Coyotes settle bills after unpaid taxes come to light

The Arizona Coyotes have paid all bills and taxes owing to the city of Glendale and the state of Arizona, the team confirmed on Thursday, one day after it was reported they might be locked out of their building if they didn’t pay up.

The Athletic’s Katie Strang had reported on Wednesday that the City of Glendale was owed about $250,000 in unpaid city taxes for use of Gila River Arena, home of the Coyotes.

Further, Strang reported the Arizona Department of Revenue filed a tax lien notice against the company that owns the Coyotes for more than $1.3 million earlier this month.

According to Strang, if the debt hadn’t been settled by Dec. 20, the City of Glendale had told arena managers to deny team employees access to the arena.

In a statement late Wednesday, the Coyotes blamed an “unfortunate human error” for the unpaid bills and pledged to settle the accounts Thursday.

“We deeply regret the inconvenience this has caused,” the team statement added.

Sportsnet’s Elliotte Friedman, reporting from the NHL’s Board of Governors meeting in Florida on Wednesday, said there has been concern about the Coyotes’ ability to pay future bills.

“I’ve been told there’s two separate issues here,” he said. “The first is that particular ($1.3 million) bill. But also there is a concern about what happens if the Coyotes pay that bill, will they guarantee that future tax monies that are owed until the end of the season? That they are concerned about the possibilities that the Coyotes pay this bill then don’t pay in the future and they have to chase them again.”

The Coyotes had been leasing Gila River Arena on an annual basis since the Glendale City Council voted to opt-out of a multimillion-dollar long-term deal in 2016. Glendale announced recently that it will not renew its agreement with the franchise beyond the 2021-22 season.

The Coyotes have played at Gila River Arena since moving from America West Arena, which they shared with the NBA’s Phoenix Suns, in downtown Phoenix in 2003.

In September, the Coyotes proposed a $1.7 billion development in Tempe, a city just east of Phoenix, that included a hockey arena, restaurants, shops and apartments on a 46-acre tract of land near the city’s downtown.

The team said the arena would be funded by private investors, but would seek city sales tax revenues to help pay for $200 million in additional costs, including infrastructure work.

The city of Tempe said the evaluation process would take several months and will include extensive examinations, with opportunities for community feedback.

Last week, the Coyotes issued a statement denying a report which said the team was up for sale and could be relocated to Houston.

Coyotes settle bills after unpaid taxes come to light
Source: Pinas Ko Mahal