Sports Stadiums are Becoming More Energy Efficient—And Minnesota Is Leading the Way 

Marshall Kelner*

Introduction 

Most people in the United States turn on their lights every day without thinking twice about where the energy comes from to make that possible. When the power goes out, though, they start asking questions. And when the power goes out in the middle of the Super Bowl, the entire country pays attention. That is exactly what happened on February 3, 2013, at the Superdome in New Orleans, Louisiana.1

Shortly after Beyoncé’s halftime performance, Super Bowl XLVII was delayed for thirty-four minutes early in the third quarter and nobody in the stadium or watching on television knew why the lights went out.2 Auxiliary power prevented a total blackout, but many key services inside the stadium, including escalators and credit card machines, stopped working.3 

Even prior to, and certainly since the Super Bowl power outage, teams have made the energy efficiency of their stadiums a priority—and Minnesota has led the way. This blog will focus on two Minnesota sports stadiums and examine how the law and other factors prompted team owners to make the decisions they did. Those stadiums are Target Field (home of the Minnesota Twins) and U.S. Bank Stadium (home of the Minnesota Vikings). 

There are many reasons for teams to make their stadiums more energy efficient, but three stand out in particular. First, tax incentives at the federal and state levels, in addition to long-term energy cost savings, give teams a financial reason to prioritize energy efficiency. Second, many new stadium projects are publicly funded, and the legislation often requires that teams meet certain energy and environmental benchmarks. Third, teams have the opportunity to enjoy tremendous public relations victories as a result of their commitment to energy efficiency, while helping their communities at the same time. This combination of commitment from teams and government incentives has helped set an example for energy efficiency in Minnesota.  

Stakeholders 

The stadiums I will focus on both opened within the last thirteen years. These projects brought, and continue to bring, many stakeholders to the table. I will focus on the following five stakeholders: team owners, employees, fans/taxpayers, politicians, and clean energy organizations. 

First, team owners have the opportunity to benefit both financially and in the eyes of the public by making their stadiums more energy efficient. As one reporter opined,  

The trend in sports is not dissimilar to what is being seen across industries: a desire from businesses to be better stewards in their community and connect with the growing number of people putting an increased emphasis on environmentally friendly actions, coupled with the fact that many of these measures also have a solid business case attached to them.4  

The tax incentives give owners an immediate financial benefit and current investments in renewable energy have the potential to generate big savings on energy costs in the future.5 In addition, governments who assist owners with stadium funding often incorporate clean energy requirements into legislation.6  

Second, improving energy efficiency of sports stadiums can create job opportunities for employees constructing the stadiums and employees who work during the games and other events.  

Third, the taxpayers (some of whom are fans who attend games) are major stakeholders. While some are adamantly opposed to public financing of sports stadiums, others see the new projects and the teams as a source of pride for Minnesota. Regardless of one’s view, however, energy efficient stadiums that do not put as much of a burden on the grid could help reduce energy costs for consumers and improve the environment: “The average sporting event in a stadium uses enough energy to power 5,000 American households for a similar length of time.”7 Fans who care about climate change could also be drawn to teams that place a priority on energy efficiency. Sports is an extremely visible part of American culture—nearly three-quarters of Americans follow sports news—and two-thirds of consumers said in 2022 that “they were willing to pay more for a product they believed to be sustainable.”8  

Fourth, politicians are stakeholders because they have the power to compel teams to meet energy efficiency requirements by including said requirements in stadium funding legislation. On top of that, they must answer to the people for their votes for or against stadium bills. The debates over new stadiums for the Twins and Vikings, in particular, were intense and drawn out over many years. There were rumors that both teams could leave the state if the stadium bills failed to pass.9 Politicians not only had to consider what their constituents thought about publicly financing the stadiums in general, but also how much those same constituents cared about the energy efficiency of the proposed stadiums. 

Fifth, clean energy organizations have a chance to promote their ideas on the big stage of sports. One example is the U.S. Green Building Council and their LEED (Leadership in Energy and Environmental Design) rating system. The group is a non-profit and has a goal to “transform how buildings and communities are designed, built and operated, enabling an environmentally and socially responsible, healthy, and prosperous environment that improves the quality of life.”10         

Law and Analysis 

The main federal tax deduction that team owners can take advantage of is titled “Energy efficient commercial buildings deduction” and is found at 26 U.S.C. § 179D. The opening line describes the requirement to qualify for the deduction: “There shall be allowed as a deduction an amount equal to the cost of energy efficient commercial building property placed in service during the taxable year.”11 The tax code goes on to describe what types of buildings qualify as “energy efficient commercial building property” as buildings that reduce energy consumption by at least 25 percent compared to a reference building in the areas of interior lighting, heating, cooling, ventilation, and hot water systems.12 The threshold was previously set at 50 percent, but the Inflation Reduction Act reduced it to 25.13 The Inflation Reduction Act also created additional renewable energy tax credits that sports stadium owners may be able to take advantage of, especially when it comes to solar energy.14 On top of that, Minnesota has additional tax incentives that may be available.15 

As mentioned above, as part of the bills passed by the Minnesota Legislature to help fund both Target Field and U.S. Bank Stadium, those facilities were required to become LEED certified by the U.S. Green Building Council in certain categories. I will discuss the legislation and categories in more depth below, but in general, LEED “is the world’s most widely used green building rating system.”16 Some of the categories include Building Design and Construction, Interior Design and Construction, and Building Operations and Maintenance.17 The goals of LEED include combating climate change, improving individual health, and protecting water resources.18 

Target Field—Home of the Minnesota Twins 

Target Field opened in 2010, but the public financing of the ballpark was approved by the Minnesota Legislature and signed by Governor Tim Pawlenty in 2006.19 The public contribution was $350 million and raised by a 0.15 percent sales tax increase in Hennepin County.20 Part of the money from the public also went to support youth sports and Hennepin County libraries.21 In addition, the Twins contributed an initial $130 million and an additional $65 million prior to Opening Day in 2010.22 As part of the bill, the Minnesota Ballpark Authority (the entity created to operate Target Field) was required to ensure that the ballpark was LEED certified for environmental design.23 In addition, the Ballpark Authority was tasked with using American-made steel to construct the ballpark “to the greatest extent practicable.”24 

Target Field has met and exceeded the LEED certification requirements in the legislation. In September 2022, the Twins achieved LEED Platinum certification for Existing Buildings: Operations and Maintenance, becoming “the first Major League Baseball (MLB) venue to receive USGBC’s highest level of certification under LEED v4.1.”25 In addition, “[s]ince opening Target Field in 2010, the Twins are the first and only MLB club to achieve five separate LEED certifications,” including a LEED Silver certification for new construction in 2010.26  

What generated all this recognition for Target Field and the Twins? The list is long. Some of the highlights include: 

  • LED lighting throughout the ballpark.27 These lights are brighter, so “stadiums are able to use fewer of them and still end up with a better-lit field than they had before.” This saves money, while also improving energy efficiency.28 
  • A partnership with Pentair on a rainwater recycling system.29 
  • Recycling and waste-to-energy programs with local partners to keep waste out of local landfills.30 
  • A “partnership with Eco-Products to provide the ballpark’s compostable cups, plates, trays, utensils and straws.”31
  • Using solar-reflective materials to reduce the amount of air conditioning needed for the interior of the ballpark.32 
  • The ballpark is located on a former brownfield, which “left the site contaminated and hazardous to the local waterways.”33 The site was cleaned up before construction began to “ensure safety of Target Field visitors, neighborhood residents and the nearby Mississippi River and Bassett Creek, which runs under the ballpark.”34  
  • Ample public transportation access. The light rail was extended to a new station just outside the ballpark and there are bike racks located around the facility.35  
  • Using regional materials, “such as the distinctive limestone,” to avoid transporting materials from far away. This helps reduce greenhouse gas emissions and saves energy.36 

As we can see, these measures help save money for team owners, give back to the local community, and exceed the requirements set forth in the legislation for Target Field. It also shows the importance of partnering with organizations that have expertise in a certain area, such as recycling and water. Target Field’s success in energy efficiency demonstrates that the same project can benefit different stakeholders in a variety of ways.   

U.S. Bank Stadium—Home of the Minnesota Vikings 

The public funding bill for U.S. Bank Stadium was approved by the Minnesota Legislature and signed by Governor Mark Dayton in 2012,37 and the stadium opened in 2016.38 The project created over 8,000 construction jobs.39 The total cost was $1.061 billion, with about $551 million coming from the Vikings and $498 million from the public.40 The public portion was largely financed through the sale of electronic pull-tabs, and this past summer, it was announced that the government paid off bonds for the project over twenty years early due to the success of the pull-tabs.41 There were several clean energy requirements in the legislation, including building “a stadium that is environmentally and energy efficient,” receiving LEED certification or Green Building Initiative Green Globes certification for environmental design, following sustainable building guidelines as long as they have “a payback in energy savings in 30 years or less,” and working with local utility companies to “establish a base utility cost under the state energy codes and calculate energy cost savings resulting from complying with the guidelines.”42 The Vikings also were tasked with using conservation improvement assistance and other available energy savings programs, in addition to building the stadium with “American-made steel that is made from Minnesota iron ore.”43 

The Vikings have received a multitude of awards for their efforts in meeting the above requirements and more. The stadium received a LEED Gold certification in 2017 for Building Design and Construction, became the first professional sports stadium to receive LEED Platinum for Operations and Maintenance in 2019, and was named the 2018 Innovator of the Year by the Green Sports Alliance “for the waste diversion efforts during Super Bowl LII.”44 Some of the keys that led to this recognition include: 

  • Renewable energy credits that enabled wind energy to account for “100% of the stadium’s power for the first five years of operation.”45  
  • Like Target Field, U.S. Bank Stadium uses LED lights and shuts down “energy-intensive equipment” when it’s not being used.46 
  • A unique “transparent plastic polymer roof structure that allows natural daylight to light the stadium and allows heat to dissipate for cooling to reduce reliance on lighting and HVAC systems.”47 
  • Waste diversion from landfills. The excess is “taken to a trash-to-energy” facility where it is converted to steam that is used to heat buildings in the downtown Minneapolis area.48  
  • The promotion of alternative transportation led to a Bike Friendly Business certification, the first stadium to earn this honor.49 
  • A zero-waste Super Bowl in February 2018. Workers helped clean up the waste left behind after the game, recovering 91 percent (the threshold for zero-waste certification is 90 percent). The 67,612 fans in attendance generated almost 69,000 tons of waste. The partnership included the NFL, PepsiCo, Aramark, SMG, and the Minnesota Sports Facilities Authority. There were labeled bins around the stadium to help collect compostable waste and increase recycling (reducing waste that would be converted to energy), leftovers from kitchen prep were composted, and prepared food was donated to local shelters.50 This effort not only created jobs, but decreased energy costs and gave back to the local community.  

The energy efficiency policies the Vikings have implemented at U.S. Bank Stadium have allowed the team to save $1.26 million on energy costs each year.51 In addition, the stadium has brought major events to Minnesota, such as the Super Bowl, Final Four, and major concerts.52 This has increased job opportunities, contributed to the local economy, and put a spotlight on the state.  

Conclusion 

The success of the energy efficiency initiatives at both of the stadiums described above is a microcosm of what is happening throughout the country.53 The benefits vary depending on the stakeholder, but many people at the table see the impact. Minnesota has demonstrated the good that can be accomplished by combining tax incentives, legislative mandates, and positive public relations.   

  1. Superdome Power Outage Delays Super Bowl XLVII, NFL (Feb. 3, 2013, 12:47 PM), https://www.nfl.com/news/superdome-power-outage-delays-super-bowl-xlvii-0ap1000000134895. ↩︎
  2. Id. ↩︎
  3. Id. ↩︎
  4. Ian Thomas, The Business Case for Green Sports Stadiums and Arenas is Growing, CNBC (Apr. 29, 2023, 10:57 AM), https://www.cnbc.com/2023/04/29/the-business-case-for-green-sports-stadiums-and-arenas-is-growing.html. ↩︎
  5. Sidney Owens, Sports Stadiums and Renewable Energy, Project Finance (June 23, 2023), https://www.projectfinance.law/publications/2023/june/sports-stadiums-and-renewable-energy/. ↩︎
  6. Id. ↩︎
  7. Id. ↩︎
  8. Id. ↩︎
  9. Brandt Williams & Tom Scheck, Twins’ Stadium Opponents Were Tired of the Fight; Supporters Weren’t, MPR News (May 22, 2006, 4:16 PM), https://www.mprnews.org/story/2006/05/22/stadium; Minnesota Governor Says That, Without Stadium Deal in 2013, Vikings Will Leave, Pro Football Talk (Apr. 17, 2012, 12:59 PM), https://www.nbcsports.com/nfl/profootballtalk/rumor-mill/news/minnesota-governor-says-that-without-stadium-deal-in-2013-vikings-will-leave. ↩︎
  10. Mission and Vision, U.S. Green Building Council, https://www.usgbc.org/about/mission-vision (last visited Dec. 3, 2023). ↩︎
  11. 26 U.S.C. § 179D(a). ↩︎
  12. Id. § 179D(c)(1)(D). ↩︎
  13. Owens, supra note 5. ↩︎
  14. Building a Clean Energy Economy: A Guidebook to the Inflation Reduction Act’s Investments in Clean Energy and Climate Action 10 (2023), https://www.whitehouse.gov/wp-content/uploads/2022/12/Inflation-Reduction-Act-Guidebook.pdf. ↩︎
  15. Financial Assistance, Minn. Dep’t of Com. Energy & Utils. Fin. Assistance, https://mn.gov/commerce/energy/solar-wind/financial-assistance/ (last visited Dec. 3, 2023). ↩︎
  16. LEED Rating System,U.S. Green Building Council, https://www.usgbc.org/leed (last visited Dec. 3, 2023). ↩︎
  17. Id. ↩︎
  18. Id. ↩︎
  19. Act of May 26, 2006, ch. 257, 2006 Minn. Sess. Law Serv. ch. 257 (West). ↩︎
  20. Ballpark Legislation, Minn. Ballpark Auth., https://www.ballparkauthority.com/Legislation.html (last visited Dec. 3, 2023). ↩︎
  21. Id. ↩︎
  22. Id. ↩︎
  23. Minn. Stat. § 473.759 subdiv. 15 (2006). ↩︎
  24. Id. ↩︎
  25. Sheri Brezinka, The Minnesota Twins and Target Field Celebrate LEED Platinum, U.S. Green Building Council (Oct. 6, 2022), https://www.usgbc.org/articles/minnesota-twins-and-target-field-celebrate-leed-platinum. ↩︎
  26. Id. ↩︎
  27. Id. ↩︎
  28. Football Goes Green with Energy-Efficient Stadiums, Conditioned Air Solutions, https://www.conditionedairsolutions.com/blog/football-goes-green-energy-efficient-stadiums/ (last visited Feb. 11, 2024). ↩︎
  29. Brezinka, supra note 25. ↩︎
  30. Brezinka, supra note 25. ↩︎
  31. Brezinka, supra note 25. ↩︎
  32. Minn. Ballpark Auth., https://www.ballparkauthority.com/PDFs/sustainability.pdf (last visited Dec. 3, 2023). ↩︎
  33. Id. ↩︎
  34. Id. ↩︎
  35. Id. ↩︎
  36. Id. ↩︎
  37. Act of May 14, 2012, ch. 299, 2012 Minn. Sess. Law Serv. ch. 299 (West). ↩︎
  38. History, U.S. Bank Stadium, https://www.usbankstadium.com/stadium-info/history (last visited Dec. 3, 2023). ↩︎
  39. Id. ↩︎
  40. Associated Press, Wilfs Pledge $19.5M More to Stadium, ESPN (Mar. 26, 2015, 10:09 PM), https://www.espn.com/nfl/story/_/id/12566029/wilf-family-pledges-195-million-more-minnesota-vikings-stadium. ↩︎
  41. Tom Hauser, US Bank Stadium Paid Off 23 Years Early, KSTP (June 26, 2023, 6:57 PM), https://kstp.com/kstp-news/top-news/us-bank-stadium-paid-off-23-years-early/. ↩︎
  42. Minn. Stat. § 473J.15 subdiv. 11 (2012). ↩︎
  43. Id. ↩︎
  44. First Professional Sports Stadium to Achieve LEED Platinum Certification for Operations and Maintenance, U.S. Bank Stadium, https://www.usbankstadium.com/stadium-info/sustainability (last visited Dec. 3, 2023). ↩︎
  45. Id. ↩︎
  46. Id. ↩︎
  47. Owens, supra note 5. ↩︎
  48. U.S. Bank Stadium, https://www.usbankstadium.com/stadium-info/sustainability (last visited Dec. 3, 2023). ↩︎
  49. Id. ↩︎
  50. PepsiCo, PepsiCo and Super Bowl LII: Rush2Recycle Wrap-Up, YouTube (Feb. 22, 2018), https://www.youtube.com/watch?v=uWwV3PqJSYY. ↩︎
  51. Owens, supra note 5. ↩︎
  52. U.S. Bank Stadium, supra note 48. ↩︎
  53. Owens, supra note 5. ↩︎

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