Alabama
Rising Costs of Youth Sports Draw Attention from State Officials
Courtney Hamby and her husband spend close to $6,000 per year for their daughter Ellie’s cheer and tumbling classes, competition fees and uniforms. That doesn’t include their travel expenses for multiple out-of-town competitions, including hotel rooms, gas, meals, and sometimes…
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Key points
- Youth sports costs are rising, with families spending up to $20,000 annually.
- State regulators are investigating potential monopolistic practices in youth sports.
- Lawmakers are considering regulations on private equity involvement in youth sports.
NewsWK — As the popularity of youth sports continues to soar, so do the costs associated with participation. Families across the country are increasingly spending more on their children’s athletic endeavors, leading to a growing concern among state and federal regulators.
For instance, in Alabama, Courtney Hamby and her husband invest approximately $6,000 annually for their daughter’s cheer and tumbling classes, not including travel expenses for out-of-town competitions. “This should be something that everyone gets to play, and it shouldn’t be only the people who can afford it,” said Hamby.
Nationwide, youth sports have evolved into a $40 billion industry. Parents are paying substantial amounts for club teams, elite camps, and even private coaching, with some families reporting expenditures that can reach nearly $20,000 each year. This financial commitment has attracted the attention of private investors, including private equity firms, who see potential profit in this expanding market.
State regulators are beginning to investigate the implications of these investments. For example, Michigan’s Attorney General Dana Nessel has started looking into competitive practices in youth hockey, particularly focusing on the Black Bear Sports Group, which operates numerous ice rinks and has been accused of creating a monopolized youth hockey system that raises costs and limits options for families. “The Attorney General is looking into the matter concerning Black Bear Sports Group out of concern for the risk of consumer harm,” stated Nessel’s press secretary, Danny Wimmer.
In Texas, a similar investigation was launched regarding the Dallas Stars, an NHL team that has been accused of leveraging taxpayer dollars to dominate the youth hockey market.
Experts acknowledge that while private investment can enhance the quality of youth sports programs, it can also lead to excessive costs for families. Anthony Delli Paoli, director of the Rutgers University Youth Sports Research Council, noted that many families are forced to go into debt to afford participation, which raises significant concerns about accessibility. “There’s no good justification for locking in parents and families and driving up the costs,” he said.
As these investigations unfold, lawmakers are considering legislation to regulate private equity’s role in youth sports. A recent congressional hearing titled “Field of Fees” highlighted the growing concern over the commercialization of youth sports. U.S. Rep. Chris Deluzio expressed that youth sports should not be a luxury, emphasizing that increasing costs can leave many children behind.
Ultimately, while many parents view the investments in youth sports as worthwhile, the ongoing scrutiny reflects a need for balance between profitability and accessibility for families across the nation.
Based on reporting by Anna Claire Vollers originally published by Stateline. Read the original story.
