Super Bowl Costs FINALLY Beginning To Be Revealed

Thanks to all of my alert readers who have sent me links to news items reporting that some of the costs of the Super Bowl are FINALLY being revealed.  So, lets move forward here by listing our references and listing the costs now being reported.  To put it into perspective, the 2012 Super Bowl bid was submitted in April, 2008, and its terms are what are falling out into public view just 19 days before the event.

Articles of interest used for this blog entry in the order I received the links from alert readers:
Scott Olson, IBJ,  1-16-12 -- "CIB expects to lose money during Super Bowl"
Jon Murray, IndyStar, 1-17-12 -- "Super Bowl 2012 will drop Capital Improvement Board for a loss"
Mike Corbin, WIBC, 12-21-11 -- "Super Bowl Host Committee Releases Final Numbers"

Let's start with the last one and the claims of the Host Committee CEO, Mark Miles.

He claims that the "they've raised and are investing $154 million for some 250 housing units as part of the Super Bowl Legacy Project."  Well, as I recall, federal funds coming to the City were the bulk of the money being invested in the near eastside neighborhood.  Those funds were augmented by the NFL, but a clear accounting of the exact dollar amounts supplied by taxpayers but not credited to them has not been forthcoming.  From what I have heard, the lion's share of the investment comes from the taxpayer, not the host committee or the NFL, yet they are the ones getting nearly all the credit.

Also claimed is that the Host Committee "has also raised close to $27 million, surpassing the $25 million goal needed to host the 2012 Super Bowl."  No mention what that money was spent on.

And finally, this nugget: "Committee officials also say the city has fixed the Pan Am Garage which has been plagued by structural and water issues."  I recall news accounts of the Department of Code Enforcement closing parts of the underground garage at Pan Am Plaza until repairs could be made.  I thought that the garage was owned by someone other than the City and our MDC gave Pan Am Plaza to the Indiana Sports Corporation years ago now.  I certainly hope that the implication that the City paid to fix the garage and shore up the Plaza is erroneous.

The two stories on the costs and revenues of the CIB have overlapping figures.

NET - CIB
The CIB will lose $810,000

EXPENSES - CIB
$4 m to the City to pay for police overtime
$2 m for CIB employee overtime and temp hires
$794,000 paid to State to be applied toward stadium and convention center debt

REVENUES - CIB
$2.4 m hotel tax from visitors - not NFL employees
$440,000 food and beverage taxes - but none from LOS or ICC
$100,000 car rental tax - but none from NFL employees
(figures above are from IBJ and total $2.94 m - Star reports total estimate of $3.1 m from these taxes)
$4.1 m from NFL for labor costs due to Super Bowl events

EXEMPTIONS FOR NFL
hotel tax
restaurant tax
fuel tax
car rental tax
admissions tax
Star reports that "State lawmakers exempted the NFL and its affiliates from paying nearly all state and local taxes in connection with the Super Bowl".

LOST REVENUES - CIB
The NFL will get the food and beverage tax revenue for concessions sold inside LOS and ICC, instead of that money flowing to the CIB.

ECONOMIC IMPACT
between $150 m and $300 m in direct spending by visitors

NOT REPORTED
NFL gets proceeds from parking lots owned and operated by State and Local government entities - the full extent of this agreement has not yet been divulged
DPW, DCE, IMPD, IFD real costs associated with events - IMPD already spent at least $500,000 in 2011 in preparations and the City already spent $600,000 to provide free Wi-Fi in the mile square
Income lost to taxpayers in City's Georgia Street giveaway to Indianapolis Downtown Inc., not to mention loss of that entire asset which just saw $12 m taxpayer renovation (bipartisan vote of Council, by the way)
Cost to Indy-Go for free bus service for visitors