Rays push for May vote amid unresolved stadium funding issues

The Tampa Bay Rays are still pushing for a May vote on a stadium funding deal, according to their responses to a list of unresolved financial issues from Hillsborough County.

Friday’s replies came a day after a county memo asked the Rays for details on 14 outstanding questions related to private financing, risk allocation and other terms. The county also said it could not “reasonably consider” a June 1 deadline the team had set to finalize a binding memorandum of understanding on the public financing structure.

The Rays built the aggressive timeline to keep the $2.3 billion ballpark on track for a 2029 opening and warned that delays could increase costs and jeopardize the schedule.

In its response, the team said it remains “committed to moving this effort forward on a timeline that preserves the opportunity for the 2029 opening season,” but pushed back on requests for stronger financial guarantees and earlier disclosure of private funding sources.

READ MORE: Hillsborough tells Rays it won’t meet June 1 stadium deadline

The Rays want to build the stadium on land now used by Hillsborough College and have committed $1.235 billion toward the stadium plus all cost overruns, with the rest coming from the city and county. The stadium would anchor a privately developed multiuse district, with future property tax growth in the surrounding Community Redevelopment Area helping repay public bonds tied to the project.

The Rays deferred on requested details related to their private financing, construction timelines and contractor selection to future agreements, saying those terms would be finalized in binding development documents. They also did not detail commitments on long-term maintenance and other broader financial obligations.

County officials asked to review the amount and sources of private financing. The Rays said that information would be provided “at the appropriate time as is standard with similar public private partnerships.”

The team also noted that Major League Baseball reviews “club financial capacity in connection with projects of this nature, and MLB approval will also require sufficient sources to proceed with the project.”

Beyond that, the Rays pointed to two key financing issues: a $75 million public funding gap and a potential additional $60 million shortfall if Community Investment Tax bonds lose their tax-exempt status under revised assumptions.

The current framework assumes $1.001 billion in public funding, including $702 million from the county and $224 million from the city of Tampa, leaving $75 million to be resolved. Most of the county’s share would come from the half-cent CIT.

County officials have discussed asking the Rays to help close the gap, but the team said that issue must be resolved in future agreements rather than through upfront guarantees. The Rays also said CIT and tax-increment financing should be structured to preserve tax-exempt status for the bonds.

“The Rays believe there is a viable framework to achieve that result, which would eliminate that additional $60 million shortfall, leaving the Parties to identify a path to bridge the pre-existing $75 million funding gap,” the team wrote.

Tax-exempt bonds are government-backed debt that carry lower borrowing costs because interest is not subject to federal income tax. They are typically used for projects with a strong public purpose, and their tax status depends in part on how much of the benefit is considered public versus private.

County officials have also discussed covering the $60 million through additional CRA bonds backed by future tax growth in the stadium district. The Rays said they oppose that approach, explaining it would increase their long-term payments because their obligations rise as CRA debt increases.

The Tampa City Council has scheduled a workshop on May 5 at 5 p.m. at the Tampa Convention Center to discuss its end of the stadium proposal. County and city votes on a finalized agreement slated for that week are likely to be pushed back as the parties continue negotiating.

Rick Meyer is the online producer for Health News Florida, and a writer for WUSF, the Tampa Bay area’s NPR affiliate.