Friday, September 15, 2017

UPDATED: More On Neoliberal Extortion



I admit that at one time, I worshiped at the altar of the NHL, this during the time of the Original Six. But then something happened. I grew up.

I know the above might be offensive to those who still take their sports seriously, but let me make plain I have nothing against such passions, but they are passions that should never cloud our thinking about other, much more important, matters, like the neoliberal gladiator games now being staged in the public arena.

The latest round comes to us from Calgary, where the owners of the Calgary Flames, like the feudal lords they fancy themselves to be, are demanding service from their vassals:
The owners of the Calgary Flames are demanding Alberta's largest city pay for a significant chunk of a proposed new arena and exempt the NHL club from property taxes and rent, all while refusing to open their books as the two sides negotiate, according to a municipal insider.

The club's proposal does not include sharing profits or repaying the city for any contribution it may make toward building a new facility in Calgary's Victoria Park, the source said. The new facility will cost around $500-million, multiple city hall sources said. The Flames asked the city to cover well more than one-third of the bill, the source told The Globe and Mail. Victoria Park is near the Scotiabank Saddledome, where the Flames play now.
Calgary Mayor Naheed Nenshi, a man who has always struck me as eminently sensible and reasonable, is resisting this extortionate play.
Calgary has offered to finance one-third of the arena, providing cash instalments over a number of years, a source told The Globe and Mail on Tuesday. That money would have to be repaid, the source said. The Flames, according to this plan, would cover another third and the final chunk would come from ticket surcharges. Nenshi, on Wednesday, confirmed this structure is "part" of the deal.
Because a new arena to replace the old Saddledome is integral to Calagary's 2026 Winter Olympic aspirations, the city is taking the situation seriously, but is not prepared to offer carte blanche to the billionaire oilman, Murray Edwards, who is the Flames' primary owner. Being challenged, I imagine, is not part of Edwards' life experience, but he would do well to heed Mayor Nenshi's restrained and sensible comments:


Similarly, a Globe editorial has this to offer:
If the Flames' owners, six of Canada's wealthiest people, want a new arena they can pay for it.

As usual, the NHL cartel and its apologists are counting on Calgarians' succumbing to a wave of me-too feelings when they gaze at taxpayer-funded arenas elsewhere. But using past bad decisions to justify terrible future decisions does not qualify as logic. And governments in cash-strapped Alberta can't afford to capitulate.
All Canadians, if they pay attention, can now see the offensive and egregious nature of the neoloiberalism that is taking over more and more aspects of our lives. The question now, as always, is whether they are content to simply shrug their shoulders and go back to their IPhones and similar such diversions to shut out the real world, or will they finally start taking steps to vociferously resist this steady and ongoing encroachment of the public good?

UPDATE: The city of Calgary has just released the offer that it made to the Flames regarding building the new arena:
Calgary offered to chip in the equivalent of $185-million to cover the cost of a new $555-million arena ...

The offer demands the Flames remain in Alberta's largest city for at least 35 years and the Flames ownership group pay the property taxes. The team's owners would, in turn, collect all revenue in exchange for putting up $185-million, according to the city's proposal.

The city's contribution to the proposed arena is not pure cash. It would hand over land valued at $30-million and pay the $25-million it would cost to demolish the Saddledome, which is 34 years old. Its remaining $130-million obligation would be in the form of "non-property tax sources" according to the proposal.

Municipal taxpayers would be on the hook for "indirect" costs as well. Expenses associated with infrastructure, such as the 17th Avenue extension, total $150-million, according to the plan... the city will pay for a new transit station on a yet-unbuilt expansion of the city's light rail system and utility upgrades, although the price tag on those elements has yet to be determined.
Ken King, who is the president of the group that controls the Flames, described the negotiations, which included this offer, as "spectacularly unproductive."

Draw what conclusions you will.

4 comments:

  1. I followed the NHL passionately before expansion and before Alan Eagleson, Lorne. Unfortunately, Eagleson's legacy lives on.

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    1. It is clearly not the game we remember from our youth, Owen.

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  2. I fear, Lorne, that your question answers itself. Such are the times in which we live. Yet there is hope. Nenshi and other councillors say their polling shows the people of Calgary are overwhelmingly on their side. It would be good for the soul if Calgary, of all Canadian cities, was the first to stand up to these shakedown artists.

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    1. I have long-admired Nenshi, Mound. I have a feeling he will continue to earn that admiration.

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