The Canadian Taxpayers Federation (CTF) is urging the Saskatoon City Council to reconsider its funding plan for the proposed new arena. The CTF argues that the plan, which includes new taxes on taxpayers, is unfair and unnecessary."Saskatoon residents are already struggling with rising costs of living," said Gage Haubrich, CTF Prairie Director. "We don't need city council adding to our financial burdens."The proposed funding plan includes a hotel tax, a ticket tax, and Tax Increment Financing (TIF). According to Haubrich, a 5.9% hotel tax would increase the cost of hotel rooms in Saskatoon, making it less attractive for tourists. A 9.5% ticket tax would raise the price of tickets for events at TCU Place, SaskTel Centre, and the new arena, potentially discouraging promoters from bringing shows to the city. The city council’s report states that the increased ticket prices could cause “promoters to bypass Saskatoon with their event.”The TIF plan relies on increased property taxes from new developments around the 15,900-seat arena to repay loans.However, the CTF warns that there is a risk the new developments may not materialize, leaving taxpayers to foot the bill."A similar TIF scheme was used to finance Winnipeg's Princess Auto Stadium, and it resulted in millions of dollars in costs for taxpayers," said Haubrich.The CTF is calling on the city council to explore alternative funding options that do not burden taxpayers."If council wants to proceed with this project, they need to find a way to pay for it without imposing additional costs on residents," said Haubrich.
The Canadian Taxpayers Federation (CTF) is urging the Saskatoon City Council to reconsider its funding plan for the proposed new arena. The CTF argues that the plan, which includes new taxes on taxpayers, is unfair and unnecessary."Saskatoon residents are already struggling with rising costs of living," said Gage Haubrich, CTF Prairie Director. "We don't need city council adding to our financial burdens."The proposed funding plan includes a hotel tax, a ticket tax, and Tax Increment Financing (TIF). According to Haubrich, a 5.9% hotel tax would increase the cost of hotel rooms in Saskatoon, making it less attractive for tourists. A 9.5% ticket tax would raise the price of tickets for events at TCU Place, SaskTel Centre, and the new arena, potentially discouraging promoters from bringing shows to the city. The city council’s report states that the increased ticket prices could cause “promoters to bypass Saskatoon with their event.”The TIF plan relies on increased property taxes from new developments around the 15,900-seat arena to repay loans.However, the CTF warns that there is a risk the new developments may not materialize, leaving taxpayers to foot the bill."A similar TIF scheme was used to finance Winnipeg's Princess Auto Stadium, and it resulted in millions of dollars in costs for taxpayers," said Haubrich.The CTF is calling on the city council to explore alternative funding options that do not burden taxpayers."If council wants to proceed with this project, they need to find a way to pay for it without imposing additional costs on residents," said Haubrich.
