Miami-Dade commissioners approve Marlins settlement after Loria agrees to pay more

Miami-Dade commissioners on Wednesday accepted a $5.5 million profit-sharing settlement from a suit the county filed over Jeffrey Loria’s $1.2 billion sale of the Miami Marlins — a vote that revived the political drama that tends to follow government dealings with the former franchise owner.

Two commissioners who opposed the original 2009 subsidy deal for Marlins Park argued against the settlement, calling it another win for Loria at taxpayers’ expense. But the deal passed by a 9-4 vote after a commissioner who backed the stadium agreement interrupted Wednesday’s meeting to announce he was in touch with the Loria legal team and wanted clearance to negotiate directly with them, bypassing the administration of Mayor Daniella Levine Cava.

When the commissioner, Jose “Pepe” Diaz, returned to the chambers more than an hour later, he announced Loria was willing to put an extra $1 million on the table to settle the case Miami and Miami-Dade filed in 2018 to collect on the profit-sharing provision of the original ballpark agreement.

David Samson is back in County Hall

Then former team president David Samson, long the face of Loria’s government relations, addressed the board by video.

“I just hope the money is used to be helpful to the people of Miami-Dade,” said Samson, now host of a sports podcast, Nothing Personal. “That is what Jeffrey wanted. That is what I wanted. That is what we always wanted. And I appreciate having had the chance to work with so many of you over so many years.”

The vote approving the settlement all but ends the legal confrontation started under then-Mayor Carlos Gimenez, a Samson foe who objected when Loria declared a paper loss on his sale of the franchise to Derek Jeter and partners. Loria lawyers said the profit-sharing formula drafted by county lawyers in 2009 allowed enough deductions that there was nothing left to share with Miami and Miami-Dade, two governments granted a combined 5% share of sale proceeds in the original deal to finance the stadium. Miami-Dade and Miami put up more than $500 million toward construction costs for the county-owned ballpark and city-owned parking garages in Little Havana.

Miami commissioners approved their $562,000 portion of the settlement in January. But two weeks ago, Miami-Dade commissioners balked at what was then a $3.6 million settlement, with some of the old ballpark backlash spilling out into the settlement vote. Sally Heyman, one of only two commissioners still on the board who voted against the 2009 stadium agreement, urged county lawyers to keep fighting Loria for more money.

Behind the scenes, Levine Cava, elected in November, was reversing course and telling county lawyers to reopen talks and ask for a larger settlement. The lead lawyer on the case, Monica Rizo, sent an email to Loria attorneys with a warning that circumstances had changed. “We need to speak with you ASAP,” Rizo wrote Loria lawyer Matthew Triggs shortly before 8:30 a.m. on Friday.

Miami-Dade mayor wants to ditch settlement for more money

In an interview, Levine Cava said the county was demanding Loria up the total settlement amount from around $4 million to $6 million. She also said Loria had not responded by the time the meeting began Wednesday. Diaz serves as chairman of the commission, and started the proceedings by revealing a “very interesting phone call” from the former Marlins ownership.

He later said the call came from Samson, who had cited the Rizo email and the demand for more money. Samson said the Loria group wanted to negotiate a new settlement with Diaz, instead of the administration.

“He felt he knew me. And he wanted to talk to me,” said Diaz, who seconded the 2009 motion that locked in Miami-Dade loans for the ballpark project, debt costing more than $2 billion to pay back.

Samson declined to comment.

The Diaz talk with Samson let the chairman claim delivery of the higher settlement amount, which landed at $5.5 million. The county would receive $4.8 million and Miami about $700,00. The lawsuit also listed the Miami Marlins as a defendant, but the settlement terms say the payout comes from a Loria entity.

In an interview, Levine Cava said she was glad Loria agreed to a higher payout. “We’re a good team,” she said of Diaz.

None of the commissioners who supported the settlement were celebrating the terms Samson offered. “His owner is still walking away with a bunch of money,” said Commissioner Oliver Gilbert. “We still owe a lot of money on this ballpark.” The dissenting votes on the settlement vote came from Heyman, Joe Martinez, Jean Monestime and Javier Souto.

One potential controversy from the deal remains.

While Levine Cava proposed putting Miami-Dade’s share of the settlement in the county’s general budget to cover property-tax shortfalls, Commissioner Kionne McGhee proposed allocating the money to each commissioner’s budget to pay for COVID relief programs. “Commissioners can make an assessment as to how best to assist” residents, McGhee said. The proposal is scheduled for a vote at the commission’s March 2 meeting.

Martinez, who also voted against the 2009 deal, warned against putting the Marlins money under the control of commissioners. “If this amendment passes ... it’s going to come and bite you in the ass,” he said. “Because it’s going to look like a slush fund.”

This article was updated to correct Commissioner Joe Martinez’s vote on the Marlins settlement. He was one of four commissioners who opposed the settlement.

This story was originally published February 17, 2021 at 2:51 PM.