Council Approves RFK Site Redevelopment on First Vote
At its latest Legislative Meeting and the second such meeting in just a week, the Council approved, on the first of two necessary votes, the planned redevelopment of the former RFK stadium site.
This was a play in three acts. The first act was the last-minute effort by the prior Congress and President Joe Biden in late 2024 to transfer the RFK site from federal to District hands. The second act was an agreement by the Commanders and the mayor regarding how to use the RFK site for a variety of purposes, including bringing the Commanders home to DC. And the third act was the Council ensuring that the new RFK plan was a better deal for DC and consistent with key values held by Councilmembers and the public. The legislation approved at the most recent Legislative Meeting in the first of two necessary votes, is a critical step forward on those key Council goals.
When the legislation encapsulating the mayor’s deal with the Commanders was presented to the Council, as incorporated in the proposed Budget Support Act, it was lacking in several critical areas—financial return to the District, construction timelines and limits, transportation and environmental considerations, labor/workforce/ Certified Business Enterprise agreements, and community benefits. Testimony from over 500 public witnesses at the public hearing earlier this week hammered home those shortfalls. Individual councilmembers then took the lead on negotiation of each category of improvements.
In a series of timely and hard-fought concessions made by the Commanders, first in negotiations with the Chairman, then in a letter shared between the public hearing and the team hearing, and finally in the final lead-up to the Council approval vote, the team addressed each of these problem areas.
Financial Return to the District
First and foremost, in regards to financial return to the District, the Commanders agreed to the following $779 million in concessions:
- $260 million in parking fees from non-event days
- All parking taxes ($112 million)
- $54 million in sales tax on merchandise at the stadium
- $248 million in sales tax on food and beverage at the stadium
- $50 million community benefit package
- $55 million in debt financing restructuring savings
Construction/Timelines
In regards to construction timelines and limits, the Commanders agreed that any cost overruns for construction of the stadium/parking garages, as well as any costs for their maintenance above the pre-funded Maintenance Fund, will be paid for by the team, not the District. Additionally, binding deadlines for completion of each construction phase have been put into place, and rent penalties will eventually accrue if the deadlines are violated. (Debate on this topic at the Legislative Meeting prior to the first vote led to commitments to provide further scrutiny to this topic prior to the second and final vote on the project.)
Transportation and Environment
Regarding transportation and environmental considerations, over the 30 years of the project, $600 million will be directed into a Transportation Improvement Fund to pay for potential Metrorail and Metrobus infrastructure and service improvements. A potential third parking garage was removed from early plans, unless it is determined to be necessary after the stadium has opened for business. Two other garages were relocated to lessen impacts on surrounding residential neighborhoods. Additionally, materials and methods used to construct the stadium will be consistent with eventual LEED Platinum certification of stadium construction and operation. Construction will attempt to maximize adherence to stormwater and floodplain standards in regards to the Anacostia River. And a transportation study will attempt to mitigate traffic and parking impacts affecting the surrounding Kingman Park community.
Labor/Workforce/ Certified Business Enterprises
In regards to labor concessions, the Commanders agreed to a project labor agreement and labor peace agreement on the stadium and hotels on the project site. Additionally, 51 percent of jobs in mixed use developments on the site must go to DC residents, and 15 percent of construction and operation jobs at the project sites must go to justice-involved individuals (pending available candidates). Finally, the legislation incorporates a 20 percent threshold requirement for both equity and development participation for Certified Business Enterprises (CBEs).
Community Benefits
The community benefits agreement agreed to by the Commanders will provide a minimum of $50 million across 30 years, with an emphasis on assisting communities in Wards 5, 7, and 8. Included in the benefits are:
- $20 million to create and support a Commanders Youth Academy in Ward 7, linking sports to educational success
- $3 million in grocery subsidies in Ward 7
- $7 million in local business subsidies
- $5 million for workforce and apprenticeship development
- $2 million for community events and tickets
- $13 million in other projects determined by the Council
Regarding the maintenance and possible continuation of the current uses of the present RFK site, the Commanders agreed that the memory and legacy of Senator Robert F. Kennedy would be kept alive on the site. They agreed the Fields at RFK will remain open throughout the construction of the stadium and other properties on the site, and that present festival uses of the site would continue during and after the construction. The Commanders also agreed to maintain and develop open spaces that could allow for continued current uses such as a skate park and pole vaulting.
The quantity, quality, and magnitude of the concessions negotiated by the Council in response to Councilmember and public concerns cannot be underestimated. However, it is important to not overlook the core original benefits of the project: that it will bring 6,000 new housing units to the site (including 1,800 affordable units), generate $26.6 billion in redevelopment tax revenue…and bring the Commanders back to the District!
The Council’s second of two necessary votes on the RFK legislation is expected to occur at the next Legislative Meeting following our summer work period, on September 17.