Thursday, May 28, 2009

Deja Blue Jackets

10 TV: A plan that would allow Franklin County to assume ownership of Nationwide Arena could raise taxes on beer, wine and cigarettes… Representatives with Nationwide Insurance, the arena's majority owner, said talks began when they were approached by the Columbus Blue Jackets about finding a way to restructure the deal it has to use the facility.

The Blue Jackets lease and operate the arena, but the team said the economic model it operates under is causing it to lose money. In a statement released Thursday, team president Mike Priest said the team has "incurred substantial losses over the past several years, of which a significant portion is related to arena operations under the current structure."

Nationwide Insurance told 10TV that it was not seeking to sell the arena, but will consider the option in order to ensure that that Blue Jackets remain a viable presence in Columbus, Hirsch reported. Franklin County Commissioners have heard the proposal, but have not formally met to discuss the issue, or take a stance.

Gov. Ted Strickland has met with officials from Anheuser-Busch, one of the area's largest employers and a huge opponent to any tax increase on alcohol, but he has yet to comment about the proposal, Hirsch reported. All parties involved in the talks point out that the proposal is just one plan being discussed to help fend off financial problems associated with the Blue Jackets.

According to the Columbus Dispatch, sources said the plan would allow county commissioners to raise taxes on beer by 25 cents per gallon, wine by 32 cents per gallon, and liquor by $3 a gallon. The newspaper reported that cigarettes would go up 4 cents a pack.

Twelve years ago, voters in Franklin County rejected a temporary tax hike that would have helped pay for the facility. Nationwide Arena is owned by a partnership of Nationwide Insurance and The Dispatch Printing Company. The Dispatch Printing Company owns WBNS-10TV.

No comments: