for the state to stay competitive, taxpayers need to shoulder the majority of game costs, organizers say. And the organizers plan to lobby for legislation to accomplish that.
The weeklong celebration culminating with Sunday's Super Bowl XLII cost the local Host Committee about $17 million. The private sector, including such big contributors as the Fort McDowell Yavapai Nation and the Thunderbirds, bankrolled more than 80 percent, while state and local agencies chipped in the balance.
But with a slumping economy making fundraising a challenge, the Arizona Super Bowl Host Committee, the Arizona Cardinals organization and Valley business leaders want see that ratio reversed, with public dollars financing the bulk of the effort.
"The private sector has stepped up to make this happen," committee Chairman Mike Kennedy said in a recent interview. "But it seems that it's more equitable that this is a responsibility borne more and more broadly by the public.
"It's not just a large corporation or Indian nation that benefits from this. The entire community benefits from this, and we will be at a competitive disadvantage if we don't do something like Texas."
Upping the ante
Last year, Texas beat out Arizona and Indianapolis for the 2011 Super Bowl. Texas lured the bowl with the Dallas Cowboys' new $1 billion stadium and a game plan calling for up to $30 million in private and public funding. Most of that would come from corporate sponsors.
Texas law allows state sales taxes to be used to offset the cost of hosting major sporting events.
Incremental revenues, money generated above annual sales-tax estimates, are placed in a trust fund managed by the state. The money is then distributed to the local host committee for expenses such as staging events, volunteers and transportation.
Kennedy and others, including Cardinals President Michael Bidwill, want to see similar legislation introduced here.
They've been speaking with Gov. Janet Napolitano and state lawmakers, hoping to persuade them to support a future bill that would provide more public funding for major sporting events.
Those include future Super Bowls, NBA All-Star Games and NCAA Final Four basketball tournaments.
"We ought to be putting things in place to land these types of events," Bidwill said.
Battle in Legislature?
Still, the timing couldn't be worse.
Napolitano and state legislators are grappling over how to erase Arizona's $1 billion budget deficit.
Last week at the Super Bowl Media Center, Napolitano sidestepped a question about whether she would back such a bill.
"I don't speculate on future legislation," she told The Arizona Republic.
Such a proposal will be a tough sell, if Glendale's failed bid to obtain state funding for security costs is any indication.
A 2007 bill would have allowed cities to receive up to $1 million in state reimbursement for public-safety expenses for hosting big events. But a push at the end of the legislative session stalled and state lawmakers adjourned for the year without action.
Rep. John Nelson, R-Glendale, who had supported last year's bill, said Monday that he would like to see economic data from the Host Committee before backing any new proposal.
But he said he couldn't foresee the state handing over upward of $13 million to the Host Committee.
No one yet knows how much this year's Super Bowl will fatten state coffers, though organizers project the game created more than $400 million in spending. An economic-impact study won't be out for at least a couple of months.
Glendale Mayor Elaine Scruggs says she wants dollars funneled to public-safety efforts undertaken by Valley cities that host bowl-related events.
Glendale spent nearly $2 million for police and fire protection over the past week.
"If the Host Committee wants to go lobby for state assistance in meeting private-sector dollar goals, that's their right," Scruggs said. "I believe public-safety dollars should be included in there."
Kennedy said it will be at least a week before local stakeholders decide whether to shoot for 2012.
So far, Indianapolis, Houston and New Orleans are vying for the 2012 game. Bids are due by April 1.
"I don't know when we'll be back seeking another Super Bowl. Maybe soon," Kennedy said. "But we also have the thought that maybe that is an opportunity that shouldn't get away."