Missouri State legislators passed a multi-billion-dollar financial aid package on Wednesday, aiming to persuade the Kansas City Chiefs and Royals to stay in the state while providing post-tornado reconstruction support for the St. Louis area. The plan has been submitted to Republican Governor Mike Kehoe and is expected to be signed into law by him. The disaster relief component includes $100 million in unrestricted assistance and $25 million in emergency housing funds, and provides up to $5,000 in tax credits for affected homeowners and renters to offset insurance deductiances. The total cost is expected to reach $600 million.
The sports venue assistance section allows for the issuance of bonds to cover 50% of the cost of new construction or renovation, and provides a tax credit of up to 50 million US dollars for each stadium to attract the Chiefs and Royals to stay in Missouri. The Chiefs plan to invest 1.15 billion dollars in renovating Arrowhead Stadium, while the Royals are also evaluating options. Although economists question the economic benefits of such subsidies, supporters believe that losing these teams will harm the state’s tax revenue and reputation.
The legislation has been opposed by some lawmakers from both parties. Critics argue that it is an unnecessary subsidy for the owners of wealthy teams and question whether the additional property tax relief clause may be unconstitutional. However, supporters stress that retaining professional teams is crucial to the state’s economy and culture, especially as the Chiefs’ success in recent years has enhanced Missouri’s national image.
Related Topic:
