City councillors to meet Tuesday to discuss Coyotes' arena deal City councillors in Glendale, Arizona, are meeting Tuesday afternoon to discuss an arena management contract with the Arizona Coyotes, an agreement that calls for taxpayers to contribute $15 million per year over 15 years. TSN senior correspondent Rick Westhead has the latest as the meeting gets closer.

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City councillors in Glendale, Arizona, are meeting Tuesday afternoon to discuss an arena management contract with the Arizona Coyotes, an agreement that calls for taxpayers to contribute $15 million per year over 15 years.

Mayor Jerry Weiers, Vice Mayor Ian Hugh and five councillors are scheduled to discuss and consult with the city attorney "to receive an update, consider (their) position and provide instruction and direction to the city attorney regarding Glendale's position in connection with agreements associated with the arena and the hockey team," according to a meeting agenda posted on the city's website.

As TSN reported last week, some councillors say they want to amend or void an agreement that gives the owners of the Coyotes $225 million (all U.S. dollars) over 15 years.

Among the topics to be discussed Tuesday is the Coyotes' revenue from their arena naming-rights deal.

Both Weiers and Hugh want to review the contract the Coyotes have signed for the Gila River Arena because, they say, 20 per cent of the revenue from that contract is supposed to go to the city. In 2006, the team signed a 10-year, $30 million naming rights deal for the arena with Jobing.com, a local employment website.

Last August, the Coyotes canceled that agreement and signed a nine-year deal for naming rights with Gila River Casinos. Financial terms have not been released even to city officials, Hugh said, even though taxpayers have a direct financial interest.

Hugh said that the team's alleged failure to disclose the contract amounts to a breach of contract.

But some sports business experts say that withholding that contract alone probably wouldn't be enough to void the arena management contract.

"The team has a duty of good faith and fair dealing not to deprive the other side of what they bargained and it seems the city would be entitled to verify they are getting what they are owed," said Matthew Mitten, director of the National Sports Law Institute at Marquette University. "It's not an unreasonable request but it's kind of doubtful that would be enough to excuse the city of their contractual obligations."

Moreover, it's premature for Glendale councillors to claim that the arena management contract is a bad one for taxpayers, said Rodney Smith, director of the sports law and business program at Sandra Day O'Connor College of law at Arizona State University.

"Glendale hasn't even done an economic impact study on the agreement yet," Smith said.

Smith said students in his program have contacted the Coyotes offering to perform such a study.

"They might find out that the losses to the city are actually very small," he said. "Maybe the city even makes a profit. But I think the city councillors are just listening to the lawyers and haven't done the business work yet."

There's no arguing that the Coyotes deal has splintered the community of Glendale.

On one side, hockey fans are desperate to keep a team that puts Glendale on the map.

But on other, some residents say the costs to keep the Coyotes cannot be justified, even though the city does receive a portion of revenue sharing from the arena's operations. Last year, Glendale received about $6.5 million from IceArizona, which means the deal cost the city about $8.5 million.

Weiers and Hugh also say they want Andrew Barroway, who was announced by the NHL in December as the Coyotes' majority investor, to prove that he's actually the team's controlling partner.

Hugh said it's been difficult to confirm the Coyotes' ownership structure because Barroway has refused to meet with city councillors since last winter.

When contacted last week by TSN, Coyotes part owner Anthony Leblanc wrote in an emailed statement, "The Arizona Coyotes are in full compliance in regards to our agreements with the city of Glendale, and if there are any issues or questions that the city or its officials may have, they certainly should raise them directly with the team as opposed to doing so through the media."

Leblanc also denied Barroway has refused to meet with city officials.

"Mr. Barroway in fact had a meeting set up with the mayor and council and they cancelled due to going into an emergency executive session to fire their city manager," Leblanc wrote. "He has since had a call with the mayor and invited him to come to New York City. Lastly, he has met two council members at Coyotes games in Glendale."