Portland City Leaders Issue Draft Term Sheet to Trail Blazers
City leaders in Portland, Ore., have sent an initial draft term sheet to the Trail Blazers this week, marking the city’s first proposal in negotiating a long-term agreement to keep the team in the city. The move comes just weeks ahead of a scheduled council vote on August 12 to approve a tentative term sheet.
Negotiation Challenges and Information Gaps
City administrator Raymond Lee addressed the state of negotiations following an executive session on the draft document. “When you get into these type of negotiations, they’re tough. Yes, the city has asked and requested certain information from the Blazers and we have not received that. We’ve had communication with the Blazers and had verbal conversations with the Blazers. That’s what has taken place thus far,” Lee stated. He added, “I believe the Blazers are waiting on a term sheet before they really start opening up into negotiations with us and start getting some of that critical information that we would want to see on our end as it relates to building out a deal with the Blazers that will be long-term for the city and the Blazers.”
The Trail Blazers organization confirmed receipt of the proposal, with a spokesperson stating: I can confirm we received a draft term sheet this afternoon, and we’re reviewing the document now.
Core Provisions of the Proposal
The city’s initial term sheet outlines financial commitments and specific requirements for a long-term lease. The main points include a binding 20-year non-relocation commitment from the team and requirements for labor-peace agreements to support a stable workforce. Furthermore, the proposal includes financial protections, such as clear caps on public funding, limits on eligible expenses, and safeguards for the City, State, and County against cost overruns. The plan also mandates a $3 million annual payment for property tax offsets from Rip City Management, which would escalate over time and be shared among the City, County, and Portland Public Schools. Additional requirements cover community event access, local hiring, sustainability standards, and partnerships with Albina-based organizations.
NBA Commissioner Expresses Concern
The push for a deal follows comments from NBA Commissioner Adam Silver, who expressed dismay at the pace of negotiations to renovate the Moda Center. On July 14 in Las Vegas, in response to a question from Sean Highkin of The Rose Garden Report, Silver stated that a potential deal to keep the team in Portland seems to have gone off track.
Silver noted that while he had discussed the situation with new Blazers owner Tom Dundon and city officials, he was not pleased with the progress. I spent time with Tom and his partners here in Las Vegas,
Silver said. “And what we are most focused on right now, the league office, is the deal that we discussed when we were in Portland in March. I was hoping more progress would’ve been made by now on that agreement, and it seems to have gone off track in various ways.”
Ongoing Tensions and Council Scrutiny
The negotiations remain complex, with some councilors expressing uncertainty regarding the support of a $120 million investment without team commitments. Independent sports columnist John Canzano reported that Dundon and the Blazers have largely broken off written communication with city officials, surmising that the team may be slow-walking a deal. City Council President Jamie Dunphy highlighted this frustration on social media, writing: One incredibly easy way that the negotiations could get back on track is if the Blazers could respond to some of the basic requests for information we have repeatedly asked for since April but have yet to receive.
Mayor Keith Wilson has indicated a desire for Silver to intervene, noting that the city is operating on an aggressive timeline to reach a new lease and has been explicit with the team regarding the necessity of design information and clarity around public investment.