The complex decision by the city of Tempe to go forward with the Arizona Coyotes' proposed hockey arena and entertainment district has become even more complicated. phoenix
Even though the Coyotes have said the project, which is estimated to cost around $2 billion, will be privately funded, the developers are asking the city for considerable tax exemptions and for a $200 million municipal bond that will fund early parts of the project. If passed, the bond would be repaid from an increased sales tax collected on the site of the entertainment district, not from city taxpayers.over the last year has been Phoenix Sky Harbor International Airport, operated by the city.
Sky Harbor and Federal Aviation Administration officials have said that the project, which would be located a little over a mile directly to the east of one of its runways, is too close to the airport for residential development and consider it a “incompatible use.” The city of Phoenix has said if Tempe allows apartments to be built there, it would be against an intergovernmental agreement between the two cities dating back to the early 1990s. Phoenix has threatened to sue Tempe over violating the agreement. Sky Harbor has also suggested that if the agreement is broken by Tempe, the FAA could change flight paths to and from Sky Harbor, resulting in commercial airplanes flying over Tempe and Scottsdale neighborhoods.
that other groups, including the Goldwater Institute, could file lawsuits if Tempe approves the Coyotes’ proposal.
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