A key Senate Democrat said Monday that she considers the bill dead after a partisan speech from Gov. Youngkin — but others didn’t go as far.
RICHMOND, Va. (WRIC) – The plan to relocate two professional sports teams to northern Virginia is on shaky ground as divisions between Democrats and Republicans flared and spilled into public view after a speech from Gov. Glenn Youngkin.
The proposed plan to help build a $2 billion sports and entertainment district in Alexandria with a new arena for the NHL’s Washington Capitals and NBA’s Washington Wizards can still move forward under a bill in the House of Delegates or through language in the state budget.
But legislation in the Virginia Senate is effectively done for this year after state Sen. L. Louise Lucas (D-Portsmouth), chair of the Senate Finance & Appropriations Committee, refused to take the bill up in the committee Monday.
Lucas, who told reporters she considers the effort dead, made the move after writing on social media over the weekend that the bill was not “ready for prime time” and accusing Youngkin of negotiating in bad faith.
The post on X from Lucas came after Youngkin criticized Democrats in a speech at Washington and Lee University over the weekend, remarks Democrats questioned as the governor needs bipartisan help from the Democrat-controlled legislature on the arena deal and his other priorities.
“Democrats today do not believe in — nor do they want — a strong America, an America with no rivals; they are content to concede, to compromise away, to abandon the very foundations that made America exceptional,” Youngkin said in the part of his speech he later posted on X.
“This is the speech he gives while wanting us to compromise with him and give him the Glenn Dome?!?!” Lucas posted on X.
Democrats have pushed for Youngkin to compromise on their legislative priorities, including raising the minimum wage, transportation funding and a retail cannabis market, to get behind the proposed deal. Lucas has also called for toll relief in the Hampton Roads region but told 8News reporter Tyler Englander that she has not received any assurance from Youngkin on paper for the toll relief.
Lucas raised concerns Monday over the project’s financing plan, including parts of the deal that could require taxpayers to help fund the project if revenues don’t hit expectations.
“The more we use the reputation of the commonwealth to finance billionaires’ projects, the more we risk not being able to finance our own projects,” Lucas said during the committee’s Monday meeting.
According to the Associated Press, Lucas told reporters after Monday’s meeting that she considers the arena deal to be dead but other top Democrats didn’t go as far.
Rob Damschen, Youngkin’s communications director, said the governor is “confident” about the legislature coming together on the proposal “because this project is good for the entire Commonwealth.”
“It creates 30,000 jobs and unlocks billions in new revenue that can be used to fund expanded toll relief in Portsmouth, increased funding for I-81, and new money for education for rural and urban school divisions across the Commonwealth,” Damschen continued.
Senate Republicans accused Democrats of trying to avoid going on the record on the legislation — which was proposed by top Democrats in the House and Senate — because they are divided on their support for the project.
“The unilateral decision to pocket veto a piece of legislation does not align with the Senate’s tradition of giving every bill a fair hearing,” Senate Republican Leader Ryan McDougle (Hanover) said in a statement.
Youngkin (R) and Ted Leonsis, the owner of the teams and CEO of Monumental Sports & Entertainment, announced the public-private partnership last December to build a 9-million-square-foot district on a 70-acre site in Alexandria’s Potomac Yard neighborhood.
The tentative deal, which also needs approval at the local level, calls for the creation of a sports and entertainment authority to oversee the project that will issue the bonds for the project. The authority, which would be established under the legislation being considered, would own the land and enter a 40-year lease with Monumental Sports.
Monumental Sports will invest $403 million and bonds issued by the authority will be repaid through the rent from Monumental, district naming rights, money from arena parking and incremental tax revenue from the arena and the first phase of the development, per Youngkin’s office.
The House bill was advanced with changes to increase the authority membership to 15, giving legislators the same number of appointees as the governor at five apiece, and a reenactment clause that requires lawmakers to approve the authority again next year.
Bills unrelated to the state budget need to get through the chamber in which they were proposed before Tuesday’s crossover, the legislative session’s halfway point, when they make their way to the other chamber for consideration.
Even if both bills fail, budget bills in both chambers have provisions to create the sports and entertainment authority. The 2024 General Assembly session is set to end on March 9.
