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Frago: “Rays’ Ybor stadium deal nears deadline with no agreement in sight”

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Tampa Bay Times columnist Charlie Frago suggested that the Rays quest for a Ybor City stadium wasn’t entirely dead on Saturday, rather it is on an IV drip.

With just 29 days remaining in the memorandum of understanding (MOU) window which allowed the Tampa Bay Rays to search for a new regional stadium site, Charlie Frago (Tampa Bay Times) wrote Saturday that there is no agreement in sight with the New Years Eve deadline looming — something that has been discussed at length both on this site, and by Noah Pransky (WTSP).

While leaders in the effort to nail down a funding mechanism say the outlines of a deal can still be reached before the deadline, questions loom over whether the team will make enough progress in Tampa between now and the end of the year.

A major hurdle to the proposed Ybor City ballpark has long been the funding model. Construction of the proposed stadium has been estimated at $892-million and would be funded by a public-private partnership. Yet specifics from the parties involved — including the Rays, who have said they are willing to contribute $150-million to the project — remain a mystery.

Corporate support is vital to the plan since local officials will likely rely on increased tax revenue from new development to help pay off the stadium.

In terms of naming rights, two-high profile Florida-based companies are said to be interested in the project, although the identities of those companies have not been disclosed. A naming rights deal could gross somewhere in the $5 million to $10 million range.

On November 26, Rays president Matt Silverman issued a statement about the talks, saying

From all accounts, they are working diligently on corporate support and we are very grateful.

Even so, any private funds — by way of ticket purchases, or development in the area surrounding the proposed ballpark site — and naming rights money would be revenue for the team, and likely would be used toward the team’s overall contribution to the project, not in addition to the Rays’ overall contribution.

The Tampa group would like the Rays and any private investors they can persuade to invest in the project to shoulder at least half of the stadium’s cost, or about $450-million, writes Frago.

All this will factor heavily into whether the Rays are able to strike an agreement to construct in Ybor City as the December 31 looms.

With details about a prospective funding model still scant, and the work to build corporate support still unfolding, the Rays will be faced with three choices come 11:59 PM on December 31:

  1. Ask St. Petersburg city officials for an extension (the team hasn’t approached the city yet, with just 29 days remaining).
  2. Give formal notice they will move to Tampa without a finance package in place (According to Pransky, the Rays can give St. Pete notice they intend to leave on December 31, and nothing really changes. St Pete will still be held hostage by the inability to finalize a deal in Tampa. The team can give notice they are moving across the bay, without specifying a timeframe.)
  3. Give formal notice they will stay in St. Petersburg through 2027.

Meanwhile, in St. Petersburg, Mayor Rick Kriseman recently expressed doubts in a deal when asked by John Romano (Tampa Bay Times):

I asked Kriseman on Tuesday to put a number on Tampa’s odds of pulling off the Ybor stadium deal before the deadline. Initially, he pegged it at 20 percent. Later, he agreed that sounded too pessimistic.

He upped it to 25 percent.

It’s a huge (dollar) amount that has to be put together, Kriseman said. And they’re doing it right in the middle of an election for a mayor in Tampa. Is the city of Tampa going to come up with money? Will Hillsborough County be expected to do it on their own? There are a lot of obstacles to this deal.

Kriseman later boasted that there is absolutely nothing to worry about related to the Tampa Bay Rays’ upcoming decision:

The idea of incorporating a new ballpark on the Tropicana Field site had been floated previously, although the 86-acre property will be redeveloped with or without the Rays in the mix. The proposal is outstanding until it isn’t. Should the Rays and taxpayers approve of a stadium on the site, the team stands to share 50% of the redevelopment rights with the City of St. Petersburg on the property which has been appraised at $1-billion.

The team also recently shocked the local sports business world with the announcement of the October purchase of the Tampa Bay Rowdies.

The Rowdies play at and control the rights to Al Lang Stadium, on St. Petersburg’s waterfront, the former future site of the Rays. However, the team maintains the purchase had “nothing to do with short-term or immediate plans they have for baseball,” rather it was simply investing in the community. They, however, have not ruled out any long-term development.

A cloud also lingers over the future of Derby Lane since voters approved of Amendment 13, which will phase out dog racing in the state of Florida by 2020. Derby Lane is long thought to be one of the more promising potential stadium sites due to its proximity to Hillsborough County.

Tampa Bay Rays 2020 announce financial support for stadium project

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Attorney Ron Christaldi, Rays 2020 co-founder, announced $16 million in corporate pledges so far in the quest for a Ybor City ballpark on November 16, 2018 — a figure that was amended eight days later.

On November 16, the corporate non-profit, Tampa Bay Rays 2020, which is funded by the Tampa Bay Rays — and designed to build support for corporate and public financing of a new baseball stadium in Ybor City — held a press conference that sowed confusion within the region.

With just attorney Ron Christaldi (Tampa Bay Rays 2020 co-founder, and one of the group’s two key business leaders) in attendance, the group spoke about the financial commitments received to date, with a medley of figures being touted, including a $16-million in commitment from local businesses.

Noticeably absent from the press conference were Hillsborough County Commissioner Ken Hagan, Tampa Mayor Bob Buckhorn, and business magnate Chuck Sykes.

That paltry figure that was later amended by Charlie Frago (Tampa Bay Times) to $16-million per year for the next decade.

Christaldi also indicated that negotiations on naming rights sponsorship, which could net up to $8-10 million per year were ongoing. It should be remembered though that Tampa Bay is the 13th largest media market in the country, behind Atlanta — the ninth largest media market — which allowed the Braves to net a $10-million per year naming rights deal. A $5-8 million per year naming rights deal would be more reasonable.

Ybor City stadium proponents are touting the news as a major step toward breaking ground, claiming that the $160-million figure would cover almost 20% of the estimated $892-million price tag. Not everything that glitters is gold.

It’s nothing more than a press release, with no context, tweeted Noah Pransky (WTSP News, Twitter link). In other words, it is a meaningless number designed to curry favorable headlines.

To put it another way, $16-million over 10-years (sans context, mind you) looks great on paper, yet it does nothing to touch the overall $892-million figure. When viewed over the life of a mortgage, that figure comes out to just $5.33-million per year over the presumed 30-year span.

Even so, all this is based on the presumption that $160-million — plus naming rights — would go toward construction costs, when in all likelihood that money would be revenue for the team. It’s more plausible that it would be used toward the team’s overall contribution to the project, not in addition to the Rays’ overall contribution.

The team wants a new stadium, so it can boost revenues, said Pransky. But they won’t say how much they were expecting or how much they currently get. So, we have no idea if that $160-million is plus or minus the minus they were already expecting when factoring their construction spend.

Or, as Pransky wrote on November 16,

…It’s likely at least some of those dollars – if not all – are what the Rays are already counting on to help fund their yet-to-be-announced portion of stadium construction.

Put bluntly, when all is said and done it really does not change the calculus.

Still, the hour-long presentation was filled with optimism albeit with an admission that Tampa’s window of opportunity won’t last forever.

Timing is of the essence, Christaldi said.

A deadline on the team’s agreement with St. Petersburg to look in Hillsborough expires just before the stroke of midnight on New Year’s Eve.

St. Petersburg Mayor Rick Kriseman has played his political cards close to his vest on what he may ask the team to do if they miss the Dec. 31 deadline outlined in an agreement between the Sunshine City and the Rays. The agreement leaves no wiggle room for any missed deadlines, writes Frago.

When all is said and done, after three years of negotiations between the Rays and Hillsborough County, the team will be faced with three choices in just 34 days:

  1. Ask St. Petersburg city officials for an extension (According to Pransky, the team hasn’t approached the city yet).
  2. Give formal notice they will move to Tampa without a finance package in place.
  3. Give formal notice they will stay in St. Petersburg through 2027.

Yet don’t expect news of a formal announcement any time soon. On November 14th we wrote that Hillsborough County administrator Mike Merrill is telling commissioners not to expect any news on a deal until at least January.

Go ahead and cancel all the sports facility briefings for the remainder of the year, Michelle Sekouri, executive assistant to county administrator Mike Merrill, wrote to all commissioner’s offices last Friday. Mike is not anticipating having anything to share until January or after.

…Lest we also forget the political quagmire that Commissioner Hagan has gotten himself into.

Report: Ken Hagan campaign donor received secret Rays stadium information

Rays designate CJ Cron and others for assignment; add five to the 40-man roster

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CJ Cron was designated for assignment on Tuesday.

The Tampa Bay Rays made a number of moves over the last couple of days, most notably designating first baseman/DH C.J. Cron for assignment. Cron had been projected to earn $5.2-Million in arbitration. Relievers Oliver Drake and Hoby Milner were also designated, while right-hander Jose Mujica was outrighted.

The moves allow the Rays to add talent to the 40-man roster: southpaws Kyle Bird and Brock Burke, right-hander Ian Gibaut, and outfielders Joe McCarthy and Jesus Sanchez.

Cron led the team with 30 home runs while slashing .253 BA/.323 OBP/.493 SLG/.816 OPS with 74 RBI and a strong 122 wRC+ splitting time between first base and DH. He seemed likely to go at some point this offseason as the Rays are expected to consider free agents like Nelson Cruz, Josh Donaldson, and Andrew McCutchen and pursue trades, with Paul Goldschmidt of the Arizona Diamondbacks among those considered available.

This was a tough call obviously because of what C.J. did this past year and what he meant to our group, senior VP Chaim Bloom said. We certainly haven’t closed off the possibility of a return. But with as many deserving players that we have on our club that need playing time and also the number of possible paths for our off-season to take, it didn’t make sense to us to commit to him right now.

Bloom told Marc Topkin (Tampa Bay Times) the Rays wanted to both make sure to make sure there was room for some of their young left-handed hitters to get at-bats (such as Jake Bauers and Ji-Man Choi) and also to keep “a number of different options open and a number of different paths viable” for additions.

The Rays are no strangers to controversial roster decisions, designating 2017 All-Star Corey Dickerson prior to the start of last season to accelerate trade talks. According to Topkin, Bloom indicated this was a different situation in that they expect Cron to go on waivers and either be claimed or pass through and become a free agent, which would imply they felt they exhausted all trade options.

Topkin gave some information on the five players added to the 40-man roster, as well as comments from Bloom (in italics):

LHP Kyle Bird, 25

The lanky lefty reliever is somewhat of a control freak, allowing only 108 walks in 307 1/3 minor-league innings. He moved from Double-A Montgomery to Triple-A Durham in late May, posting an overall 3-3, 2.39 mark with four saves, allowing just a .198 average and recording 88 strikeouts for a 10.51 strikeouts per 9 innings ratio. He is playing winter ball in Mexico for the Yaquis de Obregon, going 1-0, 2.00 ERA in 18 relief apps. Over five minor league seasons, he is 15-7, 2.64 ERA in 185 games. Bird was a 35th round pick in 2014 out of Flagler College after transferring from Florida State, where he was a teammate of Jameis Winston. Bird is a graduate of Clay High School in Green Cove Springs.

Kyle Bird has methodically moved his way through our system and really took a step forward this year I think both physically and mentally. Showed incredible versatility pitching in all parts of the game — coming in to get a lefty out, going multiple innings, opening games, finishing games. With the success he had at Triple-A he is someone who could contribute in the big leagues in the near future.

LHP Brock Burke, 22

Earned Rays minor-league pitcher of the year honors after going 9-6, 3.08 ERA in 25 games (22 starts) between Class A Charlotte and Double-A Montgomery. He did better with the Biscuits after his July 9 promotion, 6-1, 1.95 ERA in nine starts, 4-0, 1.35 in his last five. His 158 strikeouts ranked 14th in all of minor-league baseball, and more impressive to be done in 137 1/3 innings. He led all Rays minor-leaguers in strikeouts while ranking fourth in ERA and tied for fourth in wins. He was a third-round pick in the 2014 draft out of Colorado’s Evergreen High.

Burke, really kind of a late bloomer who this year really started to show a lot of, to start to fulfill a lot of the potential that we’ve seen in him ever since we took him out of high school. His velocity jumped. His maturity took steps forward. That shows obviously as he was our organizational pitcher of the year for a reason. We’re really excited about his future. We feel there is still more to come with him as he progresses.

RHP Ian Gibaut, 25

Mlbpipeline.com prospect rank: 29

The hard-throwing reliever who has moved steadily through the system after being a 2015 11th round pick out of Tulane University, going 4-3, 2.09 with 14 saves in 15 chances this season for Triple-A Durham, striking out 75 in 56 innings. His 14 saves ranked first among Rays’ minor leaguers and fourth in the International League. He also was selected to the IL midseason All-Star team.  Over four minor-league seasons, he is 16-7, 2.25 ERA.

This is a guy who has end-of-game stuff. Three power pitches, they’re all plus. Really a prototypical late-game reliever who was dominant at times for us last year. He has stuff that can really match anybody’s in the game. Another guy who after a really successful year at Triple-A could be in a position to impact us relatively quickly.

OF Joe McCarthy, 24

Mlbpipeline.com prospect rank: 17

Has also climbed through the minors as a 2015 fifth-round pick from the University of Virginia, known for his strike zone discipline and defensive versatility in playing first base and outfield. He moved up to Triple-A Durham this season but was limited to 47 games due to a back injury, hitting .269 with a .889 OPS, 8 homers, 13 doubles, 27 RBIs. Over four minor-league seasons, he has hit .277 with .812 OPS, 72 doubles, 23 homers, 164 RBI in 333 games. He was playing in the Arizona Fall League but a broken hand ended that assignment after 13 games, as he hit .239 with a .745 OPS, 1 double, 3 homers, 8 RBI.

His season was kind of derailed some by injuries, but when he was healthy he really showed a very well-rounded skill set. Good defensive contributor both in the outfield and at first base. Big, physical guy who can hit the ball out of the ballpark. Just a good hitter who knows the strike zone really well. But also a good athlete who plays really good outfield, very instinctive baserunner, smart player, just a very well-rounded player who had a chance to be a good big-league player for a long time.

OF Jesus Sanchez, 20

Mlbpipeline.com prospect rank: 4; Baseball America rank: 6

Is the Rays top outfield prospect, earning his fourth straight team MVP award after hitting .301 with a .793 OPS, 10 homers and 64 RBIs in 90 games for the Stone Crabs, and earning Futures Game and FSL All-Star selections, before an Aug. 3 promotion to Double-A. He didn’t fare well with the Biscuits, hitting .211 with a .627 OPS in 27 games for an overall line of .282 with a .757 OPS. 32 doubles, 11 homers, 75 RBI in 117 games.  A Baseball America poll ranked him as the best batting prospect in the FSL. Over four minor-league seasons, the free-agent signee out of the Dominican Republic has hit .306 with a .824 OPS, 84 doubles, 21 triples, 37 homers, and 241 RBI in 351 games.

His name is I think probably, arguably the most familiar of any of these given how much hype he’s gotten, and rightly so, for his place on the prospect lists. His upside I think matches or exceeds just about anybody that we have. He’s always been able to hit since the day we signed him. As he’s grown into his body and gotten more physical I think some of the power has started to come. He profiles as a middle of the order hitter. Obviously he’s still progressing through the system, still has a ways to go to reach that upside. But the upside is so great that this is really a no-brainer for us to protect him.

Rays hire Rodney Linares as third-base coach

The team announced they have hired Rodney Linares as their third-base coach. He will step in for Matt Quatraro, who took over the bench coach position when Charlie Montoyo left to become the new Blue Jays manager.

Linares has been a long presence in the Houston Astros organization, functioning as the Triple-A manager last season. He, however, has not served on an MLB staff.

It would appear that Linares will eventually be joined by another new addition to Kevin Cash’s staff, with Rocco Baldelli departing to take the helm of the Minnesota Twins.

Report: Ken Hagan campaign donor received secret Rays stadium information

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It’s déjà vu all over again for Hillsborough County Commissioner Ken Hagan, who again is embroiled in a scandal having to do with secret meetings and backdoor deals.

The clock continues to tick down toward the inevitable December 31 deadline in which Stu Sternberg has to inform the city of St. Petersburg whether he will be opting out of the Tropicana Field lease early. Yet with just 41 days remaining in MOU window, shady negotiation practices by Commissioner Ken Hagan have posted yet another formidable hurdle between Hillsborough County and the Tampa Bay Rays.

According to a bombshell report by Noah Pransky (WTSP News), Hagan kept details of the Ybor City plans secret from the public. However, a major developer — and campaign contributor — was able to profit.

…The secret details of where Hagan and the Rays were planning to put a new stadium were not secret to every member of the public – one key developer was given access to the information that should have been available to all. Hagan had a county staffer draw up maps of the exact location in Ybor City, where the team is now campaigning to put the stadium, as far back as 2016.

The developer used that information to buy land at a discounted rate, put himself in position to profit off the new stadium announcement, then became a significant contributor to Commissioner Hagan’s re-election campaign. At no time were Hagan’s fellow commissioners – or members of the public who requested the public documents – provided the maps.

Hagan also used outside law firms, hired by the county at an expense of a half million dollars over the past four years, to act as intermediary negotiators on a stadium deal. Text messages between Hagan and one attorney reveal how involved Hagan was in conversations and negotiations over land acquisitions – conversations Hagan denied having altogether.

While the location of the desired stadium was a secret to the public prior to November of 2017, it was not a secret to developer Darryl Shaw, the report alleges. Hagan used outside counsel Irwin Raij as an intermediary during the talks, as Shaw began purchasing properties in and around the proposed stadium site at a time when nobody else was given access to the plans.

The two regularly texted in between phone calls, emails, and meetings to discuss stadium progress, writes Pransky, including texts in April 2017 where they appear to be discussing Shaw’s price demands, presumably for the land he would profit off of.

He wants roughly 100 per ft, Raij texted Hagan on April 12.

Just for ballpark? I assume that includes a hefty premium lol, Hagan wrote back.

Pransky notes that Hagan and Raij also talked extensively in 2017 about the secret plan to assemble Ybor City land purchase agreements through a newly-created nonprofit straw buyer.

They discussed the price of the purchases, right-of-way (ROW) issues, and looping then-county attorney Chip Fletcher into the conversation.

“Is the row issue the only one remaining? That’s a non starter for Chip,” Hagan texted Raij in September.

Raij texted back, “Darryl has indicated he will agree to a 15 month term, but has t (sic) offered yet. The ROW/sf issue is the one major issue outside of andys request for zoning protection. As an FYI, Andy wants in on row $$$.”

It appears likely the “Andy” that Raij referenced was Andy Scaglione, a property developer who also owns land in – and around – the proposed stadium footprint.

Scaglione also serves on the Tampa Sports Authority board with Hagan, meaning the state’s sunshine laws prohibits the two from coordinating on private discussions that may relate to the sports authority.

Subsequent texts between Hagan and Shaw involved discussions about county zoning policies and cash negotiations with Shaw.

“On phone with daryl (sic). He has lowered price to 32m. Making a little progress. More work to do,” Raij wrote on September 11, 2017, the day after Hurricane Irma struck Tampa Bay.

Hagan and Raij also texted about:

  • Whether then-sheriff David Gee would give up the land the Hillsborough County Sheriff’s Office was located to trade it with a developer for stadium land;
  • Coordinating Hagan’s travel and tickets to the Braves’ new stadium outside Atlanta in July, plans the Rays were apparently involved in too;
  • A “marked up Rays’ document” in November 2017, suggesting there were additional documents Hagan had access to. However, when those documents were requested, Hagan said none exist.

To put it simply, Hagan hid public records and worked with a private developer, who was able to scoop up valuable property at a discounted rate. Hagan later received campaign donations from that developer, who stood to benefit from the closed door dealings.

It is currently unclear whether Hagan violated sunshine laws by using outside counsel to negotiate ballpark terms with Scaglione, whom he serves alongside on the Tampa Sports Authority board. It, however, is believed that ethical lines have been crossed while legal lines, in the very least, have been blurred by Hagan in his quest to secure a stadium deal. Should law enforcement find evidence of a quid pro quo where favors were exchanged, criminal corruption charges could follow.

This is not the first time that Hagan has been mired in controversy. Aside from his secretive handling of stadium negotiations, Hagan was implicated in using the same tactics in order to close a 2013 deal which brought Bass Pro Shops to Hillsborough County.

St. Petersburg Mayor Rick Kriseman called for Hagan to step away from his involvement Monday afternoon.

The report follows another over how Hillsborough County and the Rays might attempt to publicly fund the project … although after 1,054 days (and just 41 days remaining) the likelihood of a deal getting done before the New Years Eve deadline is slim to none, barring a December miracle.

Blake Snell: 2018 AL Cy Young Award winner

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Blake Snell pitching for the Tampa Bay Rays in Arlington Texas.

On Wednesday, Tampa Bay Rays All-Star left-hander Blake Snell became the first Ray since David Price (2012) to win the AL Cy Young Award, the Baseball Writers Association of America announced.

Snell received 17 of the 30 first-place votes, with the other votes going to Astros ace Justin Verlander. While his 180-2/3 innings pitched were the fewest for a Cy Young Award winning starting pitcher in a full season, the left-hander edged out Verlander on the weighted ballot system, with 169 total points vs. Verlander’s 154. Corey Kluber finished a distant third, followed by Chris Sale, Gerrit Cole, Trevor Bauer, Blake Treinen, Edwin Diaz, and Luis Severino.

You can read the full breakdown here.

Snell broke out with a dominant 2018 campaign, solidifying himself as the Rays ace. The southpaw pitched to an impressive 1.89 ERA/2.95 FIP with an 11.0 K/9 against 3.2 BB/9 across 31 starts. No pitcher in either league tallied more than his 21 victories. Even though Snell’s innings total trailed Verlander’s by 33.4, his in-game dominance proved to be enough for him to take home baseballs most prestigious pitching award.

Ashley MacLennan (DRaysBay) noted the historical significance of Snell’s breakout season:

No AL pitcher has matched Snell’s combination of wins and ERA since Ron Guidry (25 wins, 1.74 ERA) of the New York Yankees in 1978. Since the advent of the designated hitter in 1973, Snell was only the third AL pitcher to record at least 20 wins and a sub-2.00 ERA, along with Guidry in 1978 and Roger Clemens (21 wins, 1.93 ERA) of the Boston Red Sox in 1990.

Congratulations are in order to Snellzilla CyZilla!

 

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