The Missouri Chamber of Commerce and Industry testified in support of legislation to help the Kansas City Chiefs and Kansas City Royals build new stadiums. The incentive package is aimed at keeping the teams from potentially leaving Missouri for Kansas after the lease for their stadiums at Truman Sports Complex expires in 2030.
SB 3 was sponsored by Sen. Kurtis Gregory (R-Marshall) and handled by Rep. Chris Brown (R-Kansas City.) It was a key focus of the legislative agenda set by Gov. Mike Kehoe when he called for a special session. He signed the legislation into law on June 14.
Known as the “Show-Me Sports Investment Act,” this legislation allows the Office of Administration and Department of Economic Development to help with the planning and financing of an athletic and entertainment facility project of more than $500 million. The state will be able to offer incentives to cover up to 50% of the costs for new or improved stadiums with more than 30,000 seats for a professional baseball or football team.
During a hearing before the House Economic Development Committee, Gregory said the key is using tax dollars paid by the sports teams to pay down renovation loans for up to 30 years.
Before issuing bonds, state officials will need assurance that there is sufficient investment from local government to support infrastructure or other needs generated by a project.
“People who don’t go to a game or event at these venues will not be paying any taxes toward these stadium projects,” Gregory said. “The tax dollars out of paychecks are not going towards these projects. We’re bonding the tax dollars that the teams send back to us.”
The Chiefs have indicated they want to renovate Arrowhead Stadium, while the Royals are looking at building a new stadium, possibly in downtown Kansas City. Supporters say the bill could also give the St. Louis Cardinals money for Busch Stadium renovations, which team officials have indicated will need to be done in the near future.
Missouri Chamber Director of Legislative Affairs Jared Hankinson testified in support, saying the revenue from Missouri’s professional sports teams is critical to sustaining a strong business climate.
“Potholes being filled. Strong health care systems. It’s the revenue that comes in from these teams that supports those services that are essential to businesses,” Hankinson said. “I invite you to consider a world where we don’t have this revenue, and the tough decisions businesses might have to make.”
