Delco council votes money for soccer stadium

About 100 carpenters, iron workers, electricians and other laborers packed a Delaware County Council meeting yesterday morning to support a professional soccer stadium in Chester expected to bring them 2,600 jobs.

The council voted, 2-1, in favor of kicking in nearly $30 million to support the $115 million stadium, under construction along the waterfront just south of the Commodore Barry Bridge. Backers of the project are betting that the stadium will be the spark and the anchor for $500 million in additional development meant to revive Chester.

"We're trying to keep this going," said Jim Harper, business representative for Local 413, a laborers' union based in Chester. "It will create jobs we'd love to have."

The council agreed to use $28.6 million in proceeds from the sale of bonds to help build the stadium, which will host a Major League Soccer team. The cost will be repaid over 30 years using state gaming money earmarked for further economic development in Chester and surrounding areas. The City of Chester also will pitch in some of its gaming funds to help repay the $28.6 million. The state has promised $47 million for the project.

Andy Lewis, a councilman from Haverford, cast the dissenting vote, a rarity in Delaware County. It was the first nonunanimous council vote in at least a decade, county officials said.

Lewis, who has a background in business and accounting, said he was not sure soccer was the right investment. He said he had asked to see three years of audited financial statements from MLS but was rebuffed. He asked for the documents publicly in May, and continued to ask for them as recently as last week. The league refused to open its books, he said, saying it is a private entity.

"That is a red flag," Lewis said Wednesday. "I just want to know going in that we're dealing with a healthy entity."

Lewis also said he wanted stronger written guarantees that the county would be protected if the team decided to relocate or the project failed.

"I want to know for certain that we will collect that money," Lewis said. "I think they're going to walk away from it, and unless you get a letter of credit or some substance behind it, that guarantee is not worth anything."

MLS declined to respond to Lewis' comments.

Dave Debusschere, chief financial officer of the team that will play in the stadium, said: "We have great faith in the project."

If the stadium project fails, and if the gaming industry that feeds money to the county also fails, Delaware County residents could be stuck with the $28.6 million bill, Lewis said.

John Whelan, vice chairman of the County Council, and Tom McGarrigle voted in favor of the project. The remaining two council members previously recused themselves and were not present for the vote.

The county will pay about $1.7 million a year to retire the debt at an average interest rate of about 4 1/2 percent over 30 years.

The stadium, set to be completed in 2010, will seat 18,634 people and be expandable to 21,600. Additional waterfront plans include residential, commercial and retail development.