Warriors to Pay Oakland, Alameda County $40 Million

An arbitrator has ordered the Golden State Warriors to complete roughly $40 million in payments for renovations at Oracle Arena, which the team is scheduled to leave after the 2018-2019 season.

The government agency that manages the Oakland arena took out a $150 million bond in 1996 for basketball renovations that the team agreed to help finance with annual payments.

But the Warriors said their debt obligation ends when they terminate their lease and leave Oakland for San Francisco at the end of the season. The team and the Oakland-Alameda County Coliseum Authority agreed to have an arbitrator rather than a judge decide the dispute.

Arbitrator Rebecca Westerfield said the team was wrong and agreed to pay for the renovations in 1996. She ordered the team to continue making payments until the bond is paid off in 2027.

"We all love the Warriors and appreciate their success on the court," Oakland City Council President and Coliseum Authority Vice Chair Larry Reid told the Associated Press. "However, the taxpayers of our community should not be on the hook for debt incurred and renovations completed at the Warriors request."

The team says it disagrees with the decision and is reviewing all options, but that it fully plans to pay the debt obligations that it owes.

Read more about the decision here

Image Credit: https://flic.kr/p/6VcSTq


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Policy

Finance

Tuesday, January 29, 2019 - 20:41

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