Council June 24, 2026

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)