It’s new stadium day on RAB. I’ve got a post of photos from the construction site set to hit later this afternoon at 2 p.m., but first, let’s delve into the ever-popular realm of taxpayer-funded subsidies for Major League Baseball’s richest team.
At the end of November, I looked at how the city is being bilked out of money for the Metro-North station, and it’s no secret that taxpayers are picking up more than their fair share of construction considering initial reports that the Yankees were willing to pay for much of the stadium costs. And of course, this isn’t the first time I’ve looked at parking. We know that it may cost as much as $25 to park at the new stadium. But today’s story is all kinds of special.
Via Juan Gonzalez at The Daily News comes word that taxpayers are going to fund Yankee employee parking at the new stadium. Say what?
The Yankees and hundreds of their VIPs will get free valet parking for the next 40 years, courtesy of New York taxpayers.
The startling revelation of yet another subsidy for the richest team in baseball is buried deep in the fine print of a $237 million tax-exempt bond offering that city officials quietly issued the week before Christmas.
The documents say a $70 million state subsidy for parking improvements for the new Yankee Stadium (slated to open next year) has been earmarked for a new 660-car valet parking garage where virtually all the spaces will be reserved for the free, year-round use of the Yankees and their VIPs.
But wait, there’s more: The total cost of the parking lot project is now $80 million over budget, and the Yankees will receive a total of 600 free spaces for team personnel cars, 120 gameday spaces for private cars of city cops – who could take the subway )Ed. Note: Or they could drive. We have nothing against the cops at RAB.) – and another 130 spots for days without games reserved for, as Gonazlez writes, “city vehicles on ‘official business.'”
While most taxpayers in the City won’t really feel the effects of this hit, fans of the Yankees are in for sticker shock as well. Parking at the new stadium will cost $29 in 2010 and could reach the $35 level by 2014. At this point, people coming to the new stadium just should take the subway or Metro-North. It’s much easier and cheaper to park and ride somewhere than it will be to drive to the South Bronx come 2009.
The city probably won’t recoup the projected $3.2 million in annual parking lot rents until 2014 and even then, Gonzalez and his sources estimate that parking may have to reach around $40 for the lots to realize their full earnings potential. Nothing can really halt this public fleecing right now, but we should hold public figures accountable for deals that harm taxpayers.
Update: I missed the Juan Gonzalez companion piece this morning. The company building the parking lots at Yankee Stadium has a track record of defaulting on payments. In a nutshell, this means that New York taxpayers could be out another few hundred million dollars if the Community Initiatives Development Corporation keeps up its stellar payment track record.