Texas-based Academy Sports and Outdoors, one of the nation's largest
sporting goods chains, is being accused of pumping $100,000 into a campaign
to kill a proposal by Oklahoma City to subsidize an Oklahoma City store for
Springfield, Missouri-based Bass Pro Shops. The campaign, which includes
radio and print ads is being run by Citizens Against Taxpayer Abuse. Also
opposed to the city's plan, is Jeff Tebow, Oklahoma City owner of Outdoor
Outfitters. Oklahoma City Mayor Kirk Humphreys and other Downtown civic
leaders say the Bass Pro store will bring tourists and jobs to Oklahoma
City.
Opponents of the Bass Pro Deal charge that Oklahoma City taxpayer dollars
will be used to bring in a private business to compete with existing
businesses which are not subsidized. They fear the deal will put hundreds of
existing jobs in jeopardy and establish an expectation of government
subsidies for future incoming businesses. Academy, which is planning to open
another store in the city (not at taxpayer expense), says it is unfair
competition.
The opponents note that the city's own study of the proposal shows that
over 40% of the sales at the proposed Bricktown Bass Pro store would come at
the expense of Academy, Outdoor Outfitters, and other existing retailers. In
addition to the businesses that would suffer from the proposed deal, there
is growing opposition from Oklahoma City taxpayers. A poll released April 3,
2002 by Citizens Against Taxpayer Abuse shows that two thirds of Oklahoma
City residents oppose the use of taxpayer dollars to fund a Bass Pro Shop at
Bricktown in Oklahoma City. The survey was conducted by Baselice and
Associates, a national polling firm with extensive credentials in polling
and public opinion research. The poll of over 500 randomly selected Oklahoma
City voters was conducted on March 27-28, 2002. Jeff Kaufmann, spokesperson
for Citizens Against Taxpayer Abuse, explained that "67% of those surveyed
oppose the use of tax dollars for the project."
Under the proposed deal, the City would spend up to $18 million to
construct Bass Pro's proposed 110,000 square-foot building. The construction
would be financed through a bond issue, and repaid with an annual pledge of
City sales tax revenue. The final bond cost of the store would be $2.5
million per year. According to the proposed 15-year contract, Bass Pro would
pay only $600,000 a year to occupy the building. So, Oklahoma City taxpayers
would be paying 75% of the rent.
City leaders argue increased sales taxes generated by the store will help
make the bond payments. According to the City's consultant, Bass Pro Shops,
which is partially owned (19 percent) by Gaylord Entertainment Co., could
make $38.5 million in annual sales at the proposed Oklahoma City store. The
Oklahoma City Council must still approve the final deal being negotiated
between the City and Bass Pro. Opponents hope to convince the Council to
reject the deal.