By Terri Hardy -- Bee Staff Writer
Published 2:15 am PDT Wednesday, September 29, 2004
Sacramento is scrapping plans for a March advisory vote on whether taxpayer funds should be used to build a new arena for the Kings, City Manager Bob Thomas confirmed Tuesday.
Work on ballot language quietly has been halted as the city waits to see whether an arena-funding proposal by private developers in North Natomas gathers momentum.
"The idea of racing to a March ballot at this point doesn't make sense," Thomas said.
Shirley Concolino, Sacramento's city clerk, said for the arena question to make it to the March ballot, language would have to be approved by the City Council no later than Oct. 26. Even though making that deadline is no longer feasible, city officials said an arena plan is far from dead.
Thomas said he is in frequent contact with the backers of the new arena funding plan. And developers of the downtown Union Pacific railyard said city officials recently have approached them about locating an arena within the 240-acre project area - the first downtown arena site proposed, but later discounted as too costly to taxpayers if the public was to foot the bill.
City Councilman Steve Cohn said he doesn't see any reason for the city to move forward with the March vote.
"The idea behind that was that we would be looking at some plan between the city and the (owners of the Kings)," Cohn said. "Now that there's a possibility of funding this with private money, we need to track that down and see if it has promise."
But Mayor Heather Fargo will ask Thomas to bring the ballot issue back to the council next week for discussion, said Chuck Dalldorf, Fargo's chief of staff.
After an emotional meeting, the council on Aug. 5 voted to put the arena issue up for a vote on the March ballot, directed Thomas to hire consultants and told city staff members to bring back a recommendation for a preferred arena site and a financing plan on Sept. 21.
At the same meeting, the council also voted to cap the city's arena investment at $175 million - a controversial action that caused Kings officials to walk out of the meeting and declare the arena plan dead. John Thomas, president of Maloof Sports and Entertainment, has repeatedly said setting such tight parameters doomed negotiations and frustrated the Maloofs, who tried for years to meet with the city about arena plans.
Following the council's August vote, city officials hired an architectural firm to further research sites and evaluate constraints and benefits of each locale. But the consultants were not able to finish their work, and a city report on sites could not be written because Kings officials refused to negotiate, said Wendy Saunders, the city's downtown manager.
"We were told the Maloofs were quite serious when they said the discussion was over and that they are happy to remain in Sacramento," Saunders said. "We can't negotiate with ourselves."
It looked as if the arena issue had come to a standstill, until Sacramento County Sheriff Lou Blanas called a news conference earlier this month to announce a new plan: Get voters to approve the development of 10,000 acres of North Natomas farmland and use part of the proceeds to build an arena for the Kings.
Several developers, including Blanas' close friend Angelo Tsakopoulos, agreed to put up cash to further investigate the complex proposal.
Blanas said Tuesday that the group is in "very early discussions. There's no timetable, nothing solid to report yet."
Bob Thomas said he is intrigued by the proposal, which would require no pubic funding. But, he said, he would wait until the proposal is solidified before he gives it his support.
"I'm encouraging people to reserve judgment on the idea until we get the details," Thomas said.
Blanas' plan envisions asking county voters to approve accelerating the timetable for annexing and developing Natomas farmland. It also provides 10,000 acres in open space. In return, developers would contribute 20 percent of the development proceeds - perhaps as much as $600 million - to pay for an arena.
Critics question why Blanas is involving himself in land-use issues and worry that the project would affect fertile agricultural lands and threaten wildlife.
If the private funding plan is seen as a viable option, locating an arena at the railyard is the "best thing for the city," Saunders said. Without private funding, a new arena in Natomas next to Arco Arena is the most palatable option, she said.
As late as last week, Saunders talked to developers of the UP rail yard about locating an arena on the property, said Eric Levine, founder and chief executive of Millennia Associates.
"The city has asked us to consider an arena over the last several weeks," Levine said in an interview last week. "If there is a deal to be done, it will have to make sense to everyone."
But Levine said his group remains cautious about the plan.
Last year, when Fargo was leading a plan to place the arena in the railyard, Joe and Gavin Maloof claimed Millennia and Bob Thomas sabotaged the arena plan and vowed not to work with the development firm.
"We're open to having discussions with relevant parties," Levine said. "But we don't want a repetition of the finger-pointing."
About the Writer
---------------------------
The Bee's Terri Hardy can be reached at (916) 321-1073 or thardy@sacbee.com.
Published 2:15 am PDT Wednesday, September 29, 2004
Sacramento is scrapping plans for a March advisory vote on whether taxpayer funds should be used to build a new arena for the Kings, City Manager Bob Thomas confirmed Tuesday.
Work on ballot language quietly has been halted as the city waits to see whether an arena-funding proposal by private developers in North Natomas gathers momentum.
"The idea of racing to a March ballot at this point doesn't make sense," Thomas said.
Shirley Concolino, Sacramento's city clerk, said for the arena question to make it to the March ballot, language would have to be approved by the City Council no later than Oct. 26. Even though making that deadline is no longer feasible, city officials said an arena plan is far from dead.
Thomas said he is in frequent contact with the backers of the new arena funding plan. And developers of the downtown Union Pacific railyard said city officials recently have approached them about locating an arena within the 240-acre project area - the first downtown arena site proposed, but later discounted as too costly to taxpayers if the public was to foot the bill.
City Councilman Steve Cohn said he doesn't see any reason for the city to move forward with the March vote.
"The idea behind that was that we would be looking at some plan between the city and the (owners of the Kings)," Cohn said. "Now that there's a possibility of funding this with private money, we need to track that down and see if it has promise."
But Mayor Heather Fargo will ask Thomas to bring the ballot issue back to the council next week for discussion, said Chuck Dalldorf, Fargo's chief of staff.
After an emotional meeting, the council on Aug. 5 voted to put the arena issue up for a vote on the March ballot, directed Thomas to hire consultants and told city staff members to bring back a recommendation for a preferred arena site and a financing plan on Sept. 21.
At the same meeting, the council also voted to cap the city's arena investment at $175 million - a controversial action that caused Kings officials to walk out of the meeting and declare the arena plan dead. John Thomas, president of Maloof Sports and Entertainment, has repeatedly said setting such tight parameters doomed negotiations and frustrated the Maloofs, who tried for years to meet with the city about arena plans.
Following the council's August vote, city officials hired an architectural firm to further research sites and evaluate constraints and benefits of each locale. But the consultants were not able to finish their work, and a city report on sites could not be written because Kings officials refused to negotiate, said Wendy Saunders, the city's downtown manager.
"We were told the Maloofs were quite serious when they said the discussion was over and that they are happy to remain in Sacramento," Saunders said. "We can't negotiate with ourselves."
It looked as if the arena issue had come to a standstill, until Sacramento County Sheriff Lou Blanas called a news conference earlier this month to announce a new plan: Get voters to approve the development of 10,000 acres of North Natomas farmland and use part of the proceeds to build an arena for the Kings.
Several developers, including Blanas' close friend Angelo Tsakopoulos, agreed to put up cash to further investigate the complex proposal.
Blanas said Tuesday that the group is in "very early discussions. There's no timetable, nothing solid to report yet."
Bob Thomas said he is intrigued by the proposal, which would require no pubic funding. But, he said, he would wait until the proposal is solidified before he gives it his support.
"I'm encouraging people to reserve judgment on the idea until we get the details," Thomas said.
Blanas' plan envisions asking county voters to approve accelerating the timetable for annexing and developing Natomas farmland. It also provides 10,000 acres in open space. In return, developers would contribute 20 percent of the development proceeds - perhaps as much as $600 million - to pay for an arena.
Critics question why Blanas is involving himself in land-use issues and worry that the project would affect fertile agricultural lands and threaten wildlife.
If the private funding plan is seen as a viable option, locating an arena at the railyard is the "best thing for the city," Saunders said. Without private funding, a new arena in Natomas next to Arco Arena is the most palatable option, she said.
As late as last week, Saunders talked to developers of the UP rail yard about locating an arena on the property, said Eric Levine, founder and chief executive of Millennia Associates.
"The city has asked us to consider an arena over the last several weeks," Levine said in an interview last week. "If there is a deal to be done, it will have to make sense to everyone."
But Levine said his group remains cautious about the plan.
Last year, when Fargo was leading a plan to place the arena in the railyard, Joe and Gavin Maloof claimed Millennia and Bob Thomas sabotaged the arena plan and vowed not to work with the development firm.
"We're open to having discussions with relevant parties," Levine said. "But we don't want a repetition of the finger-pointing."
About the Writer
---------------------------
The Bee's Terri Hardy can be reached at (916) 321-1073 or thardy@sacbee.com.
