The lease in 2015 in fact was voided due to a conflict of interest clause invoked by the City of Glendale. A Glendale City attorney who worked on the arena negotiations wound up going to work for the Coyotes. The city council then voted 5-2 to void the lease....but more importantly it also canceled the $15M Arena Subsidy that was really important to the NHL. It fueled more speculation that the Ice Edge clowns were simply a front & the league were still the actual owners.
That incident fueled one of the more famous lines from Bettman during this saga which was repeated verbatim minutes later by Anthony LeBlanc....
"The citizens of Glendale should be very concerned about the government that they have leading them right now" or something to that effect. LOL
I remember that quote...
Couple of things...
Of that $15 million annual lease, $5 million was for the operations of the arena itself. After that lease was terminated, Glendale was paying AGM $5.3 million to operate the arena.
The additional $9 million per year was what you could call a subsidy. One of the conditions of that extra $9 million was IceArizona had to create additional revenue streams to pay back the city. The first season they came up short. by about $1.3 million.
What was also little known was the city attorney has asked, and received, a conflict of interest waiver from the city. Glendale knew the Coyotes were going to hire him. So why issue a COI waiver if you're going to terminate a lease based upon a conflict.??
Had a long protracted debate over that in BoH and it got down to the point that the COI issue is actually part of Arizona state law and it's mandatory the clause is baked into every government contract.... AND it can't be superceded.
The makeup of the city council had just changed and two of the members who voted for that 15-year lease were replaced by completely new people that favored the mayor's agenda. So the tin foil hat in me wants to believe the COI letter was a ruse on the city council's part, to set this all up and get out of that lease. IceArizona bit on it and paid the price.
Bettman probably saw it that way hence that statement.