Showing posts with label Chopp. Show all posts
Showing posts with label Chopp. Show all posts

Saturday, February 14, 2009

Hunter, Chopp, Closer to KeyArena Solution

As noted in a prior story, on February 12th USAToday.com story No buzz about NBA returning to Seattle AP Reporter Tim Booth had unknowingly passes along the missing piece in the arena puzzle to KeyArena rebuild hopefuls like me.
The reporter, Tim Booth, summarized Washington State House Finance Committee Chairman Ross Hunter, D-Madina, statements thusly, "he was working with House Speaker Frank Chopp, D-Seattle, on a plan for stadium funding that everybody can live with, but wasn't willing to disclose any details."

In the past 3 years Frank Chopp has been in to opposition to stadium and arena solutions that involved the state, even when the revenue did not come from the state's general fund. Speaker Chopp and others were so dissatisfied with the relationship between state-wide priorities and the local community needs of anything in King County (and Seattle) that a state task force was formed to construct a solution.
Joint Task Force Local Financing Options for King County had been formed, with Ross Hunter as a co-chair, and Washington State senator Ed Murray as a member. The task force was presented with a variety of proposals to use the county-wide hotel/care rental/ restaurant tax, as well as the Seattle only hotel tax. Some of these locally collected taxes have state sales tax credits contributing to their funds.

Unfortunately the task force did not produce a report of recommendations of what the locally collected funds should be spent on, with Mr Hunter commenting to a Tacoma News Tribune writer that there isn't a natural jurisdiction for this situation.

As Mr Hunter stated back in December in the Tacoma News tribune, his personal preference is that the state sales tax component goes back to the state. Mr. Hunter was quoted in Friday's web edition of the Seattle PI as reiterated that same preference for returning the state's portion back to the state.

Here are some key quotes, with my commentary interspersed:

"I think I've got something that will work here," said Rep. Ross Hunter, D-Medina and chairman of the House Finance committee. "I am very close to releasing a plan."

Hunter would not offer specifics, saying he is awaiting approval from House Speaker Frank Chopp, D-Seattle.

He said his plan would not include a penny of state money but would be financed entirely by money raised in the city.


To a great extent this was the idea all along, what I think is useful is that he is being quoted in public explicitly stating the position before the inevitable argument is made by sports haters. How he constructs this is still largely unknown.

Hunter said he has no problem allowing the city to impose its own taxes but feels no pressure to enable Seattle to cash in on the bonus [from Clay Benett].

"I would go out of my way to figure out a way to take $30 million from those guys in Oklahoma City. I would go out of my way to do that just for the fun of it, just for the sport," Hunter said. But "the fact that Seattle has negotiated a deal that (is meant to) force me to act is not attractive to me."


Mr. Bennett named Mr. Hunter and Mr. Chopp as the people that stopped Bennett's quest for a free 500 million dollar stadium to be built in Renton Washington.

Seattle had asked lawmakers to allow the city to tap a local hotel and motel tax surcharge that is used to pay off previous work at the Seattle Convention Center. That tax source is raking in money more quickly than previously projected. But the idea of extending it to KeyArena does not have traction in Olympia, Hunter said.

It appears that Mr. Hunter will take back the state's sales tax component, while Ed Murray is proposing that the convention center proposal move forward.


"There is no appetite down here for fixing KeyArena with state dollars," he [Hunter] said.

Hunter said his plan would not rely on admission taxes, which are better used for facility maintenance. He hinted it might include money for affordable housing -- a pet concern for Chopp.

Despite its surplus, the convention center tax is not an option for KeyArena because it is partly funded through a state sales tax credit, Hunter said.

"I want the state's money back," Hunter said.

The credit costs the state about $10 million a year, he said. Without that portion of the convention center revenue stream, the taxes do not raise enough to overhaul KeyArena.


There you go, 10 million dollars, the one percent the City of Seattle was hoping to use is sort of being identified as the state's portion the convention center fund. Mr. Hunter has doubts about the convention center's proposal, and has sliced off 10 million dollars from that same fund.

Here is state's position, or at least Hunter's, as it relates to the City of Seattle, and the settlement between the city and Clay Bennett.

But he has no problem "getting out of the way" of local governments that want to make their own tax decisions, he said.

Seattle Deputy Mayor Tim Ceis believes a pair of motivations will encourage lawmakers to help the city, despite the Legislature's previous rejections of KeyArena tax proposals. One incentive is the $30 million payoff. The other is that the future of Seattle Center is to some degree tied to the health of KeyArena.

"Seattle Center is a more sympathetic issue than NBA basketball," Ceis said.

Still, the state faces a biennial shortfall of $6 billion or more, and lawmakers are facing cries for help from every corner.

"This is not an easy proposal for this legislative session," Ceis said.

Hunter said he would not be "embarrassed" into granting the city authority so it can chase the bonus. That provision was intended to put political pressure on the Legislature, Hunter said.

"You know, children do stuff like this," he said.

"So I feel no compulsion to act on this simply because Seattle has negotiated a deal without consulting with me beforehand. If it works out, it works out. If it doesn't, I'm sorry."

"I might have agreed to it ahead of time if they asked me but they didn't," Hunter said. "I just don't like that whole transaction."


This is the environment the lowly citizen (me) toils in while attempting to encourage the right people to do the right thing.

So, there is not going to be a specific KeyArena solution prescribed by the state, and absolutely not with any state funds. This is a broader problem requiring a broader solution that takes the state out of the role of deciding local issues where the state does not have a direct financial interest.

Hunter is separately working on broader legislation to reform financing of major facilities, he said.

Qwest Field, Safeco Field and the Convention Center were all paid for through a tax source deliberately set to raise more money than was needed -- to ensure better bond ratings, he said.

But that results in surplus funds that are inevitably raided by "rapacious" budget writers, Hunter said. Next thing you know, governments or programs are relying on that extra money for tangential needs.

Hunter is also keeping the details of that plan quiet until he can get Chopp's approval.


There you have it, the state government trying to get out of the way, out of participating in any way in stadiums and arenas.
This morning Brian Robinson at SonicsCentral.com stating his feeling of hope.

Have a great day,
Mr Baker

(17% recycled content from prior stories)

Thursday, February 12, 2009

USAToday.com Unknowingly gives fans hope

In the February 12th USAToday.com story No buzz about NBA returning to Seattle AP Reporter Tim Booth unknowingly passes along the missing piece in the arena puzzle to KeyArena rebuild hopefuls like me.
Booth says, "[Washington State] House Finance Committee Chairman Ross Hunter, D-Madina, said Thursday, he was working with House Speaker Frank Chopp, D-Seattle, on a plan for stadium funding that everetbody can live with, but wasn't willing to disclose any details."

Mr. Booth, that is the buzz. At no point in the past 3 years could you find the name Frank Chopp in connection with a stadium unless it was in reference to opposition. I had heard rumors that somebody had something drafted, but none of it had a connection to Hunter actually working on anything, and nobody has mentioned that Mr. Hunter was working with Mr. Chopp, until your report.

Hope springs eternal in the human breast;

Have a great day,
Mr Baker
Sent from my iPhone

Wednesday, September 17, 2008

Crosscut's David Brewster asks - Could a convention center work at Seattle Center?

The answers I have are:
Yes, if they are going to operate the meeting space and arena when Key
Arena is rebuilt.

No.

In either case the city is not going to promote a facility to be placed at Seattle Center ( or anywhere else in the city) while it is actively seeking part of the same revenue stream that the Washington State Convention & Trade Center currently enjoys. It is not going to promote convention space to be added while it is trying to fill its own space. The more likely spot is the "air space" above the King County bus ranch.

The fact is that the Washington State Convention & Trade Center people do not have an actionable plan. They have a want to grow in 3 possible spots with no scope of size (200 to 300 hundred square feet). They do not want to give up the revenue stream when their project is paid off. They have not proposed a cost, which might be hard to do without a real scope of work.

David Brewster has taken another swing at throwing this idea out there. I think that when he says that the "state" is interested he is also talking about Frank Choop.

He also gives Ron Sims' point of view. He did give the reaction from the spokesperson from the Seattle Center, that the city would not support a Seattle Center solution for the WSCTC. The story was sadly lacking in fully explaining the city's point of view.

This is a sandbag, David Brewster is the bagman.

The answer at the end will be that the city plan for Key Arena is defined, does not consume much of the revenue source, and enough revenue from that source would be there if the WSCTC ever got its plan together.

Brewster does mention that the hotel folks were unhappy that several million dollars from this source were dumped into the state's general fund, and that they do not want that to happen again. I think Senate Bill 6638 closed that loophole.

There are 30 million reasons the city is not ready to "finally let Key Arena go".

BTW, Ron Sims, mind your own backyard. You have been no help to me.
www.GoForItLarry.com

http://www.crosscut.com/blog/real-estate/17746/Could+a+convention+center+work+at+Seattle+Center/?comments=On&cID=8524#c8524


Have a great day,
Mr Baker

Sent from my iPhone

Wednesday, September 3, 2008

Crosscut Seattle - Did Howard Schultz pull the last plug for the Sonics?

"Chopp felt like he was being used by Bennett, who only wanted to move the team and needed local politicians to blame." David Brewster, Crosscut.com
The irony is that is exactly what happened, Chopp did not act and guess what Frank, it is put on you. The retry at funding will be put at your feet again, Clay Bennett's gone, who can you blame for your inaction this time?
I'm sure you will think of somebody, other than yourself, of course.
Dumbass.
http://www.crosscut.com/blog/seattle-supersonics/17345/?comments=On&cID=8041#c8041


Have a great day,
Mr Baker

Sent from my iPhone