Oklahoma City residents will be going to the polls for a crucial vote that has many long-term impacts on the continued future of the city’s rapid development.
In September, the OKC City Council moved forward a proposal to build a new, modern NBA arena in Oklahoma City. Voters will go to the polls Dec. 12. The proposal calls for a minimum cost of $900 million with most of the project to be funded by a six-year, one-cent sales tax from Oklahoma City residents that would begin after the current MAPS 4 tax expires in 2028
The OKC Thunder are immensely popular in Oklahoma City and have become a respected and competitive NBA franchise. The Thunder originally came to OKC when Seattle failed to find public funding to construct a new arena in the Seattle area
Oklahoma City leaders are warning residents of a similar fate if the city fails to produce a positive vote for this new arena.
What’s the problem with the current Paycom Center? Well, nothing really other than the arena is now two decades old and is the second-cheapest arena in the NBA. The Thunder have committed to playing in OKC through 2050 if a new arena is built.
The pros of the project
Mayor David Holt has been an enthusiastic booster for building a new arena and has been talking about such a prospect for more than a year.
In a press release announcing the project this past fall, Holt said: “As this very public discussion played out over the last year, the people of Oklahoma City have overwhelmingly expressed to me two desires — (1) keep the Thunder for as long as possible, and (2) don’t raise taxes if it can be avoided. We have accomplished those two priorities with this plan, and it is truly a win-win for all of us.”
He goes on to state: “Perhaps the most important aspect of the deal is the length — this is twice the commitment we received in 2008 and will keep the Thunder here beyond 2050. My children will be my age when this agreement ends. For a generation, we will retain the economic impact and quality-of-life benefits we have enjoyed as a big-league City. It is an investment that pays for itself many times over.”
The other big selling point for boosters is not only the economic impact of the current Thunder team on Oklahoma City coffers, but the impact of a new arena. The Oklahoma City Chamber of Commerce commissioned an economic impact report that estimated the potential effect of a new arena’s construction for Oklahoma City’s economy, which would cost a minimum of $900 million. The study said the “hard costs” of building a new arena amounted to at least $693 million, which would carry further economic impacts.
The study claims that, due to the multiplier effect on local spending, the total impact from a new arena construction could increase to nearly $1.3 billion in economic activity over the years it takes to build it. Also, the project could support an estimated 10,250 jobs through contractors and suppliers, along with more than $572 million in labor income, according to the study.
Then, there’s the “duh” factor. And that is, of course, OKC wants to continue to host an NBA franchise. It brings a lot of national and global visibility to Oklahoma City. Any time an NBA game is televised from Oklahoma City, it brings positive attention to the community. It’s easy to see the gains that have been made in Oklahoma City since 2008.
And finally, this does not require a new sales tax. It’s the extension of a tax residents and visitors are already paying.
The opposition
This proposal is not a slam dunk, however. Yes, pun intended.
There is some loud opposition to the proposal. Oklahoma Progress Now, which is a type of social justice organization, voiced its opposition the proposal and penned a letter to that effect. One city council member has also voiced her opposition to the plan.
Oklahoma Progress Now argues that taxpayers footing the bill is an economic hit job.
“This is definitely privatizing the gains and socializing the losses. And one of the things that we’re against is socialism for billionaires,” an organizer with Oklahoma Progress Now stated. Many believe these funds should go toward more affordable housing or mental health care – both big issues in a growing OKC.
There is a real concern among residents – many who are conservative – that the city is being fleeced by the ownership group, which is putting in a mere 5% of the money to the project. They are not wrong in saying that’s the smallest investment than any other public-funded arena or stadium projects.
While we’re seeing television ads by the OKC Chamber and other business boosters in favor of the project, we haven’t seen any opposition ads – yet.
The bottom line
Oklahoma City leaders knew to expect that at some point, they would be held hostage to manipulative tactics from the Thunder when it came time for talks for the team to stay in Oklahoma City.
Many other cities have had to play this unappealing game, and yes, it is frustrating to think of the millions these owners and players make, yet the ownership group is putting up just around $50 million of the project.
However, Oklahoma City enthusiastically got into this game when Clay Bennett and his group purchased the Seattle Super Sonics and moved the franchise to Oklahoma City. At the time, the arena now known as Paycom Center, was built to lure and seal the deal. It’s been overhauled and retrofitted to host an NBA franchise, but it’s not an NBA arena.
OKC is a Big-League City now because of the decisions made back in the early 2000s. There is really no debating how much OKC has changed, and how having an NBA franchise contributed greatly to Oklahoma City’s new major city identity on a national and global scale.
Significant public funding contributions to these franchises is how the game is played.
So, we have to continue playing the game. The stakes are definitely high. Yes, there are other projects that need to be addressed, and thankfully, Oklahoma City residents have seen good results from the many MAPS programs, and I expect future MAPS programs will continue to address those concerns.
But this time, it’s time to continue that investment in our city’s biggest entertainment and sports franchise. The most appealing factor is that it does not add any new taxes. That’s huge.
A yes vote is the only common-sense vote to make. The election will be Tuesday, Dec. 12. Learn more about early voting, absentee voting and other deadlines related to this ballot measure here.
Cindy Allen 