In 1984's Born in the U.S.A album, Bruce Springsteen writes, "the times are tough, just getting tougher. This whole world is rough, it's just getting rougher." Who knew 31 years later that line would foreshadow the story of the Arizona Coyotes. After arranging an arena deal with Glendale in 2013, the future of the Coyotes finally looked bright, and it remained until Wednesday when the City Council of Glendale voted 5-2 in favor of cancelling a 15-year arena lease agreement.
The problem is rooted in the Coyotes hiring of Craig Tindall, a former Glendale city attorney, in 2013, which went against a state statute not allowing one party to hire someone from the other party in an agreement. This allowed the City Council to cancel the deal, to the dismay of the Coyotes.
As if this marriage could not get any worse, the Coyotes are responding by filing a $200M lawsuit against the City. The Coyotes also turned down an opportunity to renegotiate the deal with the City.
"What we have witnessed here tonight is possibly the most shameful exhibition of government I have ever witnessed," Coyotes Co-Owner Anthony LeBlanc said on the team's website. "The citizens of Glendale should be very concerned about the government that they have leading them right now, because this was not appropriate. We have been absolutely wronged this evening by a group that is acting in incredibly bad faith."
Surprisingly, there was noticeable turnout of Coyotes fans at the meeting, hoping to stem the tide in their team's favor.
"One thing that was illustrated tonight is that we have fantastic fans,” LeBlanc also said on the team's website. “God love them for coming back to this council chamber after all the times they’ve been in here over the years."
Despite how praised the Coyotes fan base is by their co-owner, the average attendance at Gila River Arena has ranked at or near the bottom of the league in each of the past eight seasons. In the past three years, the team has cut its operating losses by roughly 77 percent ($20.6M in 2012 to $4.6M in 2014 according to Forbes) and the team value bumped up to $225M in 2014, up from $200M in 2013.
Still, the Coyotes have been such a throbbing headache for the NHL that it's time to move on. Telling the Coyotes to pack their bags would also benefit Glendale considering the City lost $8.1M last year as a result of the arena lease and was slated to lose as much as $8.7M this year.
There just is not a large enough craving for the NHL in Arizona to keep the Coyotes in town when there are markets elsewhere in North America that can turn a much bigger profit.
Cue the Vegas, Seattle and Quebec City relocation rumors.