NFL owners voted 29-2 yesterday to approve the "Stadium
Construction Contribution Policy," where the league and its
players, "for the first time in any sport, would help pay to
build a new stadium," according to Will McDonough of the
BOSTON GLOBE. Only the Raiders and the Bengals voted
against it. The proposal calls for the league to "share in
the private contribution burden (the ownership) at a 34
percent rate, with the league portion of the contribution to
be paid up-front in a lump sum," and for the money to be
repaid by the league. Any of the stadium projects "must be
in the works" on or before March 31, 2003, and must be
public-private partnerships. The league money will be
"funded from its" TV deal and "from visiting team's shares
of club seat ticket sales accrued by the owners." McDonough
adds that in "one of the more unique aspects of this
proposal," the NFLPA would need to agree to contribute to
the fund from its share of the gross revenues. In return
for its contributions, the NFLPA "would be allowed to take
their share of luxury box revenues after 10 years instead of
the current 15-year period" (BOSTON GLOBE, 3/16). In
Philadelphia, Paul Domowitch reports that the league has
been lending money to teams for stadium construction for
"several years now," but yesterday it "substantially
increased the amount" that they could borrow. Large-market
teams will be able to borrow from 34% to 50% of their share
of construction costs, while loans to small-market teams
"will not be able" to exceed 34%. The amounts would be
determined on a case-by-case basis "based on the team's
stadium obligation" (PHILADELPHIA DAILY NEWS, 3/16).
GET BY WITH A LITTLE HELP FROM THEIR FRIENDS: Boston is
"one of the key cities" targeted with the funding, along
with N.Y., Chicago, L.A. and S.F. One owner said, "This
will be big for Boston. Most of us want that club
[Patriots] to stay in Boston, and play in Boston. ... This
could be the way to get the stadium deal in Boston." But
Patriots Owner Robert Kraft said last night, "We are still
totally committed to getting the deal done in Connecticut.
That's what our goal is" (BOSTON GLOBE, 3/16). One league
exec, said of the Patriots, "They're better off down (in
Hartford). That's a free deal" (BOSTON HERALD, 3/16).
Bears President Ted Phillips: "This is just a way the league
assists teams in making it easier to finance their private
contribution. It doesn't displace the public contribution.
It doesn't make getting a deal easier, but it makes the
private share of it easier to do" (CHICAGO SUN-TIMES, 3/16).
