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.

Bruins set NHL record with 12 straight home wins to start season

Bob DeChiara-USA TODAY Sports
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BOSTON — The Boston Bruins set the NHL record for most home victories to start a season with their 12th straight, topping the Carolina Hurricanes 3-2 in overtime with a power-play goal from David Pastrnak.

The Bruins broke the mark of 11 that was set by the 1963-64 Chicago Blackhawks and equaled by the Florida Panthers last season.

“That felt awesome,” Bruins first-year coach Jim Montgomery said. “We talked about it after the second (period) going into the third. There’s been a lot of great teams in this league and you’re able to set a precedent, break a record. It’s pretty special and it doesn’t happen if those guys don’t believe in themselves like they do.”

Boston, which trailed 2-0 late in the second period, tied it with 9:33 left in regulation when David Krejci scored his second of the game on a shot from the right point.

“It’s never fun being down going into the third, you’re sitting in here (in the locker room) trying to figure it out,” Krejci said. “You want to come out and do the job, something special on the line. It’s hard to win in this league. To get 12 in a row at home is pretty special.”

In overtime, Carolina was playing shorthanded after being called for too many men on the ice when Pastrnak one-timed a pass from Brad Marchand inside the far post from above the left circle.

“It was a big win for us, obviously, coming from behind,” Pastrnak said.

Jesperi Kotkaniemi and Stefan Noesen each scored a power-play goal for Carolina, and Pyotr Kochetkov made 38 saves. The Hurricanes lost their fifth straight.

In a rematch of last spring’s opening-round playoff series that the Hurricanes won in seven games, Carolina shutout the NHL’s highest scoring team for nearly two periods and jumped ahead a pair of power-play goals in the opening period.

“We took too many penalties. That’s hurting us right now,” Kotaniemi said. “I think 5-on-5 we’re doing a really good job. We started good tonight and couldn’t keep that up.”

Boston’s tying goal was originally disallowed because of goaltender interference on Nick Foligno but overturned on a coach’s challenge after it was ruled that he was nudged into the crease by Carolina defenseman Brett Pesce.

Boston starting goaltender Linus Ullmark made 28 saves but had to leave with 13:03 left in the third period with an undisclosed upper-body injury. Teammate Connor Clifton had jumped on him to block a shot during a scramble. Jeremy Swayman made six stops in relief.

Carolina’s Noesen scored at 6:34 in to make it 1-0. And with five minutes left in the period, Kotkaniemi collected the puck near the side of the net after Seth Jarvis‘ shot bounced off the back glass and slipped it inside the post at 15:05.

Krejci scored for Boston with 31 seconds left in the second.

Boston came in with a league-high 82 goals in 20 games (4.10 per game), but it was held to relatively few chances despite getting a 5-on-3 power-play advantage early on.

TAKE NOTE

The Bruins honored captain Patrice Bergeron, who recorded his 1,000th career point when the team was on the road against Tampa Bay, with a message on the Jumbotron. The crowd gave him a standing ovation.

Bergeron became just the fourth Bruin to reach the mark, joining Hall of Famers Ray Bourque (1,506), Johnny Bucyk (1,339) and Phil Esposito (1,012).

UP NEXT

Hurricanes: Host the Calgary Flames.

Bruins: Host the Tampa Bay Lightning.

Predators postpone 2 games due to Nashville water main break

Isaiah J. Downing-USA TODAY Sports
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NASHVILLE, Tenn. —  The Nashville Predators postponed two home games because of a water main break that soaked their downtown arena.

Hours after the Predators decided they couldn’t play against the Colorado Avalanche, the team announced it also postponed the game against the Columbus Blue Jackets. Makeup dates for the two games will be announced later.

The NHL said the water main break that occurred “significantly impacted the event level” of Bridgestone Arena. Team locker rooms and the ice surface are on the event level.

Predators President and CEO Sean Henry told reporters that the water in the event level ranged from 3 inches to 3 feet.

“We’re assessing it right now. We’re remediating it,” Henry said. “The good thing is, the water got shut off, the city responded in a pretty fast manner. I don’t think anyone is ready for things like this the Friday after Thanksgiving.”

Video posted by a WTVF-TV reporter shows the water puddled up on the main floor’s concourse area and the team store. The team was forced to close the store until further notice, pointing shoppers online for Black Friday specials.

The Predators’ next home game is now scheduled for Tuesday against the Anaheim Ducks.

The water issue also resulted in a switch to a different venue for a college hockey game between Northeastern and Western Michigan. They also had been scheduled to play at Bridgestone Arena, a game that was moved to Ford Ice Center Bellevue.

Rangers trade Ryan Reaves to Wild for 5th-round pick in 2025

Christopher Hanewinckel-USA TODAY Sports
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ST. PAUL, Minn. — The New York Rangers traded enforcer Ryan Reaves to the Minnesota Wild for a 2025 fifth-round pick.

Reaves had been a healthy scratch for eight of the past 12 games for the Rangers. He gives struggling Minnesota some extra muscle and a veteran presence.

The 35-year-old is signed through only the rest of this season at a $1.75 million salary cap hit. He has no points and 12 penalty minutes in 12 games of his second season with New York.

Reaves has played in 869 NHL regular-season and playoff games for the St. Louis Blues, Pittsburgh Penguins, Vegas Golden Knights and Rangers. He was with the Golden Knights during their inaugural season in 2017-18 when the reached the Stanley Cup Final.

Toronto’s Morgan Rielly placed on long-term injured reserve

Dan Hamilton-USA TODAY Sports
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TORONTO — The Toronto Maple Leafs placed defenseman Morgan Rielly on long-term injured reserve with a knee injury.

Rielly was hurt in a collision with with New York forward Kyle Palmieri early in the third period of Toronto’s 3-2 overtime loss to the Islanders at home.

Rielly has no goals and 16 assists in 20 games this season and is averaging 23 minutes of ice time.

Leafs coach Sheldon Keefe said following practice that the 28-year-old Rielly doesn’t need surgery, adding there’s no firm timeline for his return beyond the minimum 24 days and 10 games required for going on long-term injured reserve.

Toronto’s defense is also missing Jake Muzzin with a neck injury and T.J. Brodie with an injured oblique.