A primer on the Tampa Bay Rays' deal

By Aaron Sharockman, Times Staff Writer
In print: Monday, May 12, 2008

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With so much talk about the Tampa Bay Rays' plan to build a $450-million waterfront stadium, it can be hard to remember what's behind the dollars and cents of the proposed deal. A new Times blog, Ballpark Frankness, also will aim to keep you updated on the latest news at blogs.tampabay.com/ballpark.

	Money matters	Analysis	Lingering question	Rays say	Bottom line
Money owed on Tropicana Field	Total local debt today: $89.6-million Total local debt when new stadium would open (2012): $35.8-$46.70-million	Three local government bonds are still being repaid for the construction of Tropicana Field. This year those payments total $9.8-million, with Pinellas County paying $5-million and the city contributing the rest.	Who will pay the debt remaining on Tropicana Field if a new stadium is built?	Their financing plan will address the unpaid Tropicana debt.	The city and county likely won't want to be on the hook for two sets of bond or loan payments at the same time.
What the Rays want to pay	Team contribution to stadium construction: $150-million How it's paid: Up front, one time contribution by the Rays	The team originally said it would make $10-million a year in rent payments to cover its share of the construction, one-third of the overall cost. It now plans to make the contribution up front. The Rays currently pay about $1-million in rent (through ticket sales) to the city.	Will the Rays pay rent at a new stadium?	Rent terms have not been discussed with the city.	The city now pays the property insurance bill for Tropicana Field ($2-million in 2008). The city may be able to unload those costs if it is willing to forego a percentage of ticket sales.
Tropicana Field redevelopment	Offers: $50-$65-million	The sale and redevelopment is supposed to generate enough new tax revenues to cover any public costs associated with building the new stadium. But the estimates do not necessarily factor into the cost to demolish Tropicana Field or other potential problems on the site.	What if the redevelopment does not meet the developer's projections?	Tropicana Field will better serve taxpayers if it's placed back on the city's tax rolls.	The city says it will attempt to mitigate any risk associated with the development, but whether a developer will agree to the city's terms is still unclear.
The public's contribution	Public stadium share: $300-million, or two-thirds of the project cost. County/city split: Estimated at roughly 50-50	The city and county will be asked to fund $300-million of the construction cost. The Rays have not provided a detailed financing plan, but say it likely will not rely on city or county property taxes. Other options include the city's portion of the state sales tax and a 1 percent county hotel bed tax.	Can those sources of revenue, or others, cover the annual payments for both the city and the county?	The team's financing plan will insulate the city from much of the risk.	Using county money means the Pinellas County Commission also must sign off on any financing proposal.
The fine print	Parking: A downtown stadium could fill 3,000 usually empty city-owned parking spaces, the Rays say. At $10 a space, that's potentially $2.43-million in new revenues. Lease: The Rays' lease at Tropicana Field expires in 2027. The team couldn't leave without at least paying off any remaining debt on the dome. Most debt expires in 2016.	The city has lost $26.7-million since it began operating Tropicana Field in 1990. The losses likely will continue as long as the Rays keep playing there.	Could a new lease save the city money in the long run?	The Rays say the team has no intention of leaving St. Petersburg if plans for a new stadium are not approved.	A new stadium on the waterfront requires a city referendum. Other potential locations would not.