Tampa City Council on Thursday narrowly approved a non-binding framework for a new Tampa Bay Rays stadium, joining the Hillsborough County Commission in clearing the way for the project to move into detailed negotiations over construction, funding terms and community benefits.
With local approval in place, the Legislature may now consider up to $150 million in funding pledged by Gov. Ron DeSantis to rebuild Hillsborough College and surrounding infrastructure on the property. Lawmakers meeting to finalize a budget said local financing needed to be resolved first.
The council vote was 4-3. Chair Alan Clendenin, Naya Young, Bill Carlson and Luis Viera voted yes. Charles Miranda, Guido Maniscalco and Lynn Hurtak voted no.
Based on the conversation on the panel, there could be vote changes when updated versions of the deal appear before the panel. They could include Carlson, a candidate for mayor, who expressed concern over the use of Community Investment Tax money.
“I’m like 99.9% sure that I’m going to vote no,” Carlson said. “But the Rays asked only in regard to their ability to get state funding, I’m going to reluctantly vote yes today.”
As the discussion grew more tense, Rays CEO Ken Babby implored council members to pass the non-binding memorandum of understanding (MOU) to allow negotiations to continue.
“Don’t send the Rays out of Tampa,” Babby said.
The $2.3 billion stadium, slated to open in March 2029, would anchor a multi-use development in Drew Park on land now occupied by Hillsborough College.
The council, which also met as the Community Redevelopment Area Board, tabled a vote until June 11 on using $100 million from the Drew Park CRA, a key part of the arrangement. The Rays and council said that it would not affect the MOU passage.
The county commission voted to approve the agreement Wednesday.
Under the 32-page MOU, Tampa would pay $80 million from its share of the CIT. Rather than being used up front for bonding, it would be “pay-go” with $20 million allocated annually for four years.
The memorandum says the CIT revenue and could only be used for public infrastructure tied directly to the project — not the stadium itself. The agreement lists items such as roads, sidewalks, drainage, utilities, lighting, traffic improvements, plazas, site preparation and other surrounding public-use improvements as eligible expenses.
The MOU also says the CIT money cannot primarily benefit the mixed-use projects surrounding the ballpark, such as apartments, hotels or retail, though critics argue the infrastructure would still indirectly boost the value of the overall project.
The Rays have said they plan to invest at least $8 billion in the surrounding development. And the project is expected to generate growth outside the stadium district. That’s a lynchpin in the deal, which would rely heavily on the CRA in Drew Park, a mostly industrial and commercial area with low property values that has been targeted for redevelopment for years.
Under the plan, the CRA would purchase bonds with $100 million backed by future increases in property tax revenue generated by the surrounding development. The money can be used for roads, utilities and other public improvements around the stadium area. The MOU also says the surrounding development — like apartments, hotels and retail — would stay on the tax rolls, so it generates new property tax revenue.
Rays ownership had set a June 1 deadline for all stakeholders to agree on the deal. The Rays have said any delay could jeopardize state funding to rebuild the college, and missing the 2029 construction timeline would materially increase costs and invalidate the proposed budget.
With the framework approved, the Rays, city, county and CRA can now enter a detailed negotiation phase to finalize key deal terms that were not resolved in the MOU. Those include how construction costs will be covered if they rise, what happens if private development falls short of projections, how much say local governments will have in stadium design and public spaces, and how revenue from parking and other sources will be shared.
WUSF’s Steve Newborn contributed to this story.