Update Again Again: OPACY lease officially official, done and approved, for real this time

[Going Underground]

 

 

 

 

 

 

Under the new memorandum, which is nonbinding but which the two parties say is the precursor to a lease, the Orioles, not the state, would be in charge of paying for development and receive potential profits.

“This is essentially gifting the land to the Orioles,” said Bradbury, who often critiques stadium subsidies.

 

 

 

 

The memorandum of understanding further details additional financial agreements. The Orioles will pay for operation and maintenance of the ballpark, but will stop paying annual rent. That will ultimately save the state millions of dollars a year and is similar to the arrangement it has with the Ravens for M&T Bank Stadium.

However, the Orioles, in addition to the ground lease, would receive $3.3 million annually for a repair fund that would total $100 million over 30 years. Those are benefits the Ravens do not receive. Because of parity clauses in the teams’ leases, the state might have to provide the equivalent to the NFL team.

The fund would require General Assembly approval and it’s unknown if the legislature would pass such a bill. The legislature isn’t scheduled to meet again until January, but that does not necessarily mean the lease could not be signed before then.

 

 

The memorandum has also been criticized by former stadium authority leaders for giving construction and operating power over the ballpark to the Orioles.

Asked if the Orioles would have the authority to determine how public money is spent, Bonacci, the authority’s spokesperson, said in a statement: “the team is expected to have a larger role in contractor selection and project administration, following models from other stadiums and subject to significant Maryland Stadium Authority controls and approvals.”

Christopher Ryon, a Baltimore-based procurement attorney, noted that the stadium authority has procurement experience, unlike the Orioles, and wondered what procurement guidelines the club would need to follow.

“Those are important details that still need to be worked out between the parties,” Ryon said.

Edited October 27, 2023 by Going Underground

[Es4M11]

Wow, this is turning into a rather lousy deal for MD tax payers. I fail to see how the Orioles have so much leverage that has enabled them to extract such concessions. Gov Moore & the new MSA leadership are either a bunch of push overs, or as some posters have alluded to, maybe they have ulterior motives...

[Otter]

1 hour ago, Es4M11 said:

Wow, this is turning into a rather lousy deal for MD tax payers. I fail to see how the Orioles have so much leverage that has enabled them to extract such concessions. Gov Moore & the new MSA leadership are either a bunch of push overs, or as some posters have alluded to, maybe they have ulterior motives...

Politicians always have ulterior motives....and they usually aren't of benefit to the average taxpayer...

[Can_of_corn]

3 hours ago, Es4M11 said:

Wow, this is turning into a rather lousy deal for MD tax payers. I fail to see how the Orioles have so much leverage that has enabled them to extract such concessions. Gov Moore & the new MSA leadership are either a bunch of push overs, or as some posters have alluded to, maybe they have ulterior motives...

When the two sides aren't really in opposition you don't need much leverage.

People are a lot freer spending money that isn't theirs.

[Can_of_corn]

NSFW

Edited October 27, 2023 by Can_of_corn

[Rbiggs2525]

4 hours ago, Es4M11 said:

Wow, this is turning into a rather lousy deal for MD tax payers. I fail to see how the Orioles have so much leverage that has enabled them to extract such concessions. Gov Moore & the new MSA leadership are either a bunch of push overs, or as some posters have alluded to, maybe they have ulterior motives...

To be honest I’d rather have Maryland taxpayers money go to this rather than some of the other programs we have. At least I spend half the year with this program.

[spiritof66]

9 hours ago, Es4M11 said:

Wow, this is turning into a rather lousy deal for MD tax payers. I fail to see how the Orioles have so much leverage that has enabled them to extract such concessions. Gov Moore & the new MSA leadership are either a bunch of push overs, or as some posters have alluded to, maybe they have ulterior motives...

I have to disagree with you. This has long been a rather lousy deal for Maryland taxpayers.

[Can_of_corn]

The team will be responsible for maintenance and will be receiving a stipend to pay for them.  

Any oversight on if repairs are being made and how the money is being spent?

[drjohnnyfever1]

On 10/27/2023 at 6:41 AM, Going Underground said:

 

 

 

 

 

 

Under the new memorandum, which is nonbinding but which the two parties say is the precursor to a lease, the Orioles, not the state, would be in charge of paying for development and receive potential profits.

“This is essentially gifting the land to the Orioles,” said Bradbury, who often critiques stadium subsidies.

 

 

 

 

The memorandum of understanding further details additional financial agreements. The Orioles will pay for operation and maintenance of the ballpark, but will stop paying annual rent. That will ultimately save the state millions of dollars a year and is similar to the arrangement it has with the Ravens for M&T Bank Stadium.

However, the Orioles, in addition to the ground lease, would receive $3.3 million annually for a repair fund that would total $100 million over 30 years. Those are benefits the Ravens do not receive. Because of parity clauses in the teams’ leases, the state might have to provide the equivalent to the NFL team.

The fund would require General Assembly approval and it’s unknown if the legislature would pass such a bill. The legislature isn’t scheduled to meet again until January, but that does not necessarily mean the lease could not be signed before then.

 

 

The memorandum has also been criticized by former stadium authority leaders for giving construction and operating power over the ballpark to the Orioles.

Asked if the Orioles would have the authority to determine how public money is spent, Bonacci, the authority’s spokesperson, said in a statement: “the team is expected to have a larger role in contractor selection and project administration, following models from other stadiums and subject to significant Maryland Stadium Authority controls and approvals.”

Christopher Ryon, a Baltimore-based procurement attorney, noted that the stadium authority has procurement experience, unlike the Orioles, and wondered what procurement guidelines the club would need to follow.

“Those are important details that still need to be worked out between the parties,” Ryon said.

As always, thanks for posting these updates!

I just find it very interesting that the Orioles would be "gifted" any land.  I'm figuring this is the disputed parking lots between the stadiums.  I wonder how Steve Bisciotti feels about this and whether there will be some kind of parity there.  I would also much rather an entity like the Stadium Authority having more control over "improvements" to the park and around it.  I hate being cynical, but the future site of Angelos Park at Angelos Yards and HR's landing on Angelos St. is not something I personally look forward to.  Even OPaCY brought to you by Angelos, Angelos, and Angelos Law Firm brings shivers to my spine.

[Roll Tide]

12 hours ago, Can_of_corn said:

The team will be responsible for maintenance and will be receiving a stipend to pay for them.  

Any oversight on if repairs are being made and how the money is being spent?

I’m sure there is …. We obviously don’t get to read the contract. But, most stipends require receipts.

[Can_of_corn]

4 hours ago, Roll Tide said:

I’m sure there is …. We obviously don’t get to read the contract. But, most stipends require receipts.

Requiring receipts sure.  I am talking about an actual qualified person auditing the team.

[Roll Tide]

1 hour ago, Can_of_corn said:

Requiring receipts sure.  I am talking about an actual qualified person auditing the team.

I’m sure the agreement with be supervised my someone at the Stadium authority 

[SilentJames]

On 10/28/2023 at 3:15 PM, Roll Tide said:

I’m sure the agreement with be supervised my someone at the Stadium authority 

Indeed, these are the things that get hammered out and debated in the final lease agreement  - which takes time. But the MOU means taht both sides have agreed in principle to the broad outline and purposes. 

If anything it was a mistake for Moore to be so vocal about it because now he would bare all the responsibility if it fails meanwhile if it does fail Angelos gets hated? I mean he is already hated, and he would just leave and continue being rich in another state. Moore would see his political future take an absolutely massive hit. 

Both parties seem to want to get this done - no reason to think it wont. 

[TradeAngelos]

Well it looks like Moore caved, I won't the into the politics of all this but that surely what it was. Wes didn't want to be the new hotshot Gov and have this "stain" on his resume. So let's give little Johnny (some of) what he wants, for no reason that makes sense except one.....Just absolutely disgusting state leadership and I am counting the days until I am gone. Just a reminder the Orioles have spent all of 165m on payroll over the past 4 seasons. While the Padres!! have spent almost a BILLION. Yet there isn't a single person in this city with the balls to ask just where the hell the rest of the money went. (We know!) Keep spending that money people, Johnny will surely keep take take and taking why crying poor. He lives off of every penny you give him. All of them. 

[Can_of_corn]

9 minutes ago, TradeAngelos said:

Well it looks like Moore caved, I won't the into the politics of all this but that surely what it was. Wes didn't want to be the new hotshot Gov and have this "stain" on his resume. So let's give little Johnny (some of) what he wants, for no reason that makes sense except one.....Just absolutely disgusting state leadership and I am counting the days until I am gone. Just a reminder the Orioles have spent all of 165m on payroll over the past 4 seasons. While the Padres!! have spent almost a BILLION. Yet there isn't a single person in this city with the balls to ask just where the hell the rest of the money went. (We know!) Keep spending that money people, Johnny will surely keep take take and taking why crying poor. He lives off of every penny you give him. All of them. 

Did he cave?

Were the two even on opposing sides?