Minnesotans love the Vikings. That’s a fact. However, the Vikings franchise is owned by a billionaire from New Jersey — one Zygmunt “Zygi” Wilf. Wilf’s net worth is between $310 million, as reported by Sports Illustrated, and $1.3 billion, according to the Democratic Underground.com website.
The owner of Garden Homes and Garden Commercial Properties in New Jersey bought the Vikings from billionaire Billy Joe “Red” McCombs, a San Antonio car dealer for a measly $600 million. That was a profit of $350 million for the San Antonio car dealer.
To the point: the Vikings want a new stadium. It seems as though the state is ready to hand out a boat load of cash to prevent the Vikings from picking up and moving the franchise elsewhere.
Wilf is ready to contribute $425 million (with a portion of that total coming from the National Football League), with the state of Minnesota kicking in $350 million and the folks living in the highly taxed city of Minneapolis expected to contribute $336 million. All of this financial maneuvering is in an effort to build the Vikings a billion-dollar-plus stadium on the site of the Mall of America Field.
If a billionaire wants the good folks of Minnesota (no general fund taxes are to be used) to fork over $350 million and the working stiffs of Minneapolis to chip in another $336 million, I ask you what’s wrong with this picture?
Once again, a billionaire wants roughly $686 million taxpayer dollars and in his spirit of generosity he will throw in $425 million, with the aid of the NFL giving an estimated $200 million of that to the Wilfs to build a new stadium.
Wouldn’t the taxpayer contributions from the state and city of Minneapolis be considered corporate welfare? Yes, I think so and in a stagnant economy, is that the way we want our tax dollars spent? I don’t believe a billionaire should ask working people to fork over hundreds of millions so he can sell his franchise for millions more than the $600 million he paid Red McCombs.
—Keith Hansen
Comments (12)
Add commentKind of like the NFL lockout
last year, billionaires and millionaires fighting over money. But for the record Mr. Hansen, no not everyone loves the Vikings. I, for one, think they stink, as do the Timberwolves, and the Twins. When was the last time we had a winning season??
$300 million to $1.3 billion
Then you call him a billionaire. Which is it? Your high number is from the Democratic Underground? WOW. Who ever thought you were right wing, Keith. Your true colors are beginning to show. A billion dollar spread and you print this drivel? Even if I agree with you about a lot of this story it's nasty!
Before we label the owner
Before we label the owner with the "billionaire" tag shouldn't we check the information to be sure. I think I would go with the Sports Illustrated label of "millionaire" otherwise it looks as if you are piling on.
Now, as to the issue of a new stadium. I would use the legacy fund money as I think that is a scam that taxpayers
let themselves get talked into.
it's kinda funny how the Twins stadium/local millionaire owners is viewed differently .
Is there proof that Red is a billionaire? I think he may be only a millionaire.
There is so much corporate welfare going on-- GE, Solindra
however you spell it and more so called green energy plants.
I say cut them all out .
corporate welfare?
Of course it is corporate welfare.
The metrodome was, too. Granted no one is complaining about the metrodome. Probably because it was a good investment for the people of Minnesota. But never mind history; let's just focus on the trivial!
Are there side beneficiaries to the welfare recipient
It is difficult to pinpoint the exact tax revenue that is earned by the state and local authorities based on the Vikings being in Minnesota. The economists from both sides of the argument do not agree with each other, the sport fans and detractors do not agree with each other, the cities vying for the stadium do not agree with each other. Hard facts to consider, Minnesota lost the Lakers and North Stars and we brought back teams at a high price tag, the U of M built a tiny stadium for its football team knowing that they could not compete against the big U’s. So where will football enthusiasts go? Where will they spend their money? Will the state lose tax revenue? If the state loses tax revenue will we be willing to increase our tax base to cover the lose? What are some of the taxes, Liquor tax, cigarette tax, gasoline tax, lodging tax, meal tax, memorabilia tax, employment tax? Will it change the spending on big screen tvs, Sunday food purchases, Monday and Thursday night food purchases, overnight stays, shopping for nonattending partners/friends. What about other venues at the site, will there be a place to hold these events if the pro football team is not the corner stone – ie look at the malls, if there is no big name store, the mall suffers or closes.
This is a very complex part of our economy…I for one do not trust the state legislators to get it right
My issue
is that we (the public) are just handing someone almost 2/3 of the project that they will profit from to the tune of over $600 million dollars. The state/local governments are willing to do this but the local small business man can not get money from the banks or SBA unless they have collateral of 30% plus of their project. Ziggy gets 2/3 of the project given to him by us.
Are there tax revenue considerations with the project? Yes, but as an investment do those taxes even pay for the interest on that money? $600,000,000 at 6% interest is $36,000,000. At 9 games (one play off) that means $4,000,000 per game needs to be generated in taxes; sales tax, income tax, and residual taxes based on hospitality income. Those dollars may be there but disposable income will still be spent even if it is not spent with the Vikings.
What could 600 million do on a revolving loan program to help base businesses. I would say that it would turn 4 to 6 times or more and the government is not out 600 million dollars.
kstumpf
The legislators have to decide if they leave the Vikings move to never bring back another NFL team. We have seen what happens; Pro team leaves and we spend more money to get a subpar team back.
By letting the Vikings move, we must realize that the other events that are held in “their” building will no longer have a venue to use. There is no way the dome will be kept for “random” events. The byproduct of the stadium is the other revenue generated there. Theoretically, there will be even more disposable income, but where will that money be spent when it is not being spent on the pro team or the other users of the venue.
I agree with you that the government needs to do something to help the small business, all they have done is vilified the banking system including our small Minnesota banks. By doing so they now feel they (the governing agencies) can run the banks how they see fit. Well it is “they” the governing agencies that caused the mess and they continue to ruin our financial future. It is not until the non governing people of this country stand up and clean house in Washington will this ever get set straight.
We complain about the Republicans or Democrats (depending what side you lean) and want so bad to follow them that we can’t stand up for ourselves. We are no better than the factions in Afghanistan or any other country that keeps fighting against each other. We fall into the left or right rhetoric and never get out and join as Americans.
@45vs9mm
You are right about the eventuality of bringing another franchise back. Every other town to lose a franchise did.
In the Super Bowl era six cities have had an NFL franchise move out. Five of those towns (Oakland, Baltimore, St. Louis, Cleveland, Houston) currently have a team.
Los Angeles is the odd city out, but they are no stranger to the NFL. They already have seen three NFL franchises come and go and are on a short list of cities to receive the next franchise.
The Vikings will be playing in a new stadium. That's not the question. The question is where will this new stadium be built? Hopefully the answer is Minnesota.
JohnBrown
It would be my desire to never have another NFL team if we let the Vikings go. Crazy to spend more money to get back what you could have kept for less.
I understand the people who do not like football or sports not wanting the stadium, that is why we need to show the true numbers of what it does for a state.
Look at Iowa, South or North Dakota, Nebraska, Montana and the list goes on for states without Pro Teams...Are they better off without the drama?
Can't we puleeese have our little bit of corporate welfare,
to save the Vikes? Please?
What about these guys:
http://www.alternet.org/story/154930/wealth_defense_industry%3A_the_real...
Pick on those guys, not the Vikings. Okay, Keith?!?