Saturday, May 08, 2004
Twins Give Up Cable Network As Stadium Plan Hits New Obstacle
A double dose of bad news for Minnesota Twins management:
The club has abandoned plans to start its own cable network, signing an eight-year contract with Fox Sports Net that will bring Twins games into local households. Fox Sports agreed to pay $12 million this year for the Twins, double what it paid last season; this figure is expected to rise in future years. The Pohlad family lost a reported $10 million on Victory Sports.
Ths cable deal was struck hours after the Minnesota House's Ways and Means Committee had refused to vote the stadium plan out of committee, deadlocking 13-13. After the vote, House Speaker Steve Sviggum said, "The stadium bill is done and gone for the session. I have no plans to resurrect it at all." Other legislators may try again, particularly if the legislature is called into special session as many anticipate.
Before the tie vote, the Ways and Means Committee had also voted, 16-10, to replace the tax increment financing favored by Gov. Tim Pawlenty with extensions of existing taxes that are currently due to expire in 2005: a 2.5% alcohol tax, a 3.2% tax on malt liquor, and a 6.2% car rental tax. These tax extensions would not require a referendum. Gov. Pawlenty's chief of staff says the Governor won't support the bill in that form, even if it gets out of committee.
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A double dose of bad news for Minnesota Twins management:
The club has abandoned plans to start its own cable network, signing an eight-year contract with Fox Sports Net that will bring Twins games into local households. Fox Sports agreed to pay $12 million this year for the Twins, double what it paid last season; this figure is expected to rise in future years. The Pohlad family lost a reported $10 million on Victory Sports.
Ths cable deal was struck hours after the Minnesota House's Ways and Means Committee had refused to vote the stadium plan out of committee, deadlocking 13-13. After the vote, House Speaker Steve Sviggum said, "The stadium bill is done and gone for the session. I have no plans to resurrect it at all." Other legislators may try again, particularly if the legislature is called into special session as many anticipate.
Before the tie vote, the Ways and Means Committee had also voted, 16-10, to replace the tax increment financing favored by Gov. Tim Pawlenty with extensions of existing taxes that are currently due to expire in 2005: a 2.5% alcohol tax, a 3.2% tax on malt liquor, and a 6.2% car rental tax. These tax extensions would not require a referendum. Gov. Pawlenty's chief of staff says the Governor won't support the bill in that form, even if it gets out of committee.
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