Props to the new mayor of NYC. NEW YORK (AP) -- A plan for publicly funded ballparks for the Yankees and Mets hit a snag Monday when Mayor Michael Bloomberg said the city won't build stadiums this year because of its budget crisis. "At the moment, everybody understands -- given the lack of housing, given the lack of school space, given the deficit in the operating budget -- it is just not practical this year to go and to build new stadiums," Bloomberg said. Three days before he left office last month, Mayor Rudolph Giuliani signed tentative agreements with the teams to build two new $800 million stadiums, with the city paying half of that cost. Bloomberg had expressed skepticism about the deals, given the city's projected $4 billion deficits for each of the next three years, but Monday's comments were his most explicit so far. The mayor did say, however, that he would honor a provision of the Giuliani agreement that requires the city to pay each team $5 million a year for the next five years for design and other planning costs. Giuliani did not return calls for comment. The teams, which had a close working relationship with Giuliani, were surprised by Bloomberg's announcement. Nevertheless, Yankees spokesman Howard Rubenstein expressed guarded optimism. "The Yankees will work closely with the mayor and they're sensitive to the city's needs just as he is," said Rubenstein. "The Yankees require a great deal of planning before they can execute a final deal." Rubenstein pointed out that the arrangement negotiated by the Giuliani administration did not require the city to begin making interest payments on the bonds to finance the stadium for several years. "No city payments were to be made for five years," he said. "Mayor Bloomberg has acknowledged that planning money has been set aside, so the project is going forward with care." The Mets had no immediate comment. Bloomberg did leave some hope that new ballparks will eventually be built, and said the city will continue to work with the teams. "Down the road if the economy improves, I'd like to see great stadiums like everybody else," said Bloomberg. The agreement negotiated by Giuliani provides that the city will issue $1.6 billion in tax exempt construction bonds to pay for building costs of the retractable roof stadiums. The teams and the city would split the $50 million a year debt service. In addition, the teams would reimburse the city for half of the principal cost of the ballparks -- $400 million apiece spread over many years. They also would sign 35-year leases with no escape clauses. When Giuliani announced the tentative deal Dec. 28, the outgoing mayor confidently said he had no doubt that Bloomberg would sign off as well. "I can't imagine he won't support it," said Giuliani. The Yankees' lease with the city expires after the 2002 season
