May 18, 2012, 5:20 PM EST
Just days after laying off 49 employees to help close a $35 million budget shortfall, the City of Glendale has reportedly included a $17 million fee to manage Jobing.com Arena, payable to Phoenix Coyotes prospective owner Greg Jamison, in its proposed preliminary budget.
City council will vote on the preliminary budget Tuesday, and by all indications it will be approved.
From The Arizona Republic:
Four of seven Glendale council members have said they see the $17 million management fee as a placeholder in the city’s budget. The city must manage the arena whether the Coyotes stay in Glendale or not, and if a deal is not reached with Jamison, the budgeted amount allows the city to put arena management up for bid.
The four council members say they see the $17 million as a reasonable cost based on information city staffers have provided and that keeping the Coyotes in Glendale is crucial for the city’s economic future.
Vice Mayor Steve Frate said he feels comfortable approving the fee in the preliminary budget because it won’t be effective until council sees a finalized deal. He expects one soon.
I’d be interested to know the information city staffers used to deem the $17 million a “reasonable cost” to manage an arena. Not because I don’t think it is – I have no idea if it is or not. I’ve never owned an arena. But if it’s not, the Goldwater Institute could claim it violates the state’s gift clause and make a stink about it.
- Video: Zidlicky’s first goal with Detroit gives Red Wings OT win over Rangers 23
- Video: P.K. Subban illustrates hockey instincts through GoPro camera perspective 1
- Video: Lundqvist could be back in 10 to 14 days 5
- Isles’ Martin suspended one game for ‘reckless’ knee on Daley 11
- More bad luck for the B’s — Connolly out 6 weeks with fractured finger 21
- Fehr willing to give Panthers ‘a reasonable opportunity’ to redevelop market 49
- Video: Isles’ Martin to face hearing for ‘stupid’ knee-on-knee hit 39
- NHL on NBCSN: Reloaded Red Wings, Rangers set to battle tonight 51
- Bernier bests Panthers as Luongo goes from injured (and in street clothes) to back in net 4
- Phaneuf, Cuthbert and Lupul threaten lawsuit after tweet goes to air 59
- Wild beat Avs, dying seconds fight set stage for rematch (171)
- Petrovic: Chicago will ‘probably seek revenge’ for Kane injury tonight (82)
- Winners and losers of the 2015 trade deadline (78)
- Trade: Blackhawks acquire Vermette from Arizona for Dahlbeck, first rounder (74)
- Wings get Zidlicky from Devils (74)