Coyotes Moving to Tempe

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Talks are heating up in the Coyotes plan to move the NHL team to Tempe. Mike Sunnucks of the Phoenix Business Journal will bring us up to date.

TED SIMONS: COMING UP NEXT ON "ARIZONA HORIZON," A DEAL TO MOVE THE ARIZONA COYOTES TO TEMPE IS DEAD. WE'LL FIND OUT WHAT HAPPENED. ALSO TONIGHT: HEAR ABOUT A PROGRAM THAT ADVOCATES FOR TECH CONCERNS TO CITIES. AND WE'LL CHECK OUT A THEATER COMPANY MADE UP OF ACTORS WITH DISABILITIES. THOSE STORIES NEXT, ON "ARIZONA HORIZON."
VIDEO: "ARIZONA HORIZON" IS MADE POSSIBLE BY CONTRIBUTIONS FROM THE FRIENDS OF PBS, MEMBERS OF YOUR PBS STATION. THANK YOU.
TED SIMONS: GOOD EVENING AND WELCOME TO ARIZONA HORIZON, I'M TED SIMONS. A POTENTIAL DEAL TO BUILD A NEW HOME FOR THE ARIZONA COYOTES IN TEMPE IS NO MORE, THIS AFTER ARIZONA STATE UNIVERSITY ANNOUNCED THAT IT WAS PULLING OUT OF AGREEMENT. THE COLLAPSE OCCURRED NOT LONG AFTER A STATE LAWMAKER MADE IT KNOWN THAT HE WOULD OPPOSE ANY BILL THAT USES TAXPAYER MONEY TO MOVE THE COYOTES OUT OF GLENDALE. THAT LAWMAKER, GLENDALE REPUBLICAN ANTHONY KERN, CLARIFIED HIS POSITION TODAY.
ANTHONY KERN: SO GLENDALE TAXPAYERS PAID FOR THE ARENA. THEY HAVE SPENT MILLIONS OF DOLLARS. WE HAVE LOST SERVICES, PUBLIC SAFETY SERVICES, OUR LIBRARIES HAVE BEEN SHUT DOWN. OUR STREETS HAVE NOT BEEN MAINTAINED. WHEN THE PREVIOUS ADMINISTRATION HAD THAT CONTRACT. ALL WE ARE SAYING IS YOU HAVE A GREAT FACILITY, GLENDALE. WE WOULD LOVE TO TALK AND KEEP YOU IN THE WEST VALLEY.
ANTHONY KERN: I'M HERE TO PROTECT THE STATE AND GLENDALE. SHOULD SOMETHING COME DOWN THE ROAD TO BENEFIT GLENDALE TAXPAYERS AND PROVIDES MONEY BACK INTO THE COFFERS, I WOULD PROBABLY SUPPORT IT. I WOULD HAVE TO LOOK AT IT.
TED SIMONS: HERE NOW TO TALK ABOUT THE LATEST ON THE EVER-EVOLVING SAGA OF THE ARIZONA COYOTES IS MIKE SUNNUCKS OF THE PHOENIX BUSINESS JOURNAL.
TED SIMONS: IT'S GOOD TO HAVE YOU BACK HERE. IT SEEMED LIKE, SOUNDED LIKE SOMETHING WAS POSSIBLY HAPPENING. WAS HEARING THINGS WERE HEATING UP LAST WEEK. THEY FLAMED OUT. WHAT HAPPENED?
MIKE SUNNUCKS: LAST YEAR YOU SAW THE RENDERING OF A NEW ARENA EAST OF THE ASU CAMPUS THERE AND THE COYOTES WERE HOPING TO MOVE THERE. WE WERE WAITING TO SEE WHAT WOULD HAPPEN AT THE LEGISLATURE. SENATOR WORSELY, OUT OF MESA, DROPPED THE BILL THAT LOOKED LIKE IT WOULD CREATE A TAXING DISTRICT TO FINANCE THE ARENA. THAT'S WHAT THE COYOTES NEEDED TO GET THE DEAL DONE. THERE WAS A CAPTURE OF SALES TAX REVENUE THAT PEOPLE THOUGHT IF YOU MORPH THAT, IT WILL FUND THE COYOTES, BUT ASU PULLED THE PLUG. THEY WERE NOT INVESTED. THEY DIDN'T SHOW UP AT THE PRESS CONFERENCE WHEN THE COYOTES ANNOUNCED IT. WHEN THE RUBBER HIT THE ROAD THEY ABANDONED SHIP QUICKLY.

TED SIMONS: ASU HAD TO BE INVOLVED BECAUSE IT'S THE CARSON GOLF COURSE RIGHT NOW, THAT'S ASU LAND. THEIR QUOTE, WE HAVE NO INTENTION TO SIGN A DEAL WITH THE TEAM. THAT'S PRETTY MUCH CLOSING THE DOOR.
MIKE SUNNUCKS: THAT'S PART OF THE DISTRICT TO MONITOR SUN DEVIL STATION. A BIG DEVELOPMENT FIRM WAS HIRED TO DO THAT. THE BOARD OF REGENTS HAD OVERSIGHT. THEY HAD TO GO THROUGH THE UNIVERSITY, THROUGH THE BORDER REGIONS IN ADDITION TO THE LEGISLATIVE RUCKUS TO GET THIS DONE. ASU WAS HESITANT ABOUT A COUPLE OF THINGS, HOW THIS WAS GOING TO BE PAID FOR WITH BONDS, WHO IS ON THE HOOK AT THE END? COYOTES, ARIZONA, ASU? ASU HAS A BUDGET TO WORRY ABOUT. THEY DON'T ALWAYS HAVE THE BEST RELATIONSHIP WITH REPUBLICAN LAWMAKERS. IF THEY ARE INVOLVED IN A DEAL THAT LAWMAKERS DON'T LIKE, FISCAL CONSERVATIVES, HOW DOES THAT SHOW HOW THEY DEAL WITH THEIR BUDGET?
TED SIMONS: THIS WAS A HOME FOR HOCKEY AS WELL, SO THERE WAS ASU INVOLVED.
MIKE SUNNUCKS: THERE WAS THE THOUGHT THAT THE MEN AND WOMEN'S BASKETBALL TEAM COULD MOVE OVER THERE, CONCERTS OVER THERE. A LOT OF PEOPLE SAW THE MERITS OF MOVING THE COYOTES OVER THERE. TEMPE IS WHERE THE BUSINESSES ARE LOCATED. THE BIG STATE FARM DEVELOPMENT COMES IN. THAT'S A HOT AREA. I THINK THE COYOTES LOOKED AT THAT AND SAID THIS IS BETTER FOR US. WE GET A NEW STADIUM OUT OF THIS. WE ARE CLOSER TO SCOTTSDALE, CLOSER TO CHANDLER. A LOT OF FAN BASE WAS IN THE EAST VALLEY, BUT THEY FACE SO MUCH OPPOSITION FOR THOSE CONSERVATIVE IN THE REPUBLICAN CAUCUS WHO DON'T LIKE SUBSIDIES FOR BUSINESSES, ESPECIALLY SPORT TEAM.
TED SIMONS: THEY INTRODUCED THE DISTRICT PLAN WITHIN THE ASU FACILITY'S DISTRICT. HALF OF THE SALES TAX FROM ACTIVITY WITHIN THE DISTRICT TURNS BACK TO CONSTRUCTION. ASU WOULD PROVIDE THE LAND. THAT'S THEIR COST. THE TEAM WOULD PAY 170 MILLION AND LOOK AT FINANCING. TEMPE HAS TO DO A CAPITAL BOND. IT SOUNDED LIKE EVERYONE WAS INVOLVED. WHAT HAPPENED?
MIKE SUNNUCKS: THE TEAM WAS GOING TO PUT IN ROUGHLY HALF, 400 BILLION. ASU AND TEMPE WERE WORRIED, WHAT IF THE DEAL HAS GONE SOUTH? THEY HAVE HAD FINANCIAL TROUBLES IN THE PAST. THEY HAVE GONE THROUGH BANKRUPTCY, THAT SAGA. HOW MUCH DO THEY OWE OTHER PEOPLE? THEY WERE FINANCED TO KEEP THEM IN GLENDALE, WHERE IS THE ASU PLAY, WHERE IS OUR PLAY? THE RESOURCE ASSOCIATION CARRIES SWAY ON THE TAX POLICY DIDN'T LIKE IT AND IT SMELLED OF A TIFF.
TED SIMONS: DEFINE TIFF.
MIKE SUNNUCKS: YOU CAPTURE FINANCES WITHIN THE ZONE. IT'S WHAT IT IS. THEY WERE TRYING TO CALL IT SOMETHING ELSE. A LOT OF PLACES USE THAT. WE HAD THAT NUEVO THING. THIS IS WHAT THEY WERE TRYING TO DO. A LOT OF PEOPLE, THEIR ANTENNAS WERE UP.

TED SIMONS: THE SENATOR SAID IT WOULDN'T HIT THE GENERAL FUND AND HE WILL KEEP IT ALIVE IF SOMEONE ELSE WANTS IN THE PICTURE. IF IT WOULDN'T HIT THE GENERAL FUND WHAT WAS THE ISSUE AT THE LEGISLATURE?
MIKE SUNNUCKS: I THINK IF IT GOES SOUTH.
TED SIMONS: THE RISK INVOLVED.
MIKE SUNNUCKS: YOU HAVE NEW DEVELOPMENTS COME IN, A NEW HOTEL, ARENA, NEW SALES TAX BACK IN. THESE WHY THE ADVOCATES THINK IT'S A GOOD IDEA. THE FOLKS THAT DON'T LIKE IT WORRY ABOUT THE RISK AND WHO IS GOING TO BE ON THE HOOK FOR THIS.
TED SIMONS: GLENDALE IS ON THE HOOK. THEY OWE $150 MILLION BUCKS FOR THE ARENA AND THEY HAVE THE COYOTES THIS SEASON, NEXT SEASON AND WHAT?
MIKE SUNNUCKS: WE'LL SEE. THE COYOTES HAD A NICE DEAL WHEN THE NEW GROUP BOUGHT THE TEAM 15 YEARS, NEW MAYOR GAVE THEM A SHORT-TERM DEAL AND TOOK AWAY THE MANAGEMENT OF THE ARENA. THE COYOTES WERE MANAGING THE ARENA. THEY GAVE THAT TO AAG. COYOTES SAID WE ARE GETTING OUT OF HERE. WE ARE NOT GETTING ANYTHING OUT OF THIS. THE PROBLEM IS THAT THE ARENA ON THE WEST SIDE, IT'S HARD TO GET OVER THERE ON THE WEEKDAYS TO SEE THIS. WEEKEND GAMES MAY BE BETTER, BUT THEY ARE STILL THERE. EVERYONE WONDERS, MAYBE THEY GO TO THE SALT RIVER RESERVATION NEXT. DIAMOND BACKS HAVE SPRING TRAINING THERE. THERE IS TALK OF DIAMOND BACKS GOING THERE IF THEY MOVE OUT OF CHASE. WE CAN SEE A REKINDLING OF THE MARKET. THE DIAMOND BACKS ARE MAKING NOISE ABOUT MOVING SOMEWHERE. THE SUNS WANT A NEW ARENA. COYOTES ARE TRYING TO FIGURE OUT WHERE HOME IS. IT'S A BUSY MARKET.
TED SIMONS: IT IS. YOU KNOW WE HAVE A LOT OF SPORTS FACILITIES. WE ARE OVER SATURATED WITH CONCERT VENUES. GREG STANTON WOULD LOVE TO SEE THE COYOTES COME DOWNTOWN TO SHARE AN ARENA WITH THE SUNS. DO THEY WANT TO DO THAT?
MIKE SUNNUCKS: THEY BOOK ALL OF THE CIRCUSES AND CONCERTS AND DISNEY ON ICE WITH LIVE NATION. THEY WERE THERE WHEN THEY MOVED FROM WINNIPEG. THAT WAS A PROBLEM. THEY WANTED THEIR OWN BUILDING. THAT'S A PROBLEM. DIAMOND BACKS WANT THEIR OWN STADIUM, WANTED CHASE FIELD RENOVATED. I THINK YOU WILL SEE PEOPLE TALK ABOUT WHETHER THE TEAMS WILL LEAD BUT NOT YET. IT'S AN IMPORTANT MEDIA MARKET, 13TH IN THE NATION. IT SHOWS IT HAS GEOGRAPHIC DIVERSITY, AND IT'S GOOD TO SELL TO ADVERTISERS.
TED SIMONS: WE ARE OUT OF TIME, BUT EXPLAIN WHY THE NHL IS DETERMINED TO KEEP THE COYOTES IN ARIZONA? I GET THE MEDIA MARKET. I GET IT TO A CERTAIN DEGREE. THE TEAM IS NOT GENERATING A LOT OF BUZZ RIGHT NOW. IF THE STANDS ARE FILLED, THEY ARE FILLED WITH FANS OF THE OPPOSING TEAMS. WHY ARE THEY -- WHY CAN'T -- IT WOULD SEEM TO ME IF SEATTLE OR SOME CITY SAYS BRING THEM UP THERE, WHY AREN'T THEY GOING?

MIKE SUNNUCKS: IF YOU HAD PAUL MOUNTAIN, MICROSOFT FOUNDER THAT OWNS THE SEAHAWKS, IF HE GAVE AN OFFER, THEY WOULD BE GONE BUT THE OTHER OWNERS, THEY ARE NOT BIG MONEY GUYS. GARY BETMAN PUT SO MUCH INTO KEEPING THEM HERE, THEY ARE STICKING WITH IT. YOU HAVE A TEAM IN MIAMI WITH A LOT OF PROBLEMS, A LOT OF OWNERS, TEAM IN TAMPA, CAROLINA, TEAM IN DALLAS. THEY LOOK GOOD TO NATIONALIZERS, BUT THEY HAVE TROUBLE IN THEIR NATIONAL MARKETS.
TED SIMONS: I HEARD THAT SHOT. YOU GAVE A SHOT THERE. GOOD INFORMATION. THANKS FOR JOINING US. WE APPRECIATE IT. YOU'RE WATCHING" "ARIZONA HORIZON." UP NEXT, WE'LL TALK ABOUT A PROGRAM TO HELP MUNICIPALITIES BECOME "SMART CITIES."

Mike Sunnucks: Phoenix Business Journal

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