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Well, that didn’t take long.
Today’s OC Register highlighted a new proposal from the new Anaheim majority to keep the Los Angeles Angels in Anaheim.
The proposal includes an interim lease extension, which is on top of the last interim extension, so the City and Angel Management can hash out a deal.
To be clear, this is EXACTLY how Anaheim got into this mess. Giving up its leverage (time) to placate an owner who is much, much better at negotiating than any of the economic lightweights over at City Hall. If the City hadn’t handed over the keys to destroying the lease to Arte Moreno five years ago, we wouldn’t be in this mess.
Sidhu’s solution? Try the same failed strategy again. Extend the lease, give Arte Moreno time to negotiate a deal of his choosing, and hope for the best.
Here’s two quotes from the Register, my emphasis, for your amusement:
“From that meeting, it is clear the team’s priority is to stay in Anaheim, if we can work out a deal that benefits our residents, the city and the team. We need a plan to make that happen, and we need time to make that happen,” Sidhu said.
The team’s priority is to make money. Piles of it. The Mayor has publicly stated that Anaheim would be nothing without the Angels (and his other nonsense pillars). Guess what Mayor Sidhu is going to give the Angels to make sure they stay in Anaheim? Giant piles of money. Your money.
“I think we can get a lot more than Tom Tait got out of the Ducks deal.”– Jordan Brandman
Sure, Jordan can negotiate a $25,000 pay day for himself to plagiarize a report and turn it in late . . . and maybe he even stayed at a Holiday Inn last night, but consider that he has never had a real job and has never negotiated a real deal concerning major assets. Maybe he thinks that the words “we” and “more” mean something different than they actually do. Only time will tell.
More certainly to come from the newly elected majority in Anaheim. Early prediction? Expect a new stadium, housing, and retail in Anaheim by 2026. Arte floats his own money to finance the work with tax exemptions, rebates, and near zero dollars in rent for 30+ years. Obvious winners will be the Building Trades and the Angels . . . the taxpayer’s main benefits will be measured with words like “pride” and “partnership.”
This is Anaheim’s single largest and most leveraging asset. This is the second lease extension to be approved, negotiated behind closed doors, and with no increase in benefit to the taxpayers since 1996.
You get what you vote for.
Then what is your suggestion? If the Orange Juice people were to negotiate the new arrangement what is the answer?
First, I would like to recommend that anyone having or wanting to reach an opinion on this subject read “Field of Schemes” by Neil deMause, and or some of the other books and articles that Google returns for “Baseball Stadium Financing” and check out the Forbes Magazine annual (April ?) issue on “The Business of Baseball”
Three years ago, I dove into all that, almost past the point of resusitation, to almost feel able to adequately talk (Or listen) on the subject. Once again, the issue returns to find a straight path to my last nerve, and I’ll have to retrace all those steps for current information. Team finances have changed, and so has much of the City lineup, which in my 30 + years here has shown me a frustrating insistence on learning BY its mistakes more than FROM them. I hope it’s different NOW ?
It’s easiest for me to list today’s wants from what the previous fiasco LACKED. The one-sided contents of the “framework”, blind-sided on the residents over a Monday holiday weekend for a Tuesday vote, were only surpassed in insult by the PROCESS that followed, and the conclusions drawn about the City’s intelligence – insulting ATTITUDE towards residents from both of those.
Any 2-party business agreement starts with TWO POSITIONS – EACH party works for its OWN goal, and then BOTH negotiate toward the CENTER. The City, however, while alleging it represented US, presented a “framework” that PRE-CAPITULATED to the Team Owner ! The most significant item being several decade Development rights to the Stadium and surrounding land for an opening bid of $1.00. This pre-capitulation made its Staff and Council supporters continued insistence of “but that’s only an opening position !” seem ludicrous even at the limit of charity. Wouldn’t even children trading lunch contents avoid a strategy of “I’LL give you EVERYTHING I HAVE and then let’s see WHAT IF ANYTHING I CAN GET BACK !” NO, REALLY, these people got 6 FIGURE SALARIES (and tax paid pensions!) for managing to keep a straight face while pushing that GARBAGE at us! No, REALLY ! Look it up ! HOW is negotiation even a WORD when you START at the SAME POINT ?
Today, there is a NEW Mayor, a NEW City Manager and Attorney, and different (except for two) Council Members. Will the City LEARN from its mistakes or repeat them ? Three years ago, “Transparency” and “Public Input” were just WORDS IN THE DICTIONARY. AFTER blindsiding the “framework”, the City offered Voice mail and online comment facility to the public, and later a “public Input workshop” at 2 times and locations. This sounds great UNTIL YOU LEARN that-
ALL PUBLIC INPUT (voice mail, online, workshop) took a ONE WAY PATH TO OBLIVION. After input NONE OF THE CONTENTS EVER SAW THE LIGHT OF DAY TO ANYONE ELSE, IF EVEN TO THE CITY, AND ALL OF THAT INPUT REMAINS EITHER CAPTIVE OR DISCARDED – TO THIS DAY !
The “Workshops” instead of preceding the “framework” announcement, to incorporate their input into it, were instead, AFTER ITS RELEASE, to ONLY, INFORM the public of the City’s 6 “talking points” FAVORING the framework as-is instead of incorporating input in its creation. The frequent comment from Council Member Kris Murray, “EVERYTHING is on the table !” became a sad joke, lacking any evidence that the mythical table and its contents, like the supposed “Public Input”, existed or were ever to be seen.
A supposed “Economic Study” of the deal by CSL , a supposed expert in the field, 13 pages of more fluff (Charity appearance Team pictures) than (generalized at best) economic data, quickly crumbled under questioning by the Mayor and public commenters, further losing credibility when it was learned that CSL had corporate ties to a major concession management vendor.
Moreno, who denied being the originator of the “framework” finally walked away, accepting the increased 3 year decision window initially offered UNILATERALLY by the Council with the original “framework” arrival, probably wishing distance from the poisoned atmosphere of the public following the fiasco’s collapse.
I had personal hopes of a public “lessons learned” workshop, so as never to repeat this fiasco, but any such event was either in closed session if at all, or escaped my notice. The many changes in City Staff, the Election, and the demands of the ongoing Homeless Crisis in the City are certainly explanatory, but not exculpatory.
SO – this is a rare instance where I AGREE with calls from the City for an extension – perhaps not 3 years, if possible sooner, BUT IF AND ONLY IF –
The process starts immediately, NOT 2-1/2 years into the 3
The process starts WITH public Workshops, both for Input AND FOR PUBLIC EDUCATION-
I recently came a phrase I considered impactful enough to write down and post on the ‘fridge. ” SEEK FIRST TO UNDERSTAND, THEN TO BE UNDERSTOOD ” Well, if not new to you, it’s new to me.
With our LARGEST ASSET (or 2nd with the Utilities?) WE need to understand ALL of our alternatives, to make an INFORMED CHOICE which is best, to be able to stand up to SCRUTINY NOW, not deliver a FOREHEAD SLAP and a (worthless) apology LATER. We need to know what we KNOW and – know what we DON’T know, and draw the clear distinction between them. And do the WORK or seek the advice to CLOSE the gap. (Why not a workshop with Arte Moreno or a rep giving the public HIS take on financing ? We don’t have to totally AGREE with him, but we need to UNDERSTAND his view to reach a COMMON agreement.)
The process needs to INVOLVE the public and be TRANSPARENT. (Last time was a lesson in how NOT to be – did YOU learn anything ?)
We need to agree on BOUNDS of the issues to include or exclude in a property rental agreement. If you need a lesson about when there are NO bounds and everybody gets everything instead of an occasional “Sorry, No.”, get on YouTube and look north to San Francisco – When you can poop or shoot up anywhere, and the most popular hobby is discovering new reasons to be outraged at your (newly) “intolerant’ neighbor, you are NOBODYs destination, THEY LOST a $40 Million annual Medical Convention – “We’re gone – Nobody feels SAFE !” (NO word if Anaheim picked it up – or tried ?)
We need to show that we know RESPECT has to be MUTUAL, and by that, that we LEARN by our mistakes, not keep running back for another ride on the turnip truck we fell off of. We need an audit of those repair expenses (just like the Convention Center parking ??) I’m going from ( bad) memory (Cynthia Ward can probably give you a list !)
There needs to be a public vote (even if only advisory) This is the natural consequence to inclusion, education, and transparency. IF a Stadium is the best thing in our future (or not), WE can together be PROUD of ( whatever is the best choice) because WE’ve asked enough questions to understand WHY its the best, (or NOT) and then WE VOTED ON IT !
Also, (before someone yells,”Jobs” !) perhaps the question should be asked (or a study made) of WHERE if not Anaheim, all those workers in TAX-SUBSIDIZED jobs LIVE. Should WE have to wait years for (parks, street repairs, etc.) because OUR taxes go more to aid jobs for folks who live where they DON’T have to, and instead GET (parks, street repairs, etc.) NOW ? Or perhaps should things like Stadiums that provide REGIONAL benefit, be subsidized REGIONALLY ? The Visitors Bureau is now expanded (and funded ?) to County wide. The sewer plant is in Fountain Valley, but WE ALL pay for it, not just them. Anaheim was up front in line paying for the Shelter, now we’re waiting for those other OC Cities that weren’t. Same thing.
I hope that was an adequate (if kinda long) answer. If not, Add your thoughts or questions below.
Note- the above Opinion is not that of all “Orange Juice people”, and from somebody to whom your insults mean nothing.
Sell the stadium to the Angels for appraised value! Angels commit to Anaheim, Angels can develop the parking lots, taxpayers finally get value for their property
( new roads, more cops, improved parks, etc. etc), inept council members no longer have to pretend to be real estate negotiators/landlords!
Stop making sense.
Amen, Wally. That’s what I said in 2013.
Wait — you mean that a city can actually make money off of its biggest asset? Since when?
I still want to trade the Angels for some baseball team with an owner who doesn’t see siphoning value out of his host city as a Trumpian blood sport. Or better yet, just trade owners, as LA did with the Robert Irsay for Carroll Rosenbloom (or whatever) trade with the Colts 45 or so years go. (I am not in a looking-things-up mood right now.)
I’m fine with the owner.
Anaheim just needs to know how to play the game.
They don’t, and it’s going to cost the payer tens or hundreds of millions.
The owner is a Trumpian-style sociopath, bent on domination. I’m not saying that he should be forcibly stripped of his property, but it’s a shame if you’re “ok with” him. It’s still ok to criticize sociopathy.
“Early prediction? Expect a new stadium, housing, and retail in Anaheim by 2026…”
Housing, retail, and office space, sure. That’s been in the works since 2004…
A new stadium? That’ll come in somewhere between a quarter and a half a billion bucks… $700 – $1400 per resident. There are probably many folks in Anaheim (and beyond) salivating at the possibility of siphoning that money from the rest of the residents and into their pockets, but perhaps we’ll be there (coming from opposing sides on so many issues) to try to stop them.
And one of the first steps I’d raise in that would be waving Measure L in Moreno’s face. He’s pretty big, pretty powerful, but Disney is bigger and more powerful. If kleptocrats run the city council, voters have other remedies.
Peanut vendors making $20 an hour!
Not sure what this comment means, but Angels vendors are proud union members. They don’t get $20 per hour in wages but they can do well in commission because they know what Angels fans like and they hustle like crazy up and down stairs all night. Many of them know, and are known by generations of fans.
Austin,
I don’t speak for everyone here, but no one lacks respect for a vendor.
Those ladies and gents hustle around that stadium and earn their money.
Great Planet Money episode about vendors in Boston if anyone is interested in the economy of stadium vending
Measure L has salary requirements for the employees of companies getting city subsidies. That includes subcontractors as I understand it.
I think Ryan and I disagree: to me, folks paying vendors less than $18/hr lack respect for them. 😉
That from a guy who used to sell peanuts (and churros) at another stadium in high school (back in the days when school groups could do that for a certain number of days as a fundraiser; don’t know if they still do that). My recollection of the tips offered was…er…a bit creepy.
Catch that podcast, Donovan.
It’s quite the enterprise!
YouTube has only a 4 minute clip in French – for the whole 21 minutes in English, try-
https://www.npr.org/sections/money/2016/05/06/477082513/episode-700-peanuts-and-cracker-jack
You’re welcome.
In negotiating, I have it on good authority that waving -anything- in somebody’s face can usually guarantee a quick end to the negotiation, and not much of anything else. Is twice too many or too few times for opportunity to knock ?
The funny thing is the old majority (including the plagiarist Brandman) never had the guts to close the rancid Angels deal.
I wonder if PringleCorp® is still working for Moreno or if they’ve figured out they don’t need him anymore.
*You guys are so funny. You guys never, ever think out of the box….not even once! OK,
you want the solutions? Here goes: Disney’s Angel Stadium”. Sure, you can get a Alaska Airlines Duck Stadium too….in the process. Corporate Sponsorship is very incestuous as you might understand? Therefore, if people do not come up with wonderful solutions that pan out economically for the Citizens…..then someone has to. We don’t want to draw you a picture….but with a very little imagination – there is little to doubt that Billions of dollars usually attract Billions of dollars. What about Mark Cuban? What about Robert Kraft, who may want to move out west after Brady retires? You are only limited by your imaginations and that of the dummies you put on the Anaheim City Council. Not quite as bad as Fullerton, but close! Who would have thought that the lowly Chargers could come up with their own StubHub Center/Dignity Sports Park? Ridiculous….so what about Ray Crock again? OK, why doesn’t the City Fathers and Mommies come up with a decent Transportation System to get folks out of the Anaheim Transportation Center by rail…..directly to Angel’s Stadiium, Disneyland and/or The Honda Center whenever there is a game there or an easy convenient way to visit the Gift Shops or the Phoenix Club? Good Grief, how many years does it take have someone in these cities….finally get a grip? OK DZ and RC…show us what you’ve got other than free lunches with Peer Swan!
*I think someone may have laced your Cocoa Puffs with psychedelic mushrooms.
“….so what about Ray Crock again?……
Oooooooo! I Know that one ! From Wikipedia-
Born Raymond Albert Kroc October 5, 1902 Oak Park, Illinois, U.S.
Died January 14, 1984 (aged 81) San Diego, California, U.S.
(He’s Not returning phone calls / emails.)
And BTW, he’s not “out of the box”. he’s actually INSIDE! (rimshot)
BBORW, what a hoot! “You are cuter than pink panties!” Ooops, Someone already said that in a Dick Powell movie. Sports? The Final Frontier! So, our beloved Lambs get to go to the SuperDome to meet the Saints? Tough gig…but let us pray! Then our beloved Pats and the Elder Brady have to go meet the Wunderkind in KC…..in the cold. One thing is sure: The numbers are going to be way up watching both games! Meanwhile, the big money is in play all around the various leagues. Ray Kroc? Too bad Harry Carey is still not around too. We loved him in Last of the Mohicans! James Fenimore Cooper…..rest in peace!
John Woodhead, pitching the klepto’s latest smoke screen plans :
https://www.latimes.com/sports/angels/la-sp-angels-stadium-lease-20190118-story.html
(Trader Joe’s has become an icon of the city’s vision)
LA Times says; “Six years ago, the city and team cooperated on a study that showed the stadium needed about $150 million in upgrades to remain a viable long-term venue.” I thought journalists were supposed to do research and verify source materials. Silly me. The “study” that was ordered by the Angels with Anaheim splitting the cost, was not rooted in what the Stadium needed, it was a huge “wish list” from the team, which did not address the structure of the Stadium, which is the ONLY issue the taxpayers are on the hook for. Why do we now get stuck with $150MM of bells and whistles the team wants, which are their responsibility as tenant improvements. We also still don’t have a report on the structural conditions of the Stadium itself. Who runs things like this?
“We have the opportunity to introduce spectaculars,” Woodhead said. “One of the inspiration palettes we shared with the Angels depicted a bright entertainment neighborhood, with all sorts of digital displays, and all sorts of entertainment opportunities and venues.”
When was John Woodhead going to let the taxpayers in on that plan?
“The city pitched the Angels on this plan: Put up restaurants and shops in the stadium parking lot, and maybe a hotel too. Make lots of money. Use some to pay for the stadium upgrades and keep the rest.” Uh…the City denied there was a hotel involved. And the public never saw the plan for any of this. But by all means, let’s go ahead and describe this as if it’s a done deal.
The idea of a new development deal paying for all those “upgrades” to the tune of $150,000,00 – no doubt deferred maintenance, too) was floated after the deal points were officially agreed to in September 2013. That angle got all sorts of traction in the media that was too stupid to ask where that was written down.
That can be addressed now if the council were honest stewards of public resources. But obviously, they’re not. With Fire Sale Sidhu in the saddle we’ll never recoup what’s owed to us and we’ll see another split deal – one with Moreno and a different one with The Los Angeles Angles. Yes. they are that stupid/corrupt.
By the way, while I am open to the team buying the property, I want to see an open bidding process, which they are welcome to participate in. Why would we give them a sole-source deal? This is Anaheim’s last large real property asset, and we have a General Fund being siphoned off faster than we can generate money (thank you Harry for dipping into reserves to fix up the POS building of your buddy with the excuse of a short term shelter) we have an obligation as a City to get the best deal possible for that land, and that means an open bidding process, not a special deal for the campaign donors of Harry and his majority pals. If a developer gives us more for that area, then they can decide whether the team is in the best interests of the development project and under what conditions the Angels may remain and what they will pay for the privilege. What do you bet the private sector does NOT see the “intangible value” of a team named for Los Angeles?
*The Old Cowboy would roll over in his grave…….Open bid to buy Angel’s Stadium Property? Really? Whatever happened to “Master Planning Strategy”? You know, someone actually has a viable idea….like Disneyland for example. They lay out their plan and everyone gets on board. The Country Planning Commission, the City Master Plan, the united City Council, a vote of the people. You know….sort like people used to do before they bought a new car……they negotiated with the Salesman and the Dealer and shopped around with people they trusted. Ah, boy are those days gone….eh?