From Front Office Sports <[email protected]>
Subject Kansas Pushes for Chiefs, Royals
Date June 21, 2024 11:24 AM
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June 21, 2024

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The possibility of the Chiefs and Royals moving across state lines is growing. … Live sports continue to thrive as cable subscribers decline. … Diamond Sports Group’s next major bankruptcy hearing is today. … And Front Office Sports Today explores women’s sports media with a former USWNT star.

— David Rumsey [[link removed]] and Eric Fisher [[link removed]]

Border War Intensifies: Kansas Makes Swift Move to Lure Chiefs and Royals [[link removed]]

MANICA

With remarkable swiftness, Kansas legislators are moving to make good on their bold plan to lure both the NFL’s Chiefs and MLB’s Royals across the border from Missouri to the Sunflower State.

Less than three months after a ballot box defeat [[link removed]] in Jackson County, Mo., roughly two months after the beginning [[link removed]] of legislative efforts, and just weeks after the formation [[link removed]] of an advocacy group to recruit the Chiefs, bipartisan supermajorities in both chambers of the Kansas legislature approved a measure to issue bonds to build new stadiums for the two teams.

In a special session originally called to review proposed tax cuts, the Kansas legislators have authorized a bill calling for the use of Sales Tax and Revenue (STAR) bonds to pay for up to 70% of the cost of stadiums for one or both teams. Final development costs have not been determined, but a combined bill for two facilities could easily surpass $3.5 billion. The bonds would be repaid through a mix of sales tax, sports betting, and lottery revenue.

The measure now goes before Kansas Gov. Laura Kelly, who signaled a willingness to support it.

“Kansas now has the opportunity to become a professional sports powerhouse,” she said.

Decisions, Decisions

Neither the Chiefs nor the Royals have formally pledged to move to Kansas with the passage of stadium legislation, and both teams released statements saying they are looking forward to further exploration and consideration of the potential opportunity across the border. The teams’ stadium leases at the Truman Sports Complex expire in 2031. But less officially, it’s clear there is a receptive audience with these moves, particularly in the wake of what happened back in Missouri.

“Missouri spoke. Jackson County spoke. They had their opportunity,” said Korb Maxwell, an attorney representing the Chiefs at a hearing before the Kansas legislature to review the bond measure. “But now, there’s a moment for Kansas to step up and an option for us all here.”

Manica Architecture, which is already working with the Chiefs, also released [[link removed]] a new set of conceptual renderings (above) for a Royals facility located right at the state line in Kansas—though the team says it had no involvement in those images.

‘Border War’

Back in Missouri, both city and county officials called on Kansas to honor the terms of a 2019 truce between the two states to not poach businesses from each other.

“[The] vote regrettably restarts the Missouri-Kansas incentive border war, creating leverage for the teams but injecting even greater uncertainty into the regional stadium conversation,” said Kansas City Mayor Quinton Lucas.

At the same time, though, Lucas threw some shade at his neighbor, saying the Kansas legislation “provides only a speculative ability to sell bonds untethered to private funding plans, costs, locations, or discussion of the unknown consequences for taxpayers and existing businesses.”

TIME CAPSULE June 21, 1986: Gridiron to Diamond

USA TODAY Sports

On this day 38 years ago: Bo Jackson (above), the top pick in the 1986 NFL draft and the prior year’s Heisman Trophy winner, stunned the sports world by forgoing football to sign a contract with MLB’s Royals, who also selected the two-sport star in the fourth round of the ’86 MLB draft. Jackson held true to a vow not to sign with the Buccaneers, who selected the phenom with that No. 1 pick. Even before the NFL draft at the end of April, though, Jackson’s relationship with Buccaneers and owner Hugh Culverhouse had soured heavily. Jackson lost his final year of collegiate baseball eligibility after traveling on a team-funded private plane to visit the Buccaneers’ facility, and he would later allege the team set him up to damage his baseball career and push him toward football.

Jackson’s choice had major financial implications as he gave up a reported five-year, $7 million contract offer from the Buccaneers, instead opting for a three-year, $1.07 million deal with the Royals that included a $100,000 signing bonus. But the remarkable saga for Jackson was just getting started. After a brief stint in the minors, Jackson became a full-time major leaguer in 1987 and an All-Star two years later, electrifying fans with his unique blend of power and speed.

Football didn’t stay away too long for Jackson. He started what he called an offseason “hobby” in 1987 with the then Los Angeles Raiders, and he quickly became the first modern two-sport pro star. As he helped pave the way for later dual-sport athletes such as Deion Sanders and Brian Jordan, Jackson also became a pop culture fixture, thanks in no small part to Nike’s high-profile “Bo Knows” marketing campaign. The meteoric rise, however, came to a crashing end in ’91 when a hip injury ended his football career. Never the same on the diamond, either, his baseball career also finished in ’94. More recently, Jackson said [[link removed]] he wouldn’t play football at all if he was starting his athletic career again.

SPONSORED BY CHAMPS SPORTS

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TV Companies Losing Subscribers As Sports Rights Deals Continue to Rise [[link removed]]

Journal Sentinel

Today’s media landscape in general is as uncertain as ever. But still, one thing remains constant: Sports leagues can almost always expect a rights-fee increase when negotiating new broadcast deals. That’s a particularly interesting wrinkle considering the continued decline of customers who pay for TV access.

Four major TV provider companies reported collective losses of roughly 1.35 million customers during their first fiscal quarters, according to Cord Cutters News [[link removed]]. Here’s how many each lost between Jan. 1 and March 31:

Comcast: 487,000 Spectrum: 405,000 Dish TV: 348,000 YouTube TV: 150,000

Those lost customers will result in hundreds of millions of dollars in monthly fees no longer being allocated to the pay-TV business.

Sports Still Selling

Despite the shift in viewing habits, live sports continue to generate more revenue than any other programming available. Leagues of all kinds are still seeing regular increases in new media-rights deals. Just look at some recent agreements and the percentage increases of the annual average values:

French Open: $65 million [[link removed]], up 435% College Football Playoff: $1.3 billion [[link removed]], up 115% NASCAR: $1.1 billion [[link removed]], up 40% NBA (reported): $6.9 billion [[link removed]], up 155%

Media companies continue to shell out billions of dollars for live sports as traditional players look for new ways to attract fans. ESPN is still planning [[link removed]] to offer a direct-to-consumer option, even as it partners with Fox Sports and Warner Bros. Discovery on a sports-only streaming service. Meanwhile, the NFL’s $110 billion media contracts run through 2033, but the league could cash in earlier by opting out [[link removed]] at the end of this decade.

FRONT OFFICE SPORTS TODAY Rise of Women’s Sports Media

Joe Nicholson-USA TODAY Sports

While women’s sports have grown in stature and revenue, soccer star Tobin Heath (above) saw a gap in how they are covered. She is working to fill that void through her company, Re-Inc., founded with other USWNT players, and her podcast, The Re-Cap Show. She joins the show to discuss the state of the sport, what the U.S. can learn from Europe, and Copa América.

🎧 Watch, listen, and subscribe on Apple [[link removed]], Google [[link removed]], Spotify [[link removed]], and YouTube [[link removed]].

LOUD AND CLEAR One-Sided Conversation

Kirby Lee-USA TODAY Sports

“It was like talking to a brick wall.”

—Cox Communications attorney Stu Lombardi, describing the company’s difficult negotiations with Major League Baseball regarding the Diamond Sports Group bankruptcy. In a discovery hearing held this week in U.S. Bankruptcy Court, representatives for the regional sports network operator, major cable carriers, and several major pro leagues grappled [[link removed]] over requests by MLB and others to see cable contracts that are normally confidential to evaluate DSG’s proposed reorganization plan.

The hearing will resume Friday, focusing in part on DSG’s deal with Amazon for both post-bankruptcy financing and online distribution. But Judge Christopher Lopez has said thus far that MLB, the NBA, and the NHL need to see only aggregated data showing DSG’s financial projections instead of specific distribution deals.

SPONSORED BY CHAMPS SPORTS

The dust is settling on Real Madrid’s long-awaited signing of French soccer superstar Kylian Mbappé, who is leaving Paris Saint-Germain, but there’s still plenty to unpack off the pitch. The move brings an official end to a complicated, years-long saga involving billions of dollars and the most powerful entities in the sport.

Check out [[link removed]] the Summer of Soccer hub to read the full article and stay up to date on all the action.

Conversation Starters EA Sports has unveiled [[link removed]] the official reveal trailer for Madden 25, which is set to release Aug. 16 for $69.99. Speaking of trailers, Netflix has released the first one for its new docuseries, Simone Biles Rising, that premieres July 17. Watch here [[link removed]]. Amazon Prime Video has launched a new promotion for its docuseries Federer: Twelve Final Days, featuring Roger Federer facing off against his younger self on Tower Bridge. Check it out [[link removed]]. Editors’ Picks Why Michael Johnson’s $30 Million Track League Won’t Have Any Safety Pins [[link removed]]by Alex Schiffer [[link removed]]The league also won’t have field events at all. Copa América’s Temporary Grass Sparks World Cup Stadium Debate [[link removed]]by David Rumsey [[link removed]]Six stadiums installed temporary natural grass fields. New Koch Stake Values Nets, Liberty Parent at $6 Billion [[link removed]]by Alex Schiffer [[link removed]]The Koch family is well known for its conservative political donations. Advertise [[link removed]] Awards [[link removed]] Learning [[link removed]] Video [[link removed]] Podcast [[link removed]] Sports Careers [[link removed]] Written by Eric Fisher [[link removed]], David Rumsey [[link removed]] Edited by Matthew Tabeek [[link removed]], Catherine Chen [[link removed]]

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