Daily Tax Report: State provides authoritative coverage of state and local tax developments across the 50 U.S. states and the District of Columbia, tracking legislative and regulatory updates,...
By Alex Ebert
Heavy pressure from the Ohio Attorney General enforcing a unique state tax law kept a Major League Soccer team from moving to Austin, Texas, despite the owner’s wishes.
For the first time in the U.S., a state law based on public tax assistance stopped a major pro sports team from leaving. On Oct. 12, the Cleveland Browns’ owners announced they were part of a group negotiating the sale of the Columbus Crew, which Attorney General Mike DeWine (R) sued this year to force into negotiations.
Up until now, sports teams have used the U.S. Constitution to batter down all attempts to keep squads from leaving. Ohio’s stadium-tax law (R.C. 9.67), which requires a team to offer local buyers a chance to purchase a team that receives public support, survived motions from league attorneys arguing that forced negotiations would violate the team’s rights. The Crew received at least $6.6 million from Columbus and Ohio for stadium infrastructure improvements.
That tune changed Oct. 12.
“MLS, the Columbus Partnership and the investor group all agree that for the club to be successful in Columbus, it requires strong local partners, long-term corporate support, a strong season ticket base and long-term plans for a stadium, practice facilities and associated sites,” the league said in a statement. “MLS is committed to keeping Crew SC in Columbus should we continue to make progress on these critical components and agree to key terms with the investor group.”
DeWine also crowed about the announcement.
“I am proud of the work our legal team has done in ensuring Ohio’s laws are followed and the door has been kept open to productive negotiations,” he said in an Oct. 12 statement. “Our community has invested in this team and deserves the opportunity to keep the black and gold right here, where they belong.”
The MLS said it is still committed to placing a team in Austin.
All Bloomberg BNA treatises are available on standing order, which ensures you will always receive the most current edition of the book or supplement of the title you have ordered from Bloomberg BNA’s book division. As soon as a new supplement or edition is published (usually annually) for a title you’ve previously purchased and requested to be placed on standing order, we’ll ship it to you to review for 30 days without any obligation. During this period, you can either (a) honor the invoice and receive a 5% discount (in addition to any other discounts you may qualify for) off the then-current price of the update, plus shipping and handling or (b) return the book(s), in which case, your invoice will be cancelled upon receipt of the book(s). Call us for a prepaid UPS label for your return. It’s as simple and easy as that. Most importantly, standing orders mean you will never have to worry about the timeliness of the information you’re relying on. And, you may discontinue standing orders at any time by contacting us at 1.800.960.1220 or by sending an email to email@example.com.
Put me on standing order at a 5% discount off list price of all future updates, in addition to any other discounts I may quality for. (Returnable within 30 days.)
Notify me when updates are available (No standing order will be created).
This Bloomberg BNA report is available on standing order, which ensures you will all receive the latest edition. This report is updated annually and we will send you the latest edition once it has been published. By signing up for standing order you will never have to worry about the timeliness of the information you need. And, you may discontinue standing orders at any time by contacting us at 1.800.372.1033, option 5, or by sending us an email to firstname.lastname@example.org.
Put me on standing order
Notify me when new releases are available (no standing order will be created)