The other Coyotes court case

by James Mirtle on Jul 10, 2009 8:54 AM CDT Comment 9 comments

Jerry Reinsdorf is pictured. A group led by the Chicago Bulls and White Sox owner has offered to buy the bankrupt Phoenix Coyotes for $148-million and keep the team in Arizona.

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A group known as the Goldwater Institute has joined the legal fray in the Coyotes bankruptcy case, and the "Phoenix, Arizona-based public policy think-tank" has its eye on flushing out whatever subsidies the City of Glendale is planning on giving the bankrupt NHL team as part of any ownership transfer.

From today's Glendale Star:

The Goldwater Institute is suing Glendale over what it sees as a clear violation of Arizona's public records law for the city's refusal to provide documents related to negotiations with new team owners ... Arizona public records statutes place the burden of proof against disclosure upon the City of Glendale. It must prove why the information requested should not be provided.

They city, to this point, is digging in its heels:

DiPiazza contends all negotiations are confidential and the demand for such information is "overbroad."

"We don't have a whole lot at this point and it would not be in the best interest of the city or its taxpayers to disclose such," he told the court. "Glendale doesn't seek to withhold information, but disclosing confidential documents during competitive negotiations would result in serious and irreparable damage to the City of Glendale, its taxpayers and the citizens of the state."

We've seen plenty of media reports about the potential lease rework Jerry Reinsdorf could receive if his bid to buy the team is successful, but Goldwater here is alleging that "such a concession is the equivalent of a $20 million subsidy secretly offered by the city at taxpayer's expense." If that is indeed true, and given some of the reaction we've seen in the Phoenix area to this point, it'll likely be a PR disaster when the details finally emerge.

As I've said before, Glendale may be in the worst position of all here. The city doesn't appear in any position to give up anything on the lease but also can't afford the building to sit empty, a situation that's sure to leave plenty of residents angry either way.

At least there may now be another "bid" to consider — athough no word yet on concessions involved.

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Comments

I agree with Glendale, there is no way they should turn over this stuff in the MIDDLE of actually negotiating it.

Still, this is just another reminder how much of a low ball bid this actually is and how much I hate Bettman.

The population of Pominville keeps rising!

by Blackcapricorn on Jul 10, 2009 8:58 AM CDT reply actions 0 recs

Semantics?

Whats the difference between a concession and a subsidy? ; )

I find sometimes it's easy to be myself
sometimes I find it's better to be somebody else

by Fauxrumors on Jul 10, 2009 9:09 AM CDT reply actions 0 recs

split the difference?

maybe Glendale will concede the necessary subsidies?

by yrmom on Jul 10, 2009 12:08 PM CDT up reply actions 0 recs

Goldwater Institute

I don’t know if you guys in Canada has a bunch of self-appointed watchdogs whose sole purpose it is to file lawsuits on questionable grounds largely for publicity-seeking and “defending the rights” of people who don’t even know who they are…

…if you don’t, we’ll happily give you the Goldwater Institute.

If Jim Balsillie changed his Coyotes bid to include bringing the GI along with his purchase package, you would get a lot more support from Phoenix residents to relocate.

You are validating my inherent mistrust of strangers.

by zyllyx on Jul 10, 2009 4:02 PM CDT reply actions 0 recs

You must be some sort of idiot socialist.

The Goldwater Institute is one of the better watchdogs for government waste in the United States.

by VA Libertarian on Jul 10, 2009 5:08 PM CDT up reply actions 0 recs

why is it always an “idiot” socialist? Can’t someone be one or the other? I haven’t seen anyone calling you an “idiot libertarian” so let’s play nice.

by yrmom on Jul 10, 2009 8:12 PM CDT up reply actions 0 recs

He has the phrase set up as a macro. You don’t want him to have to type out the whole word “socialist” every time he wants to insult someone, do you?

by J. Michael Neal on Jul 11, 2009 7:56 AM CDT up reply actions 0 recs

Don’t worry about it… this is what passes for “dialogue” in post-Palin America.

You are validating my inherent mistrust of strangers.

by zyllyx on Jul 11, 2009 3:59 PM CDT up reply actions 0 recs

Well, pretty much the entire population of the country did kind of get into a snit when Rod Bryden went looking for tax breaks from the federal government back in 1999. People couldn’t understand what the point of subsidizing professional sports was at a time when Emergency Rooms were overflowing with patients.

by dzuunmod on Jul 10, 2009 6:59 PM CDT up reply actions 0 recs

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