Chiefs’ $3.3 Billion Kansas Stadium Deal Faces Scrutiny Over STAR Bonds and Labor Risks

Overview

• On Dec. 22, the Chiefs announced an agreement with Kansas to build a domed stadium and entertainment district in western Wyandotte County, with an estimated $3.3 billion price tag heavily reliant on STAR bonds.
• Economists cited in the analysis say stadium subsidies rarely produce net new growth and largely shift consumer spending within the Kansas City metro.
• The piece warns that dedicating sales-tax revenue to repay STAR bonds could limit funds for schools, libraries, first responders and infrastructure, with few gains projected for poorer eastern Wyandotte County.
• Kansas’s right-to-work laws could enable more nonunion construction and diminish pay, benefits and representation for stadium and concessions workers currently unionized in Missouri.
• The deal is described as ending the 2018 cross-border incentive truce, with recent subsidy offers and relocations signaling a renewed competition between Kansas and Missouri.