(The Center Square) – According to a state audit, hotel tax revenues that support some Louisiana sports facilities, such as the Caesars Superdome, were down last year.
The report by Legislative Auditor Mike Waguespack said hotel tax revenues from a 4% levy in Jefferson and Orleans parishes for the Louisiana Stadium and Exposition District were down by $1.88 million in 2024 at $56.1 million compared to nearly $58 million in 2023.
It’s part of an ongoing trend with the district’s hotel tax revenues, which had a decrease of $5.5 million in 2023.
The district’s net position was $248.1 million, a 21.8% improvement from 2023, when it was $194.4 million.
The district’s liabilities were up $712 million, an increase of 5.5% from the year prior when they were $672.6 million. According to the report, the district’s revenues decreased by $25.4 million in 2024 while total costs increased $33.67 million.
The report says the revenue decrease is attributed to a net reduction in capital contributions and onetime contributions from state taxpayers, including a reduction in capital contributions from the Superdome’s primary tenant, the NFL’s New Orleans Saints.
The district received nearly $68.7 million in capital contributions in 2024, a decrease of nearly $39 million from 2023.
The report says the enlarged expenses are blamed on increases associated with event-related activity and an increase in accrued interest on bonds issued for stadium upgrades that were offset by a net reduction in amounts paid in interest. The Superdome hosted Super Bowl LIX in February.
The $555 million renovation project for the nearly 50-year-old stadium is the biggest driver of the district’s liability, with $85 million of that appropriated by the Legislature. The stadium has $392 million of improvement projects in progress, with $295.2 million spent on phase 3 of the master plan project and $15.8 million remaining as part of that commitment.
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In addition to the Superdome, the district manages the John A. Alario Sr. Event Center, the Smoothie King Center (home of the NBA’s Pelicans), the New Orleans Saints Training Facility, the TPC Louisiana golf course and the Shrine on Airline, a former minor league baseball park in Metairie that is now home to a rugby team.
According to the audit, the stadium deals for the Saints end in 2030 and Pelicans in 2029.