Chattanooga Sports Authority Board Meeting – December 11, 2025
Chattanooga Sports Authority Board Meeting – December 11, 2025
The Chattanooga Sports Authority Board met on December 11, 2025, to review financial progress reports, receive a stadium construction update, and approve scheduling a special meeting to address amendments to covenants for the adjacent private development. Key discussions centered on the stadium's budget, construction timeline, and minor modifications to property agreements. The meeting confirmed the stadium remains on track for first pitch on April 14, 2026.
Financial Progress Report
- The financial statement showed combined asset accounts of $78 million, liabilities of $97 million, resulting in a negative fund balance of $18 million, attributed to timing differences between capital improvement projects (CIP) and assets.
- Operating income at the bottom matched the fund balance.
- Budget percentage used: stadium at 76% and 26th Street public infrastructure at 58%. Board members clarified that the 76% figure represents encumbrances (committed funds) rather than completion.
Stadium Construction Update
- Work progressing daily: field installation begun; interior steel beams painted; standing seam roof and siding installed on powerhouse, pattern shop, and third base buildings; handrails installed on suite and upper suite balconies; elevator installation started in multiple buildings (five total).
- Team store construction: modular facility fabrication began off-site; preparation on site underway.
- Concrete reuse: stacked slab walls installed using saw-cut concrete from the site, contributing to the project's 30% sustainability goal (currently at 22.6%, unchanged from prior report).
- Cash flow tracking: after lagging behind estimates, the project now aligns closely with the cash flow curve and remains within budget.
- Site preparation (foundry sands and other materials): $6.7 million of approved draws disbursed out of the $10 million allocation.
- Team expenditures: $5.1 million in approved draws, an additional $5.7 million in request notices (obligated but not yet paid), and $8.2 million still under negotiation (e.g., office furnishings).
Covenants and Restrictions Revisions
- Bill Payne, City Engineer, presented the need for a special meeting to revise existing declarations on the stadium property. The adjacent private development requires an extension of a no-build area on the interstate side and approval of limited air rights for an upper-floor overhang. These changes are minor technical adjustments to align with the private building's design and do not alter property lines or affect stadium operations or construction.
- The board approved scheduling a special meeting for January 8, 2026, at 10:30 a.m. to finalize the amended covenants.
Team Store and Adjacent Property Clarification
- Board members inquired about the team store location. Bill Payne clarified that the team store is situated on adjacent property owned by Pipe Properties (not on stadium property). The team has a lease from Pipe Properties for the store's operations. Tennessee Department of Revenue confirmed that sales tax from the store can be applied toward bond proceeds for the stadium project.
Traffic and Transportation Coordination
- Bill Payne noted continued meetings with city transportation staff and the signalization contractor to optimize traffic patterns for stadium events, including games. The city's special events committee is also engaged on this topic.
Key Outcomes
- First pitch confirmed for April 14, 2026 – no delays anticipated.
- Special meeting scheduled for January 8, 2026, at 10:30 a.m. to approve amended covenants.
- Financial and construction progress is on budget and on schedule.
- Board expressed satisfaction with progress and thanked the project team.
Meeting Transcript
Funds into one column, which you will see on the right side of the page. Doing this simplify uh simplifies the report and allows the board to quickly determine uh operating income more efficiently. So starting at the top of the page, uh, we combine the asset accounts showing a total of seventy-eight million. Uh beneath that is a list of the liabilities for a total of ninety-seven million, uh, resulting in a fund balance of negative eighteen million. Uh, that is we believe is more due to a timing of difference between the CIP and the assets, which we put which we will show differently going forward. Further down the page is the income expense portion of the statement, uh, with revenues coming from the capital contributions and interest earned from the bonds. Please note that also the operating income of the negative 18 at the bottom of the page matches the fund balance at the top. At this uh section, does the board have any questions regarding this progress report? We still have money. Yes, plenty of it. Good. Okay. So going on to the next page. You'll see a more condensed uh version of the budget. Uh shows the encumbrance and actual expenses with the amount remaining. Uh please take note on the far right side where it shows percentage used. As you can see for the stadium, there's about 76% of the budget used to date. And beneath that is the public infrastructure, which is the 26 uh West 26th Street. Uh showing a 58% completion. Uh at this moment, does uh the board have any questions regarding this statement? Actually, is it not uh 76% committed as opposed to complete it? The encumbrance 25 is not really completed yet, right? That's true. We we do include that section to show what's coming down the pike. Yeah, yeah. Uh that concludes my presentation. Is there anything else that the board would like to know? I'll be happy to answer them. Okay, well, thank you. Thank you. Thank you. Okay, we'll just go right into item five. Notice of special meeting needed January 8th at 10 30 a.m. regarding revisions to the covenants and restrictions for approval. Thank you, Mr. Chair. Bill Payne, City Engineer. Um, this there are some items that are related to the adjacent um private development that'll be uh just outside of the left field wall. And so there currently are some declarations that were signed as part of the closing that discuss um portions of the stadium property being uh set aside for either either a no-build uh restriction in that particular area. There's a there's a some modification that needs to be made to those in order to accommodate the building as it's being designed, so it's not actually any sort of substance substantial change, but we'll be prepared to present that that information at the January special called meeting. So that's that's our that's our need in needing to call that because it's information that's needed. Uh it's the change is needed in order for that to be in place uh as they're going through the permitting process, uh, which the February the regular February meeting would be beyond the ideal timeline. Okay. And Bill, this is just a slight uh extension of a wall that's going closer to the area of the interstate. Is that correct? It's on the interstate side. Correct. Currently, currently that the no build area on the stadium property stops a little bit short of where West 26th Street is, so this will just extend it a short distance to get to the rest of that piece, and then they'll the design of the building uh and the way that it lays out on the property. There's a portion of the building much further up above that that will have a small portion that will extend over that no build area, but there the declaration does not allow for any air rights to the building for that protrusion to come over to come across the property line. So that'll be that'll be the discussion.
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