Jun 13, 2012, 2:13 PM EDT
As expected, the Goldwater Institute has filed a lawsuit in Arizona court seeking to invalidate the City of Glendale’s approval of a lease at Jobing.com Arena for the prospective owner of the Phoenix Coyotes.
The taxpayer watchdog group is claiming Glendale violated a 2009 court order that instructed the city to disclose all lease-related documents in a timely manner to allow an appropriate period for review.
“Without seeing critical exhibits contained in the arena management agreement such as the arena annual budget or the arena management performance standards, it is not possible to determine the constitutional validity of the agreement,” said Goldwater Institute President Darcy Olsen in a release.
On Friday, Glendale city council voted in favor of a 20-year, $325 million lease at the city-owned arena with an investor group led by former Sharks CEO Greg Jamison.
And that’s not money going to the landlord; it’s money going to Jamison in the form of arena-management fees and capital improvements.
According to analysis by the Arizona Republic, “Glendale expects to collect less than half that amount via ticket surcharges, rent, sales tax and other team fees during the same period.”
Of course, the city expects to lose more money should the Coyotes leave. Thus, the lease.
Anyway, we’re not law-talking guys, so we can’t say if Goldwater’s lawsuit will be successful.
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