Wednesday, August 1, 2012

Royals and Chiefs use stadium repair money for office supplies and payroll taxes, reports say

Posted By on Wed, Aug 1, 2012 at 10:01 AM

A new kind of money problems have arrived at The K.
  • Ian Munroe
  • New kinds of money problems have arrived at the K.

WHB-810 AM's Kevin Kietzman reported yesterday that the Royals have been using taxpayer money intended for repairs to Kauffman Stadium on office supplies, employee salaries and even for paying payroll taxes. Citing a tipster within the Jackson County Sports Complex Authority, Kietzman reports that over the course of five years, the team received $12.7 million from the authority for repairs, maintenance, management, and operations (RMMO) fund, and spent only 9 percent on upkeep on the stadium.

Kietzman also reports that the team used only $1,540,390 in repairs for the building. And, he says, the JCSCA used $200,000 to pay payroll taxes on part-time employees. "By using the money for payroll taxes, the team literally collected taxpayer money to pay their own taxes," Keitzman writes.

Here is a list of expenses Keitzman reports were paid for with RMMO cash:
10/21/08
Security $287,377
Telephone $83,698
Supplies $657,838
Uniforms $86,301

6/23/09
Salary, Full-Time Associates $975,309
Payroll, Taxes and Benefits-Full Time $365,176
Salary, Full-Time Associates $321,355
Payroll, Taxes and Benefits-Full Time $133,617
Salary, Part-Time Employees $2,618,568
Payroll Taxes-Part Time Employees $200,320

9/10/09
Security $236,113
Telephone $515,696

7/19/12
Stadium Services $691,322
Professional Services-First Aid $241,931
Utilities, Telephone, Cable TV $2,291,385
Day of Game Security $247,528

In the wake of the news, an unnamed source spoke to Deadspin and claimed that the Chiefs were doing precisely the same thing.

"The documents sent to us by our tipster show that the Chiefs have used just 33 percent of the $27.3 million they asked to have reimbursed during the same time period for maintenance and repair. What that means is that both franchises are using most of the taxpayer money they're getting to reduce the cost of running their teams," the site reports.

It adds: "The Chiefs have asked for more than $9 million since May 25, with just $546,000—a paltry six percent—going toward maintenance and repair."

The tipster told Deadspin that expenses the Chiefs have covered with RMMO funds include $2.17
million on phone (hmm, what could that kind of money buy?) and more than $800,000 on payroll tax.

Last December, the Missouri state auditor audited the JCSCA, which has five members appointed by the governor, and graded it "good."

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