A study released on August 24, 2016, proposed that its $1.8 billion stadium would boost hotel revenues by $750 million over the first decade of operation.
City government could expect an average of $12.5 million a year in higher taxes due to this increase in revenue.
Both estimates were substantially higher than those predicted in a separate study commissioned throughout last year by the city's convention center and tourism marketing agencies.
The Chargers have qualified an initiative, named Measure C, for the November ballot. It would increase taxes on hotel stays to 16.5 percent from the effective rate of 12.5 percent, with most of the revenue devoted to building and operating a convention center and NFL stadium near Petco Park in downtown San Diego's East Village.
A city or joint powers agency would design and operate the whole complex. Chargers financial advisers have calculated that the tax revenue would cover payments on at least $1.15 billion in public bonds, while the measure would require $650 million in private-sector contributions from the team, the NFL, and the fans.
Opponents of the plan said, “It's a big commitment to say, vote for this and we will figure it out later.â€
Measure C, the Chargers say, will explicitly leave the door open to a future expansion of the bayfront center.
The more pessimistic analysts that came from the San Diego County Taxpayers Association, said that the projected tax revenue from hotels would fall short of the $1.15 billion in bonds, which would then compel the city to cover its own shortfall with taxpayer money. The same thing that happened when the construction of Petco Stadium occurred.
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