It remains a mystery where the $15 million dollars is going to come from the Indiana Pacers say they need
to operate the city-owned Conseco Fieldhouse.
City-County Council leaders from both parties told IBJ yesterday there is no widespread support among council members to put this burden on city taxpayers—especially during the current economic downturn. We should have more answers by Sept. 30. That’s the deadline set by state law for the Council to approve its 2010 budget.
“There’s simply no line item for that,” said Joanne Sanders, the City-County Council Democratic minority leader. “The budget is tight, and there’s certainly not $15 million extra in there.”
Sanders added the city has other pressing needs.
“If we found $15 million, my vote is that it would go toward infrastructure issued in the city,” Sanders said.
City-County Council President Bob Cockrum said it’s not an ideal time for the Pacers to come looking for help, but added that he is open to listening to the concerns of team officials and the city’s Capital Improvement Board, which is charged with overseeing Conseco Fieldhouse.
“The problem is, where does the money come from?” Cockrum said. “There’s certainly nothing in the Municipal Corporations Committee [budget]. I’m sure it will be discussed in September.”
One source of the funding could be the city’s rainy day fund. The mayor’s proposal, sources said, is to squirrel away as much as $16 million in that fund in 2010. While the mayor has not openly proposed using those funds for the Pacers (or anything else for that matter), some council members said the idea of spending some of that money on certain initiatives should at least be considered.
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No coherent CIB reform plan, just a one year bailout on top of the one just passed for the Colts.
Guess using the money to attract new corporate jobs and pay for essential city services is a lower priority.
Is there a prize for misplaced priorities and stupid business decisions?
If only we had money to make it happen...............
http://www.indianaeconomicdigest.net/main.asp?SectionID=31&SubSectionID=62&ArticleID=27197
THere was NO supposed bailout of the Colts from the city. You need to lay down the crack pipe.
Had Enough?
Hell yeAH! His term can't end soon enough. :(
Sure hope he decides to pull the plug before we do it for him.
Greg Ballard: Mayor McCheesey.
The Pacers current lease does not give them the right to renegotiate.
http://bit.ly/12t2vL
Another misconception is that the fieldhouse contract gives the team the right to renegotiate its lease after 10 years—it actually gives the team the right to cancel the lease after the first 10 years if it doesn’t reach certain profitability targets. Voiding the lease, though, would cost the team dearly. It would be obligated to pay CIB a termination fee “based on a formula sufficient to reimburse the city for the economic effects of such early termination,” the contract says. The minimum penalty is $50 million, but the contract says the Pacers’ cost for terminating the lease in 2012 could be as high as $144 million.
If they threaten to move, where would they go?
http://bit.ly/12mfQ9
It’s laughable to think there are other markets waiting with open arms and sweeter deals for beleagured teams. We all see how that is working out in Oklahoma.
The Pacers financial situation is more of a league issue than a city issue, as more than half of NBA teams are losing money.
http://bit.ly/38ZkWo
Saying that less than half the teams in the league made a profit last season, Stern spoke at length Tuesday about the financial difficulties facing the league's 30 franchises
The NBA has actually offered some assistance to their struggling teams but he Pacers turned it down.
http://bit.ly/CtUjX
12 of the league's 30 franchises plan to borrow between $13 million and $20 million a piece.
As the Pacers seek ways to cut their losses, have they considered how much they are losing each season on the Fever? Could letting the Fever go save several million dollars?
http://bit.ly/c2zS7
The Indiana Fever have not turned a profit during their 10-year stint in the WNBA.