TRAGIC: Brewers turn down deal due to…
**Desperate Threat from MLB Commissioner and Inept Lobbying by Brewers**
By Bruce Murphy – May 29th, 2023
Recently, MLB Commissioner Robert Manfred visited Milwaukee, issuing a warning that the Brewers might relocate if taxpayers do not provide a substantial subsidy. This tactic, common among sports commissioners, appeared poorly timed and unlikely to be effective, making it harder for future threats to have an impact. This situation is part of a series of missteps by the team, dating back to former owner Bud Selig, complicating the approval of the subsidy package by politicians.
Stadium subsidies are a challenging issue for politicians. If a team relocates due to lack of subsidies, they are blamed, yet supporting subsidies can also attract criticism. Republican state Sen. George Petak was famously recalled in 1996 for supporting the Brewers’ stadium tax, illustrating the delicate balance needed.
The Brewers are requesting significant funds. The initial stadium deal and 25 years of maintenance have cost taxpayers $1.56 billion. Now, the owners are seeking an additional $290 million ($378 million with interest) to ensure the team remains in Milwaukee for another 13 years, which would be the highest per-year subsidy in MLB history.
In previous deals, such as the 1996 Brewers and 2015 Bucks agreements, the benefits were clear: new, state-of-the-art facilities. However, the current request lacks clarity on what taxpayers will receive. A 2018 study by Mortenson estimated future stadium maintenance costs at $71.8 million, covering various improvements. The Brewers claim this study is incomplete, estimating the true cost at $448 million, but have not detailed the additional features or costs.
Moreover, the Brewers have poorly lobbied the state Legislature, spending $435,000 on lobbyists in the 2021-2022 session but crafting a subsidy package with Democratic Gov. Tony Evers, excluding Republican legislators. Consequently, the proposal was removed from the budget.
Assembly Speaker Robin Vos suggested Milwaukee taxpayers contribute, but this is complicated by the ongoing discussions about shared revenue and sales tax hikes for Milwaukee. Additionally, potential funding from hotel and car rental taxes has already been allocated to the Milwaukee Bucks for Fiserv Forum.
The Bucks handled their subsidy request more effectively, engaging positively with state, county, and city officials and developing the Deer District around Fiserv Forum, enhancing its attractiveness. In contrast, the Brewers have done little to develop the area around their stadium, despite controlling 265 acres for parking.
Baseball has seen a decline in popularity, with attendance and TV viewership dropping significantly. The average age of baseball fans is higher than that of other sports, resulting in fewer voters and legislators who care about the Brewers.
In 1996, a proposal to build the stadium downtown, which Selig opposed, almost derailed the deal. If built downtown, it could have spurred local business growth. Now, an empty stadium in the Menomonee Valley would have less economic and psychological impact than one downtown.
The Brewers recognize the opportunity presented by the state’s $6.9 billion budget surplus. However, until the subsidy proposal is clear, local financial issues are resolved, and a legislative bill is crafted, Manfred’s warning appears ineffective, highlighting the Brewers’ desperation.
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