GLENDALE, Ariz. - Chicago businessman and potential Phoenix Coyotes owner Matthew Hulsizer says he has changed the terms by which he would purchase the franchise in an effort to assuage legal concerns raised by the Goldwater Institute.
"We on Friday sent a letter to Goldwater to make it brain dead simple," Hulsizer said during a television interview with Fox Sports Arizona during the first intermission of the Coyotes game against the Chicago Blackhawks.
Under the terms of the lease Hulsizer negotiated with the City of Glendale, the city agreed to sell US$100 million in bonds that will go toward the purchase price of the team from the NHL. The Goldwater Institute has said the agreement violates the state constitution regarding public financing of private transactions, a so-called "gift clause."
On Sunday, Hulsizer said he will guarantee $75 million of the bonds which he said will negate legal concerns about possible violation of the gift clause.
The other $25 million of the $100 million already was going to be paid in cash to the city, Hulsizer said.
"We said, 'look, we're going to take the $100 million. You get $25 million back. Seventy-five million, we'll guarantee it'," he said. "I'm on the record as saying that I should not move on the deal. I don't feel like I should. It's a free market. I'm signing up to take on losses that would otherwise be borne by the Glendale and Arizona taxpayers.
"However, the deal needs to move forward. And when you look out 25, 30 years, we want to do what's in the best interest of Arizona and the best interest of hockey fans."