Goodyear's mayor is standing her ground on a deal to open a Nike manufacturing plant in the Phoenix suburb after Gov. Doug Ducey blasted the company for canceling a shoe that featured an early design of the American flag.

The Goodyear City Council struck the deal Monday to land the Nike plant with more than 500 jobs. Hours later on Twitter, Ducey said that "Arizona's economy is doing fine without Nike" and ordered to withdraw all state dollars luring the shoe company to metro Phoenix.

The governor blasted Nike's decision to pull the patriotic shoe, which was set to go on sale this week, after former NFL quarterback Colin Kaepernick told the company he and others found the flag's design offensive, according to a report from The Wall Street Journal.

After hunkering down for the better part of the day — Goodyear officials declining comment as staff met in the mayor's home — the mayor issued a statement saying the city is “in the middle of a difficult situation.”

“We will honor the commitment we made in our agreement,” Mayor Georgia Lord wrote. “It has been a focus of the Goodyear City Council to build a strong economy for years to come and we will continue to work hard to bring the kind of high quality jobs that our residents deserve.”

While Ducey pulled back on a $1 million state incentive offered to Nike, another $2 million in funding and fee waivers comes directly from the city.

A Goodyear spokeswoman says the city has “no reason to believe the plans are changing” with Nike.

Nike issued a statement saying it still intends to open a third U.S. manufacturing center, but did not say if it would be in Goodyear.

"Nike is a company proud of its American heritage and our continuing engagement supporting thousands of American athletes including the US Olympic team and US Soccer teams," the company wrote in a statement Tuesday afternoon. "We already employ 35,000 people in the U.S. and remain committed to creating jobs in the U.S., including a significant investment in an additional manufacturing center which will create 500 new jobs."

Mixed community reactions

Goodyear residents offered mixed opinions to the governor's social media criticism.

“I’m behind Gov. Ducey 100%,” resident Gary Kotula said. “I could give a care if Colin Kaepernick is offended.”

As a retiree, he said the jobs the manufacturing plant would bring the city were not important to him.

OPINION:Hey, Nike, you red, white and blew it by dissing Betsy Ross

Resident Dru Bacon supported the concerns raised by Kaepernick. He praised Nike’s decision to pull the shoe and said he doesn’t like to see any company, whether a car dealership or a shoe manufacturer, use the flag in advertising.

Bacon would like to see Nike come to Goodyear. “We often decry the loss of manufacturing jobs so this is a good thing to have Nike come here," he said.

Goodyear, like many West Valley suburbs, has sought to build its employment base and reduce the high percentage of residents who must commute outside the city for work.

New Mexico Gov. Michelle Lujan Grisham quote-tweeted Ducey's thread by saying, "Hey Nike, let's talk."

What Nike was promised

Talks between Nike and Goodyear began in May and city officials credit the Greater Phoenix Economic Council for bringing the deal together.

The City Council approved a job creation agreement Monday that put Nike on the fast-track to set up shop. In return, Nike must take certain measures in its first five years in Goodyear, including:

Bring at least 505 full-time manufacturing jobs.

Offer an average salary of $48,514 per year, including overtime and bonuses.

Pay at least 65% of employee health-care premiums.

Invest at least $184.5 million in improvements to an existing building in the city.

Goodyear promised to waive nearly $1 million in plan review and permit fees and reimburse Nike another $1 million for the jobs created.

A city report estimated the plant would bring the city $7.7 million in direct revenue and more than $483 million in economic impact in the plant's first five years.

What did Ducey actually do?

The Arizona Commerce Authority offered Nike an additional $1 million that was separate from the company's deal with the city. That money is what Ducey wants to take back.

"Unlike other programs in statute that are eligible to any and all companies, including Nike — this is purely discretionary," Susan Marie, ACA executive vice president of strategy, wrote in an email.

OPINION:Gov. Doug Ducey won't suck up to Nike. He's too busy sucking up to Trump

Bob Barrett, a former mayor in nearby Peoria, said he's never seen a governor do something like this.

Ducey can tell commerce authority what to do, but the deal struck between the city, Greater Phoenix Economic Council and Nike should stand, he said.

"He can direct a state agency, but I don't think he can stop a deal with Goodyear, Nike and GPEC," Barrett said. "If GPEC did that, it would hurt our relationships with GPEC."

Reach reporter Joshua Bowling at jbowling@azcentral.com or 602-444-8138. Follow him on Twitter @MrJoshuaBowling.

Support local journalism. Subscribe to azcentral.com today.