Despite the city of Chicago facing a migrant crisis and a homelessness crisis, owner of the White Sox and Chicago Bulls, Jerry Reinsdorf, is proposing to build a new stadium using taxpayer’s cash.
Reinsdorf’s Stadium Request
Jerry Reinsdorf, an 87-year-old billionaire who owns the Chicago White Sox and Chicago Bulls, has asked the taxpayers in the state to fund a new stadium.
Reinsdorf’s Wealth Accumulation
Reinsdorf, worth billions of dollars, is seeking a staggering $1 billion contribution from the State of Illinois for a new White Sox stadium.
Stadium and Beyond
The proposed project would renovate a site along the Chicago River, known as The 78, and replace it with a new stadium along with new bars and hotels.
Tax Zone Plans
To fund the site, which will exceed $1 billion in costs, Reinsdorf plans to add a tax zone around the area, meaning those living inside the zone would have to contribute through taxes.
Hotel Tax Not Enough
The state of Illinois already has a 2% hotel tax in place, which would be used to cover some costs, but the proposed tax district around the site would generate an extra $400 million in revenue.
Illinois Sports Facility Authority
The Illinois Sports Facility Authority, established to fund Reinsdorf’s previous stadium, is still responsible for paying off another $50 million for the current Sox’s stadium and the 2002 Soldier Field renovation.
Repayment Challenges
Despite Reinsdorf’s wealth, the state continues to struggle to repay the debt from past projects, yet Reinsdorf is still looking at putting more strain on the residents.
Critics Argue for Fairness
Critics question why the state’s multi-billion dollar franchise that owns two of its major sports teams is asking for more money from taxpayers to build new sites.
Chicago, the Sanctuary City
Chicago has been a sanctuary city for 38 years, meaning that migrants will be looked after if they make it to the town while other cities kick them out.
Taxpayers Funds Stretched
The public already funds the migrant shelters, including hotels and essential care, so critics wonder whether a new, billion-dollar stadium is necessary.
$20 Million Monthly Migrant Care
The city spends about $20 million per month on migrant care, accumulating to about $7000 per migrant each month, according to estimates.
Texas’s Free Bus Ticket Scheme
With governors of more right-wing states, such as Gregg Abbott of Texas, encouraging migrants to move to towns like Chicago with the incentive of free bus tickets, the taxpayer’s funds are already being stretched.
Huge Migrant Influx
Since Abbott’s bus fare scheme, 18,500 migrants have made their way to Chicago, straining the city’s healthcare, education, and housing.
Overcrowded Schools and Learning Gaps
On top of this, 25 public schools in Chicago are deemed overcrowded, with testing revealing significant learning gaps in some grades.
Homeless Population
According to the Chicago Coalition for the Homeless, there is a homeless population in Chicago that exceeds the 68,000 mark.
$400 Million Well Spent?
Critics argue that the people of the city could use that $400 million of taxpayer’s money for much more beneficial needs than helping a billionaire build a new stadium on top of the one he’s already paying off.
Reinsdorf Hits Jackpot
Jerry Reinsdorf purchased a stake in the Chicago Bulls on the eve of Michael Jordan’s draft to the franchise, meaning he was sitting on a cash cow and didn’t know it yet.
Bulls’ Billion Dollar Valuation
The Bulls and Michael Jordan went on to win six championships, helping to earn their current valuation of $2.5 billion, so Reinsdorf certainly has cash to spend.
Stadium Funds Do Little For Community
As critics point out more and more issues with the city of Chicago’s infrastructure, migrant crisis, and homelessness, lawmakers are urged to take these factors into account before spending more taxpayer cash on stadia.
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The content of this article is for informational purposes only and does not constitute or replace professional financial advice.
