Moving for Money and Opportunities

We all know cities decline, having heard about Buffalo, Detroit and the Rust Belt. Jobs, chances to move up, join the middle class has prompted people to leave the farm for the city, leave the Rust Belt for the Sun Belt, and what leave the US for somewhere else?

Today, rural areas are facing new bleak times and might have to move. Are the Sacramento Kings facing the same issue?

The Post had a huge article about declining rural areas in Virginia. The textile factories that moved there in the 1920s through 1940s from New England for cheaper labor moved out, taking away paying jobs (see the movie Norma Rae).

Now Walmart left and the area’s restaurants can’t stay open. The social service and donor organizations don’t have any money to give out to help people stay. This is what the Great Depression looked like and in those days people picked up and moved because they had no chance where they were. The big question is do the people have the money to leave?

Are the Sacramento Kings leaving for the same reason? The team finished second to last in attendance for this season, averaging little less than 14,000 a game or 80% of the capacity of the arena. The Kings were in the top 10 of the league in drawing crowds on the road.

Is Sacramento in decline so the crowds could not afford to show up? The city has a median income of $47,000 which is $11,000 less than the state’s average. There are over 2 million people in the surrounding area so the city has the means to make the team a success. However, the owners want a new arena with high end corporate boxes to maximize their profits.

In the late 1990s and early 2000s, Mayor Heather Fargo made several abortive attempts to provide taxpayer financing of a new sports arena for the Maloof brothers, owners of the Sacramento Kings NBA Basketball franchise. In November 2006, Sacramento voters soundly defeated a proposed sales tax hike to finance the plan. The defeat was due in part to competing plans for the new arena and its location.

In late 2010 the Maloof family began negotiating with officials in Anaheim, California in an effort to move the NBA Kings franchise to that city, despite repeated assurances that the team would stay in Sacramento. On March 29, 2011, the City of Anaheim approved bond measures aimed at assisting the Kings move and thereby all but ensuring that the franchise will be leaving Sacramento and relocating to Anaheim.

1 comment so far

  1. business review on

    The National Basketball Association extended the Sacramento Kings relocation request deadline on Tuesday after which Mayor Kevin Johnson said the only way the Kings will stay in this city is if a deal falls through in Anaheim. The Kings will stay in Sacramento only if they have to Johnson said in a press conference at City Hall shortly after hearing the news.

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