Dust2
07-09-2009, 09:40 PM
http://www.oregonlive.com/portland/index.ssf/2009/07/city_paulson_strike_deal_to_re.html
He will contribute $8 million in cash and prepay $11.1 million in rent and ticket taxes to the city for years eight through 25.
The city will borrow $11.2 million against the Spectator Facilities Fund, which is funded by surcharges on tickets at all city-owned arenas, income at the city's parking garages in the Rose Quarter and taxes on hotel rooms and rental cars. And the city would waive $700,000 in development fees normally charged to large building projects.
The city would absorb up to $1 million in construction cost overruns, not with cash, but by extending Paulson's 25-year stadium lease. Paulson would pay for anything above that.
Ken Rust, the city's chief administrative officer, said the spectator fund could absorb the new loans even if the league or the team fails and that he is comfortable with the proposal.
"Basically, sports spectators are paying for this project," Adams said. "Getting the cash up front is reducing the risk. It's better than a personal guarantee. If the team fails later, you've already got the cash up front."
The long-awaited deal scales back the proposed changes to PGE Park from what was previously envisioned by more than $6 million to fit within available funding sources. Paulson said some planned seating arrangements and press box changes would likely be scaled back or eliminated, but he said it would take weeks to determine the impact of the shifting budget on the construction plan.
Second, an attempt to get $5 million in state money for PGE Park -- siphoned from income taxes on future soccer team salaries -- died in the Oregon Senate after passing the House.
http://www.katu.com/news/50404982.html?video=pop&t=a
A 2 minute news video on the deal. Check it out.
Summary:
$31mil total financing plan (down from $38mil)
$19.1mil from Merritt Paulson
....... $11.1 mil for prepaid rent for the years 8 through 25
... ....$8mil upfront cash
$11.9mil from CoP
........ $11.2mil from SFF (Stadium Facility Fund)
........ $0.7mil soft contributions (?)
Merritt covers all cost overruns over the first $1 mil
Merritt covers SFF bond repayment should MLS underperform
Why 99% done deal? Because it needs just 3 votes out of 5. Looks like it will be at least 4-1 in favor come the July 23rd vote (if not 5-0 in favor).
http://i41.tinypic.com/29fs1fn.jpg
(http://www.youtube.com/watch?v=AucOzX9qqRA)
YouTube - Portland Timbers Army Animated Tifo vs. Seattle - Timber Jim cuts down Space Needle (http://www.youtube.com/watch?v=AucOzX9qqRA)
Portland will be among the top 3 in MLS among supporter atmosphere hand down (if not better). They sang/chant throughout the game vs. Seattle. Such awesome atmosphere.
(http://www.youtube.com/watch?v=AucOzX9qqRA)
He will contribute $8 million in cash and prepay $11.1 million in rent and ticket taxes to the city for years eight through 25.
The city will borrow $11.2 million against the Spectator Facilities Fund, which is funded by surcharges on tickets at all city-owned arenas, income at the city's parking garages in the Rose Quarter and taxes on hotel rooms and rental cars. And the city would waive $700,000 in development fees normally charged to large building projects.
The city would absorb up to $1 million in construction cost overruns, not with cash, but by extending Paulson's 25-year stadium lease. Paulson would pay for anything above that.
Ken Rust, the city's chief administrative officer, said the spectator fund could absorb the new loans even if the league or the team fails and that he is comfortable with the proposal.
"Basically, sports spectators are paying for this project," Adams said. "Getting the cash up front is reducing the risk. It's better than a personal guarantee. If the team fails later, you've already got the cash up front."
The long-awaited deal scales back the proposed changes to PGE Park from what was previously envisioned by more than $6 million to fit within available funding sources. Paulson said some planned seating arrangements and press box changes would likely be scaled back or eliminated, but he said it would take weeks to determine the impact of the shifting budget on the construction plan.
Second, an attempt to get $5 million in state money for PGE Park -- siphoned from income taxes on future soccer team salaries -- died in the Oregon Senate after passing the House.
http://www.katu.com/news/50404982.html?video=pop&t=a
A 2 minute news video on the deal. Check it out.
Summary:
$31mil total financing plan (down from $38mil)
$19.1mil from Merritt Paulson
....... $11.1 mil for prepaid rent for the years 8 through 25
... ....$8mil upfront cash
$11.9mil from CoP
........ $11.2mil from SFF (Stadium Facility Fund)
........ $0.7mil soft contributions (?)
Merritt covers all cost overruns over the first $1 mil
Merritt covers SFF bond repayment should MLS underperform
Why 99% done deal? Because it needs just 3 votes out of 5. Looks like it will be at least 4-1 in favor come the July 23rd vote (if not 5-0 in favor).
http://i41.tinypic.com/29fs1fn.jpg
(http://www.youtube.com/watch?v=AucOzX9qqRA)
YouTube - Portland Timbers Army Animated Tifo vs. Seattle - Timber Jim cuts down Space Needle (http://www.youtube.com/watch?v=AucOzX9qqRA)
Portland will be among the top 3 in MLS among supporter atmosphere hand down (if not better). They sang/chant throughout the game vs. Seattle. Such awesome atmosphere.
(http://www.youtube.com/watch?v=AucOzX9qqRA)