Lincoln Financial Field Articles

Passed bill collecting flak
Stadium edge for Pittsburgh

by Edward Moran, Dave Davies
and John Baer
Daily News Staff Writers
November 27, 1998
As if using public money to build stadiums wasn't complicated enough, a slick maneuver by Pittsburgh lawmakers has turned the effort to fund new ballparks in Pennsylvania into a wild political brawl between the state's two largest cities.
While support among Philadelphia representatives for state money for four new stadiums was falling apart early Wednesday morning, an obscure provision secreted inside an overlooked bill was quietly on its way to Gov. Ridge's desk with a stamp of approval from both the House and Senate. It doesn't use the word stadium, but it secures money for the Pirates-Steelers project alone.
It sits there now awaiting review by Ridge. It could mean not only the death of Philadelphia's stadium hopes this year, but the beginning of a long-term feud between the two cities that can only be avoided if the Legislature returns to the capital Monday and votes to authorize state funding for all four stadium projects.
"I have never been so humiliated as to what they have done to me," House Republican leader John Perzel, R-Philadelphia, said yesterday. "No good deed goes unpunished."
Perzel vowed revenge on "the people who did this. This was not fair."
On Wednesday, the Senate passed a measure to provide up to $350 million for one-third the cost of four new stadiums by raising the state debt limit to $1 billion. But without sufficient support, no vote was taken in the House. It could be taken Monday if House members return for an unscheduled session.
What happens now to the Phillies' and Eagles' hopes of building new stadiums rests in the hands of Philadelphia's representatives. They have only until Sunday to pull together the votes necessary to pass the original debt-ceiling legislation before midnight Monday, when the current legislative session ends.
Meetings are planned in Philadelphia today between members of the Black Caucus, which withheld its support of the funding bill for guarantees of minority contracting, hiring practices and other community issues, and Mayor Rendell. Other legislators will burn up phone lines trying to muster enough support for a return to Harrisburg.
While this is all still possible, because of what Perzel termed political "treason" earlier this week it is now a much larger hill to scale than was the original effort to pass the debt-ceiling bill.
Nevertheless, Rendell and Ridge have pledged to try, and have not conceded defeat.
"Will this happen?" Perzel asked. "No. Not with what's happened. The members are outraged, and I don't blame them. I need something more than a call from [ Eagles owner ] Jeff Lurie to go back. Unless something drastic happens and we pick up the votes we need, we're not going back. The Democrats have until [ Sunday ] to pull it together."
As finger-pointing and outrage spewed in Philadelphia, Pittsburgh mayor Tom Murphy basked in triumph. He quipped that if Philadelphia's legislators were caught unaware by the exclusion amendment, it was their own fault.
"I would never suggest that legislators don't read the legislation they vote on," Murphy said at a news conference Wednesday at Three Rivers Stadium. "That's why we pay them."
Murphy, a former state legislator, said he "doesn't feel sorry for the Philadelphia legislators. In many ways, this is poetic justice," for their failure to come together and pass the debt-ceiling vote.
Even while seething, Perzel said he couldn't explain how the Pittsburgh exemption failed to be noticed other than to call it "a very slick move," on the part of Pittsburgh.
Perzel said that from what he has been able to learn since Wednesday, the exclusion provision was crafted by a lobbyist from one of the Pittsburgh teams and slipped into an obscure police-and-fire training bill that then sailed through both the House and Senate.
"It was slick, and you will see that when it comes out," Perzel said. "I don't know what to do right now. I have members asking for a repeal of [ the bill ] . They were deceived and they are calling me outraged that something like this could happen."
According to those who have seen the provision, it merely repealed a past state law and made no mention of stadium projects, but allows state funding for the Steelers and Pirates without specific legislative approval.
Ridge spokesman Tim Reeves said Ridge did not know about the provision and was not made aware of its existence until after a decision had been made Wednesday to postpone the vote on stadium funding for both cities.
Reeves said Ridge still is hopeful the Legislature will return Monday and pass funding for all four teams, thus avoiding having to deal with the Pittsburgh provision.
"It's sitting on his desk and he is not even going to put on his reading glasses to look at it unless he has to on Tuesday," Reeves said. "The governor has absolutely not made up his mind yet."
Yesterday, Rendell said he would meet with Philadelphia representatives and try to get them on board.
"I'll talk to them and try to find out what their concerns are," he said. "I'd talked to many of them about this, and had written them all a week before the vote. Nobody expressed any significant concerns to me.
"So I'm going to talk to them and see if there are some things we can do locally to address their concerns."
Rendell said he was planning to ask them to help get the state funding approved and put aside their local issues until he begins to formulate the local funding plan, which must follow the state money.
"I'm telling them, and I have told them, that we are doing this as a two-step process," Rendell said. "If the Legislature acts now, we'll have a couple of months before we address the local funding piece to address their concerns. So I've asked them to vote to lift the debt cap now, and then let us try and resolve their concerns in the next two or three months."
Asked if he felt deceived by Pittsburgh, Rendell replied, "I don't know for sure. From the accounts I've read, it looks like at least some of them were working behind our backs. It strikes me as strange, and not the appropriate way to go. On the other hand, I understand their frustration. They have a time limit that we don't.
"But it's just amazing to me that the Legislature would approve this without knowing what was in it, and I think it's questionable legally."
Rendell said Murphy called him Wednesday and "pushed me to talk to our delegation about this, which, of course, I want to do. But he's aware the bill will probably be challenged in court, so they don't want it done this way. They want the original bill."
Rendell said he and Ridge hope for a Monday session and a successful vote.
"I'd like to see it done Monday, but remember, the timing is not as crucial for us as it is for Pittsburgh," Rendell said. "We could see it done in January, February or March."
Pittsburgh already has committed local funds and is clearing a site to build a new Pirates stadium starting in April, making the state funding portion even more critical for its city's plans. Philadelphia has yet to devise a plan to fund its share of two proposed new parks.
By law, Monday is the last day of the current two-year legislative session. Business must stop by midnight. If the deadline passes with no House action, the stadium issue for Philadelphia is dead until at least next year. If revisited then, it must face another Senate vote.
The Senate Tuesday passed a bill raising the state's economic development debt limit to $1 billion and providing up to $350 million for one-third the cost of four new parks for the Phillies, Eagles, Pirates and Steelers. There was also $150 million for projects outside Philadelphia and Pittsburgh, an effort to attract votes of non-urban lawmakers.
The House seemed poised to approve the bill and send it to Ridge, but support crumbled early Wednesday and the House left town with the issue unresolved.
The issue is complicated by the fact that House votes are being sought from both the Democrats and Republicans, and both sides say they can only put up so many votes. Also, there is the opposition from the Black Caucus.
"I don't want to talk, I want guarantees," said Rep. Andrew Carn, D-Philadelphia, who has sought community-related discussions around the stadiums issue for more than a year.
Rep. Dwight Evans, D-Philadelphia, Minority Appropriations Chairman, who is seen as a leader among the Black Caucus, said yesterday that he had met with senior House members, Murphy and Ridge late Tuesday and told them that the Philadelphia legislators had concerns.
Evans said Ridge talked about the help he had given Philadelphia with the Naval Shipyard and the Keystone Opportunities economic development program, and attempted to win his support.
"I think all that's great," Evans said. "However, you can talk about Kvaerner, but Mr. XYZ legislator may have something they want to get done on Girard Avenue, or Baltimore Avenue, or 60th Street.
"We told the governor we need a little more time to work with these people. It's not soup yet."
Evans said he felt they had reached an agreement to take the weekend off and come back Monday to pass the bill.
"They kind of pulled the carpet out from under us," Evans said of Pittsburgh.
"This Pittsburgh move really undermines us. It raises a credibility issue. If the mayor of Pittsburgh stands up and says, 'I can't help it if they don't read the bills,' that's a show of bad faith. We're still going to do our part, but some of the steam has been taken out of this."
Despite all the ill will that permeated Philadelphia's Thanksgiving Day, both the Eagles and Phillies said they remain hopeful that the bill will be passed on Monday and they will not be left out in the cold by Pittsburgh.
"Our position," said Joseph Banner, Eagles executive vice president, "is we think that [ the Pittsburgh move ] doesn't matter, the way they did it . . . it doesn't come into play if we reconvene on Monday and have enough votes to pass the original idea, and then everything is where it is supposed to be."
Said Phillies chairman Bill Giles: "I'm frustrated. But what I really am is hopeful that they will get back in session Monday.
Referring to the secret provision, Giles said, "I'm a little disappointed. I think they were pretty clever. Pittsburgh has some lawyer that figured out how to sneak this through. I'm just hopeful this will trigger a vote on Monday that will be positive."

Plan B approved in Philadelphia
November 9, 2000
Copyright 2000 MediaVentures
Even before a deal is put together on building new stadiums for the Phillies and Eagles, Philadelphia voters have a fall back position. They gave solid approval to a city bond issue that provides for $162.1 million in municipal improvements, including up to $40 million in upgrades to Veterans Stadium. The matter was routine, but could play an important part in the future of new venues in the city.
The city has promised to build a new ballpark for the Phillies and a new stadium for the Eagles. As yet, no deal has been put together and a Nov. 30 deadline is only weeks away. If the city fails to meet that deadline, and most believe it won't, it will owe the Eagles $23 million as reimbursement for a new practice facility as part of a deal made last spring. The city will also be on the hook for an estimated $100 million in repairs to the aging Veterans Stadium where both teams have leases that run through 2010.
The city is expected to begin talks on financing the new venues, but if those fail, they now have voter approval to spend some of the money needed to upgrade Veterans Stadium.

Stadium Get Thumbs Up From the State

Wednesday, February 3, 1999
Statements from Eagles' executives regarding the stadium vote in Harrisburg today. Both the Pennsylvania House of Representatives and the Senate approved a bill to fund four stadiums (one each for the Eagles, Phillies, Steelers and Pirates).
Jeffrey Lurie, owner:
"This is a major step. It is just the first step, obviously, but a major step nonetheless. We are very excited.
"I have said before that winning the Super Bowl is the key goal of this organization and having a new, state-of-the-art stadium in place is a crucial component of achieving that goal. It is something that is a real positive for our franchise, our players and for our fans.
"When I purchased the Eagles and first discussed our desire for a new stadium, I said that we viewed this issue as one that would be dealt with as a public-private partnership. All across the country, cities, states, and teams have worked together and taken action. The favorable vote today by the Pennsylvania State Legislature is testament to that. The ability to move forward on four new stadiums is a great step for not only the fans of the Eagles, Phillies, Pirates, and Steelers, but for the Philadelphia and Pittsburgh regions and for the state of Pennsylvania as a whole. Four new playing facilities will have a major impact on the economy. The construction of these new homes for the state's professional football and baseball teams will serve as a terrific vehicle for economic development.
"As for the Eagles, we have said that a new stadium, in addition to a new training facility - the plans for which are well underway - are necessary if we are to remain competitive with the other clubs in the NFL. A new stadium certainly enhances our opportunities to generate new fans and new revenue streams, the latter of which is vital if we are to be competitive in this league.
"With regard to the contribution the Eagles will make toward our new stadium, again, we have always viewed this as a public-private venture. Unlike the other situations that have been presented to some other NFL clubs, we have never expected to get anything for free. We have known all along that we would have to make a sizable contribution to this project. And that is exactly how things are shaping up. The proposal that the Legislature approved today ensures that we will be contributing one-third of the cost of our stadium. In addition, it gives ample protection to the state and to its residents in the event that the taxes collected by the state during the span of our lease agreement do not adequately pay back the public investment in the stadium.
"Now we eagerly look forward to working closely with City representatives and moving forward, formulating the specifics of our deal with the City of Philadelphia."
Joe Banner, executive vice president:
"We are excited with the vote in Harrisburg today. We think the way that this ended up is a win-win situation for everybody. The teams all have a deal they can live with, although each club has been asked to make some unprecedented commitments and accept some obligations that no other state has asked of its teams. Nonetheless, it is a deal that the Eagles can live with. We are very happy.
"The taxpayers of Pennsylvania will have a level of protection that no other citizenry has received. In addition to these protections, the Eagles will contribute a third of the costs of their stadium project. The state will retain these four professional sports teams for decades to come. The brand new facilities will certainly enhance the image and the climate and the economic activity in Pennsylvania's two largest cities.
"So this, as we see it, is a big success for everybody involved. We must now shift our focus to finalizing the details of our agreement with the city and ultimately receiving the approval of the City and City Council on the specifics of our deal."
Andy Reid, head coach:
"This certainly is a positive step for the entire Eagles organization and for Eagles fans as well.
"As I said shortly after accepting the job here, Jeffrey Lurie, Joe Banner, and Tom Modrak all told me during my interview that they were extremely confident that their visions of a new state-of-the-art stadium for this franchise would come to fruition. Obviously today's vote represents one major hurdle cleared. We are now anxious to move forward with the next phase. I know Jeffrey and Joe are going to continue to work closely with representatives of the City to make sure this process continues on the right track."
Tom Modrak, director of football operations:
"This is a huge step for our organization. Everyone associated with the Eagles is excited and I trust that our fans will be excited as well.
"Not only is this vote significant with regard to our plans for a new stadium, but with state-funding approved for the stadium it also means we can move along with our practice facility project. Both projects will be important as we build the Eagles into a successful team.
"We had a tough season in 1998 but that news will certainly help us have a fresh attitude in 1999. We are fortunate to have a great new coaching staff in place and we have cleared the first hurdle where our stadium and practice facility plans are concerned.
NFL ISSUES FIRST STADIUM LOANS
May 27, 1999
Copyright 1999 MediaVentures
The NFL has approved stadium loans to the New England Patriots, Philadelphia Eagles and Denver Broncos under a new program designed to help owners fund the cost of new venues. For the Patriots, the loan means the league will pay up to half the cost of the stadium now expected to cost $285 million. The league's maximum investment will be $150 million. The loan will be repaid over 15 years from club seat revenue that would have gone to the visiting team. If Robert Kraft, team owner, sells the team before the loan is repaid, he is responsible for repaying the full amount himself.
The league is expected to loan up to $44 million to the Broncos and up to $55 million for the Eagles.
June 10, 1999
Copyright 1999 MediaVentures
The Pennsylvania House has approved legislation that would allow money from a rental car tax to be used to help fund new stadia for the Phillies and Eagles. The issue still must pass the Senate and the tax increase itself must be approved by the Philadelphia City Council. The city proposes to increase the tax from 2% to 5%. The city is also considering a ticket surcharge to help raise additional funds.
EAGLES HOPE TO MAKE STADIUM PROPOSAL THIS FALL
June 17, 1999
Copyright 1999 MediaVentures
The Philadelphia Eagles are optimistic they will be able to make a proposal this fall for a new stadium and be able to open the new venue in 2002. The team has been negotiating a proposed lease with the city for a new stadium in South Philadelphia.
The optimism comes as the team wins approval for a new training facility at the former Philadelphia Naval Hospital. The agreement keeps the Eagles' training facility in the city and guarantees $4 million in city taxes. The center is being funded as part of a $60 million deal with NovaCare which plans to build a sports medicine and rehabilitation clinic as part of the Eagle's building.
EAGLES NOT EXPECTED TO MEET LEASE DEADLINE
July 1, 1999
Copyright 1999 MediaVentures
The Philadelphia Eagles will apparently miss a deadline to negotiate a new lease with the city for a new stadium. The team had said it needed a finalized lease by the end of June in order to be in a new venue by 2002. Mayor Edward Rendell said the two sides are talking, but he believes it will be September when the City Council returns from hiatus before an agreement is reached. The team had no comment on the missed deadline.

TEMPLE UNIVERSITY MAY OPT OUT OF EAGLES STADIUM PLAN
October 7, 1999
Copyright 1999 MediaVentures
Temple University is considering whether to build its own stadium or be a tenant in the new Philadelphia Eagles stadium. The school had planned on using the new stadium, but last week when the team was scheduled to use Veterans Stadium, the venue was in use by the Phillies. The Big East Conference would not allow it to be moved to the school's smaller Franklin Field, so it was played in Pittsburgh.
Because the conference insists that the university have control over its stadium dates, Temple officials are wondering if they can share the Eagles' venue. There could even be problems if the Eagles and the Phillies, who could have side-by-side venues, agree to not have events on the same day. The provision might even occur if the Phillies build a new ballpark downtown.
The school expects to make a decision soon because time would be needed to raise the nearly $50 million needed to build a 35,000-seat stadium. The school might also find a partner who would put a Major League Soccer team in the venue during the summer.

NO ACTION EXPECTED ON PHILADELPHIA STADIUMS UNTIL AFTER ELECTION
October 21, 1999
Copyright 1999 MediaVentures
Don't expect Philadelphia's City Council to act on financing proposals for new stadia for the Phillies and Eagles until after the Nov. 2 elections, but there still is a chance they could be voted upon by the end of the year, according to Mayor Edward Rendell.
The Eagles want to build a new stadium near Veterans Stadium while the Phillies are considering several sites including one downtown. The team says reports that they have abandoned the downtown site at Broad and Spring Garden are erroneous.
The state has provided money for a third of the cost of the venues while the teams will come up with another third. The final portion must come from the city. Several sources have been discussed, including an increase in the car rental tax, but no decisions have been made. The teams are also discussing lease provisions with the city, but have not finalized those agreements.

STREET, TAGLIABUE TALK ABOUT PHILLY STADIUM IMPASSE
November 2, 2000
Copyright 2000 MediaVentures
NFL Commissioner Paul Tagliabue and Philadelphia Mayor John Street talked last week about plans for a new Eagles stadium, but no progress was made. Tagliabue stressed the need for the stadium and told Street the Eagles planned to hold the city to its promise to repay the $23 million cost of building a new practice facility in the city. The team will also require the city to upgrade the decaying Veterans Stadiums where the Eagles and Phillies have leases that run through 2010.
Street said he wants the team to be in a new stadium by 2003, but the mayor is expected to miss a Nov. 30 to put together a funding plan. Street has said he will not work on the stadium issue until a teacher contract dispute is resolved. The teachers and the city reached a tentative contract agreement this week. The delay has also stopped negotiations on building a new ballpark for the Phillies. Both venues will be affected by the same funding proposal. For more details on the issue, see this week's special election section.
An ace in the hole in Philadelphia
Voters in Philadelphia will be voting on a $162 million bond issue that includes $40 million to make repairs and upgrades to Veterans Stadium. The rest of the money would be used to fund various projects in the city's capital budget.
You thought the Eagles and Phillies were going to build new venues? That's what everyone intends, but if the city and the teams do not reach an agreement by the end of the year, money will be needed to upgrade the aging facility.
Here's how it works: The mayor has until Nov. 30 to submit to the City Council a plan to build new stadiums for the Eagles and the Phillies. He has already missed two deadlines in this process and he is not expected to make the Nov. 30 date either.
At that point, the City Council is obligated to pay the Eagles $23 million for a practice facility the team agreed to build. The Eagles had planned to go outside the city because no stadium deal was struck in 1999, but the mayor promised a deal would be cut by November and convinced the City Council to agree to the proposal. The city would have lost more than $2 million a year in tax revenue if the facility moved.
Since the Eagles and the Phillies have leases at Veterans Stadium that run through 2010, and since everyone agrees that the stadium needs repairs, the teams are expected to ask for those upgrades. If voters approve the bond issue, money will be available for that purpose.
But both teams and the city want new venues to be built and no one believes a significant investment should be made in Veterans Stadium if new venues are to be built. So why hasn't Street come up with a plan? That's the question everyone is asking and which Street has been declining to answer.
Street did push last summer for the Phillies new ballpark to be built downtown, in hopes of boosting economic activity there. The Phillies had abandoned that site as being too expensive. If the ballpark is built downtown, the cost of both venues would be more than $1 billion.
The state has already committed its funds, so any extra costs would have to come from the city or the teams. Since talks between the teams and the city have stopped, it's not known how that might play out.
The Eagles say they plan to hold the city to its promise and expect to receive a check for $23 million if the issue goes past Nov. 30 unresolved. What that means and what would happen if voters reject the bond issue is unknown. If the issue passes, city officials can opt not to sell the stadium bonds until the future of the proposed stadiums is known.

LEAGUE SAYS LACK OF DEAL COULD CAUSE EAGLES TO LEAVE PHILLY
October 26, 2000
Copyright 2000 MediaVentures
If the City of Philadelphia does not come up with a plan to finance a new stadium for the Eagles by a Nov. 30 deadline, the team could leave town, according to NFL Commissioner Paul Tagliabue. The commissioner told reporters that he had talked with Mayor John Street about the delays in the project and let him know that the city risked losing the team if the city did not come up with a plan as promised.
Team officials reiterated Tagliabue's comments saying it was unrealistic to think the team would not consider its options if the city did not come through as promised.
The city had promised to come up with a plan by Nov. 30 or reimburse the Eagles $23 million for building a new practice facility in the city. The team had threatened to move it to the suburbs if the city did not deal on a new stadium.
State funding for the Eagles' stadium, and a ballpark for the Phillies, has already been provided. The city had also indicated its support, but Street said he preferred a downtown location for the ballpark instead of South Philadelphia where both teams wanted to build.
Negotiations ceased earlier in the summer and Street said he would not deal with the stadium issue until a new teachers' contract was signed. Those negotiations are going poorly and the teachers are close to a strike.
Meanwhile, the Eagles have said they will accept no more delays and want to be in a new stadium by 2003. That means a deal must be struck soon so construction can begin.
Both teams have leases at Veterans Stadium through 2010 and the stadium is in need of repairs. If no deal exists for new venues, both teams expect upgrades to be made to the current venue. Those improvements could cost up to $80 million and city officials don't want to invest in improvements when they are also obligated to build new stadiums.

PHILLY MAYOR SAYS STADIUM DEALS CAN BE CUT QUICKLY
October 18, 2000
Copyright 2000 MediaVentures
Philadelphia Mayor John Street tried to calm City Council concerns about lack of action on a financing plan for two new stadiums saying he had information that should allow the deals to be cut quickly and before the Nov. 30 deadline. He declined to disclose the information and asked council members to have confidence in him.
Street has missed several deadlines to provide information to the council for review. The council is scheduled to vote next month on a plan. If no plan is forthcoming, the city is obligated to repay the Eagles $23 million for building a new practice facility in the city and could be on the hook for up to $80 million in Veterans Stadium renovations.
The Eagles have said they will tolerate no delays in the process, nor would they be willing to extend the Nov. 30 deadline. The team wants to be in a new stadium by 2003. The soonest the Phillies could reasonably be in a new stadium is 2004.
Under the most recent proposal given to the city, the Eagles have pledged $85 million toward the $325 million stadium. The team would cover cost overruns, but would take all stadium revenue. The city would provide a site and pay for stadium operations and maintenance. That cost is estimated at more than $200 million over 20 years.