Vikings want $20 million a year for U.S. Bank Stadium upkeep

The Minnesota Vikings want state lawmakers to put up to $20 million a year in tax revenue from electronic pulltab gambling toward the future upkeep of U.S. Bank Stadium.

The Minnesota Sports Facilities Authority (MSFA), which operates the state-owned stadium, estimates the nine-year-old facility will need nearly $300 million in maintenance over the coming decade.

Sen. Nick Frentz, a North Mankato DFLer and primary sponsor of the proposal, told the Senate Taxes Committee Tuesday that an ongoing stream of revenue for capital improvements was key to keeping the stadium in top shape. He noted NFL stadiums in other cities have waited on maintenance projects and then needed significant public support for an overhaul.

“Do we want to have to come back to the Legislature every time there is a capital need?” Frentz said. “This is a better way for Minnesota.”

The proposal has bipartisan support in both chambers, but faces uncertainty. Tuesday was the first time a committee considered the proposal, and the five-month legislative session is expected to wrap up in less than two weeks.

The amount of tax revenue generated by e-pulltabs, an electronic version of the paper gambling ticket game, is in question after a 2023 change to make the games less like slot machines operated by Minnesota’s American Indian tribes.

E-pulltab revenue dropped after the change, and Frentz’s bill depends on growing tax proceeds from the games. Lawmakers are considering more changes to e-pulltabs at the urging of charities that rely on the games for revenue.

In 2024, Minnesota collected more than $100 million in e-pulltab taxes, according to the state Department of Revenue.

The Legislature created the electronic games to pay for the $350 million state share of the stadium. They were so successful the state debt was repaid 23 years early and lawmakers decided to put future proceeds into the general fund.

That move frustrated Sen. Jeremy Miller, R-Winona, who’s also a sponsor of the bill, because he says lawmakers initially intended for some e-pulltab revenue to be used for stadium upkeep.

“This is an asset of the state of Minnesota and it is our responsibility to maintain the stadium,” Miller said.

Minneapolis still owes money on its portion of the construction debt and makes other annual contributions to the stadium that city leaders would like to modify if the Legislature OKs ongoing state funding.

Vikings representatives and stadium officials noted the team pays roughly $12 million a year in rent and contributions toward capital improvements.

Team and stadium officials also touted the stadium’s economic impact, noting Vikings games and concerts bring in tens of thousands of fans who might not otherwise visit Minneapolis. More than 9 million people have visited U.S. Bank Stadium since it opened in 2016.

Mike Vekich, chair of the MSFA, said the stadium has met or exceeded “all promises and original intentions for the venue as an economic engine for the state of Minnesota and the city of Minneapolis.”

But many sports economists, including J.C. Bradbury of Georgia’s Kennesaw State University, are skeptical of the long-term impact. Bradbury says sports facilities typically shift spending already occurring in the community, rather than bring in lots of new money.

“There really doesn’t seem to be much policy justification at all for stadium subsidies,” Bradbury said.

This isn’t the only sports facility funding request at the Capitol. The stadium has a separate $30 million request for the next phase of a secure perimeter project.

The Minnesota Wild have asked for $50 million toward a rehab of the Xcel Energy Center and the St. Paul Saints want $9 million for upgrades to CHS Field in Lowertown.

Time is tight at the Capitol, as the narrowly divided Legislature works to finish the next two-year budget before the required adjournment May 19. Lawmakers may need a special session to complete the spending plan because the government will shut down if one is not in place by the end of June.