Phoenix LXII: Abandon Hope all Ye Who Enter Here

[madhi19]

"We were once called visionaries," said Glendale Councilman Manny Martinez. "Now we're being called other things which I won't name."

Well if I was in the business of selling swamp land I also call the "mark" all sorts of flattering names at least to their faces!

 

[OthmarAmmann]

So, after reading both of these posts I went back and read both agendas again (6/8 & 10/2). Combining the 2 and highlighting the additions and omissions I noticed the following (using 10/2's Agenda as PoR):



Setting the table...

Well if they were over optimistic about the naming rights in June then, well, lol.

 

[Whileee]

Sadly I don't have as much time to devote to this as I used to. It's noteworthy that Moody's explicitly called out the support of the Coyotes when they put the credit rating on negative outlook. It's a bit academic really, since the only party that would be willing to extend the city credit is probably a hedge fund that would seek a rate that is practically usurious.

I frankly am all for the tax increase combined with closing the lease. The city is a fiscal basket case and I can only hope I have the opportunity to observe them dig themselves even deeper.

I think you might be right about this. It seems that Glendale might be careening towards a situation where the "worst case scenario" is the most likely scenario.

Politically, the Jamison lease, complete with >$300 million in AMF payments could create strong political opposition to the sales tax increase. It's one thing to support an increase in sales tax to retain essential services, and quite another to support subsidies to owners of an NHL franchise. Ironically, the consummation of the lease might be the single most dangerous event to the campaign to increase the sales tax.

Financially, the chilling outcome would be a situation where Glendale assumes substantial new fiscal liability through its commitment to >$300 million in AMF (with much less than that coming back in revenue), while demonstrating that they lack the ability to increase taxes to cover its expenses. The current skepticism about Glendale's finances in the bond market could turn ugly, with Glendale becoming a full-fledged pariah.

 

[Killion]

The current skepticism about Glendale's finances in the bond market could turn ugly, with Glendale becoming a full-fledged pariah.

... according to my "sources" in the Bond market, that bridge has already been crossed, rigged. Should they proceed with Jamisons' AMULA, think Bridge at Toko Ri or River Kwai. That their playing with Semtex make no mistake. Looks and feels a lot like plasticine, like a Mr.Gumby kit. Decidedly however far from being user friendly.

 

[PeeBee78]

Wow bunch of new tweets about Phoenix....

David Shoalts ‏@dshoalts
Greg Jamison to take $25-million less in 1st five years of revised Phoenix Coyotes lease. http://www.theglobeandmail.com/spor...-payments-in-first-five-years/article4577333/ …

David Shoalts ‏@dshoalts
But Jamison still expected to get same $324-million over 20 years in original Phoenix Coyotes lease: http://*******/QCe5je

John Shannon ‏@JSportsnet
Can confirm GJamison & ALeBlanc met with City Mgr last Tues. to map out new agreement that Glendale Council workshop will see Tues.

John Shannon ‏@JSportsnet
It appears new agreement between Glendale and Jamison group reduces payment in first 5 years, but maintains total over the 20 year lease.

John Shannon ‏@JSportsnet
It should be stressed that this doesn't guarantee Jamison gets Coyotes. Greg still has a way to go to secure all his funding.#oldnews

Wow....lots of movement....we should have closure in....

2 weeks!

EDIT: Appears to indicate that Jamison still doesn't have the money?

 

[Coramoor]

Wow bunch of new tweets about Phoenix....



Wow....lots of movement....we should have closure in....

2 weeks!

EDIT: Appears to indicate that Jamison still doesn't have the money?

ice edge never had anywhere near enough, and Jamison still isn't that wealthy so that makes sense

 

[Major4Boarding]

You know, pouring over some more documents this evening I may just have to take back my previous "inept" statement in regards to the CoG.

 

[rt]

20 years is a long time. Probably smart for Glendale to back load the contract as much as possible. In ten or fifteen years, 16.2m may not be quite what it is today.

 

[ajmidd12]

20 years is a long time. Probably smart for Glendale to back load the contract as much as possible. In ten or fifteen years, 16.2m may not be quite what it is today.

Or it could be worth double what it is today. Think about the recession that most of America is still rebounding from.

Question: What was the last City to declare bankrupcty in the United States and what was the outcome?

Reason I ask, appears Glendale may be looking to get into the record books.

 

[sipowicz]

Or it could be worth double what it is today. Think about the recession that most of America is still rebounding from.

Question: What was the last City to declare bankrupcty in the United States and what was the outcome?

Reason I ask, appears Glendale may be looking to get into the record books.

Three in Cal did file for bankruptcy, San Bernardino, Stockton and Mammoth Lakes in 2012.

 

[Killion]

You know, pouring over some more documents this evening I may just have to take back my previous "inept" statement in regards to the CoG.

... wow there big guy. admission of a lack of empthy, understanding?

 

[Major4Boarding]

... wow there big guy. admission of a lack of empthy, understanding?

Underestimation... awaiting "solicited" feedback before elaborating further.

 

[Killion]

Underestimation... awaiting "solicited" feedback before elaborating further.

... meh. you have my but dont need my permission to proceed. Do tell.

 

[Dado]

Question: What was the last City to declare bankrupcty in the United States and what was the outcome?

There have been about a dozen in the past few years.

 

[Killion]

There have been about a dozen in the past few years.

... didnt quite meet the prognostications Dado.
"Massive Muni BK's ALL OVER THE USofA".
Pending DOOM. ARMAGEDDON.

... waiting... TIME on my clock.

and you and everyone else got exactly what? NOTHIN?.

 

[Evil Doctor]

John Shannon ‏@JSportsnet
It should be stressed that this doesn't guarantee Jamison gets Coyotes. Greg still has a way to go to secure all his funding.#oldnews

EDIT: Appears to indicate that Jamison still doesn't have the money?

There's that other shoe....

 

[OthmarAmmann]

... didnt quite meet the prognostications Dado.
"Massive Muni BK's ALL OVER THE USofA".
Pending DOOM. ARMAGEDDON.

... waiting... TIME on my clock.

and you and everyone else got exactly what? NOTHIN?.

Interesting time to bring that up. Here's a blog post from Friday that rips Meredith on that point.

http://online.wsj.com/article/SB10000872396390444549204578021380172883800.html

 

[Whileee]

... according to my "sources" in the Bond market, that bridge has already been crossed, rigged. Should they proceed with Jamisons' AMULA, think Bridge at Toko Ri or River Kwai. That their playing with Semtex make no mistake. Looks and feels a lot like plasticine, like a Mr.Gumby kit. Decidedly however far from being user friendly.

Jamison's AMULA without the sales tax increase seems a recipe for a complete disaster. Ironically, the political dimensions are likely such that if Jamison is handed $325 million over the next 20 years, they'll have a more difficult task convincing voters to support the sales tax increase. That could blow the finances in Glendale up real quick.

 

[doaner]

There's that other shoe....

Anything Shannon says should be taken with a pound of salt! Money is in escrow baby!

 

[Whileee]

Anything Shannon says should be taken with a pound of salt! Money is in escrow baby!

Maybe, but how much?

 

[halligan10]

Anything Shannon says should be taken with a pound of salt! Money is in escrow baby!

Really? Show proof of it...then i'll believe you

 

[halligan10]

Today is the 30th ... Have we heard anything about a new 30 days extension from the NHL or CoG? If not does it mean that tomorow CoG iss in charge of the Arena?

 

[Evil Doctor]

Anything Shannon says should be taken with a pound of salt! Money is in escrow baby!

Tell that to the Five for Howling goldfish...

I'm going to have to go with Cox on this one....

 

[Dado]

20 years is a long time. Probably smart for Glendale to back load the contract as much as possible. In ten or fifteen years, 16.2m may not be quite what it is today.

More importantly, it's multiple election cycles into the future.

 

[ajmidd12]

There have been about a dozen in the past few years.

Three in Cal did file for bankruptcy, San Bernardino, Stockton and Mammoth Lakes in 2012.

And out of those Cities how many of them were dedicating $300+ Million to millionaires to keep a professional sports team?!

See what I did there....