On Aug. 21, the City Council will consider non-binding terms, outlining the city’s commitment to fund its portion of the new arena through a bond structure.
SAN ANTONIO — Late Sunday evening, the agenda for the Aug. 21 San Antonio City Council meeting included a new resolution that calls for the council not to consider the proposed term sheet with the San Antonio Spurs for the proposed new downtown arena.
According to the resolution, a delay is sought until the City Council receives an independent economic impact study for the arena from a firm with no ties to the Spurs, comparable to the one conducted for Philadelphia in 2024, which highlights the impact on the General Fund.
Additionally, it requires each City Council member to host two in-person, publicly announced meetings with their respective constituents to gather their feedback on the completed independent economic impact study and any proposed terms sheet.
On Aug. 21, the City Council will consider non-binding terms, outlining the city’s commitment to fund its portion of the new arena through a bond structure. The City Council must vote on any resolution with a majority vote needed for it to pass.
The City of San Antonio and Spurs Sports & Entertainment are reportedly closer to finalizing a terms agreement for a new downtown arena, according to City Manager Erik Walsh.
“The city has made significant progress in negotiations with the Spurs this week,” Walsh said Friday evening. “Discussions have been productive, and both sides are close to finalizing terms that align with the financing structure previously shared with City Council. Once the draft term sheet is agreed upon, City Council could consider the proposal as soon as Wednesday, August 27.”
San Antonio Mayor Gina Ortiz Jones has been vocal about wanting more data about the proposed sports and entertainment district, known as Project Marvel, before moving forward with the plan.
The mayor held a news conference to discuss her call for an independent economic analysis. She urged the city to make a “strategic pause” in its negotiations with the Spurs, who are looking to build their new arena downtown before the team’s lease at the Frost Bank Center ends in 2032.
Jones said an independent economic analysis is needed to compare it to the one Spurs Sports & Entertainment submitted and prepared by CSL. The mayor has expressed a need for more clarification on several aspects of the project, particularly regarding the exact price tag for the arena.
The venue is currently estimated to cost between $1.3 billion and $1.5 billion, of which the city has discussed contributing up to $500 million. Bexar County Commissioners Court approved a November venue tax election that would pave the way for another $311 million, and the Spurs have committed to a $500 million contribution of their own.
Public comments at a recent City Council meeting revealed that the city is still divided. Some speakers voiced opposition, arguing that public dollars would be better spent addressing pressing issues such as homelessness and affordable housing.
“No one needs a basketball court,” said San Antonio resident Molly J. “We need housing. We need shelter-in-place. We need pallet home villages.”
“We are asking that you please postpone this vote, allow us to be educated, allow us to examine these studies, and we are demanding an independent economic study,” said COPS Metro Alliance’s Father Jimmy Drennan.
Project Marvel is the city’s multi-billion-dollar vision to enhance downtown with a sports and entertainment district, anchored by a new Spurs arena and surrounded by upgraded venues, mixed-use development, and expanded visitor experiences.