"Knowledge will forever govern ignorance

 and a people who mean to be their own governors

 must arm themselves with the power which knowledge gives."

Sunday, April 24, 2005

The Opportunity Cost Of The Giant’s Stadium Deal

Eleven commissioners of the New Jersey Sports and Exposition Authority voted in favor of a new stadium deal for the New York Giants, while four abstained.

Those abstaining included George Zoffinger, the Sports Authority's chief executive, who said he wanted to "remain consistent" with his past criticism of a deal he has claimed will cost taxpayers at least $150 million and will force his agency to operate at a deficit. The Authorities vice chairman Joseph Buckelew and board members Zulima Farber and David Jefferson also abstained.

The deal approved by the board calls for the NY Giants to receive control of 75 acres in the Meadowlands complex for 98 years and all revenue generated from the facilities built by the Giants on the property. New Jersey will receive $5 million a year in rent for the land and East Rutherford will receive $1.3 million a year in lieu of taxes.

New Jersey will be responsible for $124 million of debt on the exiting stadium that will be demolished to make way for the new stadium. The state will also be responsible for $30 million in utility improvements to the site. The New Jersey Sports and Exposition Authority will lose $19 million a year in revenue from the existing stadium.

The value of the land in the Meadowlands is never discussed in any press accounts, beyond an occasional reference to the fact that Giants stadium sits on some of the most valuable real estate in the nation.

It’s hard to believe the land couldn’t be leased or sold for far more than a paltry $6.5 million a year. Any private sector business would include the opportunity cost when calculating the total cost of a deal. The state should be required to include all costs involved so that New Jersey’s taxpayers can properly evaluate the proposed agreement. Even with the best spin on deal, it's clear it is a loser. Acting Governor Codey just doesn't want you to know how bad it will truly be for New Jersey.

The other point missing from all recent accounts of the Giants deal concerns the financing for the $700 million dollar stadium. The last reference we can find was back in December. At that time, the Star-ledger had reported that the $700 million to build the new stadium would be provided through tax-exempt bonds issued by New Jersey Sports and Exposition Authority. Sounds like a sweet deal doesn’t it?

Zoffinger has argued for years that the state should be willing to let of the professional sports franchises at the Meadowlands go because they are benefiting wealthy team owners at taxpayer expense. It’s a pity no one listened. It’s not too late to tell your representatives in Trenton how you feel about this abuse of taxpayer money and property.

The New York Giants and New Jersey’s Sports Authority lawyers will spend the next three to six months finalizing a formal lease and development agreement the for new Giants stadium. When the agreement is finished, the Sports Authority's board will take a final vote on the deal.

So it’s not a “done deal” yet – take action! It’s time for politicians to understand they will pay a price for idly standing by while the taxpayers are ripped off. Politicians have an opportunity cost to pay too.

Our previous posts on the Giant Stadium deal:
Codey Eliminates “Pay To Play” For New York Giants
NY Giants Seek New $700M Stadium In NJ
Democrat’s Priorities Inconsistent With Rhetoric
NJ Taxpayers Still Owe $117 Million On Giants Stadium
NY Jets - The Other NJ Football Team
NJ Sweetens Stadium Offer To NY Giants
Giants Stadium Was Always A Bad Deal For Taxpayers
Deal For New Giants Stadium Stalled
We Want Our Bread, Not Circuses
Giant Rip Off
The Fine Print Of The Giants Deal



0 Comments:

Post a Comment

<< Home


 Contact Us

  • Email Us
  • Blog Roll Us!

    Search

    Syndication

  • Atom Feed
  • Bloglines
  • Feedburner
  • Feedster
  • Add to Google
  • Add to My MSN
  • Add to My Yahoo
  • News Is Free

    Recent Posts

  • The Party Of The People
  • Yes, Senator Corzine, Laws Apply To You Too
  • 2004 Dishonor Awards
  • Democrats With Heartburn
  • The Latest Democrat Political Scandal In New Jerse...
  • Another Democrat Campaign Finance Scandal
  • More Waste, Fraud And Abuse Of Taxpayer Dollars
  • Forrester's Plan For Property Tax Reduction
  • Dean And The Money Changers
  • New Jersey’s Sham School Elections

    Archives

  • November 2004
  • December 2004
  • January 2005
  • February 2005
  • March 2005
  • April 2005
  • May 2005
  • June 2005
  • July 2005
  • August 2005
  • September 2005
  • October 2005
  • November 2005
  • December 2005
  • January 2006
  • February 2006
  • March 2006
  • April 2006
  • May 2006
  • June 2006
  • July 2006
  • August 2006
  • September 2006
  • October 2006
  • November 2006
  • December 2006
  • January 2007
  • February 2007
  • March 2007
  • April 2007
  • May 2007
  • June 2007
  • August 2007
  • September 2007
  • October 2007
  • November 2007
  • December 2007
  • January 2008
  • February 2008
  • April 2008
  • November 2008
  • January 2009
  • August 2009
  • September 2009
  • February 2012

    Online Journals

  • National Review

  • Opinion Journal

  • Real Clear Politics

  • Weekly Standard


  • Blog Roll

  • A Blog For All
  • Althouse
  • Ankle Biting Pundits
  • Barista of Bloomfield Avenue
  • Betsy's Page
  • Blue Crab Boulevard
  • Blogs For Condi
  • Bob the Corgi
  • Brainster's Blog
  • BuzzMachine
  • Captain's Quarter's
  • Cinnaman
  • Coalition of the Swilling
  • CWA-NJ
  • Dino's Forum
  • Daily Mail
  • Don Surber
  • DynamoBuzz
  • eCache
  • Exit 4
  • Fausta's Blog
  • GOP Bloggers
  • Instapundit
  • Joe's Journal
  • Kate Spot
  • Kausfiles.com
  • Little Green Footballs
  • Michelle Malkin
  • More Mnmouth Musings
  • Parkway Rest Stop
  • Patrick Ruffini
  • Polipundit
  • Power Line
  • Right Wing News
  • Roger L. Simon
  • The Blue State Conservatives
  • Riehl World View
  • Red Jersey
  • Right, Wing-Nut!
  • Sid in the City
  • Tiger Hawk
  • The Truth Laid Bear
  • Tim Blair
  • Wizbang


  • Sid in the City



    Majority Accountability Project

    MAP

    New Jersey Blogs

    Enlighten-Carnival-small

  • 11th and Washington


  • A Blog For All
  • A Planet Where Apes Evolved From Man?!?
  • Armies of Liberation
  • Atlantic Highland Muse
  • Attack of the 15.24 Mete


  • Barista of Bloomfield Avenue
  • BeLow Me
  • Big Windbag
  • Blanton's and Ashton's
  • Blue State Conservatives
  • Burning Feathers
  • BuzzMachine


  • Clifton Blogs
  • Coalition of the Swilling
  • Cobweb Studios
  • CoffeeGrounds
  • Constitutional Conservative
  • Confessions of a Jersey Goddess
  • Corzine Watch
  • Crazy Jackie
  • Cresting Acrocorinthus
  • Cripes, Suzette!


  • Daniella's Misadventures
  • Did I Say That Out Loud
  • Dojo Mojo
  • Dossy's Blog
  • Down the Shore
  • DynamoBuzz


  • eCache
  • Enlighten-NewJersey
  • Eye On Hoboken
  • Exit 4
  • Exit Zero
  • Extreme-Psychosis


  • Fausta's Blog
  • Fausti's Book Quest
  • Fractals of Change
  • Frenchtown NJ Blog


  • GiggleChick
  • Gregg Gethard's Amazing Personal Journey
  • goethe re scape


  • Hoboken Rock City


  • IamBillPower
  • If this is paradise, I wish I had a lawn-mower
  • Imaginary Therapy
  • Inadmissible Evidence
  • INCITE


  • Jersey Beat
  • Jersey Perspective
  • Jersey Side
  • Jersey Style
  • Jersey Writers
  • Joe's Journal


  • Karl's Corner
  • Kate Spot


  • Laughing At The Pieces
  • Likelihood of Confusion
  • Liss Is More


  • Mamacita
  • Mary's Lame Attempt at Fame
  • Media in Trouble
  • Michael Carroll
  • Mister Snitch!
  • MucknMire
  • My Life as a Rabid Blog
  • My New Jersey


  • New Jersey Eminent Domain Law
  • NJ Conservative
  • NJ Fiscal Folly
  • New Jersey For Change
  • New Jersey Weblogs
  • NJ Spoken Word
  • Northeast Corridor


  • Parkway Rest Stop
  • Philly2Hoboken.com
  • Poetic Leanings
  • Poor Impulse Control
  • Professor Kim's News Notes
  • Property Tax NJ


  • Rain Angel
  • Riehl World View


  • Shamrocketship
  • Shipwrecks
  • SloppyDawg
  • Sluggo Needs a Nap
  • SmadaNeK
  • Static Silence


  • Tami,The One True
  • Tammany on the Hudson
  • Tequila Shots For The Soul
  • The Art of Getting By
  • The Center of New Jersey Life
  • The Daily Fry
  • The Duc Pond
  • The Jersey Shore Real Estate Bubble
  • The Joy of Soup
  • The Mark(ings) of Zorro
  • The New Wisdom
  • The Nightfly
  • The Opinion Mill
  • The Pink Panther
  • The Political Dogs
  • The Rix Mix
  • This Full House
  • Tiger Hawk
  • Tomato Nation
  • Toxiclabrat
  • Twisty


  • Unbillable Hours
  • Usdin.Net


  • Where Is The Remote
  • Wine Goddess


  • Xpatriated Texan


  • Links

  • NJ Governor
  • NJ Legislature
  • GOP GOTV
  • Bob Menendez Information


  • Blog Rings

  • Blog Explosion
  • Blog Directory
  • Blogsnow
  • Blogwise
  • Blogstreet
  • Blogshares
  • Blogarama
  • Blog Digger
  • Daypop
  • Globe of Blogs
  • Blog Search Engine


  • Ecosystem Status


  • Who Links Here






  •