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Originally Posted by troutman
We don't know what GWI is willing to do. They have said that there is nothing they can do, until there is a deal.
Seems to me it would be an interesting case. There clearly seems to be a subsidy to Jamison, but from what I understand of the law, this can be justified if more money would be lost by the City without it. I'm not sure COG has really established that, and relied on some shaky financial reports.
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The city just approved the lease. I am not certain what is stopping them from attacking that vote.
I won't even pretend to know the ins and outs of the Arizona State Constitution, but the layman's arguments of "OMGZ GIFT CLAUSE" is based on the idea that "If the city gives anyone money, it's illegal". But that doesn't stand up to logic. Logically, I would expect that Goldwater, or anyone else, would have to convince a judge/jury that the amount of money being given exceeds what could be considered reasonable under the circumstances.
Now, an eight figure payment to manage the arena may seem unreasonable at first blush, but when you consider the city is betting they will still make more money with the deal than without - both in direct revenue from having a major anchor tenant and an owner/operator motivated to bring in more events, and from increased tax revenue by bringing out of town people in for these events - I think you could make reasonable case that the AMF is not excessive to the point of running afoul of that law.
It is a hugely risky bet, and one that may well fail given the history of the team in Glendale, but I agree with Valo that Goldwater's silence is a sign that they've been outmaneuvered here and don't want to spend the resources needed to reposition for a new fight. I think further opposition will come from the community level rather than from professional political activists.