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Glendale City Council votes to approve Phoenix Coyotes deal Wed Nov 28, 2012 7:57 AM After two Glendale City Council votes in the past five months and more than three years of uncertainty, a Phoenix Coyotes deal is done. A council majority on Tuesday approved a $320 million arena-management deal and lease with Coyotes suitor Greg Jamison that should keep the hockey team as the anchor tenant at the city-owned arena for the next 20 years. From here, Jamison said he hoped to complete his purchase of the team in the next 30 to 60 days. He is expected to pay $170 million to the National Hockey League, which has owned the team since 2009 after the former owner filed the franchise into bankruptcy. The former president and CEO of the San Jose Sharks noted he would be an ally of the city’s. “The major-league franchise has a very strong obligation to be a partner with the city it resides in,” Jamison said. The agreement passed on a 4-2 vote. The majority said the deal was in the city’s long-term financial best interest and upheld its vision for a sports and entertainment district that began in December 2003 with the opening of Jobing.com Arena. “Eight years and 11 months later, hopefully we are celebrating an event as important to our arena as the opening itself,” Councilwoman Joyce Clark said. Mayor Elaine Scruggs and Councilwoman Norma Alvarez, the two no votes, said the financially struggling city couldn’t afford to pay Jamison an average of $15 million annually to manage the arena. “If you have less than zero in your checking account, do you go out and sign a long-term contract?” Scruggs asked. The mayor said she supports police, firefighter and other city uniforms, rather than Coyotes uniforms. Interim City Manager Horatio Skeete said the city would need to cut $20 million within five years in part to pay the arena-management fee. Without the team, Skeete estimated the city would need to cut about $12 million. Skeete, who did not recommend approval of the deal, has said keeping the team may be in the long-term interest of the city, but it required too many cuts in the near term and would still leave the city in a financial hole in the long term. Councilwoman Yvonne Knaack said she considered how the deal would help jobs at Westgate City Center. “I don’t believe this is really a sportsssue, it’s an anchor-tenant issue,” she said. “The Coyotes bring people there 40 times each year.” Councilman Manny Martinez praised Jamison for his willingness to rework the $324million deal the council had approved in June. The new deal lightens the city’s payments in the first five years, gives Jamison incentives to bring in more non-hockey events and implements penalties for NHL lockouts, such as the one that has so far erased this season. Glendale resident Rod Williams said the deal remained too steep. “I cannot imagine how you can vote to give one man $320 million and yet affect hundreds of people and increase city debt.” Jennifer Lacey of Glendale said the NHL team brings people to the city because it offers something not provided in any other Valley city. |