City of Arlington Economic Fiscal Impact Proposed NFL Stadium

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Presentation of Economic Fiscal Impacts Proposed
NFL Stadium
August 13, 2004
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• - 2002 Winter Olympics
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Scope of Services

• Proposed Arlington Football Stadium

• Economic Impact Analysis
• Fiscal Impact Analysis

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Analysis Overview

• Economic Impacts
• One-time construction impacts direct on-site
  and off-site spending generated by stadium
  operations and patrons
• Multiplier effect generated by re-spending of
  the initial direct multipliers
• Impacts to the City of Arlington and to Tarrant
  County
• Impacts are presented in terms of
• Total impacts
• Wage Salary impacts
• FTE Employment

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Methodology

• Economic Impacts
• Conservative View
• Utilized Net multipliers
• Excluded from impacts
• NFL Player Salaries
• NFL TV Property Revenues
• Luxury Suite Club Seat Premiums
• Advertising Naming Rights

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Methodology

• Economic Impacts
• Determine net operating/construction expenditures
  of the facility (by industry classification)
• Adjust for amounts expended in Tarrant County
• Apply corresponding economic multiplier factors
  based on RIMS II industry multiplier factors
  developed by the BEA

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Analysis Overview

• Fiscal Impacts
• Identify additional fiscal revenues to the City
  of Arlingtons General Fund created from
• Direct on site (or event related) activity
• Ticket sales
• Parking
• Concessions and merchandise

• Identify off-site activity
• Induced off-site retail and dining
• Gasoline purchases
• Hotel and motel usage

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Methodology

• Fiscal Impacts
• Examine the Citys current General Fund
• Identify taxable revenue streams that are
  potentially affected by the new development
• Define on-site and off-site taxable revenues
  generated by facility operations based on
• Facility operating pro-forma (on-site
  expenditures) provided by the Dallas Cowboys
• Comparable NFL facilities and market
  characteristics (off-site expenditures)
• Apply appropriate tax rates to estimate fiscal
  revenue from all sources

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Major Operating Assumptions

• Stadium and franchise projections were provided
  by the Dallas Cowboys
• Annual Events
• Cowboy Games (pre and regular season)
• Concerts
• High School Football
• Soccer
• College Football
• NCAA Bowl Alliance
• Truck Tractor
• Festivals
• Other
• Mega Events
• Super Bowl
• NCAA Final Four
• Political Conventions

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Major Findings Economic Impacts
One Time Construction Impacts (2010 dollars)
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Major Findings Economic Impacts
Annual Economic Impacts (2010 dollars)
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Major Findings Economic Impacts
Cumulative 30 Year Impacts
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Major Findings Fiscal Impacts
Annual Fiscal Impacts (2010 dollars)
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Major Findings Fiscal Impacts
Annual Fiscal Impacts (2010 dollars)
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Major Findings Mega Events
Economic Fiscal Impacts (2010 dollars)
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Presentation of Economic Fiscal Impacts Proposed
NFL Stadium
August 13, 2004