Coyotes file $2.3-billion claim against City of Phoenix as arena drama continues

The Coyotes and Bluebird Development have had enough of Phoenix's “bullying bureaucrats.”

The Arizona Coyotes’ 2022-23 season is nearing its merciful end, but the franchise’s perpetual arena headaches continue. Wednesday presented the latest wrinkle as the Coyotes and Bluebird Development filed a $2.3-billion claim against the City of Phoenix.

Because it’s the Coyotes situation, even the statement includes eyebrow-raising claims, including a remark about a “malicious dark money newsletter.”

In a statement regarding that $2.3-billion claim, the Coyotes and Bluebird Development said they’ve had enough of “bullying bureaucrats” and claimed the City of Phoenix “broke its word and decided to undermine a plan to convert a hazardous unlined Tempe-owned landfill into a new sports and entertainment district next to Tempe Town Lake."

This claim follows the City of Phoenix filing a lawsuit against the City of Tempe last week to stop the $2.1-billion arena deal. If you’ve followed the many lows and few highs of the Coyotes’ arena situations over the years, you may not be surprised to stumble upon some governmental squabbles, in this case about how the area is affected by noise due to air travel.

Center Ice Mullett Arena, home of the Arizona Coyotes. (Photo by Zac BonDurant/Icon Sportswire via Getty Images)
Center Ice Mullett Arena, home of the Arizona Coyotes. (Photo by Zac BonDurant/Icon Sportswire via Getty Images)

Coyotes, Bluebird Development make quite a statement about City of Phoenix

Some of the juiciest parts of the Coyotes and Bluebird Development’s statement addressed the air travel issues, not to mention the “dark money newsletter.”

“ … We will not stand for Phoenix bullying Tempe and will vigorously push back on Phoenix’s shenanigans.

In addition to this claim, the Coyotes and Bluebird will continue to investigate Phoenix and Sky Harbor’s use of taxpayer dollars to interfere with a neighboring city’s election. Furthermore, they will be seeking any and all communications, documents, and negotiations between the City of Phoenix, Phoenix council members, and Phoenix city staff with any and all developers and property/business owners within Phoenix city limits and similar proximity to Sky Harbor as Tempe Entertainment District.

The damages being sought are $2.3 billion, equal to the entitlement value of the Tempe Entertainment District.

Beyond ultimately untruthful assurances made by the City of Phoenix, there are decades of correspondence between Phoenix and Tempe indicating that multi-family housing is permitted in Sky Harbor flight paths. Collectively the two cities have approved more than 4,000 residential units in the flight zone.

In addition to the claim, attorneys for the Coyotes are also seeking documents from Phoenix related to a malicious dark money newsletter opposing the entertainment district which was sent to Tempe residents. They are also pursuing other claims against the City of Phoenix such as the illegal use of government resources by the Phoenix City Council and staff to influence an election. That influence extends to the newsletter as well as Sky Harbor’s actual complaint filed just before ballots go out in Tempe …”

Tempe voters are slated to decide if a plan goes forward in a May 16 vote, but it’s unclear if any of these legal actions might change that process. The Coyotes have four games left this season, including hosting two home dates at the cozy (about 5,000-seat) confines of Arizona State’s Mullett Arena.

Even if a Tempe arena eventually gets approved, they haven’t even broken ground to start constructing that new building. If history repeats itself yet again, there could still be quite a few twists and turns — and angry statements — as this drama drags on.