After two days of owners meetings in Chicago, NFL
Commissioner Paul Tagliabue "said the NFL will not return to
Los Angeles without more of the public's money," according
to Simers & Newton of the L.A. TIMES, who write that the
league "does not believe a projected annual profit" of $25-
28M will "be enough to merit the investment required to
build a stadium and own an expansion franchise." Tagliabue:
"We feel clearly that the current levels of public money
being discussed ... are not sufficient to the economics to
make the team work. It wouldn't work for the owner or the
fans because you couldn't field a competitive team." One
NFL owner said "most of the terms we've heard [about paying
back public funding] take the money out of the owner's
pocket. This deal is tough enough without that happening."
Bid leader Eli Broad said that if he had known "how skimpy
the returns were going to be on this deal at the start, I
would never have gotten involved." He said a new stadium
will cost between $400-425M, and with the franchise fee the
total investment could hit "at least" $900M. The NFL could
approve a $150M contribution, bringing the project
investment by Broad or Michael Ovitz from $900M to $750M.
Simers & Newton write that Broad "has softened his approach"
with NFL owners "after being criticized in recent weeks for
driving too hard a bargain." Broad: "My net worth has gone
up since we started this process. I might be more inclined
to do something that I wouldn't have done earlier in the
process." But Simers & Newton add that Tagliabue made a
"significant departure" from previous statements by saying
the league will hear "offers from the ownership groups on
what they are prepared to pay for the franchise" as they
approach L.A.'s September 15 deadline. Earlier, Tagliabue
had said the league would "set a franchise fee, avoiding an
auction" (L.A. TIMES, 7/29). Ovitz: "The main issue is how
we're going to finance the entire project. The NFL and the
state have to help us." Houston bid leader Bob McNair, on
the L.A. bid and Houston's chances: "Until they put a
financing deal on the table showing public contribution, I
feel good about it" (HOUSTON CHRONICLE, 7/29). In L.A.,
Steve Dilbeck: "Owners are all happy with the Coliseum
renovation design, basically the Ovitz design, but remain
skeptical over the economics. Which translated means: 'We
want more public money'" (L.A. DAILY NEWS, 7/29).
IS 2003 NOW THE START DATE? Tagliabue said the league
will move forward toward the September 15 deadline, which he
called "a fair and firm date." Tagliabue, on an L.A. deal:
"We're still not there. We need to keep working." Both
L.A. groups said they are planning a 2003 start-up season,
not 2002 "like the NFL wants." McNair said that Houston is
ready for 2002 season (HOUSTON CHRONICLE, 7/29).
THEY LOVE L.A., THEY LOVE IT: In Long Beach, Doug
Krikorian, on the NFL's expansion process: "The NFL has
discovered it can survive quite nicely without L.A. ... but
we here have discovered we also can survive quite nicely
without the NFL. It's a standoff, and I hate seeing our
representatives toadying up to the NFL, hands out. ...
Indeed, the spectacle has become so nauseating that I find
myself actually pulling for an Al Davis sequel" (PRESS-
TELEGRAM, 7/29). Former Rams RB Eric Dickerson, asked about
L.A.'s NFL expansion bid: "I think if they had a football
team here, I don't really think it would be supported
enough. There are so many other things to do. ... I don't
really think a team is missed" ("Up Close," ESPN, 7/28).
