Arizona Coyotes have offered Tempe the best sports deal in state history. Here's why

Harry Mitchell, Neil Giuliano, Hugh Hallman and Mark Mitchell
·4 min read
62

Tempe Mayor Corey Woods said of the Tempe Entertainment District that’s the subject of a special election: “I'm going to be voting for this. And I think it's a great deal.”

We strongly agree.

That’s not insignificant: The four of us have 42 years of continuous service as mayor of Tempe, and decades of collective experience when it comes to governing our city. We have often disagreed on issues.

That we are of one voice in support is evidence of how outstanding an opportunity the proposed Tempe Entertainment District is for the city and its residents.

We join Mayor Woods in voting “YES” on Propositions 301, 302 and 303. The project is, as the mayor notes, the best sports arena deal in Arizona history.

Coyotes would clean a landfill, on their dime

Tempe has a $500 million problem, and the Arizona Coyotes development group is the solution.

The Coyotes group will clean up an unlined hazardous landfill site near Tempe Town Lake and, in so doing, take all the risk and relieve Tempe taxpayers of it.

If not for the development project, Tempe and its residents would be on the hook for the cleanup costs by raising bond money, which now can be redirected for parks rehabilitation, public safety and other important Tempe needs.

Additionally, the Coyotes team still must pay Tempe $50 million for the land. The property would be transformed into the Tempe Entertainment District, which includes new housing, new shops and restaurants, and a new arena for the Arizona Coyotes.

The developer will be investing $2.1 billion in the project, which is expected to create 6,900 permanent jobs. Many of them are higher wage jobs, as verified by a recent Arizona State University review.

This project also includes a substantial number of union jobs. Over a 30-year period, it would also generate $14.4 billion in total wages for Tempe workers.

We can't expect a better deal to come along

Former Mayors of Tempe Harry Mitchell, from left, Hugh Hallman, Mark Mitchell and Neil Giuliano speak as Tempe city officials and members of the Arizona Coyotes hold a news conference on March 30, 2023, in favor of the team's new stadium development plans.
Former Mayors of Tempe Harry Mitchell, from left, Hugh Hallman, Mark Mitchell and Neil Giuliano speak as Tempe city officials and members of the Arizona Coyotes hold a news conference on March 30, 2023, in favor of the team's new stadium development plans.

Three state senators recently took issue with this plan in an opinion column. With respect, they got it wrong.

One of their claims is that a better deal will come along. That’s a fantasy.

The land has been available for decades, yet it remains mostly vacant aside from a giant pile of trash and a festering landfill underneath the surface that must be cleaned up before it threatens our groundwater.

Tempe can’t wait any longer, and the Coyotes proposal solves the problem requiring no risk to taxpayers or Tempe.

Over a 30-year period, this project would generate an estimated $215 million in new tax revenues for our city that can be used for social services, parks, public safety and other needs.

Indeed, ASU’s review shows the Coyotes may have been conservative in estimating the additional tax revenues for Tempe.

A GPLET helped us clean Tempe Marketplace

This proposal is not a tax break for a billionaire, as critics claim.

It is a temporary tax abatement known as a Government Property Lease Excise Tax (GPLET) that was exchanged to get the developer to fund the costs Tempe otherwise would have had to pay. They are common in Tempe and throughout Arizona.

This is just how we cleaned up the property that now is the Tempe Marketplace, which has generated tens of millions of dollars for Tempe’s use. Would the opponents now undo that deal too?

For or against: Fundraising totals for Coyotes arena election

Additional tax revenues generated by the project will more than offset the GPLET.

Arizona created the arena GPLET to encourage private development of arenas and to avoid the arena taxpayer debacles of the past. The economic benefits for Tempe will still exceed $690 million, after factoring in the GPLET.

Tempe should decide its own future

These legislators also reference a complaint filed by Phoenix Sky Harbor International Airport aimed at killing the project so that Phoenix can enjoy a virtual monopoly on its downtown sports and entertainment district.

Let’s be clear. That complaint won’t stop Tempe residents from deciding their own future.

It won’t stop the election. And it won’t stop the Tempe Entertainment District from becoming a reality. Tempe will not be bullied by bureaucrats in Phoenix.

Our mayor and council thoughtfully crafted a deal that addresses an environmental and health issue while relieving the city of liability, and one that creates revenue long into the future. The deal also assures the project generates union jobs, all at zero cost to Tempe taxpayers.

That’s a huge win for all.

We stand united behind the mayor and council, the development partnership and all it offers for the west end of the Rio Salado project in Tempe, as well as the entire city.

We are voting yes on Propositions 301, 302 and 303 and ask you to do the same.

Harry Mitchell, Neil Giuliano, Hugh Hallman and Mark Mitchell are former mayors of Tempe. Share your thoughts at info@tempewins.com.

This article originally appeared on Arizona Republic: Arizona Coyotes arena deal can't be beat. Voters should approve it