A funding plan for a new Sacramento Kings (NBA) arena is still in negotiations, with Commissioner David Stern giving mixed signals about how much support he expects from the Kings.
Really, there’s little new on the arena front since the last time we reported on the Sacramento arena situation: the city is still negotiating with potential investors over a $200-million sale of downtown parking rights while also negotiating with the Kings and the NBA over the team contribution and finding a way to replace the $9 million currently received by the existing parking setup. All in all, the city needs to find at least $387 million for the arena plus another $9 million annually to fund essential city services.
All by March 1, with the Sacramento City Council expected to review a plan next Tuesday.
The newest twist: how much the Kings and arena operator AEG will — or can — pay. The city has budgeted $85 million from the Kings and $50 million from AEG. Stern is hinting that any money put up by AEG should count against the Kings’ expected contribution — which would blow a huge hole in the funding format. From the Sacramento Bee:
“The team has agreed to a substantial contribution, both directly from itself, but also by catalyzing AEG to be interested. In effect, whatever money AEG puts in is because of give-backs by the team … so we see that as a team contribution,” Stern said. “Whether it ultimately closes all the gaps, we’ll know as we negotiate continuously and I fully expect that we will be negotiating in Orlando (this weekend when team and city representatives meet for the All-Star game).”
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