Gov. Ned Lamont on Wednesday unveiled a revised fiscal year 2021 budget plan that sets aside $55 million in bond funding to upgrade downtown Hartford’s aging XL Center.
The $22.3 billion budget’s capital plan earmarks $27.5 million in the current fiscal year and the next to renovate and improve the 16,000-seat arena. Both chambers of the General Assembly and the State Bond Commission would need to approve the proposed borrowing for the venue.
The allocation is just shy of a proposed $60 million bonding package for the arena that state lawmakers did not vote on during last year’s legislative session.Â
However, both public funding options would fall short of addressing the long-term viability of the arena.
State lawmakers in recent years have been unwilling to back major investments to revitalize the aging sports and entertainment venue, which typically draws annual operating losses, largely offset by the state, of $1.5 million to $2 million.
In recent years, the quasi-public Capital Region Development Authority (CRDA) has lobbied for as much as $250 million to overhaul the arena and then lowered its request to $100 million. The agency has also sought buyers to acquire and renovate the venue.
Meantime, CRDA recently commissioned a study to examine demand for the venue. Officials hope the study could encourage a potential public-private partnership that would help relieve the state and taxpayers from shouldering future investments.
CRDA’s board of directors is expected to discuss the drafted study at its regular meeting later this month.
