The city of Los Angeles took a non-binding but sizable step forward on Monday as city officials revealed a financing plan that would bring in the long discussed $1 billion Farmers Stadium and add a new wing to the city's adjacent Convention Center.
The Convention Center aspect of the plan would require the city issuing $195 million in bonds and is considered central to the new stadium deal. These bonds would be paid back by new revenue from the project including AEG lease income, parking taxes, property taxes and a construction tax. The city would issue an additional $80 million in bonds that would be the responsibility of AEG.
The city council will begin discussing the financing plan this Friday with a plan to vote before leaving for a recess on August 20. The vote would be for a non-binding agreement, but would keep the project on track for the tentative 2016 opening date.
AEG has worked on a massive publicity campaign in LA rallying the support labor leaders and the police. One partner that will have a say in all this is the NFL. While the league has not been overly vocal on the stadium front, the new CBA includes stadium credits for three new stadiums, one of which is meant for Los Angeles. Now it's just a matter of finding a team to move into the new stadium in five years.