Major League Baseball

Major League Baseball Jeopardizes 2006 Season for Nationals
By Diane M. Grassi

“Given my travel schedule and steroids and everything else, I’ve been sidetracked.” This was a quote from Major League Baseball’s Commissioner, Bud Selig, as given to the Washington Times on November 18, 2005. He was referring to the ongoing interview process of potential ownership for the Washington Nationals baseball team which was re-located to Washington, D.C. from Montreal, Canada, just prior to the 2005 season and now makes RFK Memorial Stadium its temporary home. But Mr. Selig’s quote only references part of the ongoing troubles of a ball club in total limbo, forcing it into a state of unpreparedness for the 2006 MLB season.

Not unlike the on-again off-again dash to finalize an agreement with the city of Washington, D.C. in December of 2004, the end of 2005 looms as a potential death knell to getting a stadium built, a lease agreement finalized and the installation of an owner or ownership group in the near future. In order for a General Manager, field manager and coaches to be named, the future owner must be chosen and ratified by 29 MLB owners. As long as MLB continues to haggle over the 2004 agreement with the city of Washington, D.C., which was rushed and was arguably a poorly drafted document according to D.C. City Council members and community activists, the Washington Nationals have less and less opportunities to sign free agents and attract management personnel.

The agreement made between the city of Washington, D.C. and MLB last December was dependent upon the city to build a stadium for the Nationals by 2008. In order to do so, the city must raise the capital through the sale of bonds to publicly finance the $535 million price tag. However, the cost of the stadium has risen due to unanticipated construction and raw material expenditures and now the key features which the original plans called for such as an underground parking garage, escalators and elevators, improved roads outside the stadium and expanded Metro train platforms, jeopardize the success of not only the stadium but the gentrified area surrounding it.

The aides of Mayor Anthony Williams, who negotiated the stadium agreement with MLB, estimated that the stadium of 41,000 seats would cost $395 million. However, no money was allocated for infrastructure such as the roads and Metro platforms as they assumed that the federal government or Metro itself would pick up the tab. Additionally, Natwar M. Gandhi, the city’s CFO, raised the estimated cost since the water for the stadium was not included in the original agreement. The architects chosen for the stadium’s design also escalated the original cost of $244 million to $337 million as land costs could now be as high as $98 million, but not certain. The ceiling now for the stadium, based upon whose calculator you believe but supposedly set by the City Council, now stands at $535 million.

With a final stadium architectural plan still yet to be approved, the mayor believes that either MLB, the federal government, private developers or even the new owner should pick up the tab on the ancillary costs not accounted for in the $535 million bargain. Should MLB, private developers or the federal government not chip in, then the taxpayers of Washington, D.C. will be left holding the bill for the balance, which was what started all of the arguments a year ago. Therefore, millions of dollars earmarked for other projects for the city of Washington, D.C., such as improvements in homeland security first-responders, would be sacrificed.