What Kansas City gets in the Royals stadium deal
Add Axios as your preferred source to
see more of our stories on Google.
How the Royals stadium could look at Crown Center. Image: Courtesy of Populous
The Royals' downtown stadium is another step closer after City Council on Thursday approved a package of agreements on community benefits, construction and financing.
Why it matters: Public documents shed light on what the Royals are promising the city, including funds to address homelessness and benefit public art.
- Opponents say the deal is jeopardizing the city's general fund and should receive a public vote.
Driving the news: City Council voted 11-2, with 6th District Councilmember Johnathan Duncan and 1st District Councilmember Nathan Willett voting no.
What's inside: The Royals agree to $55 million in community investment, including $5 million for KC's Housing Gateway Program, $5 million for the Negro Leagues Baseball Museum and $14 million toward the city's One Percent for the Arts Program.
- The remaining $31 million will go toward other initiatives, including youth sports and education programs.
- As part of the surrounding development, the Royals agree to fund improvements to Washington Square Park, including enhancing lighting and safety.
- Construction agreements include prevailing wage requirements and other worker supports. The team and labor union SEIU Local 1 announced a private agreement earlier this week.
Friction point: The city commits to $600 million, most of which is expected to be financed through city-backed bonds.
- Those bonds would be paid over 30 years by tax revenue from the development — or other city funds, if the tax increment financing (TIF) plan doesn't fully cover the costs.
- That TIF plan is still in the works, since changing the agreements could change how the numbers shake out.
- Protesters at the meeting chanted, "Let us vote!"
Follow the money: The lease agreement gives the city a way to make extra money from the stadium with a 5% net profit agreement on non-baseball events at the stadium. The city can use the stadium for up to eight events per year.
- And a deal is in the works between the Royals and Kansas City Public Schools that could provide yearly property tax increases for the district.
What they're saying: "I think we'll look back on this in our city's history as one of the best days in decades," 2nd District Councilmember Wes Rogers said at the meeting.
- He said that the additional traffic downtown will be a boon to the businesses and workers already there.
The other side: Duncan called the 5% non-baseball revenue "a pittance," saying the city was "giving away leverage" by approving the agreements.
What's next: The TIF plan, which details the mechanisms of the funding, as well as the actual bond authorization, will still have to come before City Council later this year.
- Mayor Quinton Lucas said at the meeting he has great faith in the council and the city's professional staff to come up with a plan that works.