Kansas City Voters Reject $2B Stadium Subsidy For Chiefs, Royals

Kansas City voters resoundingly shot down a sales tax extension that would have helped fund a new downtown ballpark for the Royals and stadium improvements for the Chiefs.

More than 58% of voters rejected the proposal Tuesday, a reflection of growing public dissatisfaction over using taxpayer money to subsidize stadium development. The plan would have replaced an existing three-eighths of a cent sales tax with a comparable tax that would have lasted for the next four decades and raised over $2B, the Associated Press reports.

The Royals aimed to use the increased tax revenue to bankroll a new ballpark district with an estimated cost of more than $2B. Ownership had pledged $1B in private financing for the project. The Chiefs wanted to put their portion of the tax pie toward an $800M renovation of Arrowhead Stadium, committing $300M in private money to the overhaul.

“We’re deeply disappointed as we are steadfast in our belief that Jackson County is better with the Chiefs and the Royals,” said Royals owner John Sherman, AP reports. “As someone whose roots run deep in this town, who has been a dedicated fan and season-ticket holder for both of these teams, and now leading a remarkable ownership group.”

Critics of the tax argued the subsidy would have lined the pockets of wealthy owners and that the Royals' plan to build a downtown stadium could potentially push small businesses out of the area and up area rents, Bloomberg reports. 

Now, the future of the city's MLB and NFL franchises are in question. Sherman and Chiefs leadership both floated the possibility of the teams leaving Kansas City if the measure didn't pass.  

The teams may look for other locales with a greater appetite for public financing or revamp a proposal that includes more private dollars, according to the AP. 

Kansas City Mayor Quinton Lucas said in a social media post that he looked forward to working with both teams in the coming months to ensure they stayed in the city for “generations to come.”

“The people of Kansas City and Jackson County love the Chiefs and the Royals,” Lucas said. “Today, they rejected plans and processes they found inadequate.”