Sports Arena

Pursuant to a congressional request, GAO provided updated information on the proposed new sports arena project in the District of Columbia, focusing on the: (1) predevelopment project costs; (2) status of the financing proposals; and (3) revenues from the new arena tax. GAO noted that: (1) the District's estimated predevelopment costs total $56.3 million, although events and circumstances may occur to change these estimates; (2) the District is currently evaluating two proposals to finance the project, which include taking out a $53 million loan or issuing a combination of tax-exempt and taxable bonds; and (3) as of July 24, 1995, the District has collected about $7.8 million from the arena tax, based on about 22,000 returns filed.