Politics & Government

Downey: Vikings Stadium 'Too Big, Too Fancy, Too Expensive'

State Rep. Keith Downey explains why he doesn't support the Vikings stadium bill.

Editor's Note: The following comes from State Rep. Keith Downey (R-Edina). The views expressed are solely his and do not reflect those of Patch.

For those following the debate on state funding for the Vikings stadium, you are already aware that the bill passed the House and Senate. It is now off to a Conference Committee to resolve the differences, which are substantial. For those that contacted me along the way, thank you for weighing in!

I am a lifelong Vikings fan and don't want them leaving Minnesota. But I voted against the current stadium bill, and barring major changes to the bill in conference committee will not support its final passage.

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In a nutshell, it is too big, too fancy, too expensive, the state funding doesn’t work, and the state is on the hook for the entire $600+ million of public financing until Minneapolis starts to help pay back the debt in 2021.

Passion for the Minnesota Vikings doesn’t mean we put Minnesota judgment on the shelf. We have time to develop a deal that works for the Vikings and the taxpayer!

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I won’t overwhelm you with details, but here are just some of the major problems with the current bill and its funding. 

  • The stadium's financing payments come straight out of the state general fund which grows $50 million per year from new gambling tax revenues under the bill.
  • No matter how you slice it, the additional tax revenue being raised and spent for the stadium could just as easily be used for schools, roads, etc.
  • Sales and property tax exemptions add up to 10’s of millions of dollars of public contribution, but are nowhere mentioned.
  • The bill increases the state's dependence on gambling taxes, but the estimate for the new electronic gaming device tax revenues is questionable at best based on Iowa's experience with a similar expansion.
  • The City of Minneapolis will violate its voter referendum requirement.
  • The sales pitch to the public is filled with false advertising and missing facts about the total state and city contributions, the Vikings contribution, the gambling revenues, the jobs, the economic impact, and likelihood of the Vikings leaving. 
  • And the need to bypass so many House rules and committees just to get the bill to the floor reflects the worst in government process. 

Those more experienced politically say we have no choice here and it’s the way things get done. But that’s exactly why people feel government and politics are broken, and I am resolved that’s not why I ran for office.

With full respect to those who may diagree, I am not comfortable setting aside business judgment, critical thinking, and fiscal discipline for this one bill because we love the Vikes and are backed into a corner and "need to get it done."

I offered an alternative stadium financing arrangement back in February when it appeared the bill was stuck, but there was little interest in working out a private sector style approach. So the bill before us now is locked on raising state gambling tax revenues and using state law to grab local taxes against the express wishes of local voters, all to prioritize government spending on a cadillac pro sports stadium over other state priorities in very tough fiscal times, and I just don't agree.

Yes, I am a lifelong Vikings fan and don't want them leaving Minnesota. At the same time, I think they should be treated no differently from any other business or cultural organization when it comes to public support. We could have done that, but Governor Dayton, Mayor Rybak, and Ted Mondale like raising taxes to build things, which is what prevailed.

If you are interested, here is my position on pro sports stadiums, which I have stuck with since first running for office 4 years ago. It is exactly the same as my position on any business and cultural project where state or local governments want to offer financial support:

  1. no dedicated taxes or direct payments from government to the organization itself.
  2. allow TIFF, bonding or other public financing ONLY for infrastructure that a) is worthwhile independent of the organization, and b) has a documented return on investment to the taxpayers.
  3. allow tax credits to the organization but ONLY where there is a documented return on investment to the taxpayers.
  4. must include long term commitments, with significant penalty payments or public ownership of some portion of the organization's assets if the organization leaves or violates the agreement.
  5. require good citizenship and corporate responsibility on the part of the organization.

These are the parameters within which I am comfortable with public works projects in support of business, the arts, real estate development and professional sports teams. I would apply this equally to the Vikings, the Mall of America, the Guthrie, or any other organization that seeks government support of their project because of its proposed value to the community.

Unfortunately that is not happening with this bill. With a fresh start hopefully it could be!

I look forward to seeing you soon back in the district. And I truly appreciate all your correspondence on the stadium and any other matter at the state.

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