Bills owners Terry and Kim Pegula will be responsible for stadium cost overruns

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Yes, New York and Erie County will plunk down a record $850 million to build a new Bills stadium. But that’s the full extent of the public contribution.

If the stadium costs run higher than expected — and they often do — Bills owners Terry and Kim Pegula will pay the difference.

New York Governor Kathy Hochul called that detail “significant.” And it is. With supply-chain issues and fuel expenses and inflation generally driving up the price of everything, the stadium will cost more than expected.

Given that PSLs will be used to finance a large percentage of the contribution to be made by ownership, it’s fair to wonder whether the final PSL pricing will take into account the cost overruns.

Regardless, it’s a pretty sweet deal for the Bills to get $850 million in public money, assuming lawmakers approve the budget. And the Bills and the NFL should be very happy that the same people who vote for those lawmakers won’t be voting up or down on the stadium financing proposal. In nearly every American jurisdiction, the nays would have it on any such ballot measure.

15 responses to “Bills owners Terry and Kim Pegula will be responsible for stadium cost overruns

  1. It’s crazy to think that any NFL owner would ask taxpayers to build their stadium, especially with so many people suffering at this tough time.

    It’s disgusting, really.

  2. Being in Buffalo the nay part I completely disagree with. Our first preference was modernizing the old stadium, but when the engineers said it would cost a billion to do so versus $1.4 billion for a new one they could add a penny on the sales tax for all we care and have the government pay for it. Just keep the old sight lines.

  3. Tax payer in NY are being feed the S!!!Burger make sure the state gives you something to wash it down or you are going to choke

  4. With how much the NFL makes, kind of gross any public funds will be used.

  5. And cost overruns there will be. He can always sell the yacht that he bought last year to help finance them.

    Not quite sure how well PSLs are going to go over in Buffalo.

  6. Or you could just manage it so there aren’t overruns. Heinz Field came in 17M UNDER budget

  7. I still don’t understand why the public funds a venue for a private corporation. It doesn’t matter what the pitch is or how many jobs/revenue to the economy a sports team could potentially bring, the end result is a city, or state, is putting taxpayer dollars towards a venue they will neither own nor control.

    Shouldn’t the #1 requirement for owning a sports team be the ability to self-fund and bankroll the entire franchise? This feels tantamount to fractional banking, where a bank only needs to have x% of funds to cover 100% of the deposits.

    You own a franchise, you bankroll a franchise. Isn’t that how every business works? Unless these public funds are a loan, it doesn’t make sense at all.

    Does anyone have hard data on how much ROI the public receives for these near-billion dollar donations? And why aren’t there clauses stipulating repayment, or equity in the franchise?

    Sounds like the favorite kid asking their parents for money if you ask me.

  8. I hope the lawmakers do not approve the budget. That’s a ridiculous amount given what we know about how the city and state do not recoup that money and ways it could be better spent.

    Hopefully, the fact the Bills have been a good team the last 2 years didn’t factor into the decision.

  9. The funny part about all this is that the Pegula’s are fitting the bill for over 37% of the cost…The last three major stadium builds in the US were 91% funded by the taxpayers, yet the Pegula’s are getting a bad rap. They could have moved the team to the highest bidder of public funds for a new stadium, but they are keenly aware of what the Bills mean to this community enough to reach a little further into their own pocket to keep them here.

  10. Buffalo City planner”. Ok…I crunched the numbers and if we don’t salt the roads for 20 years, let a few fire engines and police cars break down, have just one or two fireman and police officers for the state , and just have one teacher for our 35,000 kids, we can MAKE THIS WORK!!”

  11. I’m 100% positive that my tax dollars are spent on tons of things that I don’t use and/or support.

  12. Nearly 600 mil will be funded by gambling in Western New York and the State of New York will own the stadium and use it as they wish to earn revenue.

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