Local leaders celebrate Rays stadium ‘compromise,’ stump for approval
- Mark Parker
- 14 hours ago
- 4 min read
A memorandum of understanding between the Tampa Bay Rays and local government representatives now caps the public contribution toward the cost of a new stadium at $976 million - nearly $100 million less than the initial $1.065 billion request.
The non-binding agreement, reached Thursday afternoon, still requires approval from the Hillsborough County Commission and Tampa City Council. However, Mayor Jane Castor called the long-awaited MOU a “gigantic step” toward ensuring the Rays remain in Tampa Bay at a press conference on Friday.
Castor has reason to celebrate, as the framework for a $2.3 billion stadium deal reduces the city’s commitment from $251 million to $180 million. However, the county’s contribution has increased by $46 million since a draft proposal was released last month, to $796 million.
“There’s been compromise on everyone’s part, because we’re all going towards the same goal,” Castor said. “The Rays belong in Tampa Bay. Now we have a memorandum of understanding that is the first step, and I would say a gigantic step, to ensuring that occurs.”
County Commission Chair Ken Hagan and Castor also advocated for the MOU’s formal approval. He and his colleagues will vote on the framework on Wednesday, followed by the city council on Thursday.
Castor noted that the MOU is a much-needed outline and the three negotiating parties must still fill in the blanks. “That’s where the hard work begins,” she said.
Hagan explained that stakeholders would now address a “few unresolved issues,” and finalize binding documents. Those include a team lease for the county-owned stadium, a community benefits agreement, a non-relocation mandate, and a final funding plan, which will also require approval from the county and city.
“I can’t imagine that any elected official would vote no on this memorandum of understanding,” Castor said. Hagan is “relatively confident” that the commission will approve the MOU, which will allow county administrators to “dig deep” into the stadium deal’s details.
The Rays will now cover roughly 55% of the total cost for a 31,000-seat stadium with a translucent roof. That equates to an approximately $1.27 billion private investment, the largest by a professional sports team in state history, said CEO Ken Babby.
The team is also responsible for cost overruns, which underscores the new ownership group’s sense of urgency. Friday’s press conference came seven months after they announced an ambitious goal of opening a new ballpark in time for the 2029 baseball season.
Babby said state lawmakers are “watching closely to make sure that we can reach an agreement here locally.” The Rays have reportedly requested $150 million from the Legislature, which is currently in a special budget session.
Babby emphasized the importance of “keeping our foot on the gas” to reach definitive agreements with the county and city that will ensure Major League Baseball remains in the region after the team’s lease at Tropicana Field ends in 2028. The goal is to meet “not just the Rays’ timeline, but it’s the community and Tampa Bay’s timeline,” he said.
Hagan, who wore a polo shirt emblazoned with the Rays logo and a team pin on his coat, said many short and long-term issues still “warrant careful consideration.” He also believes that “this is the closest we’ve ever been toward reaching an agreement with the Tampa Bay Rays.”
County staff previously identified $702 million that Hillsborough could contribute to a new stadium. It remains unclear how officials will address what is now seemingly a $94 million gap.
Hagan said Friday that a hybrid financing model would free up money by allowing the county to issue fewer bonds. Officials would then dedicate funding designated for interest payments to the project.
County staff is also “trying to be as creative as possible to identify sources that can be used to prevent us from raising taxes, from raising fees,” Hagan said. “Unlike previous agreements, we’re not raising taxes or fees.”
Here are the proposed public funding sources:
Tourist development tax bonds and reserves: Approximately $303 million.
Community Investment Taxes (CIT): Approximately $360 million from the county and $80 million from the city, structured so public safety and infrastructure funding remain protected.
“Other county resources”: Approximately $103 million.
Drew Park Community Redevelopment Area tax revenue: Approximately $100 million.
Federal disaster relief funding: Approximately $30 million for eligible stormwater infrastructure improvements.
“Other public funds”: Approximately $54 million.
Babby reiterated that the project, including the massive mixed-use development, will generate a $55 billion economic impact and create 12,000 new jobs. While details remain scarce, a community benefits agreement “will be the largest in the City of Tampa’s history.”
The benefits package will focus on five core pillars: workforce development, youth opportunities, community access and activation, neighborhood enhancements and public investments, and direct community funding. “These things matter; this moment matters,” Babby said.
“For nearly 20 years, folks have waited for this moment, wondering about where the future of this team will be, and this memorandum of understanding is a monumental step toward securing the future of Major League Baseball right here in Tampa.”
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