Royals, Chiefs sign 25-year lease agreements, contingent on tax vote

KANSAS CITY, Mo. -- The Chiefs and the Royals on Tuesday signed agreements that would keep them at their Kansas City stadiums through 2031.

The new stadium leases, replacing ones that would have expired in 2015, are contingent on Jackson County voters approving a pair of tax issues that would help pay for millions of dollars in renovations to Arrowhead and Kauffman stadiums, which are owned by the Jackson County Sports Complex Authority and leased to the Chiefs and Royals, respectively.

Moments after Chiefs owner Lamar Hunt and Royals president Dan Glass, son of owner David Glass, signed the leases, county legislators voted unanimously to put a 3/8-cent sales tax and a "compensating user tax" on the April 4 ballot in Jackson County.

"I think we took a big step forward," said county legislator and former Chiefs player Fred Arbanas, following negotiations that began last week and ended early Tuesday.

The focus now shifts to persuading voters to approve the taxes. Hunt and Glass said their organizations would contribute heavily to any campaign, as they did in an unsuccessful attempt last year to impose a stadium renovation tax in five counties in the two-state metropolitan area.

Jackson County officials said they have run out of money to pay for millions of dollars in required repairs at the stadiums and fear they would default on the leases next year, possibly allowing the teams to move elsewhere.

Hunt and Glass have repeatedly expressed their desire to remain in Kansas City and deferred questions Tuesday of whether the April election will be referendum on the teams' future in town.

The new leases provide for $575 million in renovations to Arrowhead and Kauffman and require the teams to cover any cost overruns.

A 3/8-cent sales tax would generate $425 million, with the teams contributing $100 million of their own and the state providing $50 million in tax credits.

Team officials also have agreed to charge a 5 percent parking fee and add user fees to their tickets.