Petition threatens Sacramento’s Railyards stadium deal weeks after council approval

The City of Sacramento’s plans to transform the Downtown Railyards into a hub of entertainment and professional sports could be delayed by a last-minute petition organized by a local union.

Just two weeks after the City Council unanimously approved a $92 million public financing plan for the district’s new Republic FC soccer stadium and entertainment district, the Sacramento City Financing Authority received notice of a formal protest. That triggered a process to verify whether a majority of residents oppose the plan, which would require shelving the project for at least a year.

The petition effort is led by Unite Here Local 49, a hospitality union that represents stadium workers. Union president Aamir Dean says the development prioritizes luxury units over the needs of working-class residents.

Dean pointed to the development’s current target of 6% affordable housing and said the city should demand a significantly higher share.

“Sacramento is in a housing crisis and building 10,000 luxury units downtown is in no way addressing that,” Dean said in an interview.

Councilmember Phil Pluckebaum, who represents downtown, said the union’s protest could jeopardize not only the stadium but the city’s broader strategy for redeveloping the long-vacant Railyards.

“It seems like a misguided attempt to exert political influence in a strategy to advantage their members,” Pluckebaum said. “I think ultimately it will result in, best case, just cost and delay added to the project. Worst case, it could actually kill if not significantly delay the project.”

The stadium plan in question was negotiated under the leadership of former Sacramento Mayor Darrell Steinberg and approved unanimously by the council earlier this month. It would enable the city to utilize future tax revenues to reimburse developers for infrastructure projects, such as sidewalks, sewer lines, and utilities. If the petition succeeds, the city will need to design a new funding strategy, something Pluckebaum says doesn’t yet exist.

“If we're not able to fulfill our end of this promise, we may very well lose the soccer team and the stadium to Elk Grove or somewhere else,” he said.

Councilmember Lisa Kaplan defended the project and criticized the petition.

“Extremely disappointed and upset that an organization, through misleading statements, would try and undermine the entire development of this stadium and the Railyards,” she said.

Kaplan pointed to the Railyards Development Agreement approved by the city years ago, which established the area’s affordable housing targets.

“This organization was not there protesting city council four [or] five years ago when this went through, saying there wasn't enough affordable housing,” she said.

She also emphasized the historic ties and tribal heritage of the stadium location.

“We know the City of Sacramento residents love soccer,” she said. “And we need to make sure that we support this and build it because this is also the first time a Native American tribe is a majority owner of a soccer team. This is also the site where Wilton Rancheria ancestors had land and lived before.”

City staff expect to complete the verification of signatures within a week. To certify the protest, the city must confirm that over 50% of residents in the district submitted valid signatures.