Portland City Council Work Session - Moda Center 06/24/26
Council grilled staff on the Moda Center deal but no term sheet exists yet — Blazers ownership still hasn't committed a dollar of private capital. Bonds need to issue by spring 2027, and the current lease's "first class" maintenance clause hasn't been enforced in years. No decision made.
Summary
Portland City Council held its first public work session on the Moda Center renovation, with councilors laying out their expectations and minimum requirements for any deal rather than deliberating on a specific proposal. No term sheet or funding package is yet on the table. The session was facilitated by Kristen Dennis, Metro Council's Chief of Staff, on loan to the council, and included initial results from a community survey that drew over 18,000 responses. Survey results were strongly polarized, with relatively few moderate opinions captured; top community priorities included structural and technology upgrades to the 30-year-old arena, seeking additional private dollars, living wage jobs, and enforceable community benefits. Councilors broadly agreed on several conditions: a meaningful private capital contribution from Blazers ownership (which has not yet been offered), rent payments flowing to the city, labor peace and prevailing wage standards, community benefits tied to the Albina neighborhood, and strong accountability measures. Multiple councilors called the process to date deeply inadequate, citing compressed timelines, lack of detailed financial information, and exclusion of the full council from early negotiations. DCA Oliveira confirmed the working timeline is driven by a need to issue state bonds in spring 2027 to complete renovations before the 2030 NCAA Final Four, and that the city has formally asked the team for private capital investment but received no commitment. The team's current position — that ticket fees and parking revenues paid to the city constitute their private contribution — was explicitly rejected by several councilors. A significant legal question was also surfaced: the current bridge lease requires the arena operator to maintain the building to a 'first class' standard, and councilors asked why that obligation has not been enforced given the known deferred maintenance backlog. Staff confirmed enforcement was paused by mutual agreement during bridge negotiations and that the question of what is owed would likely be contested. The next steps are an executive session the week of July 14 and a public work session on July 22, at which councilors expect the full negotiating team, city attorneys, and Mayor Wilson to be present with detailed financial information including an itemized renovation scope, a 20-year Spectator Venues Fund forecast, and a refreshed economic impact analysis.
Key Points
- First public work session of the full City Council on the Moda Center renovation, focused on framing council values and expectations for a future term sheet and lease agreement
- Community engagement survey drew over 18,000 responses, with results showing strongly polarized opinions on renovation importance and public funding; top priorities included structural/technology upgrades, private dollar contributions, living wage jobs, and community benefits
- Multiple councilors demanded private capital contribution from Blazers ownership as a non-negotiable starting point, with the administration confirming no commitment has been received from the team
- State legislation SB 1501 authorized $365 million in bonds contingent on a local funding commitment of approximately $120 million, a 20-year lease agreement, and establishment of a joint authority, with a working timeline tied to bond issuance in spring 2027 to complete renovations before the 2030 Final Four
- Councilors raised significant concerns about compressed timeline, lack of detailed financial information, use of Portland Clean Energy Fund dollars, impact on other spectator venues, and the first-class maintenance obligation in the current bridge lease
Action Items
- All council offices to submit written follow-up questions to DCA Oliveira; a public FAQ document tracking all questions and answers to be created
- Administration to provide an itemized breakdown of what the $600 million renovation scope covers and what city dollars would specifically fund
- Staff to prepare a 20-year forecast of the Spectator Venues Fund under different investment scenarios
- City attorneys to brief council (potentially in executive session) on the enforceability and estimated value of the first-class maintenance clause in the bridge lease
- Administration to confirm property tax loss figures across all jurisdictions following 2024 transfer of Moda Center ownership to the city
- Economic impact analysis refresh to be delivered no later than the executive session the week of July 14, or at the July 22 work session
- State's independent economic analyst hire and timeline to be followed up on with the Oregon Department of Administrative Services
- Laura Oppenheimer to deliver full demographic and district-by-district survey crosstab report to council within the week, including isolation of parks pop-up respondents where possible
- Kristen Dennis to compile a consolidated chart of all council-stated values, goals, and conditions for use in term sheet development and public communication
- Karl Hirsch (negotiator) and Mayor Wilson expected to be present at the executive session (week of July 14) and the July 22 public work session; city attorney also requested to be present at future sessions
- Administration to pursue a formal response from Blazers ownership on private capital contribution to the renovation
- Staff to research comparable naming rights values at similar arenas both with and without an NBA tenant
- Council offices to explore whether the state's December funding timeline has any flexibility of a few months, and to pursue a conversation with state officials on that question
- Kristen Dennis to meet individually with each councilor to work through specific term sheet tools and provisions in advance of the next public work session
Issues Discussed (18)
Council held its first public work session on the Moda Center renovation, with no term sheet yet on the table; councilors outlined minimum conditions for any deal including a meaningful private capital contribution from Blazers ownership, rent payments to the city, prevailing wage standards, and enforceable community benefits tied to the Albina neighborhood. A community survey drawing over 18,000 responses showed strongly polarized opinions, and multiple councilors criticized the process as inadequate, citing compressed timelines and lack of financial detail ahead of an expected spring 2027 state bond issuance deadline.
Council learned that the working timeline is driven by a need to issue state bonds in spring 2027 to complete renovations before the 2030 NCAA Final Four, but no funding package or term sheet is yet on the table. DCA Oliveira confirmed the city has formally requested a private capital contribution from Blazers ownership but received no commitment, and several councilors explicitly rejected the team's position that ticket fees and parking revenues constitute their share of the investment.
Mentioned in committee report but no action taken. The Portland Clean Energy Community Benefits Fund was not discussed in this meeting, which focused entirely on the Moda Center renovation work session.
Councilors broadly agreed that enforceable community benefits tied to the Albina neighborhood and living wage/labor peace standards must be minimum requirements in any Moda Center deal, with the community survey confirming these as top public priorities. No specific community benefits framework or wage standards were negotiated, as no term sheet has yet been presented.
In the first public work session of the full City Council on the Moda Center renovation, councilors outlined their minimum expectations for any future term sheet — including a meaningful private capital contribution from Blazers ownership, rent payments, prevailing wage standards, and enforceable community benefits tied to the Albina neighborhood — but no term sheet or funding package has yet been presented. The next formal steps are an executive session the week of July 14 and a public work session on July 22, where councilors expect detailed financial information including an itemized renovation scope and a 20-year Spectator Venues Fund forecast.
Referenced during broader Moda Center funding discussion, but no specific action or deliberation on sustainable funding solutions for parks was captured in this meeting summary.
The Moda Center renovation work session centered heavily on structural and technology upgrades to the 30-year-old arena as a core infrastructure priority, with councilors and community survey respondents both emphasizing the need for meaningful private capital investment alongside any public funding. Councilors flagged an unenforced lease clause requiring the arena operator to maintain the facility to a "first class" standard, raising questions about accountability for the existing deferred maintenance backlog.
Referenced during broader community engagement discussion but no specific information about the Moore Street Shelter was included in this meeting, which focused entirely on the Moda Center renovation work session.
Referenced during broader Moda Center renovation funding discussions but no substantive information about the Portland Clean Energy Fund was presented or acted upon in this meeting.
Portland City Council held its first public work session on the Moda Center renovation, with councilors establishing minimum expectations for any future deal—including a meaningful private capital contribution from Blazers ownership, rent payments to the city, prevailing wage standards, and enforceable community benefits tied to the Albina neighborhood—but no term sheet or funding proposal was on the table. Councilors sharply criticized the compressed timeline and lack of financial transparency, and directed staff to return at a July 22 public work session with detailed renovation cost breakdowns, a 20-year Spectator Venues Fund forecast, and a refreshed economic impact analysis.
Council was informed that the working timeline requires state bonds to be issued in spring 2027 to complete Moda Center renovations before the 2030 NCAA Final Four, but no funding package or term sheet is yet on the table. Councilors emphasized that any local funding commitment must be conditioned on a meaningful private capital contribution from Blazers ownership, which has not yet been offered, and rejected the team's position that ticket and parking revenues already constitute their share.
Councilors raised a significant legal question about why the existing bridge lease's requirement for the arena operator to maintain the building to a "first class" standard has not been enforced, given the known deferred maintenance backlog. Staff confirmed that enforcement was paused by mutual agreement during bridge negotiations and that the amount owed under that obligation would likely be contested.
Council's first public work session on the Moda Center renovation addressed the state bond timeline, with staff confirming that state bonds must be issued in spring 2027 to complete renovations before the 2030 NCAA Final Four. No local funding commitment or term sheet was presented, as councilors instead established minimum conditions for any deal, including a meaningful private capital contribution from Blazers ownership that has not yet been offered.
Council directed staff to provide a 20-year Spectator Venues Fund forecast as a required deliverable for the July 22 public work session, as no such long-term financial modeling has yet been presented. The absence of detailed financial information, including the fund's projections, was cited by multiple councilors as a fundamental gap in the process to date.
Council held its first public work session on the Moda Center renovation, with no term sheet yet on the table; councilors outlined minimum conditions for any deal including a meaningful private capital contribution from Blazers ownership, rent payments to the city, prevailing wage standards, and enforceable community benefits tied to the Albina neighborhood. A community survey drawing over 18,000 responses showed strongly polarized views, and councilors criticized the compressed timeline and lack of financial detail, directing staff to return July 22 with an itemized renovation scope, a 20-year Spectator Venues Fund forecast, and a refreshed economic impact analysis.
Portland City Council held its first public work session on the Moda Center renovation, with no term sheet or funding package yet on the table; councilors instead outlined minimum conditions for any deal, including a meaningful private capital contribution from Blazers ownership, rent payments, prevailing wage standards, and community benefits tied to the Albina neighborhood. Over 18,000 community survey responses were presented showing strongly polarized opinions, and councilors demanded detailed financial information — including an itemized renovation scope and 20-year Spectator Venues Fund forecast — ahead of the next public work session scheduled for July 22.
Referenced during broader Moda Center work session discussion but no specific information about neutral legislative budget staff capacity was presented or addressed.
Mentioned in the meeting but no substantive discussion of the Council President Election Process appears in the summary, which focused entirely on the Moda Center renovation work session.