Details about Cranley's last-ditch effort to bring MLS soccer to Cincinnati

Cincinnati Mayor John Cranley made one last-ditch effort Friday to keep FC Cincinnati on the Cincinnati side of the river - and offered a new twist.

The stadium, under the plan Cranley hopes to get through Cincinnati City Council by the end of the month, would be owned by the public.

Under the plan, the Port of Greater Cincinnati Redevelopment Authority would own the stadium, then lease it to the soccer club. The team would be required to stay at least 20 years, but could leave after 20 years if it pays off its own stadium-related debt. Once the bonds are paid off, the team would own the stadium.

The Port is controlled and funded by the city and county governments. The idea of a Port-owned stadium surprised Hamilton County Commission president Todd Portune. The port is chaired by former Cincinnati mayor Charlie Luken, a close Cranley ally; Port officials did not immediately return calls.

Despite the ordinance language, Cranley told The Enquirer he is not proposing a publicly owned stadium. He said that decision would be made between FC Cincinnati and the Port Authority.

"That's up to them," Cranley said.

Cranley's plan cobbles together money from a tax district, proceeds from the sale of the Blue Ash airport and part of the hotel tax, the latter contingent on Hamilton County agreeing to spend that money. An ordinance outlining the spending said the city is "willing to take all steps legally necessary to authorize the use" of the tax money.

Commissioners, who must approve using the tax money even though the hotels are in the city, are against using the hotel tax for a stadium.

Cranley's plan appears to bring in $37 million, far less than the $70 million needed. “This is what we can offer," Cranley said at an afternoon news conference. "We can’t offer any more.”

The city would also give the team a tax credit for jobs, but the value of that is not included in city documents.

County officials, while pushing for the soccer team to use Paul Brown Stadium, did offer up $15 million to build a parking garage for the site so long as the county can keep the revenue.

This brings the total public money offered to $52 million. Cranley acknowledged the gap saying, "I hope with the county we'll get there." The county, could in theory, offer a portion of the hotel tax from hotels located in the county.

FC Cincinnati officials echoed Cranley's remarks. They said in a statement Friday that they hope to have more conversations with city and the county, and hope the county "will get us over the finish line."

Infrastructure needs include $20 million for the garage, $45 million for roads and utilities and $5 million for preparing the site.

Late Friday, Portune told The Enquirer the county will not offer more funds for the stadium infrastructure.

"That's all we have to give. That's it," Portune said.

He said he was open to the idea of allowing the city to use city hotel tax money, but said he worries it won't be enough because that revenue fluctuates year to year.

"They do not need any public money to fund a stadium in Oakley," he said. "But they want it...because it's there for the asking."

As FC Cincinnati works to become a Major League Soccer franchise, the team this week said it wanted to build a $200 million, 21,000-seat stadium in Oakley on the site of the former Cast-Fab factory. The plant closed in 2016 and is being torn down.

The team is asking taxpayers to pay $70 million to $75 million for the stadium's infrastructure, which would include a 1,000-space parking garage.

Looming over the deal: The team has an agreement with the owners of the Ovation site along the riverfront in Newport to put a new stadium there. Oakley has been identified as the desired location, but the team has not ruled out Newport.

A similar plan was unveiled earlier this week, with the county share $2.8 million in hotel tax money. But commissioners scuttled that Wednesday. Commissioner Todd Portune said the board does not support spending hotel tax money on a stadium. Instead, they want to see the team share Paul Brown Stadium with the Bengals.

Under Cranley's plan:

Money from surrounding tax increment financing (TIF) districts in Oakley will be redirected to the stadium infrastructure. But the proposed site does not actually fall in these districts. These funds from property taxes already exist. This is expected to provide $9.7 million.

$7.3 million from the sale of the Blue Ash Airport will go toward the project. The majority of the sale money – $25 million – is being used for neighborhood projects, but council set aside $8 million in a special reserve account for emergencies.

The county would build a $15 million parking garage. Commissioners said they would be willing to do this because it bolsters an entire area for development, not just the soccer stadium. Garage revenue would flow to the county, commissioners added.

He's not giving up on a portion of the hotel tax. He's asking the county to allow the city to spend its portion the tax: $1.1 million annually. This would be used to borrow $20 million.

Cranley is asking that council approve the plan at a special Budget and Finance committee meeting Nov. 27 with a final vote happening on the Nov. 29.

This will "unlock huge opportunities for the Oakley area at a site that is currently inaccessible," Cranley said. "I am confident. I am willing to promise thousands of jobs will follow this public infrastructure."

But "the idea that sports is a catalyst for economic development just doesn’t hold water," Robert Baade, a sports economist who teaches at Lake Forest College in Illinois, has said.

Providing state and local subsidies to build stadiums for professional sports teams is likely to cost the relevant taxpayers more than any local economic benefits that are generated, a panel of 42 economists assembled by the University of Chicago's Booth School of Business concluded earlier this year.

On Friday, Cranley touted FC Cincinnati as part of city's renaissance.

"This would expand this city from two major league franchises to three," Cranley said. "As the fastest growing sport in the country, securing this franchise… provides the city with an opportunity to be there at the beginning... and to obtain national and international renown."

Cranley won re-election earlier this month. On the campaign trail, both he and his opponent, Councilwoman Yvette Simpson, said they did not support using tax money for a soccer stadium.

Infrastructure is different than a stadium, Cranley said at Friday's news conference. And he pointed out that in other deals to bring businesses in, the city would pay for infrastructure.

Separately from Cranley's plan, FC Cincinnati general manager Jeff Berding is working to convince commissioners to approve the use of hotel tax money and that Paul Brown Stadium is not a viable option.

Berding set up a call with Major League Soccer on Friday afternoon, a conversation Portune asked for. But Portune said Friday was not a good time for all county officials and asked for the call to happen next week.

"We will do our best to work with MLS to meet this new meeting request," Berding said. "As time is of the essence, we are disappointed that the call will not happen today."