Return To Voice PAC"Naming" & "Rights"
Recently, the issue of "naming rights'' for the stadiums was raised. Art Rooney II, vice-president of the Steelers and Steve Greenberg, vice-president of the Pirates, both stated if the new stadiums were built, they would want control of the naming rights. The amount of money that could be generated should pique anyone's curiosity, which would yield to the understanding of why the team owners feel this way.
In Phoenix, a stadium is currently under construction for a new major league franchise. The sports franchise negotiated a deal with Bank One of Arizona, receiving $30 million for the naming rights, and an additional $30 million for control of the signage inside the ballpark. On average, stadium naming-rights generate at least $1 million annually. In this case, the deal was very lucrative, producing $60 million.
Who should have control and/or benefit from the naming rights is at issue. Greenberg stated, "I believe it would be fair for the team to receive naming rights because Pennsylvanians know the Pirates have to make more money if they are to flourish in Pittsburgh.'' Greenberg's sense of fairness is rather curious, as the Pirates are asking the taxpayers to foot 83 percent of the bill, barring cost over-runs.
On Sept. 26, Pirates owner Kevin McClatchy committed to $35 million for the construction of a new ballpark, which is 17 percent of the projected cost of $200 million. McClatchy was asked where he would come up with $35 million, as the team was purchased in conjunction with a consortium of investors. He replied, ``Quite frankly, I don't think it's people's business.'' If McClatchy is asking the taxpayers to foot the entire bill, the public to has a right to know.
Yes, the entire bill. By adding the revenue from the "naming rights'' to the mix, McClatchy would not spend a proverbial plum nickel for the stadium.
I would be remiss if I didn't mention the Regional Asset District tax (Allegheny County's 1 percent sales tax). This tax provides sporting venues with amusement tax reductions of more than $1 million each, reductions that are not passed on to the consumer/ticket-holder. Additionally, the RAD has a contractual obligation to provide the Stadium Authority with more than $100 million of our tax dollars.
Western Pennsylvania citizens are already paying for Three Rivers Stadium, which has increased its indebtedness over the last 27 years. In the event the Regional Renaissance Initiative should pass, shouldn't the taxpayers benefit from the naming rights, thus lowering the public's financial burden for taxpayer-funded playgrounds? When is enough, enough?
Gary J. English