New Jersey Warns $48 Million World Cup Transit Bill May Hit Taxpayers as FIFA Offers $0
Updated
Updated · CNBC · Jun 12
New Jersey Warns $48 Million World Cup Transit Bill May Hit Taxpayers as FIFA Offers $0
3 articles · Updated · CNBC · Jun 12
Summary
$48 million in transit spending has become New Jersey's clearest World Cup flashpoint, with Governor Mikie Sherrill saying FIFA has offered no help despite the state hosting the July 19 final at MetLife Stadium.
FIFA's refusal to offset transport costs for up to 40,000 fans per match has forced the state to expand rail service, shuttles, traffic controls and security, while limited stadium parking pushes more spectators onto NJ Transit.
Fan costs have already drawn backlash: NJ Transit first set round-trip fares at $150—about 12 times normal—before cutting them to $98 with added advertising revenue, while final-match resale tickets have topped $30,000.
The financial strain lands as New Jersey has already provided $35 million to the host committee, budgeted $120 million for related construction and security, and faces a $1.5 billion structural deficit.
Host boosters project more than 1 million visitors, $3.3 billion in local economic activity and 26,000 jobs, but economists say such forecasts are often inflated; a 2007 study found 1994 World Cup host cities missed projections by an average $712 million.