by Jon Styf
A second vote on the final documents for a potential $2.2 billion new Tennessee Titans stadium was delayed one meeting after discussion of some amendments early Wednesday morning.
That means the bill could get a second vote April 18 and then receive its final approval at a late April meeting. Metro Nashville has a rule it cannot approve bonds while the budget is on the table, which is expected to happen before the body’s first May meeting.
One significant amendment to the bill that was approved by a 19-18 vote would create a Titans payment to Metro Nashville’s general fund. Previously, the agreement had the team charging a $3 ticket tax on non-NFL tickets at the stadium plus a $3 “team rent” per ticket.
The amendment calls for that $3 rent to become a 3% fee on tickets in place the first year that would rise 1% each year with a 10% cap between the rent and $3 ticket tax.
Council member Sean Parker said he checked out the taxes and fees assessed currently for the upcoming Billy Joel concert at Nissan Stadium and they are 30% or more on tickets, showing people will pay a high fee to go to an event at a new stadium.
Nashville Director of Legislative Affairs Mike Jameson estimated the change will have a $470 million impact on the 30-year lease, with that money going to Nashville’s general fund and it could have a large impact on the Titans’ finances in the deal.
Council member Emily Benedict, however, said she believes it is a fee that will be passed on to consumers that consumers will pay and it will benefit the citizens of Nashville.
The remainder of amendments are scheduled to be taken up at the April 18 meeting.
Estimates for the tax fund that includes a 1% Davidson County hotel-motel tax, the in-stadium and 130-acre development sales tax capture and ticket taxes was also updated this week to show it now is estimated to bring in $3.1 billion over the 30-year lease.
An amendment to stop the Nashville Metropolitan Sports Authority from taking out $760 million in bonds for the project if the state of Tennessee took over appointment power with the sports authority failed.
The sports authority approved the final documents related to a new Titans stadium on Tuesday morning. Metro Nashville Finance Director Kelly Flannery estimates Nashville will need to backstop between $150 million and $250 million of the revenue bonds with the city’s general fund.
A bill in the Tennessee Legislature to change the sports authority’s 13 appointments has been amended to have Nashville’s mayor nominate seven board members while the governor, House speaker and Senate speaker will each receive two appointments.
That bill will next go to the Tennessee Senate and House Government Operations Committee.
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Jon Styf is an award-winning editor and reporter of The Center Square who has worked in Illinois, Texas, Wisconsin, Florida and Michigan in local newsrooms over the past 20 years, working for Shaw Media, Hearst and several other companies.
Yep. Vote to hang the taxpayers out for $$$$$ for bonds just in case. Yeah. That’s the way to protect the taxpayers. What a shady operation.