Phoenix Coyotes Deal in Peril, Negotiations to keep the Phoenix Coyotes in Arizona fell to a new level of chaos Friday evening, with both Glendale officials and the team’s prospective owners saying they cannot overcome their latest impasse.
Unless the sides somehow overcome their differences during the next few days, the Coyotes’ fate seems sealed.
Call in the moving vans. Destination: unknown.
The impasse arose Friday during what was supposed to be a public workshop to discuss a proposed agreement between the council and the prospective team owner, IceArizona, an investment group headed by partners doing business as Renaissance Sports & Entertainment. The agreement is for IceArizona to use and manage Jobing.com Arena.
But council members revealed during the hearing that earlier that day they had devised a counterproposal. Specifically, they wanted a five-year out clause that mirrored provisions IceArizona executive had given themselves.
Glendale officials formally posted the counteroffer late Friday, locking in that version of the proposal for a binding City Council vote Tuesday, though minor amendments could be made.
A representative of the team investors, who was monitoring the meeting via the Internet, texted reporters covering the meeting stating that they were unaware that the city had even drafted a counterproposal.
The key money points of the deal remained. Glendale would pay IceArizona $15 million a year for 15 years, while IceArizona would reimburse the city millions of dollars projected to come largely from the team’s performance at the turnstiles.
However, the Glendale out clause was new. The new proposal says that, like IceArizona, the city can opt out after five years or after reaching $50 million in losses.
In addition, Glendale officials sought language in the contract that prevented one side from suing the other for issues at the city-owned arena.
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