Congressional panel rips Yanks, NYC over new stadium's financing
"In the case of the new Yankee Stadium, not only have we found waste and abuse of public dollars subsidizing a project that is for the exclusive benefit of a private entity, the Yankees, but also we have discovered serious questions about the accuracy of certain representations made by the City of New York to the federal government," Kucinich said.
The panel's investigation found "substantial evidence of improprieties and possible fraud by the financial architects of the new Yankee Stadium," he added.
he panel did hear from New York State Assemblyman Richard Brodsky, an outspoken critic of the deal, who charges that between $550 million to $850 million in taxpayer money has been committed to the project.
Brodksy's charges, based on city, IRS, and Yankee documents, include:
• The city manipulated the assessed value of the stadium to meet requirements for an IRS tax exemption. That included using comparable land values in Manhattan rather than the Bronx to come up with the value for the new property.
• City officials didn't disclose their purchase of a luxury box and extra game tickets and apparently there is no city policy on their use.
• The $366 million in additional funding sought by the Yankees to complete the stadium would be for a large video screen, not structural costs.