Thursday, April 29, 2010

Economic Impact of Cubs Spring Training Dips in 2010

Due to a drop in attendance, the statewide economic impact of Chicago Cubs spring training declined nearly 25% in 2010. While the just completed season totaled a bit more than 152,000 attendees at Cubs home games, the team drew over 203,000 fans in 2009. This translated to an economic impact of $37.2 million in 2010 versus $46.2 million in the previous year. Expressed as a percentage, the Cubs represented about 10% of all economic activity created by Cactus League spring training in Arizona. Spending this year which was related to the Cubs spring training generated about $1.3 million in tax revenue for state and local governments.

Sunday, April 25, 2010

Mesa Standing Alone on Cubs Training Facility

With any sort of state funding apparently dead for this legislative session, it appears the City of Mesa is now the only party still in the game regarding a proposed new spring training establishment for the Chicago Cubs. From the outset, only the city and the baseball team were signers to any sort of written agreement, but there was an understanding that the State of Arizona would kick in at least half of the money necessary to get the development constructed. The current circumstance pretty much leaves Mesa where the City of Glendale stands on their recently built facility which accommodates the Chicago White Sox and the Los Angeles Dodgers. Glendale borrowed all the money necessary to build the complex while hoping to be reimbursed tens of millions by the state. So far, it has been two years and this hasn’t happened.

For the sake of Mesa taxpayers, one can only hope this will not be a repeat performance.

Friday, April 23, 2010

Parking Questions Loom on New Spring Training Project

The only written guideline pertaining to the proposed new Chicago Cubs spring training facility is the Memorandum of Understanding signed by the city and the baseball team. This is intended to be the framework for a final agreement to be entered into this summer. Among other things, this document specifies a stadium with a capacity of 13,500 to 15,000 fans and a parking lot for 2,500 to 3,500 vehicles. This would indicate one space for every four or five fans.

A study commissioned by the Cactus League in 2007 determined that the average party size attending Chicago Cubs games was 2.1 persons in size. Because virtually everyone arriving at the stadium will do so by private automobile, this ratio of persons per party would dictate a parking requirement equal to 6,400 to 7,100 vehicles or over twice the amount specified in the memorandum. This sort of a shortfall could spell disaster for the surrounding neighborhood as cars search far and wide for a place to park.

Sunday, April 18, 2010

Florida Presses Cubs on Spring Training Relocation

While there hasn’t been much news locally regarding a proposed new Chicago Cubs spring training facility in Arizona, the folks in Florida have interpreted this lack of progress as an opportunity to once again pitch the relocation of the team’s spring training to the Naples area. This is perhaps understandable because, as the months are passing by, there is still no Arizona plan for funding, no specific site location and no particular design.

Basically, the practice fields and stadium development in Florida would be about the same in scope as that outlined in the Memorandum of Understanding between the Cubs and the City of Mesa. What is different is the way in which funds would be raised. The Florida plan calls for $50 million in private funds, $15 million in a state grant and a 1% increase in a tourist tax which is projected to generate $3 million per year. The tourist tax increase could support about $40 million in bonds making the whole package worth somewhere in the range $105 million. Although the boosters in Florida give the impression that all these ducks are in row, it is useful to remember that was also the signal from Arizona backers prior to the recent collapse of funding plans here. It would seem the next move is up to the Cubs baseball team management.

Friday, April 16, 2010

Site Selection for Proposed Cubs Stadium in Question

While the City of Mesa insists the far eastern portion of the metropolitan area is the best site for a proposed new spring training facility for the Chicago Cubs baseball team, a number of people experienced with existing stadium developments say a more central location within Mesa would produce a greater return for the city. The greatest impact from Cactus League activity is created by the large number of out-of-state fans who travel to the Phoenix area. Expenditures by these people include hotels, rental cars, restaurant meals, etc. Dedicated fans of baseball will attend the homes games of a specific team as well as those played elsewhere and for this reason they are not likely to stay in the immediate vicinity of one particular stadium unless it is convenient to other venues. At the same time, the hoped for auxiliary commercial real estate tax base is more likely to be developed in an area which is more centrally located simply because the pool of prospective consumers is larger. An extended travel time is not an attractant for fans or shoppers.

Monday, April 12, 2010

Chief Backer Recommends Delay for Spring Training Project

One of the primary supporters of a new Chicago Cubs spring training facility to be built in east Mesa has proposed deferring a specific funding plan until next year. State of Arizona House Majority Leader John McComish has recommended that the City of Mesa and the Cubs amend their Memorandum of Understanding to allow extra time to work out the details involved in this complex undertaking. This is probably a good idea on several counts. It gives both supporters and opponents more time to organize and possibly work out a compromise. From a public standpoint, hopefully many of the missing links will be filled in over time. Some very basic elements, such as the location of the facility and how Mesa intends to raise its portion of the funding, need to be addressed openly. Likewise, extra time will allow the opportunity for private funding proposals to be firmed up and considered by all parties.

Saturday, April 10, 2010

Cactus League Attendance Dips in 2010

In comparison to 2009, spring training in Arizona drew slightly fewer fans this year. The 7% decline was primarily due to fewer games being played in the current season than was the case last year. The number of spring training games varies considerably from year to year. Of all the Cactus League teams, the San Francisco Giants attracted the greatest number of attendees while the Chicago Cubs drew the second highest amount. Cubs home games in Mesa accounted for a little over 10% of all Cactus League attendance.

Thursday, April 8, 2010

City of Mesa Growing More Desperate on Stadium Deal

Facing a politician’s worst nightmare – educated taxpayers with money – the City of Mesa continues to lose ground in their efforts to bulldoze the masses on the issue of funding a proposed Chicago Cubs spring training complex with vast sums of taxpayer money. The groundswell against the publicly announced funding plans regarding this matter has caused officials to scramble for reinforcement in order to buoy up their ever-weakening position. Meanwhile, the obvious choice of soliciting private funding is being ignored even though this route would overcome most objections. Increasingly, those wishing to retain a measure of credibility are distancing themselves from supporting this house of cards.

An important note to those temporarily in charge at city hall; the opposition to the current plan isn't going away.

Tuesday, April 6, 2010

Still No Site for Cubs Spring Training Project

The official word from City of Mesa officials is that there has been no specific location chosen for the proposed new Chicago Cubs spring training stadium and practice facilities. However, the number of possible sites up for consideration varies from official to official; one says two, another says six and maybe a third says ten. This has led skeptics to believe the city is not exactly forthcoming on the issue and that indeed a location has been chosen but not revealed. Giving some credence to this position is the fact that the Chicago Sun-Times newspaper has published a photograph of Red Mountain with a caption describing the view as that from the new stadium. This could naturally lead many people to think the project will land at the doorstep of the Red Mountain Ranch planned community. Clearly, Mesa does not have their act together on this matter and the more time that passes, the less credibility city hall will have with residents.

Sunday, April 4, 2010

A New Idea for Funding Cubs Project

A different concept has surfaced for funding the proposed Chicago Cubs spring training facility to be located in east Mesa. In a recent letter to the editor printed in the Arizona Republic, a reader proposed privatizing the development by issuing shares of stock. Individuals and businesses would have the opportunity of owning a portion of the entire project and would participate in any potential profits. Logical investors would be the tens of thousands of loyal Cubs fans, businesses that would directly or indirectly benefit from spring training activity and anyone else who simply thinks this is a viable enterprise. Obviously, the current debate about the extent of public funding involved would disappear. This idea merits further consideration.

Friday, April 2, 2010

Baseball Commissioner Joins Cubs Stadium Debate

The Commissioner of Major League Baseball has entered into the negotiations for a proposed new spring training facility to be located in Mesa. Bud Selig has stated that, in the future, he will be in charge of finding a way to finance the planned Chicago Cubs project. Apparently, according to Mr. Selig, the solution will not include any sort of mandatory surcharge on Cactus League tickets. This means, at least on the State of Arizona level, there is no specific method of raising money identified. The original bill introduced in the legislature included surcharges on rental cars and Cactus League tickets. Both of these ideas are now defunct. Mr. Selig stated he hoped to reveal a specific fund raising plan by the middle of April.