The Oakland Athletics have cleared a significant hurdle in their relocation plans to Las Vegas, as the Nevada Legislature has given final approval for public funding towards a proposed $1.5 billion stadium with a retractable roof. This move is seen as a way to further establish Las Vegas as the new “entertainment and sports capital of the world.” Although the deal still requires the governor’s signature and MLB approval for the A’s relocation, both are expected
The Assembly voted 25-15 to approve the final version of the bill, which includes $380 million in taxpayer money. Some minor changes were made to the measure that was previously approved by the Senate in a 13-8 vote the day the Vegas Golden Knights won the Stanley Cup. The Senate accepted these changes without debate through a voice vote on Wednesday night, designating it as an “emergency measure” adopted during the special legislative session that began on June 7 with Democratic majorities in both houses. Republican Governor Joe Lombardo had proposed the stadium spending plan.
The governor’s office has not yet responded to requests for comments regarding this matter. The Oakland Athletics released a statement expressing their anticipation for Governor “Lombardo’s signature as our next step” in the process, as they continue to “work to bring the Athletics to Las Vegas.”
The $380 million in public funding will primarily come from $180 million in transferable tax credits and $120 million in county bonds. Supporters of the project have pledged that the creation of a special tax district surrounding the proposed stadium, which would be the smallest in Major League Baseball, will generate sufficient funds to repay the bonds and cover the associated interest. The plan does not involve directly raising taxes.
The Nevada plan has sparked a national debate about the use of public funding for private sports teams. Supporters, including A’s representatives and some Nevada tourism officials, believe that the measure would contribute to the growth of Las Vegas’ sports scene and stimulate the economy. However, a growing number of economists and lawmakers have cautioned that the benefits of such a project would be minimal compared to the substantial public cost.
Assembly woman Selena La Rue Hatch, a Democrat from Reno, voiced her opposition to public financing on Wednesday night, citing the lack of funding for Nevada’s overcrowded classrooms, insufficient child care services, and “people sleeping on the streets.” She argued “No amount of amendments are going to change the fact we are giving millions of public dollars to a billionaire.”
As per the approved deal, the Athletics would be exempt from paying property taxes for the publicly owned stadium. Clark County, which encompasses Las Vegas, would also contribute $25 million in credit towards infrastructure expenses. The final version of the bill redirected some funds initially allocated for homeless programs to support low-income housing.
The Legislature’s vote marks a significant development in the Athletics’ challenging search for a replacement stadium for the Oakland Coliseum, where the team has played since their arrival from Kansas City in 1968. The team had previously explored building a stadium in Fremont, California, as well as San Jose and the Oakland waterfront, but none of those ideas materialized.
In response to the vote, Oakland Mayor Sheng Thao highlighted “The A’s have been part of Oakland for more than half a century, and they belong in this city”. She emphasized “There is no city that has worked harder to meet the needs of a team than Oakland.”
A new baseball stadium with a seating capacity of 30,000 is planned to be constructed near the Las Vegas Strip, in close proximity to the T-Mobile Arena, home to the Knights, and the stadium housing the Las Vegas Raiders of the NFL, who relocated from Oakland to Las Vegas in 2020.
In 2016, during a special session in Nevada, a bill was passed that allowed for $750 million in public funding, generated from hotel room taxes, to be used for the construction of the $2 billion Allegiant Stadium, the home of the Raiders. No public funds were used for the expansion hockey team’s arena.
While cities like Buffalo and Oakland have argued that tax incentives are necessary to prevent the departure of long-established businesses by supporting the construction of new stadiums, the situation in Nevada was different. The state’s economy heavily relies on entertainment and tourism, and lawmakers and appointed boards have long discussed the need to diversify the economy, often justifying incentives for businesses like Tesla.
Assemblywoman Shea Backus, representing Las Vegas, highlighted the benefits of the proposed baseball stadium. She mentioned that in addition to creating around 14,000 jobs during the construction phase and permanent jobs subject to collective bargaining, the presence of major league baseball in the city would build upon the excitement generated by the Raiders, the Golden Knights, and the WNBA’s Aces. She emphasized “With the Aces winning a national championship last year and the Golden Knights securing the Stanley Cup just last night, it is clear Las Vegas is clearly becoming the entertainment and sports capital of the world”.
