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PORTLAND, Ore. — They are two parties who want the same thing.

The city of Portland says it wants to make a deal with the Trail Blazers on a new arena lease. The Trail Blazers say they will sign a 20-year lease if the city signs off on funding that will open nearly $600 million for the team to upgrade the Moda Center.

So, why are the Blazers and the city of Portland at odds? Why all the fuss?

In simple terms: The city says that before it approves public funding, it needs to know how the Blazers will spend the money to upgrade the city-owned Moda Center. The Blazers, however, are not being transparent about their plans, two city governing bodies say. The franchise says it is not cooperating because a city councilman in June threatened to sue the team for letting the Moda Center reach a point of needing renovations (the city and Blazers share maintenance costs on the arena). The Blazers also say that before they can offer renderings and specifics to the city, they need to hire an architect, which they want the city to help pay for.

The public squabble has left one of the NBA’s most fervent and loyal fanbases feeling frustrated and abandoned as the city council nears its Aug. 12 vote on a term sheet for a 20-year-lease. If the vote is not secured on Aug. 12, it jeopardizes $365 million in approved funding from the state, a deal that expires in December.

“August 12th is going to be a real inflection point for our city,’’ said Jamie Dunphy, president of the city council. “I will tell you that right now, I firmly believe the city will move forward on the deal. I believe there is an overwhelming majority of the city council wants a good deal, wants to see this move forward.’’

But like many negotiations, Dunphy’s optimism was followed by a key conjunction: “But if the city council decides we do not have a willing party on the other side, and they are not able to meet us and not able to negotiate in good faith or actually move toward a deal, then we will have to make a decision at that point whether this is the right decision for Portland,’’ he said.

The city says it fully understands the importance of the Blazers to Portland and Oregon, both economically and emotionally. And because the Blazers are the arena’s biggest tenant, the city is willing to find creative funding solutions for the Blazers’ renovations.

One avenue is the Portland Clean Energy Fund (PCEF), established by voters in 2018, which collects a 1 percent tax from retail sales of large corporations. At the time the tax was passed, it was estimated that it would collect $60 million a year. Instead, it has been taking in more than $200 million annually.

Dunphy said there are valid examples of how the Moda renovations could satisfy using the fund.

“There’s a real good argument about getting rid of the diesel generators that are currently operating the Moda Center … and not tearing down parts of the building and pouring new concrete … and how we could fix the lighting, and heating and cooling of the building … all that align with the clean energy fund goals.’’

But …

A nine-person committee appointed by the city council controls the purse strings for fund allocation. Last week, Dunphy said a meeting was arranged with the PCEF committee to discuss the Blazers’ renovation plan to see if it met their criteria.

“But the Blazers have not provided information, so the meeting was cancelled,’’ Dunphy said. “There was simply nothing for (the committee) to respond to.’’

Elizabeth Stover, the strategic communications manager for PCEF, said the committee can’t comment until it hears from the Blazers.

“The PCEF Committee must first receive information about the proposed renovation, and have the opportunity to review and discuss it in a public meeting,’’ Stover said. “That process has not yet occurred. Until the Committee has had the opportunity to consider the proposal collectively, it would be premature to respond to questions about it.’’

Dunphy said another Portland agency — Prosper Portland — showed interest in investing $5-$10 million into the project.

“But again, no technical details, no drawings, no renderings … no idea of what it is we’re actually purchasing,’’ Dunphy said.

The Blazers’ board of directors met on Monday, in part to discuss the lease-term list issued by the city on Friday. On Sunday, a team source said the term list was “a non-starter.” The next day, Blazers president Dewayne Hankins deferred questions through team spokesperson Charles Boyle, who said the city’s depiction of the Blazers is misleading.

“The suggestion that the Trail Blazers are withholding essential information is not accurate,’’ Boyle said. “We have engaged in multiple discussions with City officials about renovation elements, conceptual visions and building walkthroughs.’’

The sides have reached this point because former governor Jody Allen and the city didn’t reach a long-term agreement before the current lease expired in 2025. However, a bridge-lease was signed in 2024 and extends to October 11, 2030, with the team holding an option to extend the deal to Oct. 11, 2035.

Part of that bridge-lease agreement included the city helping the Blazers maintain the building by giving the Spectator Tax (6 percent of every Blazers ticket sold) from the city back to the Blazers. Last season was the first installment of that payment ($4 million), which the team used to help absorb a $10 million scoreboard improvement.

“So, that was kind of the first true city/team partnership … using that money for the building,’’ a team source said.

But part of that bridge-lease agreement states that the Blazers “have responsibility for operating Moda Center, funding and completing capital repair, maintenance, and improvement projects and maintaining the arena in a first-class manner.”

The Blazers feel they have done so, spending money on a new roof ($4 million), new bowl seating ($20 million) and new scoreboards ($10 million). Now, after asking for $600 million for further renovations, the team was offended by insinuations it had allowed the arena to deteriorate into disrepair. When councilman Steve Novick threatened to sue, the Blazers recoiled and became obstinate.

Dunphy said the city’s stance is the bridge agreement should be upheld, and that he doesn’t want lawyers to get involved.

“I don’t think the city is actively interested in suing the Blazers right now,’’ Dunphy said. “But if they don’t come to the table in good faith and actually meet the terms of what they said they were going to do, the city has to cover its own bases. But I would certainly not want to have lawyers involved or threats of lawsuits taint how this process goes.’’

The Blazers want the city to put in writing that it won’t sue them. Then, they would like to come to an agreement with the city on paying for an architect to provide plans and renderings. Whether those agreements can be reached — and whether the architect renderings can be delivered — before the Aug. 12 vote seems unlikely. It’s why many city politicians are befuddled by Dundon and the Blazers’ approach.

“My most generous interpretation is that Tom Dundon is a serious businessman who wants a return on his assets,’’ Dunphy said. “And perhaps he is playing hardball with us. You know, Paul Allen always seemed to want to be in Portland, seemed to care about his role as a leader in Portland, and the future of our city and the pride that the Blazers bring us. I don’t think Tom Dundon is as concerned about that as he is getting a return on his investment. Perhaps it’s him looking for an excuse to blame the city so he can move the team. I’m not sure. But if he is actively trying to give a worse impression to Portlanders and Oregonians, I don’t think he could do a better job.’’

The Blazers feel the city agreed to the guts of the deal in March, after Mayor Keith Wilson and other lawmakers toured the Moda Center with Dundon and discussed potential renovations. City administrators say they indeed endorsed “conceptual funding” in March, but always made it clear that city and county commissions would have to formalize the agreements.

So, when Thursday’s term sheet was sent to the Blazers, the team was put off by asks from the city, particularly the $3 million annual fee for a property tax offset and a requirement that the team hires union workers.

The city appears prepared to take a hard line on the labor issue, which Dunphy says includes everything from construction workers to concession stand employees. Dunphy said the Blazers should have expected it would be an important issue.

“Portland is a labor town,’’ Dunphy said. “I think a perfunctory Google search of what the city of Portland is about would have probably helped some of those new owners to understand a little bit about the city they are trying to be a part of. But that doesn’t seem to have happened.’’

If there is no movement in negotiations, Dunphy said “in theory” the Aug. 12 vote could be delayed, but the sides would risk missing the December deadline to have the state bonds issued by the spring of 2027.

In the meantime, two sides that want the same result can’t even bring themselves to the same table.

“The city of Portland is going to continue to show up in good faith and demonstrate that we’re going to have an accountable process, but we will have a process,’’ Dunphy said. “I truly don’t know what is going to motivate the Blazers, outside of that, that we are a good partner and that it’s in everybody’s interests for the Blazers to stay in Portland.

“But we’re also not going to be pushed over,’’ Dunphy said. “We are not going to be ignored, and we are not going to be allowed to fail so the Blazers new owner has an excuse to move the team to Austin or Nashville.’’