The Los Angeles City Council’s ad hoc committee on the proposed downtown football stadium holds a public hearing tonight. Anschutz Entertainment Group, or AEG, hopes to win preliminary approval of its proposal within weeks.
Negotiators for the city and AEG released a proposed memorandum of understanding this week. It would have Los Angeles issue $275 million in tax-exempt bonds to relocate the part of the convention center where AEG wants to build its billion-dollar stadium.
Nearly three-quarters of the cost to pay back the bonds would come from AEG, much of it from lease payments on the property. The rest would come from the tax revenue the project would generate.
L.A.'s Chief Administrative Officer Miguel Santana says the city’s main concern is that money to repay the bonds comes from a reliable source so city money’s not at risk. He says the proposed deal does that.
The city’s ad hoc stadium committee looks at the deal tonight and tomorrow night. The proposal goes to the full City Council Friday. A vote could come next week.
AEG has to finish an environmental impact report. It hopes to build a stadium, and lure a pro football team, for the 2016 NFL season.