Save the NHL: Make Cheque Payable to (add team name here)
Author:
Walter Robinson
1999/11/11
Over the last 11 months, the Canadian Taxpayers Federation (CTF) has consistently stated that taxpayers want nothing to do with any sort of bailout for Canadian NHL teams. From Halifax to Victoria, from talk radio to editorial boards to local Chamber of Commerce speeches, Canadians have been resolute in their stand AGAINST tax subsidies/concessions for the NHL.
Now we learn that Canadians have echoed this message in spades to the Federal Industry Minister John Manley. Departmental officials confirm that the NHL issue has generated over 3,000 pages of correspondence. Most issues generate about 200 pages of correspondence for the department.
Most of the letters opposed giving any money to the NHL - I saw letters from all over - Calgary, Ottawa and B.C.," said one official to the Ottawa Citizen.
The Canadian Taxpayers Federation (CTF) has led the principled charge against any form of taxpayer bailout for the NHL. Don't get us wrong, we love the game. But professional hockey is not a public good. It's not school, a road or hospital bed.
The resignation of bailout advocates to this tidal wave of public opinion is starting to show. News editorials now concede that the existence of pro-sports franchises has a negligible economic impact on the local economy; a finding buttressed by reputable, non-aligned, academic studies over the past 30 years.
Furthermore, bailout advocates now concede that the 480% increase in NHL player salaries over the last nine years dwarfs owner complaints of exchange rates and devalued Canadian currency.
So with the facts lined up on the blue line squarely against them, they've made their last stand with the heartstring arguments. First up is the lottery gambit and a weak attempt to invoke questions of intellectual property. Bailout advocates note that governments make millions from NHL sports betting.
Funny how this is the first time in almost of decade of state-sanctioned sports gambling that this argument has been raised. Yes governments make a profit, but people who gamble on games also attend those games, buy hockey merchandise and allow the league to sell the broadcast rights for higher fees knowing that the viewing audience is growing. Sounds like the proverbial win-win situation to us.
Another emotional plea for taxpayer support is that we need to keep these teams in Canada to ensure our cities are world-class and able to attract investment. That's interesting, cities like Paris, Tokyo, Rome, Rio and Berlin don't have NHL teams, yet they're world class. Turning to investment, it is laughable to conclude that company or plant location decisions are made on the basis of whether the CEO can watch 40 home games a year or not.
Companies locate in communities that offer a skilled workforce, industry-specific critical mass clusters, superb infrastructure (local roads and international links) and access to quality healthcare and education.
But we do love our game, so here are two suggestions for taxpayers that wish to help the NHL. First, buy more tickets. If you go to one game a year, go to two or three. By filling the arenas night in and night out, the owners' bottom lines will improve.
Our other suggestion is simple and direct. In Ottawa, both daily newspapers contend (based on suspect surveys) that a majority of local taxpayers wish to help their franchise. So go ahead and help folks, there's nothing stopping you. As a respected western journalist friend of mine suggested, why don't these people simply write a cheque to the local NHL owner Heck, send six cheques, one for each Canadian NHL team. Problem solved, clubs get their money, taxpayers off the hook.