A new “Entertainment and Sports Center” planned for downtown Sacramento is intended to keep the Kings professional basketball team from moving to another city. A non-binding term sheet approved by the Sacramento City Council on March 26, 2013 indicated a $447 million cost for construction of the arena, to be supplemented by a $258 million public subsidy funded primarily by a city arrangement involving parking revenue.
This project will be a financial bonanza (as well as a public relations triumph) for unions, union-affiliated fringe benefit trust funds, and labor-management cooperation committees. My three-part series in www.UnionWatch.org entitled “How a Basketball Arena Would Expand the Unionized Workforce in Sacramento” provides the best public explanation available about how unions have schemed and will likely scheme to gain control of as many jobs as possible through construction and operation of the arena and surrounding development.
- Part One explains the background of how construction trade unions have already obtained a monopoly on the construction workforce for the arena itself.
- Part Two explains the union plot to monopolize the service jobs at the arena.
- Part Three explains how unions may attempt to win control of the construction and permanent jobs at the ancillary development around the arena.
In addition, my December 16, 2013 article in www.FlashReport.org entitled Regional Sports and Entertainment Facilities in the Urban Core Attract Costly Political Meddling: Sacramento Kings as a Case Study provides a broader perspective on the ideological agenda grafted onto this new sports and entertainment facility:
…the arena is entangled in idealistic schemes that impose significant financial and logistical costs. Progressive community activists recognize the potential of the downtown arena as a social engineering project. They can get away with using the arena as a vehicle to change the world because so many ordinary people and influential business and community leaders seem to want it at any cost…[business leaders] have to align themselves with leftist political leaders and organizations to secure the Kings arena in a downtown location.
Of course, unions will transfer some money collected through their representation of workers at the downtown arena district to their various in-house political operations and to the Democratic Party in the Sacramento region. This money may hasten and solidify the ongoing transition of Congressional seats, state legislative seats, and local government seats in the Sacramento suburbs from Republican to Democrat control.
In the long term, elected officials will need to figure out how to pay off the bond debt for the Entertainment and Sports Center (and the remaining debt from what is now Sleep Train Arena) if revenue projections for parking aren’t realized by the City of Sacramento. Political pressure will be on the suburbs to share in this cost:
“The center identity of our entire region.” – @joshualeewood on describing the arena
— Crown Downtown (@CrownDowntown) March 14, 2014
Be vigilant for an ambitious politician from the City of Sacramento to propose some sort regional tax or fee system, perhaps implemented through the Sacramento Area Council of Governments (SACOG), the regional metropolitan planning organization.