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Joyce Clark Unfiltered

For "the rest of the story"

Jan 15

27

NFL bid process…Sold! To the highest bidder

Posted by Joyce Clark on January 27, 2015
Posted in Arizona Cardinals • City issue and actions • City of Glendale • Glendale and the Super Bowl • Glendale finances • NFL • University of Phoenix Stadium  | Tagged With: , , , , , , , | 3 Comments

A quick note before taking a look at the NFL bid requirements for a Super Bowl. Yesterday I wrote about Glendale Mayor Jerry Weiers’ inability to purchase tickets for the Super Bowl taking place a mere 5 days from now in Glendale. Today the Arizona Republic has an editorial very much in agreement. They refer to the NFL’s actions, or better yet, inaction, as “petty.” On this assessment I disagree. The pettiness is owned by the Bidwills. If they wanted Mayor Weiers to have Super Bowl tickets, the deed would already have been done.

On to the Super Bowl bid process. There are two links that provide the NFL requirements for hosting a Super Bowl. The Minneapolis Star Tribune has the entire 153 page document has a limk. Here it is:  http://www.startribune.com/local/minneapolis/262253921.html . Glendale, years ago, posted only that portion of the bid document (43 pages) relevant to a host city. Here is the link: https://www.glendaleaz.com/clerk/Contracts/8806.pdf . I am not going to go into excruciating detail about the requirements. You have the links to read the entire bid for yourselves.

It is interesting to note that there are several phrases very, very liberally sprinkled throughout the bid specifications. The first is “at no cost to the NFL.” The second is “made available to the NFL rent-free.” The third is “provided by the Host Committee at no cost to the NFL.” The fourth is “discounted to the NFL.” The last is “the NFL must have exclusive rights at no cost to the NFL.”

Host cities go to great lengths to get noticed by the team owners in the hope that they will win the bid. In 2011 Arizona presented each team owner with an IPad, customized with each team’s logo and already loaded with a video presentation touting the Arizona bid. In 2012, Indianapolis had children deliver its bid to each of the team owners. Florida promised the owners yachts; Tampa offered all of the owners a golf outing with Arnold Palmer; and Texas just outright offered a million dollars to cover the Super Bowl game day costs. Here is a sampling of the ‘must haves’ included in the bid:

  • Provide 35,000 free parking spaces
  • Free billboards across the Valley
  • Receipt of all revenues for the game’s ticket sales
  • Installation of NFL preferred ATM’s at the stadium
  • Presidential suites, at no cost, in high-end hotels
  • Free access to three high-end golf courses in the summer or fall before the game
  • Free curbside parking at the NFL house
  • Free access to two top quality bowling venues

And the list goes on:

  • Temporary stadium seating must be 19” wide
  • Seating for the hoards of media must be 20” wide with an accompanying 24” clear, workspace
  • Grass field must be re-sodded for the game; and the NFL can remove chunks of it after the game, for resale, if it wishes
  • The stadium must be available to the NFL 4 weeks prior to Game Day and 4 days after; exclusive use for the NFL is 2 weeks prior
  • NFL has complete and exclusive control for 2 weeks prior to game of all club, restaurant, meeting, and hospitality facilities at the stadium
  • The host city must guarantee that its police, fire, permits, etc. are the top priorities
  • NFL has exclusive right to sell game day programs and novelties at the stadium
  • NFL will receive the stadium’s percentage from the sales of food, beverages and catering
  • Only NFL sponsor’s products will have logos seen on all products; all other logos are to be covered or removed
  • NFL allotted suites get a 30% discount on food and beverages
  • NFL requires 300 top quality buses; 65 limos (no older than 5 years); 5 premier quality buses and 125 “school” buses
  • Hotels where the teams stay obligated to televise the NFL Network for a year before the Super Bowl

There’s far more but this alone is enough to make one’s head spin. What does the NFL expect its game day costs to be? About $2.5 million dollars but let’s be generous and double that to $5 million dollars. For a several million dollar investment it earns billions. Yet it will not reimburse host cities for their costs. How greedy can it get? Oh, and the Host Committee must stipulate which of the NFL game day costs of $2.5 million dollars it will cover.

Did you know the Arizona Host Committee, just like the NFL, is a 501 (c) 6 non-profit organization? Its contributions are not deductible as charitable contributions but they can be deducted as a trade or business expense if ordinary and necessary in the conduct of business. Don’t you think every one of the businesses that contributed to the Arizona Host Committee had their CPAs and attorneys justify their contributions as deductions to the IRS? You bet they have.

Did you know that the Bidwills bought Tom’s Tavern in downtown Phoenix? It’s being operated by Rojo Hospitality, a division of the food company the Bidwills created to serve the University of Phoenix stadium. No wonder Michael Bidwill is so ecstatic to see NFL major events occurring in downtown Phoenix rather than in Glendale.

Why is Michael Bidwill feuding with the City of Glendale? He wants the City of Glendale to build a parking garage in the Westgate area at a cost of $25 to $35 million dollars. Why the need? Every inch of land surrounding the footprint of the stadium has been approved for development as the Bidwill’s Sportsman’s Park East and Sportsman’s Park West. These approved plans call for hotels, apartments, offices and retail — some 200’ feet tall, twice the height of the stadium (to date unapproved by the FAA). Of course those plans call for parking but it is parking dedicated to the structures to be built while removing all of the football parking space surrounding the stadium. That football dedicated parking has to be replaced and what better dime to use than the city’s.

If all of this doesn’t make you angry, nothing will. Perhaps someday the general public (read taxpayers) will realize in reality, they pay for the Super Bowl, and not just with tickets to the game or the merchandise they buy. I still call for all of the potential host cities to form their own league (or consortium), present a united front to the NFL and say “enough already.”

©Joyce Clark, 2015

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

Jan 15

26

NFL: the really big, bad boy of the sports leagues

Posted by Joyce Clark on January 26, 2015
Posted in Arizona Cardinals • City issue and actions • City of Glendale • Glendale and the Super Bowl • Glendale elected officials • University of Phoenix Stadium  | Tagged With: , , , , , , | 6 Comments

I’ve had it up the Yazoo with the antics of the NFL. It’s a non-profit organization that stands to earn about $10 billion dollars this year. It pays very little tax to anyone. The profit sharing among the team owners, while never divulged, is very healthy indeed. It seems as if NFL Commissioner Roger Goodell and the 32 team owners that comprise are the NFL have allowed a breeding ground of thugs and miscreants.

The San Diego Union Tribune has a database of all NFL player arrests and citations since 2000. They say it’s a list of anything “more serious than speeding tickets.” Their list includes 719 records and they say it isn’t necessarily comprehensive.  Here are just a few of the most publicized NFL players that made the limelight in recent years:                                 Aaron Hernandez                                                                              Team: New England Patriots                                                          Position: Tight End                                                                                Alleged Crime: Three murder charges, armed assault and attempted murder.

Adam “Pacman” Jones                                                                     Team: Cincinnati Bengals                                                                 Position: Cornerback                                                                      Alleged Crime:  Too many incidents to list. His most well-known involves a shooting incident at a Las Vegas strip club that left one person paralyzed and two others injured. Police said Jones incited the incident. Jones pleaded no contest to a charge of conspiracy to commit disorderly conduct and agreed to testify about the shooter

Michael Vick                                                                             Team: NY Jets                                                                                   Position: QB                                                                                 Crime: Convicted of running a dog fighting ring.  Served two years in prison.

Ray Rice                                                                                       Team: Baltimore Ravens                                                                 Position: RB                                                                                  Alleged Crime:  Aggravated assault of his then fiancée. Rice was cut by the Baltimore Ravens on September 8

Aldon Smith                                                                                  Team: San Francisco 49ers                                                          Position: Linebacker                                                                      Alleged Crime: Two DUI’s, possession of an assault weapon and a bomb threat at LAX. Currently serving a ten-game suspension from the NFL

Ben Roethlisberger                                                                        Team: Pittsburgh Steelers                                                            Position: Quarterback                                                                   Alleged Crime: Accused twice of sexual assault. One case was dropped and the other was settled out of court. Roethlisberger served a four-game suspension for violating the NFL’s personal conduct policy. Oh, and let’s not forget Inflategate.

Add to the litany of the NFL’s scandals and outrageous profits the ongoing bad blood between Michael Bidwill and the City of Glendale. Bidwill has not been happy with Glendale since the University of Phoenix stadium landed in Glendale. The city has never “rolled over and played dead” for Bidwill regarding his many, oft times extreme, demands, whether they were football related or development related.

Make no mistake when it comes to the actions and decisions of the Arizona Host Committee, Bidwill is large and in charge. Jay Parry may be the current President of the Arizona Host Committee but nothing is done or a decision made without Bidwill’s knowledge and approval.

On January 25, 2015, the New York Times ran an interview with Glendale’s own Mayor Jerry Weiers. Here’s the link: http://www.nytimes.com/2015/01/26/sports/football/albatross-of-debt-weighs-on-super-bowl-city.html?_r=0 . In the article Weiers bemoans the fact that he has been snubbed and has not been invited to the Super Bowl despite his being the mayor of the host city. It seems he has taken a page out of former Mayor Scruggs’ play book by complaining publicly in the hope that he will get tickets just as Scruggs did in 2008. Whether it’s Scruggs or Weiers, it’s embarrassing to have one’s mayor publicly whining. If the feud had been a staring contest, Mayor Weiers blinked first.

The host committee could have provided tickets but chose not to. Oh, really? If Bidwill had said make sure the Glendale mayor is invited, Weiers would have his ticket. One can assume the host committee declined to invite Weiers so as not to be on the receiving end of a Bidwill fit. Bidwill, when asked by Channel 12 news about the Weiers ticket situation, tried desperately to ignore the question and kept trying to turn the story into a good news story for the state and the region — to no avail.  Here is the link: http://www.azcentral.com/story/news/12-news/2015/01/26/12-news-michael-bidwill-cardinals-glendale-jerry-weiers/22335269/ .

In Bidwill’s parting shot, when asked why Phoenix and Scottsdale were hosting most of the Super Bowl parties instead of Glendale, said that was the decision of the Arizona Super Bowl Host Committee. “They’ve landed in cities that have been extremely supportive of the hosting of this Super Bowl,” Bidwill said. He went on to say that Glendale has been a “poor partner.” Has it occurred to anyone that if Glendale had refused to participate in the bid process that landed this year’s Super Bowl, there would have been no Super Bowl in Arizona this year?

Make no mistake, sometime in the future Bidwill and the Arizona Host Committee will want to bid again. At one time it was thought that Arizona would be part of a permanent rotation of the Super Bowl among southern or warm cities. Can you imagine if this year’s Super Bowl were being played in New Jersey? After all, the northeast is only dealing with a blizzard. Flights are cancelled and public transportation is at a standstill.

Until Glendale is assured, in writing, that it will be reimbursed for its costs, just as the host cities in Texas and Florida, it has no business being a Super Bowl host. The really big, bad boy of the sports leagues and the Bidwills, instead of spite will have to learn to use some sugar…the green kind, in large denominations, please.

© Joyce Clark, 2014

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

Jun 14

19

No light at the end of the tunnel

Posted by Joyce Clark on June 19, 2014
Posted in Camelback Ranch Spring Training Facility • City issue and actions • City of Glendale • Glendale finances • University of Phoenix Stadium  | Tagged With: , , , , , | 1 Comment

It appears that Glendale cannot catch a break financially. Camelback Ranch opened in 2009 as the new Spring Training home of the Dodgers and White Sox at a cost to Glendale of $158 million: The ballpark cost $121 million, plus $37 million for off-site infrastructure. Glendale knew that reimbursement from the Arizona Sports and Tourism Authority (AZSTA) would be a long time in coming but at least it knew that in the future it would be partially reimbursed for its investment (if I remember correctly, it was 70% of the cost) .

AZSTA utilized a 2000 voter approved tax on car and hotel rentals to pay for the construction of the University of Phoenix Stadium and various Spring Training facilities in addition to reserving a portion for youth sports. It issued bonds for stadium construction that are paid from the rental taxes.

On Tuesday, June 17, 2014 Maricopa County Superior Court Judge Dean Fink ruled that the car rental tax was unconstitutional because the tax was being used for what he determined were impermissible uses. Here is the link:  http://www.azcentral.com/story/money/business/consumer/call-12-for-action/2014/06/18/judge-strikes-rental-car-tax-stadiums/10723905/ .

There is a hotel industry suit waiting in the wings claiming that it’s tax is also unconstitutional. No doubt there will be an appeal of all rulings related to this issue so it may be at least a year or more until there is final resolution.

If the car rental industry and the hotel industry finally prevail Arizona will be forced to rebate all of the tax it collected to those industries. It will be an amount way, way north of $150 million. This action raises a host of questions. Will AZSTA come up with another taxing mechanism to replace the unconstitutional one? Will it take it to the voters for approval? Will it renege on its obligations? Will cities with new, spring training facilities be able to sue AZSTA for breach of contract if it fails to reimburse them? The implications of such a ruling, should it be upheld, are breath taking.

For Glendale it is not catastrophic in the short term because it knew AZSTA’s reimbursement was some time off. But, if AZSTA does not fulfill its obligation to reimburse Glendale and it is solely responsible for paying off the construction debt of approximately $17 million a year, it becomes another financial obligation that bond rating agencies will take into consideration when rating Glendale’s ability to pay its massive debt. This result, if not reversed on appeal, provides no light at the end of Glendale’s long and dark financial tunnel.

 © Joyce Clark, 2014

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

May 14

28

Restraint of trade?

Posted by Joyce Clark on May 28, 2014
Posted in City issue and actions • City of Glendale • Glendale elected officials • Glendale finances • Jobing.com arena • University of Phoenix Stadium • Westgate  | Tagged With: , , , , , , , | 7 Comments

Caitlin McGlade had a story in the Arizona Republic of May 28, 2014 entitled Glendale to collect less than projected on Coyotes Accord. I found the spin by stakeholders fascinating. For instance, Monty Jones, of Global Spectrum and general manager of the arena, had the following to say about the non-hockey events booked into the arena this year, “it had a successful year.” Wow. They set the bar so low that no one can see it. Seven non-hockey, revenue earning events is embarrassing when the anticipated number of non-hockey, revenue producing events was in the 20’s. Jones went on to say, “The company hopes to book more events next year.” I hope to win the Pulitzer Prize next year but it isn’t going to happen. So far, it’s not looking so good for Mr. Jones, et.al., with 5 non-hockey, revenue producing events booked in the arena for next year.

Parking revenues continue to be a problem for IceArizona and the city with cheaper parking available at the Cardinals’ stadium and another 3,000 free spaces throughout Westgate. Who would have guessed? After all the ink on the management agreement was barely dry when  the Cardinals announced that they would undercut the Coyotes parking charge and the Westgate manager announced that there would be no change in their policy of keeping spaces free during hockey games.

The article went on to say Councilmember Sherwood’s solution was, “that the city consider blocking off a road to make it more difficult to access those lots (stadium lots) during arena events. Councilmember Martinez seemed to think it’s an idea worth considering and said of blocking access, “(it) probably crossed most of our minds.” Those minds would be the four councilmembers who voted for the arena management agreement: Sherwood, Knaack, Martinez and Chavira.

Sherwood’s cock-a-mammy idea of using governmental authority to directly impact a private business in competition with the city is akin to asking for a law suit. What are they thinking? Are they thinking?

© Joyce Clark, 2014

FAIR USE NOTICE

This site contains copyrighted material the use of which is in accordance with Title 17 U.S. C., Section 107. The material on this site is distributed without profit to those who have not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democratic, scientific and social justice issues, etc. We believe this constitutes a ‘fair use’ of any such copyrighted material as provided for in Section 107 of the US Copyright Law and who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond ‘fair use,’ you must obtain permission from the copyright owner.

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