Kansas City’s $37M Northland soccer plan moves forward, but officials are leery
Kansas City is moving forward with a plan to build a $37 million soccer complex in the Northland — but City Council members on Wednesday did not give it their full endorsement.
For more than a year, Northland council members and city staffers have been working on a deal with Sporting Kansas City to build and manage a soccer park on the border of Platte and Clay counties, which proponents say would drive economic development in the area and keep families from having to trek to Swope Park — or Johnson County and spend their money in Kansas.
But it has significant opposition from some council members who represent districts south of the Missouri River and say the deal isn’t good for the city, especially during the budget crisis brought on by the COVID-19 pandemic.
The council’s Transportation Infrastructure and Operations Committee voted 4-2 on Wednesday to send the plan to the full council, but they advanced it “without recommendation.” The council was expected to consider the proposal on Thursday.
“What we’re doing is building the tax base for the city of tomorrow so that hopefully, in those days, we don’t have the issues we have now, we have a better revenue source to address the issues of a growing, thriving city,” said Councilman Dan Fowler, 2nd District, which encompasses Platte County and part of Clay.
Under the proposal, Kansas City would pay to build the 10-field Northland Sports Complex, raising construction money by issuing more than $18 million in bonds. Those costs and others would be repaid using sales tax revenues from expiring tax-increment financing, or TIF, districts and similar revenue streams.
The 2nd City Council District will also contribute $1 million of its portion of the city’s public improvements sales tax each year for three years.
In turn, Sporting will manage the complex. If it’s profitable — which Sporting says it doesn’t expect for the first few years — the company keeps the money. But if it’s not profitable, Sporting is responsible for the losses.
To proponents, it’s an economic development win. Fowler noted the sales tax proceeds being used to pay for the project are meant for capital improvements, “which is exactly what this is.”
The complex alone, proponents say, will draw tens of thousands of out-of-town visitors for tournaments, resulting in hotel stays and restaurant spending that benefit the city budget. Jim Bowers, an attorney representing Sporting, told the committee the park would result in $14 million of direct tourism business. He did not return voicemails and emails seeking comment on the project.
But opponents question why the city would take on more obligations when it is already spending its reserves, refinancing existing debt and cutting budgets to weather the COVID-19 pandemic and budget crisis.
“Sporting KC is betting our money that they’re going to be able to produce this highly profitable sports venue where teams from all over the country are going to come in here and play competitive soccer,” said Councilwoman Katheryn Shields, 4th District at-large.
Sporting also operates Swope Soccer Village in the city’s 5th District, which opened in 2007 and was expanded to include youth soccer in 2013.
At Swope, the city is responsible for monetary losses. While Sporting and the city’s Parks and Recreation Department noted the park stays busy, the city has had to chip in funds to eventually replace the fields. In the case of the Northland park, those would be covered through taxes from the TIFs and a community improvement district.
In April, the council voted 9-3 to authorize city staff to move forward with negotiations. At that time, the park was expected to include 12 fields and cost $43 million. Part of the proceeds would have gone to improvements at Swope.
Since the council last voted on the project, it has been scaled back from 12 fields to 10. The budget was accordingly cut to $36 million, but the developer agreed earlier to add back in a provision to build more parking lots at Swope for $1 million. Councilwoman Ryana Parks-Shaw said in the committee that families had to park in the grass at Swope.
Council members amended the proposal during committee to say staffers and Sporting should draft an agreement where the city would get to share in the profits if the park is successful.
Shields worried that opening a park in the Northland would simply move teams there from Swope and create losses there, forcing the city to pay more money.
Parks director Terry Rynard said her department hoped to renegotiate the contract at Swope so that Sporting would get to keep any profits. She said Sporting has been a great partner and the losses could be worse if the company wasn’t working hard to keep the park busy. But Sporting doesn’t officially have an incentive to make the park profitable. The city eats all shortfalls or benefits from profits.
Fowler said he was disappointed the committee didn’t pass the legislation with an endorsement to the council.
Overall, Jake Reid, Sporting president and CEO, said he felt good about where the project is.
“It’s still moving forward and still alive, and we’re excited for that,” Reid said.
Shields and Bunch voted against moving the legislation to the council. Mayor Quinton Lucas and council members Kevin O’Neill, Teresa Loar and Melissa Robinson voted in favor.
