Goldwater Institute ready to file lawsuit against City of Glendale over Coyotes deal

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The threats and rumors are no more in Glendale, Arizona. The Goldwater Institute has been investigating and threatening litigation against the City of Glendale over their proposed deal with prospective Coyotes buyer Matthew Hulsizer. Goldwater appears ready to follow through with their plans to file a law suit against the city because they feel the deal violates the Arizona Constitution.

Illegal Curve has a copy of the letter filed by Goldwater Institute and with the way they’ve got their case laid out, their take on the deal that Hulsizer and the City of Glendale are working on is damning. Their contention with the $100 million dollar payout to Hulsizer is pointed.

The Goldwater Institute has determined the agreement violates two prohibitions of the Arizona Constitution, which requires that no Arizona government “shall ever give or loan its credit in aid of, or make any donation or grant, by subsidy or otherwise, to any individual, association, or corporation. . .” The Goldwater Institute prevailed in a similar case against corporate subsidies last year in the Arizona Supreme Court.

The first part of the clause is violated by Glendale’s decision to provide its credit to make a payment to Mr. Hulsizer, who will use the proceeds to purchase the team. The city’s credit rating was lowered by Moody’s due to its debt overload, thereby increasing the cost of city borrowing. The second prohibition is violated because under the Arizona Supreme Court’s decision in Turken v. Gordon (the CityNorth case), Mr. Hulsizer is not providing roughly proportionate value for the payments he will receive from the city.

Rebekah Sanders of The Arizona Republic points out that Goldwater is waiting on Hulsizer to make the deal with the City of Glendale before proceeding with litigation. It’s as it always has been in this situation: A high-stakes staring contest.

The Glendale deal with Hulsizer hinges upon the sale of  $100 million in bonds which will be paid back through parking revenue. Of course, the amount of parking revenue you get also hinges upon the number of people driving to the game and the Coyotes attendance hasn’t exactly been stellar. Sales and excise taxes will also help generate revenue in which to pay back those bonds, but it’s difficult to see how it works out cleanly.

Goldwater Institute has been staunch in their beliefs that it won’t work out well and that the City of Glendale is being taken for a ride on the deal. After all, why should a city fork over millions of dollars to help a millionaire buy the team in the first place? We realize that the leverage is in Hulsizer’s favor as he’s doing Glendale a “favor” by buying the team and keeping an anchor tenant in Jobing.com Arena, but the City of Glendale bending the rules to give him more money to buy the team seems like quite the shady deal. Goldwater’s contention that the city would essentially be selling the parking revenue money back to itself also seems accurate.

Fuzzy math and curious wording sometimes works in deals with the government, but not every government has a dogged group looking over every piece of information to make sure their city doesn’t go broke in the process. Goldwater is either a fantastic governmental watchdog or the biggest bunch of spoil sports around. Coyotes fans are clearly in belief that they’re the latter. All that aside, it’s tough to see how Goldwater’s case isn’t flawed here.

If you’re thinking this will be the end game of all this, you’re wrong. Glendale has threatened to counter Goldwater’s lawsuit with one of their own against them for hindering the progress of the sale of the Coyotes. If Glendale does counter-sue and both sides cases being log jammed in the courts would likely point towards the NHL looking to sell the team to be rid of the headache. David Thomson and his True North group based out of Winnipeg, Manitoba is waiting in the wings patiently ready to purchase the team should the NHL look to move from Hulsizer and Glendale, Arizona.

Time is running out in Arizona for the Coyotes.

The Buzzer: Thornton moves up all-time scoring list; Kings snap six-game losing skid

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Players of the Night:

Brian Elliott looked solid in Philadelphia’s overtime win over the Capitals, as he turned aside 27 of 28 shots. This was the first time in eight games that the Flyers netminder allowed fewer than three goals in a game, but he’s still been victorious in three of his last four outings.

• How about that goalie duel between Connor Hellebuyck and Anders Nilsson. The Jets won the game, but both goaltenders were fantastic during this all-Canadian matchup.

• Sticking with the goalie theme, Aaron Dell was fantastic between the pipes for in San Jose’s win against Anaheim. Even when starter Martin Jones comes back from a lower-body injury, Dell should continue to be a factor for the Sharks.

• Sharks forward Mikkel Boedker had a solid night at the office, as he racked up two goals and an assist against the Ducks. That’s impressive considering he only had 12 points on the season coming into tonight’s action.

• The Kings’ power play isn’t a player, but it came to play tonight against the Rangers. Los Angeles got three goals on the man-advantage from Jake Muzzin, Michael Amadio and Tanner Pearson. Those three power play markers helped them snap their six-game losing skid.

Highlights:

Poor Markus Granlund never saw Hellebuyck coming:

That’s a pretty sweet shot from Kevin Labanc:

Here are two pretty sweet backhand passes leading up to Pierre-Edouard Bellemare‘s goal:

Alex Ovechkin scored a power play from his favorite spot on the ice:

Non-called Penalty of the Night:

That’s a pretty dangerous hit by Dmitry Orlov on Claude Giroux. No boarding call?

Factoids:

That’s a lot of power play goals for Ovechkin:

Joe Thornton keeps movin’ on up:

The Rangers have received some balanced scoring this season:

The Golden Knights simply can’t be stopped. What a season they’re having:

Scores:

Flyers 2, Capitals 1 (OT)

Golden Knights 5, Hurricanes 1

Jets 1, Canucks 0

Sharks 6, Ducks 2

Kings 4, Rangers 2

Joey Alfieri is a writer for Pro Hockey Talk on NBC Sports. Drop him a line at phtblog@nbcsports.com or follow him on Twitter @joeyalfieri.

Fight Video: Kempe comes to Lewis’ defense by dropping gloves with Smith

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It’s not every day that you see Los Angeles Kings forward Adrian Kempe drop the gloves, but he did so against the Rangers tonight.

Things got chippy at the end of the first period between the Rangers and Kings. As both teams were mixing it up, New York’s Brendan Smith shoved Trevor Lewis from behind. Kempe wasn’t impressed with Smith’s move, so he decided to take matters into his own hands.

Here’s Smith’s shove on Lewis:

And this is the fight between Smith and Kempe:

(h/t: hayyyshayyy on Twitter)

As you can tell from the above video, Smith is the more experienced fighter. Also, Kempe has great hair, but it’s clearly not practical when dropping the gloves.

Thanks to Smith, the Kings got a power play to start the second period. Defenseman Jake Muzzin cashed in on the man-advantage to cut Los Angeles’ deficit to 2-1.

Joey Alfieri is a writer for Pro Hockey Talk on NBC Sports. Drop him a line at phtblog@nbcsports.com or follow him on Twitter @joeyalfieri.

Expansion Golden Knights are officially in first place (Update)

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Just like we all predicted in September, the Vegas Golden Knights are sitting in first place in the NHL.

The Golden Knights’ 5-1 win over the Carolina Hurricanes allowed them to collect their 65th and 66th points of the season, which moved them one point ahead of the Tampa Bay Lightning for top spot in the league (both teams have played 46 games).

PHT’s Adam Gretz wrote a terrific piece about Golden Knights’ amazing first season to date.

It’s only fitting that Vegas got a good amount of production from some of their most pleasant surprises tonight. Jonathan Marchessault, Colin Miller and James Neal also found the back of the net.

As you’d expect, the Golden Knights’ Twitter account is having fun marking this occasion.

“Maybe a little unexpected, right?,” Marc-Andre Fleury said of his team’s success, per NHL.com. “It’s been a lot of fun. We started this team from scratch and chemistry was built very quick between us. Every night, all the guys bring their best effort. I’m proud of our team to be where we’re at right now.”

We’ve had over three months to come to grips with everything the Golden Knights have done, but it’s still amazing to see how some of the players on their roster have produced during Vegas’ inaugural season.

 

43 points in 43 games for Marchessault? 25 goals at the midway point of the season for William Karlsson? Nobody saw those things coming. What makes this even more impressive is that they’ve had to roll four goalies (Fleury, Oscar Dansk, Malcolm Subban and Maxime Lagace).

“Early on in the year, I think we surprised some teams. Now I think every team will get up to play us. It’s just something that will be another test for this group,” Miller told NHL.com.

Now the question is, how far can this pesky expansion team go?

Joey Alfieri is a writer for Pro Hockey Talk on NBC Sports. Drop him a line at phtblog@nbcsports.com or follow him on Twitter @joeyalfieri.

Struggling Lightning lose Ondrej Palat for indefinite period of time

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The Tampa Bay Lightning have been going through a difficult stretch lately and things got a lot more difficult on Sunday. The team announced that Ondrej Palat is out indefinitely after taking a spear from Wild defenseman Jared Spurgeon on Saturday night.

The Bolts, who are on an eight-game road trip, have confirmed that Palat will head back to Tampa on Monday for further testing. He’s accumulated eight goals and 30 points in 46 games this season.

Although the video isn’t the clearest, this is the play that led to the injury:

The injury couldn’t have come at a worse time, as the Lightning have been slumping badly of late. They’ve dropped three games in a row to Calgary, Vegas and Minnesota.

Their once giant lead atop the Atlantic Division has dwindled to three points over the Boston Bruins, who have a game in hand.

“We’re just out of synch, it’s unreal,” head coach Jon Cooper said, per The Tampa Times. “The guys didn’t forget how to play hockey in the last week and a half. We’re just out of synch. One guy zigs, the other guy zags. It’s crazy that in the last week and a half, we kind of lost our swag.”

The Bolts will continue their road trip in Chicago, Nashville and Philadelphia before the All-Star break. On top of their difficult schedule, they’ll also be without number one defenseman Victor Hedman for the next few weeks.

Their spot in the playoffs isn’t in any danger, but the number one seed in the league (Vegas is coming in a hurry) and top spot in the division is in doubt.

Joey Alfieri is a writer for Pro Hockey Talk on NBC Sports. Drop him a line at phtblog@nbcsports.com or follow him on Twitter @joeyalfieri.