Moda Center Renovation Bill Introduced in Oregon Senate to Support Blazers & Economy

PORTLAND, Ore. – A bill introduced by Oregon Senate President Rob Wagner aims to secure the long-term future of the Moda Center, potentially committing significant state resources to renovate the aging arena. The proposal, formally designated Senate Bill 1501, seeks to establish a framework for a multi-jurisdictional agreement involving the state, the City of Portland, and Multnomah County to fund a comprehensive overhaul of the venue, estimated to cost around $600 million.

The impetus behind the legislation stems from concerns about the Moda Center’s competitiveness as a venue for major events and its role as an economic driver for the region. Officials emphasize the arena’s importance as the home of the Portland Trail Blazers and a key component of the Lower Albina neighborhood’s revitalization. Governor Tina Kotek, alongside key legislative leaders and local officials, has voiced strong support for the project, framing it as vital to maintaining Portland’s status as a “Rip City” for years to come.

“The Moda Center, with the Portland Trail Blazers as its anchor tenant, is a source of civic pride and is critical to the strength and continued growth of our local, regional, and statewide economies,” President Wagner stated. “Renovating Oregon’s Arena is the best investment we can make in Oregon’s economic future.”

The proposed legislation outlines three core components designed to facilitate the renovation and ongoing management of the Moda Center over a 20-year period. First, it proposes a pathway to shared ownership of the arena between the state and the City of Portland, which currently owns the facility. This shared ownership structure would allow the state to leverage general obligation bonds over two decades as a financing mechanism for the renovations. Currently, the Moda Center is the oldest NBA venue that hasn’t undergone a major renovation.

Second, SB 1501 establishes the “Oregon Arena Fund,” a dedicated fund intended to receive financial contributions from various sources to support the renovation, maintenance, and operation of the Moda Center, including debt service payments. Crucially, the bill does not currently appropriate any funds directly into this fund; rather, it sets up the mechanism for future funding streams.

The third component directs specific state agencies to collaborate with the arena operator to quantify the tax revenues generated by economic activity at the Moda Center. These revenues would then be reinvested back into the Oregon Arena Fund to cover debt service and operational expenses. The intention is to fund the project through revenue generated by the arena itself and other existing revenue sources, avoiding the imposition of new taxes on Oregonians.

The joint statement released by Governor Kotek and other leaders underscored the broader economic benefits of the renovation. They argued that a modernized Moda Center would enhance Portland’s ability to attract national concert tours and secure future marquee athletic events, such as the NCAA Women’s Final Four, which Portland is slated to host in 2030. The officials emphasized that the project extends beyond basketball, representing a significant investment in the state’s overall economic competitiveness.

The proposal comes at a time of economic challenges for Portland. Recent data indicates a significant decline in the market value of the city’s largest office buildings. A report cited by KATU indicated that Portland’s 20 largest office buildings have lost $2 billion in market value since 2019, reflecting the impact of the COVID-19 pandemic and broader economic shifts. The Moda Center renovation is presented as a countermeasure to these trends, aiming to stimulate economic activity and attract investment to the region.

The success of SB 1501 hinges on securing legislative approval and navigating a full public vetting process. Officials expressed confidence that lawmakers across the political spectrum will recognize the importance of preserving the Blazers’ long-term presence in Portland and supporting a vital community asset. The bill’s proponents emphasize the enduring cultural significance of the Trail Blazers, stating that the team is “at the center of our state’s identity” and deserves continued investment.

The proposed financing structure, relying on revenue generated by the arena and existing state resources, is designed to minimize the financial burden on Oregon taxpayers. However, the $600 million price tag represents a substantial investment, and the details of the funding mechanism will likely be subject to intense scrutiny as the bill progresses through the legislative process. The bill’s focus on reinvesting revenue generated by the Moda Center back into the arena is a key element of its appeal, positioning the renovation as a self-sustaining economic development project.

The legislation’s emphasis on shared ownership between the state and the City of Portland signals a collaborative approach to addressing the arena’s needs. This partnership is intended to ensure that the Moda Center remains a valuable asset for the entire state, not just the city of Portland. The bill’s passage would mark a significant step towards securing the future of the Moda Center and solidifying Portland’s position as a major destination for entertainment and sporting events.