As state lawmakers consider budget proposals to provide $600 million to a domed stadium development for the Cleveland Browns in Brook Park, Ohio鈥檚 other major league professional sports teams are urging Gov. Mike DeWine and legislative leaders to pick .
Top management with the Cleveland Guardians, the Cincinnati Reds, the Columbus Blue Jackets, the Cleveland Cavaliers, the major league soccer team FC Cincinnati and their minor league affiliated signed a letter expressing what they called their 鈥渟trong support鈥� for the Senate plan to use $1.7 billion in unclaimed funds for the Browns project and other facilities. The letter obtained by the Statehouse News Bureau was addressed to DeWine, Senate President Rob McColley (R-Napoleon) and House Speaker Matt Huffman (R-Lima).
The teams praised the plan as a 鈥渟ustainable and flexible way to invest in Ohio鈥檚 sports venues to keep them competitive鈥�.
"Ohio has the most major league sports teams per capita in the nation. Studies prove that our teams attract tourism, create new spending, and help our cities and regions compete for talent and business investment," the teams wrote in the letter, saying they have invested billions in their venues, along with state and local government. "Your collective work to identify a sustainable, long-term funding plan which continues that support, while protecting Ohio taxpayers, is vital and we wish to voice our support as you finalize the biennial budget."
The teams' letter highlighted the process by which DeWine proposed allocating funding for projects in his budget, which would also have doubled the tax on sports gambling operators. While the teams back the unclaimed funds plan in the Senate over DeWine's proposal, they wrote that they like specific elements of DeWine's plan:
- priority for major and minor league sports facilities based on the "magnitude of the economic impact",
- eligibilty for stadium, arena and ballpark developments that are "major sports facility mixed-used projects",
- administration and oversight by the Ohio Facilities Construction Commission, and
- state funding up to 40% of total project costs.
In the Senate plan, the Browns would pay back the $600 million through tax revenue over 30 years, and the Haslam Sports Group would set aside $100 million in escrow to cover costs and potential revenue shortfalls.
A presentation to a House committee in March from the Haslam Sports Group showed the project would generate $2.9 billion in tax revenue over 30 years. But a memo from the Legislative Service Commission released after the House approved a 30-year package of $600 million in state-backed bonds said the team鈥檚 . A report from the Office of Budget and Management released hours later said and included revenue projections that were inappropriately overstated. The Haslam Sports Group , saying they question assertions in the OBM memo and that the LSC memo "contained several inaccuracies and misinformation."
