Leaders in Hillsborough County were disappointed after the St. Petersburg City Council rejected a deal to allow the Tampa Bay Rays to search outside the city for a new stadium.

"As a result of last night's decision we are perilously close to losing our team to another community," said Hillsborough Commissioner Ken Hagan said. 

The council voted against the agreement Thursday. The vote was 5-3.

Hillsborough leaders had been looking forward to the chance to try to lure the team across the bay, but Rays Baseball Operations President Matt Silverman said there is hope. 

"Despite the tally last night, there seemed to be good momentum to reaching an agreement that will help the Rays thrive here for decades to come," said Rays Baseball Operations President Matt Silverman. "I expect the conversation with the city of St. Petersburg will continue as we work towards an agreeable outcome."

Whatever happens, leaders in Hillsborough said they'll continue laying the groundwork for a new stadium in Hillsborough county.  They're currently looking for financial institutions to help fund a new stadium.

A meeting with the Hillsborough working group is slated for January. 

The St. Petersburg city council is also forming a working group in hopes of coming up with a new agreement with the Rays

St. Petersburg City Council members vote against a stadium deal

St. Petersburg City Council members voted against a stadium deal on Thursday night that would allow the Tampa Bay Rays to look for new stadium sites.

"This is an unfortunate outcome for St. Petersburg taxpayers and for every fan of the Rays," said Mayor Rick Kriseman. "I am confident that had they had the opportunity to look, that ultimately they would've determined that the best place for them to be is right here in St. Petersburg."

Council members voiced their concerns with the deal after the vote was called.

"If they leave in five years, that deal's worth $13,000,000 -- That's it," said council member Wengay Newton. "We also asked about if we try to develop the land 'Well we get half of that.' We want all their rights, and the don't wanna give us nothing. I mean we don't have a name on the team, we don't have any say on what's happening, no MOU. But we're supposed to sit there and rubber stamp it? And that didn't happen."

"I didn't like from the point of view, what it may do to our use agreement," said council member Jim Kennedy. "I really don't like the fact that they could leave and take the redevelopment rights with them."

Tampa Bay Rays President Brian Auld made a statement following the decision:

"We are obviously disappointed with the City Council's decision today. Our goal was to begin a collaborative, exploratory process in our region to determine the best location for a next generation ballpark. The Council has instead decided that the status quo is what is in the best interest of the citizens of St. Petersburg."

Meanwhile, business owners and local residents who work and play in downtown St. Petersburg say they are happy with the city council's decision. They say the city is booming and the city should fight to keep the Rays here.

"You keep a gem when you have a gem and that is all there is to it," said resident Thomas McGavitt.

Some people say the plan council members were given was flawed and the amount of money the Rays would have had to pay St. Petersburg wouldn't come close to compensating the city for the loss of the team.

"If you take them out of the community, what's going to happen to this area?," asked resident Mike Durkin. "It's going to turn into a ghost town. We don't want that. We want to keep them here and that's what we're fighting for."

Those opposing the council's decision say that baseball is a business and the Rays should be able to move if they want to.

"I mean it's a free country and you should be able to do whatever you want, especially as a business," said resident Isham Alexander. "I understand the qualms the Rays have as far as the stadium is concerned, wanting to have an outdoor stadium and maybe supposedly thinking they're going to get a bigger, different crowd being further north.

Others say they don't want to see St. Pete's boom go bust.

"We've got Major League Baseball, you can walk to the water in 13 minutes and the whole downtown area is blowing up --- there's no reason for the Rays to go anywhere," said resident Dan Cornelius.

Council members were supposed to vote last week, but asked for more time to review the complex deal. The eight-page memorandum stated that the Rays would be required to compensate the city of St. Petersburg should they decide to move.

According to the agreement, the Rays would have to pay the city between $2 million to $4 million for each season that’s not played at Tropicana Field up until the original contact ends in 2027.  The Rays would also have to give $1 million in compensation for things like signs and season tickets.

Tampa Mayor Bob Buckhorn told Bay News 9 last week he would welcome the Rays in Tampa, but he also said taxpayer dollars won’t fund the entire stadium, and the Rays would have to come up with a lot of money if they want a stadium in Tampa.

Another consideration for St. Pete City Council members was the impact on local businesses if the Rays move. Business owners near Tropicana Field said they worried they would be forced to close, hurting the economy. 

The basics of the agreement Mayor Rick Kriseman reached with the team last week breaks down like this:

The cost to leave is a $24 million buyout that will decrease for each year the team remains in St. Petersburg.

A new agreement also lays out just how much the Rays will have to pay if they want to break their contract early.

If they leave between now and 2018, for instance, they'll owe $4 million a year for every year until 2027.

That annual installment reduces to $3 million a year if they leave between 2019 and 2022 and finally to $2 million every year if the team moves between 2023 and 2026.

The Rays have until Dec. 31, 2017, to settle on a new site.

Rays principal owner Stuart Sternberg has long said the team could not be financially viable in Tropicana Field but the contract with the city prevented any stadium search from happening legally.

Mayor Rick Kriseman's statement on development rights issue

The mayor's office released the following statement on Friday, clarifying the development rights issue over the site of Tropicana Field:

"Last night, City Council clouded this issue. To be clear, the City retains one-hundred percent of all development rights once the Rays leave Tropicana Field. The team is only entitled to development rights while they play at the Dome. What Council was asking for was one-hundred percent of the development rights while the Rays are still there. If an opportunity emerges to redevelop the land before the Rays vacate, we would discuss that situation with the Rays at that time.

"Five members of Council sought to preclude any development rights for the Rays. By voting no, they did just the opposite, guaranteeing the Rays fifty percent of development rights through 2027.”