Lawmakers hear competing views on bill to expand tax pledge for proposed MLB stadium in Portland

Senate Committee on Finance and Revenue Chair Meek opened public testimony March 24 on Senate Bill 110, a dash-1 amendment that would expand the state's authority to allow incremental personal income taxes generated by a Major League Baseball franchise’s payroll to be pledged toward stadium financing.

Proponents told the committee the bill is designed to help Portland and Oregon compete for one of two MLB expansion franchises and said the pledge would be paid from new payroll-related revenue from the team and visiting-player payroll rather than from the general fund. “It will not cost current taxpayers anything,” Senator Kate Leber, sponsor of SB 110, told the committee, arguing the measure pledges only incremental payroll tax revenue from the team while the bond is repaid.

Craig Cheek, founder and president of the Portland Diamond Project, described the likely private-equity ownership model and said proponents expect a capital stack that combines private equity, other private revenues and a public contribution limited to revenues pledged under the statute. Cheek said proponents expect arrangements that could include a public facilities entity to issue tax-exempt debt and that…