There are two issues here though. The first issue there is that you have a negotiation between a private entity for whom costs are directly associated, negotiat

There are two issues here though. The first issue there is that you have a negotiation between a private entity for whom costs are directly associated, negotiating with a public entity where costs are opaquely passed on to taxpayers, but for whom public benefits are often very direct. The second issue is that federalisation of taxation and spending creates a race to the bottom between state entities. The problem isn't only that some city doesn't want to throw money away on a stadium - it's that they're put in a position where another city will buy the team a new stadium. In reality this is state intervention to prop up a private business like a state buying warehouses for Amazon. It destroys the prospect of ever taxing corporations - or indeed more than that, it uses state spending to subsidize private corporations.