0 comments | Print

Editorial: New Sacramento arena deal must still put taxpayers first

Published: Thursday, Feb. 21, 2013 - 12:00 am | Page 10A
Last Modified: Thursday, Feb. 21, 2013 - 8:34 am

When Mayor Kevin Johnson makes his last-ditch plea to NBA owners in April to keep the Kings in Sacramento, it would certainly help to have a united City Council behind him.

The mayor doesn't quite have that yet, as evidenced by the two dissenting votes Tuesday night on a largely symbolic resolution urging the league to approve a sale of the team to owners committed to Sacramento and renewing the city's support for a "public-private partnership" to build a new downtown arena.

Councilman Kevin McCarty, who voted "no" with Darrell Fong, says he is leery of a "massive public subsidy" that would mortgage the city's future, put taxpayers at risk and not produce enough return on the public investment.

Many of the 27 questions he poses in a letter to City Manager John Shirey are legitimate. While some may question if McCarty is making hay mainly to improve his prospects for higher office, it's appropriate to raise concerns about what kind of arena deal would be acceptable.

The landscape is different than when the council agreed last year to put $255 million in public money into a $391 million arena, so a deal now has to reflect the current circumstances.

The Maloofs pulled out of last year's NBA-endorsed deal at the last minute, and have now agreed to sell their majority stake in the team to a group planning to take it to Seattle. McCarty points out that the arena agreement in Seattle calls for a public contribution of about 40 percent, compared to 65 percent in Sacramento's offer last year. The councilman also notes that a proposed new $500 million arena in San Francisco for the Golden State Warriors would be entirely privately financed, save for public land and infrastructure.

In Sacramento, another major new wrinkle is that instead of building an arena on city land in the railyard, a new deal could put it at Downtown Plaza. That could breathe new life into the struggling retail center, but it would also change the financing equation by reducing the number of city-controlled parking spaces, the major source of the public subsidy.

How much less would the city be able to wring out of parking than the preliminary estimates last year of between $120 million and $190 million?

To this point, there also hasn't been enough discussion on whether at least part of that money should be shared with other civic projects.

While last year's deal was for a city-owned facility, it's possible the arena would be privately owned. Shouldn't that change the balance between risk and reward for the public?

Shirey told The Bee's editorial board Wednesday that all the questions will be answered before the council votes on an arena deal.

Steve Hansen, the new council member who represents downtown, had it right when he told colleagues that they should seek safe middle ground between those who oppose any public investment at all and those who would try to keep the Kings at any cost.

Arena boosters have repeatedly said that any deal has to put taxpayers first.

That promise must be kept.

© Copyright The Sacramento Bee. All rights reserved.

Read more articles by the Editorial Board



About Comments

Reader comments on Sacbee.com are the opinions of the writer, not The Sacramento Bee. If you see an objectionable comment, click the "Report Abuse" link below it. We will delete comments containing inappropriate links, obscenities, hate speech, and personal attacks. Flagrant or repeat violators will be banned. See more about comments here.

What You Should Know About Comments on Sacbee.com

Sacbee.com is happy to provide a forum for reader interaction, discussion, feedback and reaction to our stories. However, we reserve the right to delete inappropriate comments or ban users who can't play nice. (See our full terms of service here.)

Here are some rules of the road:

• Keep your comments civil. Don't insult one another or the subjects of our articles. If you think a comment violates our guidelines click the "Report Abuse" link to notify the moderators. Responding to the comment will only encourage bad behavior.

• Don't use profanities, vulgarities or hate speech. This is a general interest news site. Sometimes, there are children present. Don't say anything in a way you wouldn't want your own child to hear.

• Do not attack other users; focus your comments on issues, not individuals.

• Stay on topic. Only post comments relevant to the article at hand.

• Do not copy and paste outside material into the comment box.

• Don't repeat the same comment over and over. We heard you the first time.

• Do not use the commenting system for advertising. That's spam and it isn't allowed.

• Don't use all capital letters. That's akin to yelling and not appreciated by the audience.

• Don't flag other users' comments just because you don't agree with their point of view. Please only flag comments that violate these guidelines.

You should also know that The Sacramento Bee does not screen comments before they are posted. You are more likely to see inappropriate comments before our staff does, so we ask that you click the "Report Abuse" link to submit those comments for moderator review. You also may notify us via email at feedback@sacbee.com. Note the headline on which the comment is made and tell us the profile name of the user who made the comment. Remember, comment moderation is subjective. You may find some material objectionable that we won't and vice versa.

If you submit a comment, the user name of your account will appear along with it. Users cannot remove their own comments once they have submitted them.

hide comments
Sacramento Bee Job listing powered by Careerbuilder.com
Quick Job Search
Buy
Used Cars
Dealer and private-party ads
Make:

Model:

Price Range:
to
Search within:
miles of ZIP

Advanced Search | 1982 & Older



Find 'n' Save Daily DealGet the Deal!

Local Deals