The Richmond Economic Development Authority on Thursday unanimously approved the elimination of the required annual cash contribution the city has had to make to the Redskins since the deal was struck in 2013.
The change cancels out the balance of EDA’s overdue payments in 2019 by approximately $ 161,800, and there will also be no cash payment this year. This is the last year of the eight-year training camp contract.
The authority had already paid around $ 386,000 as part of its 2019 allocation. City and Redskin officials have been discussing the amendment to the agreement for several months, and the agreement is not specifically linked to the coronavirus pandemic, said Leonard Sledge, director of the EDA.
The deal comes as the city seeks to mobilize resources to help businesses and residents weather the disruption of the coronavirus pandemic. The EDA will use the funds saved by the agreement to support an emergency small business loan program he approved on Thursday, according to a press release from the city.
The authority and the team have agreed that there will still be a 2020 local contribution of $ 500,000. However, this year’s allocation will not involve cash. Instead, it will be goods and services, and any shortfall will not be a default, according to the deal the authority voted to approve.
In accordance with the agreement signed in 2013, the EDA agreed to contribute $ 500,000 per year to the Redskins in in-kind and cash resources to cover the costs associated with moving the team from the training camp to town. .
The team has the option of extending the partnership, Sledge said.
City council approved a plan to finance the Redskin facility behind the Virginia Science Museum in 2012. The approximately $ 10 million project involved a significant investment from Bon Secours. The deal also gave Bon Secours relative control of the former Westhampton School site in the city’s West End, where a development of apartments and medical practices is underway.