Portland, Oregon – A complex plan to secure the future of the Portland Trail Blazers in the state has been unveiled by leading Oregon Democrats, involving potential state ownership of the Moda Center and a dedicated fund fueled by taxes linked to the team and the arena itself. The move comes as the franchise prepares for a change in ownership and faces questions about its long-term commitment to the city.
Senate Bill 1501, introduced on , proposes diverting income taxes paid by the Trail Blazers and other employers in Portland’s Rose Quarter to a new fund specifically for renovating the aging Moda Center. The bill extends this funding mechanism to include income taxes generated by construction firms undertaking the arena renovations, as well as taxes from entertainers performing at the venue. Crucially, access to these funds is contingent upon the Trail Blazers committing to remain at the Moda Center for a “specified term.”
The initiative, spearheaded by Senate President Rob Wagner, marks the beginning of legislative efforts to retain the NBA franchise in Portland as billionaire Tom Dundon prepares to take ownership next month. Concerns have been raised that Dundon may consider relocating the team if the Moda Center is not brought up to modern standards, a sentiment echoed by officials across the political spectrum.
Governor Tina Kotek emphasized the importance of securing the team’s future, stating last month, “What I think is important is to make sure that we have a facility like the Moda Center in Portland that can keep our most important tenant, which is the Portland Trail Blazers.” Kotek indicated a willingness to partner with the new owner and expressed a desire for a commitment of 20 to 30 years to keep the team in Portland in exchange for public investment.
The proposed public investment in the renovation project is estimated at $600 million, to be shared between the state, the city of Portland, and Multnomah County. A joint statement released on by Kotek, Wagner, House Majority Leader Ben Bowman, Multnomah County Chair Jessica Vega Pederson, Portland Mayor Keith Wilson, and Portland City Council President Jamie Dunphy underscored the importance of the project. “The key to ensuring Portland remains Rip City for years to come is a significant renovation of Moda Center, the oldest venue where the NBA plays that has not undergone a major renovation,” the statement read.
The Moda Center, opened in 1995, is one of the few remaining NBA arenas that has not undergone a substantial overhaul. Lawmakers supporting the bill argue that the arena is a valuable public asset requiring investment, and that ensuring the Trail Blazers’ continued presence is a logical justification for that investment.
SB 1501 proposes a unique funding structure that would allow the state to become a partial owner of the Moda Center through a “joint authority.” This would open the possibility of borrowing against the state’s general fund, with repayments sourced from the newly established arena fund. Officials have indicated this structure would not immediately impact the state’s current budget, which faces a roughly $650 million shortfall.
While the bill appears to have strong support from key Democratic leaders, it is likely to face scrutiny from groups opposed to public financing for sports facilities. The financial commitment required from local governments – the city of Portland and Multnomah County – also remains uncertain. Kotek acknowledged the need for further discussion, stating, “We just need to know what are the options. We have to put a proposal in front of the new owners to say, ‘This is what Oregon can do to have the Moda Center modernized.’”
The situation highlights a broader trend of NBA teams seeking public funding for arena upgrades, leveraging the economic and cultural impact they bring to their host cities. The Portland case is particularly sensitive given the team’s long-standing connection to the city and the potential ramifications of a relocation, not only for the local economy but also for the civic identity of the region.
The success of SB 1501 will depend on navigating complex negotiations with the incoming ownership group, securing commitments from local governments, and addressing concerns about the use of public funds. The coming weeks will be critical in determining whether Portland can successfully secure its place as “Rip City” for generations to come.
