The combined undertaking between the Cleveland Browns and the state of Ohio to construct a new stadium in the suburbs caused controversy for several reasons, notably the intention to utilize $600 million from the state’s unclaimed property fund. As reported by News 5 Cleveland, three Ohio residents with unclaimed funds initiated legal action this week against state officials, denouncing the financial strategy as an “unconstitutional and unlawful misappropriation of private property.”
Just the previous week, Ohio Governor Mike DeWine endorsed a state budget measure that sanctioned the plan, clearing the way for unclaimed funds to finance one-quarter of the projected $2.4 billion construction cost. The plaintiffs in the legal case, however, are pursuing class-action status on behalf of thousands of citizens and are requesting a judge to prevent the state from proceeding with the plan until the legal proceedings are concluded.
Ohio possesses a $4.8 billion unclaimed property fund, encompassing diverse sums of money owed to residents of the state. Among individuals with unclaimed assets is former Browns quarterback Baker Mayfield. A 10-year limit is imposed on these funds before the money is returned to the state.
“It has been definitively established that funds held by the State of Ohio in its ‘Unclaimed Funds’ account are private property,” the legal filing states. “The UFA is not the property of the State of Ohio to utilize at its discretion. Furthermore, unclaimed funds are not accurately characterized as ‘operating revenue’ or a component of the State’s ‘general fund’ to be allocated as part of the State’s budget.”
Ohio Governor approves $600 million towards new Cleveland Browns stadium
Carter Bahns
The $600 million allocation is designated for the Browns as a performance-based grant, which the franchise will repay using revenue generated by the new stadium. This approval is an element of a ratified budget that also incorporated revisions to the state’s Art Modell Law. The law had previously barred professional sports teams from relocating outside an Ohio city without an agreement with the aforementioned city or granting a six-month advance opportunity for the area to acquire the team. An adjustment to the law stipulates that it takes effect only if the team attempts to leave the state.
The plaintiffs are not the sole parties dissenting from the stadium funding arrangement. Cleveland Mayor Justin Bibb objects to the Browns’ intention to depart from their downtown location and move to the suburb of Brook Park, and he voiced his disapproval of Gov. DeWine’s ratification of the budget and the amendment to the Modell Law.
“We are profoundly disappointed that the final state budget encompasses both a $600 million public subsidy for a domed stadium in Brook Park and alterations to Ohio’s Modell Law — provisions we vehemently opposed and requested be removed,” Bibb stated. “Relocating the Browns will redirect economic activity from downtown, establish a competing entertainment district, and impede the progress of our lakefront redevelopment.”
The forthcoming Huntington Bank Field will be a completely enclosed venue, and the Browns have indicated that it will accommodate concerts and events throughout the year to attract regional and national visitors to Cleveland. The Browns’ stadium lease with the city is set to expire at the conclusion of the 2028 NFL season.
