Phil Tank: Saskatoon gets answers on arena district cost, how to pay

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The financing options entail some risk, but so would any plan, including letting the current arena deteriorate and become a liability.

Five different options are proposed for raising the revenue needed, four of which are fairly straightforward. If all five were implemented, they are expected to raise about $572 million over 25 years, although that number could be as high as $966 million or as low as $271 million., is to add a fee to tickets sold at a venue to help raise money to pay for it — your basic user fee.

However, the option that would raise the most revenue, but also entail the highest unpredictability, is called tax increment financing. That involves applying the rise in property taxes from new development adjacent to the new facility or facilities to help pay for it. Critics question whether the development and investment might have happened without the arena, but this approach has also been used in Calgary, Edmonton and Winnipeg., which has seen massive investment close to Rogers Place, where the Edmonton Oilers play. But Saskatoon lacks a billionaire NHL owner to help contribute and a sports team with a rabid following.

 

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