In a new wave of stadium construction across the United States, taxpayers are being called upon to help foot the multi-billion-dollar bill. Major League Baseball and National Football League franchises are leading the charge, with about a dozen stadium projects either underway or unveiled this year alone. The motivation behind these projects varies, with some teams seeking repairs and others pursuing luxurious additions. This trend has raised concerns as debt from previous renovations is still being paid off.

The year began with ongoing multi-year renovations for the New Orleans Saints football team and the Toronto Blue Jays baseball team. However, the pace of new projects quickly accelerated, averaging almost one per month. In January, the Cleveland Guardians announced plans for a $200 million renovation of their baseball stadium, with significant assistance from public funding. The Chicago Bears followed suit in February by purchasing a former suburban horse racing track as a potential site for a new football stadium. This move comes despite the Illinois Sports Facilities Authority still owing $589 million in public bonds for a renovation of the Bears' current stadium.

April saw the approval of $760 million in local bonds by the Nashville City Council, along with $500 million in state bonds, to finance a new $2.1 billion football stadium for the Tennessee Titans. As part of the deal, the Titans agreed to pay off the remaining $30 million of public debt owed for their current stadium, which opened in 1999. In May, construction began on a new football stadium for the Buffalo Bills, with cost overruns pushing the projected price from $1.4 billion to almost $1.7 billion. The state of New York and Erie County are expected to contribute $850 million towards the cost.

The Jacksonville Jaguars unveiled plans in June to renovate their football stadium at a cost of up to $1.4 billion, with an additional $700 million allocated towards developing the surrounding area. The team is seeking a roughly 50-50 financial split with the city, similar to a previous model used for an adjoining amphitheater and practice facility. Meanwhile, the Kansas City Royals revealed two options for a new $1 billion baseball stadium in August, as part of a larger $2 billion development that could involve significant public funds. The team's owner, John Sherman, hopes to have the new stadium open by 2028, three years before Jackson County, Missouri, finishes paying off the remaining $265 million in public debt from the last renovations to the Royals' and Kansas City Chiefs' current stadiums.

September saw the Tampa Bay Rays unveil plans for a $1.3 billion baseball stadium, which would be the centerpiece of a $6.5 billion development in St. Petersburg, Florida. The team expects the city and county to contribute $730 million towards the cost. In November, Major League Baseball owners approved the relocation of the Oakland Athletics to Las Vegas, with Nevada Governor Joe Lombardo signing a law providing $380 million in public funding for a $1.5 billion stadium. The A's currently have $13.5 million in public debt on their California stadium, set to be paid off by February 2025. Finally, in December, Wisconsin Governor Tony Evers signed a law providing approximately $500 million in public funds to renovate the Milwaukee Brewers' baseball stadium.

These stadium projects have not been without their critics. One case study in Georgia highlights the mixed results of such endeavors. The Atlanta Falcons moved into a $1.6 billion downtown stadium in 2017, with a significant contribution from public funds. The Atlanta Braves also relocated to a new suburban ballpark, aided by about $300 million in public funds from Cobb County. While there was an increase in local sales tax revenue following the Braves' move, it was not enough to cover the public subsidies for the stadium. Some residents were upset about not having a say in the funding decision, leading to the defeat of the Cobb County Board of Commissioners' chair in a subsequent election.

The decision to build new stadiums or renovate existing ones often stems from the fear of teams relocating. While relocations are rare, they have occurred in the past decade, with the St. Louis Rams and San Diego Chargers both leaving their publicly funded stadiums for new privately financed facilities in Los Angeles. In addition, the Las Vegas Raiders began playing in a new stadium in 2020 after leaving their Oakland facility, which had been renovated at taxpayer expense in the 1990s. With teams potentially moving, there is pressure on local governments to provide public funds for stadium projects.

The push for new stadiums is driven by the desire for increased revenue opportunities for team owners. Luxury suites, dining, shopping, and other developments surrounding the stadiums provide additional sources of income. Los Angeles Rams owner Stan Kroenke's $5 billion football stadium, which opened in 2020, serves as a prime example. The stadium is part of a larger development that includes apartments, offices, retail stores, public parks, and a theater. Kroenke is privately financing the project, marking a difference compared to teams seeking public funding for their stadiums.

However, the trend of new stadium construction extends beyond baseball and football. Oklahoma City recently approved a 1-cent sales tax for a new arena for the Thunder basketball team, while Virginia Governor Glenn Youngkin proposed a $2 billion development to attract the Washington Wizards basketball team and Washington Capitals hockey team to a new arena surrounded by various amenities.

Despite the enthusiasm surrounding these stadium projects, economists remain skeptical about their impact on local economies. While new stadiums can bring increased economic activity, it is often not enough to cover the public subsidies provided. The extravagant nature of these projects is projected to peak around 2030, according to J.C. Bradbury, an economics professor at Kennesaw State University.

In conclusion, the United States is witnessing a surge in stadium construction projects, with both repairs and luxurious additions being pursued by professional sports teams. While some projects have garnered mixed support, teams continue to seek new public funding, even as debt.