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Post by JETStender on Jan 13, 2009 1:21:55 GMT -5
Saturday. July 26. 1975
Swig Buys Seals
The sale of the California Seals to Mel Swig has been finalized, it was announced today by National Hockey League president Clarence Campbell. "Swig purchased the club last night," said Campbell by telephone from his Montreal office.
He would not disclose the purchase price. Campbell did say, however, that the league would, have to absorb "a very substantial amount of the losses" the team accrued while under NHL ownership. He said the league "spent an enormous amount of money supporting that team" and admitted the cost had reached millions of dollars.
"Now Swig and his group has got the franchise, the minor league rights, the assignment of the lease, all of the rights of the club;" said Campbell. It is expected that Swig will move the Oakland-based hockey team to San Francisco upon the completion of a Yerba Buena Center sports arena with a capacity between 18.000 and 20,000.
The San Francisco Redevelopment Agency on Friday approved plans submitted by contractor Lyman Jee and Swig for the building and estimated it would take two years to construct. The Seals still have a three-year lease with the Oakland Coliseum, Inc.. to play their games in the Eastbay arena.
Neither Swig nor Seals President Munson Campbell was available for comment on the transaction. The Seals entered the league as part of the 1967-68 expansion which, at the time, doubled the league's size from six to 12 teams. They were sold to Charles 0. Finley for $4.5 million in July. 1970. but Finley sold the club back to the NHL for $6.5 million in February, 1974.
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Post by JETStender on Jan 13, 2009 1:22:17 GMT -5
Abbey says NHL iced Seattle club
SEATTLE (AP) - Vince Abbey claims he's been duped again and the Seattle lawyer says he may file an antitrust suit against the National Hockey League for "putting the Western Hockey League out of business."
Abbey said Friday he is disappointed with the San Francisco Redevelopment Agency's decision to allow San Francisco businessman Mel Swig to build a hockey rink in the Bay Area. The decision paves the way for Swig to buy the California Seals from the NHL.
"We were used again," Abbey said. Abbey also tried once before to purchase the Pittsburgh Penguins, which were sold instead, to a Columbus, Ohio businessman. Abbey said the league had used his presence to hike the price of the Penguins and press the Bay Area into building the hockey facility to keep the Seals.
"I can't see any recourse except for an antitrust suit against the NHL," Abbey said. "They have put the Western Hockey League out of business. They promised to operate a minor league franchise here, but that has been pulled out. They have put me in a position of subsidizing the NHL here, instead”
Abbey operated the WHL Totems in Seattle through 1975, the club's last season. Since then, he has been working toward lining up a major league club here and working out a suitable deal with the NHL. He had been awarded territorial rights to Seattle by the league for an expansion team in 1976. Abbey said the asking price for an expansion team was $6 million, "but Swig is getting an established team for quite a bit less." The NHL's Vancouver Canucks operated the Totems here with $2 million in debts already accrued.
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Post by JETStender on Jan 13, 2009 1:23:14 GMT -5
WFP SATURDAY, SEPTEMBER 6, 1975
Arena Ready For TV; New Lights
By Ron CAMPBELL
Negotiations soon will be under way with Winnipeg's three television stations for televising hockey and curling games * the Winnipeg Arena. Winnipeg Enterprises Corporation's board of directors, which operates the arena-stadium complex. Thursday instructed its finance and house and facilities committees to open talks with television stations CBWT CKY and CKND regarding rental agreements for use of the arena and its new lighting facilities.
About 522,000 worth of modern television lighting has just been installed along the arena's east-side catwalk. If rental deals can be worked out. the Oct. 21 opening game of the World Hockey Association season could be televised. Corporation general manager Percy Downton said in an interview that the 52 lights are an improved mercury-vapor type called a metal heloid 1amp . Each generates 1500 w a l t s and 125 candle-fool power al ice level — important for color television to eliminate shakiness in the broadcast picture,Mr. Downton said.
Another valuable feature of the lights is that they are a new "cool" type which won't soften the ice surface during hockey or curling matches. Previously, television l i g h t s had to be installed,to supplement the regular arena lights, and these were of a "hot" type which softened the ice. D u r i n g the Canada-Russia hockey game last September this led to complaints from UK, hockey clubs.
The new TV lights are on the east side only; the television camera gondola, there since the arena opened in 1955, is also on the east side. While events are being televised , the arena's regular lights will be turned off on the east side; on the west side they will be left on to eliminate shadow in the television picture. Another new feature of the arena this year is the just-installed white plastic steel-supported rink wall — the first pure white rink wall in Canada, Mr. Downton said. The wall has the new 28-foot-radius corners favored by the National Hockey League. These corners give the rink an egg shape. Since a puck slides around them more easily p 1 a y e r bunch-ups in the corners will be reduced.
At either end of the ice behind the goals, new three quarter inch armor plate glass has been installed, replacing the plastic plating which was found to be scratching too easily. The glass is in six-foot-high, 250-pound sections. Total cost of the new rink, wall and glass is $23,000, the general manager said.
In addition a 60-ton compressor has been installed to add stability to ice hardness, a factor when hockey is played into late Spring.
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Post by JETStender on Jan 13, 2009 1:23:33 GMT -5
Winnipeg Free Press, Tuesday, September 30, 1975
Jets Practice In Solitude
By REYN DAVIS Free Press Staff Writer
Arena doors have been closed to the public for non Events such as Winnipeg Jet workouts. And already some people are mad.
Hockey fans who have considered access to the Arena a right, rather than a privilege, will be confronted be locked doors. As the Jets have become more popular, so have their morning workouts. A Sunday morning skate has attracted as many as 500 persons of all ages.
Winnipeg Enterprises Corporation, the Arena landlords, announced Monday the decision to lock the doors of the Arena during practices. Reasons given were mainly to protect Arena contents from vandals and to g i v e Arena employees a chance to keep the building clean between events.
Fans have been known to take early lunch breaks to catch the tail-end of a Jets' practice. Arena employees have complained of the mess - l e f t . . . cigarette butts, mud, papers and even food particles. As many as 50 pucks a workout have been lost by the Jets . . . not to mention dozens of sticks, many given away to r e q u e s t i n g youngsters.
Retiring c a p t a i n Danny Johnson, an original member of the Jets, said last winter that he considered the public's interest in the workouts a healthy indicator that fans wanted to know the players better. The Jets have just returned from a nine-game, 21- day tour of Europe. Now home again, but hidden behind closed Arena doors, the team is essentially "off limits" until its first home game, Oct. 21, against Cincinnati Stingers.
That's three weeks from today, which, coupled with their three-week absence in Europe, means the Jets will be virtually invisible to their own fans this fall. A small concession is the first of a series of open workouts the team is scheduling this season, Oct. 21st from 10 a.m. until noon. ' That's a Monday morning when kids will be in school and most other people at their jobs. If the Jets are lucky nobody will show up.
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Post by JETStender on Jan 13, 2009 1:23:55 GMT -5
Winnipeg Free Press,, Friday, October 3, 1975
TIME OUT with Maurice Smith
The decision by the Winnipeg Enterprises to keep the doors of the Arena closed during the Jets practice sessions is probably the most unpopular move the Corporation has ever; made. . . . The Jets contribute handsomely to the Enterprises income. ... In fact, they are their best tenants revenue-wise . . . But while the Jets try to sell season tickets, the very people who might purchase them, aren't permitted to see the team work out . . . Meantime, Norm Coston, the club's director of public relations, is getting plenty of heat, although the action taken by the Enterprises Is not of his doing. . . . Coston stated yesterday that he is endeavoring to arrange a meeting with Arena manager Percy Downton for the purpose of opening the practices to the public. . . . "I'm going to suggest," he said, "that an area be roped off so that those fans who do attend, can be controlled." . , ,
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Post by JETStender on Jan 13, 2009 1:24:35 GMT -5
Winnipeg Free Press,, Friday, October 3, 1975
Jets Unaccustomed to Hushed Practice
By REYN DAVIS Free Press Staff "Writer
When a firebrand coach s u c h as Bobby Kromm drives his team through a practice, one of the distinct pleasures of a, railbird is watching. It's a delight a hockey fan can long remember for practices tare often the best time to become better acquainted with the players, their work habits and a team's spirit.
Since their inception, the Jets have become accustomed to entertaining crowds both in workouts and in games. Let's face it. How many .dads, .because it was. free, brought their sons to a workout rather than £ game. But one thing was certain. The day he could afford two tickets to see the team he'd buy them.
P l a y e r s •; were shocked Tuesday morning when a sign on the door of their usual entrance read: "No Spectators Allowed," signed by Winnipeg Enterprises.
"Fans have never bothered me," said assistant captain Larry Hornung:. "I've always felt they belonged at our practices. They added something
"I don't like playing in front of empty seats, even in workouts."' Bobby Hull, feeling miserable in the l1th round of a 15-round bout with the flu, had this crisp comment to make: "The Enterprises should spend more time worrying about putting good ice in here rather than keeping fans away from our practices who might buy tickets."
Thursday morning, Kromm pushed the Jets toough their hardest workout since last - week's double defeat in Czechoslovakia. Hull never left the trainer's table. He had a stack of heating pads on his back as Bill Bozak worked his wonders. It was the last time the Jets will skate at the Arena until Oct. 21 — the night of their home opener • against Cincinnati Stingers.
This morning the team had an hour-long skate at St. James Civic Centre. This a t e r n o o n they leave for Denver and an exhibition game there Saturday night against the Spurs, most of whom were Chicago Cougars a year ago. They will return Sunday and resume workouts — open to the public — on.' Monday, T u e s d a y and Wednesday from 9:45 a.m. until 11:45 p.m. in the St, James Civic Centre before leaving again for next Thursday's league opener in Quebec, followed by slops in Phoenix, Denver, San D i e g o and Phoenix again.
When the Jets are ready to r e s u m e workouts in the Arena later this month, club president Bob Graham is willing to bet the practices will be open. He wonders if the answer would be hiring "a couple of unemployed people" 'to absorb the extra workload a practice audience would create.
Whatever the present arrangement is, it's not as strict as it first appeared. Old? familiar faces are appearing in the seats again after an absence of a day or so- They know the Arena like their way home,
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Post by JETStender on Jan 13, 2009 1:26:18 GMT -5
These are letters to the editor of the WFP in response to the WEC "locking the doors"
Sports Editor, Winnipeg Free This letter is sent in objection to the recent move by deciding that Winnipeg Jets practices should be closed to the public. This move could only hurt the team and certainly is not a boost. A fair Amount of spectators watch the Jets practice. Many of these spectators are prospective season ticket holders.
An impressive practice could fill a few more seats at the next game. The people oil Winnipeg put their money on the line over a year ago in a successful drive to purchase the team and prevent the franchise from moving. And now management tells us that we cannot watch our team practice.
The Jets just recently returned from a very respectable showing In Europe. Their success will undoubtedly raise much curiosity from the fans, eager to find out just how good this year's Jet team really Is. We are season ticket holders, co-owners of the Jets, and Booster Club members and we feel that we art being short-changed. The reason for the move is said to be vandalism!!" We suggest to management that they check up on the security around the Arena. Private practices are for teams in New York, Chicago or Detroit, where there would be more drunks than fans in the slang's. But this is WINNIPEG!
There are many young fans in this town that can only see the Jets at a practice; the games, are too late In the evening, the post-game traffic is treacherous, and ine price is lust too high. These kids may not have the opportunity to see their team play for several years. It is a shame because this season the Jets are dynamite! It Is at practices that little boys meet their heroes* when they can take the time to sign an autograph, and become even bigger stars in the eyes of their tiny admirers.
We know for a fact 1hat all the Jets' fans are not Winnipeggers. There are fans in rural areas also. Out-of-town fans cannot always come in to the games, but the odd time they venture TO me city, they take advantage of this opportunity to set the team in action. The players themselves enjoy seeing a few fans watch the practices. In an Interview with ex-Jet captain Danny Johnson last season, hi stated that he liked tc see people In the stands; It showed great Interest on the part of the public. I'm sure that many Jets — Bobby Hull for one — does not object to having onlookers at the practices. He has always had a great attitude toward his fans and Is respected for It. If I were a player, I would be extremely flattered to set fans take the time to come down and watch a practice. In conclusion, we feel that Jets management is closing more doors than it realized by making practices closed to the public. We sincerely hope that other concerned Jet fans take action In objection to this move by management.
Concerned Jet fans, Carol and Donn Simonson
An Open Letter To Winnipeg Enterprises: We are writing this" letter In what we believe are the best Interests of Winnipeg hockey fans. Now that we've heard we will not be able to watch the Jets In practice as of Tuesday, September 30, 1975, we have decided not to sit back and watch the dictatorship of Winnipeg Enterprises towards the hockey fans of Winnipeg.
The people of Winnipeg put up their money when It counted to keep the Jets in Winnipeg. But now they are 1o be denied seeing their team train for the hockey season. It's bad enough that the fans were denied seeing their team's training camp, but on top of that there are no exhibition games and now, no practices.
The Jets are supposedly a COMMUMTY owned team. But you could have fooled us, the public NEVER, NOT ONCE, has had a say in any of the decisions regarding OUR so-called “COMMUMTY -OWNED" Jets.
The reason the Public was given for the closing of practices was vandalism. What kind of vandalism? Tearing the seats from their roots or taking the broken hockey sticks the players leave? Outside the dressing room door? At practices and games we notice the little kids asking the players for their sticks. But because of another one of Pilous' regulations, the players can only say, "We can't." Then the kids ask them why and their only answer is, "Because." One hell of an answer, heh?
We were told In the Free Press of September 30, that "Arena employees have complained of the mess left . . - cigarette butts, mud, papers, and even food particles." It is true that Winnipeg businessmen in the area eat their lunches during a practice, but are empty lunch bags and half-eaten sandwiches classified as "acts of vandalism?" "IF" there was ever any damages why must the Jets' fans be held responsible all the time? The Jets are not the sole tenants of the Winnipeg Arena; the Arena is also used by the Winnipeg Clubs. At a game such as Clubs vs. Flin Flon, the fans have been known to gel out of hand. And what about wrestling and rock concerts? Are any of these accusations pointed toward these fans?
As for security, the best that the Enterprises can muster is an old man who hides behind his newspaper. You could pass him, rolling along a cannon, and he wouldn't bat an eye. Now, as for the ushers, they are boys who stand up in the grays; their |ob being to enforce the 'NO SMOKING" regulation. At games, we've seen these ushers attempt to stop a 250 pound hulk from smoking. And in each case the guilty just refuses. The usher then calls a security guard. But we've noticed that no one ever comes. The security guards are too busy watching the game. We ask you how can they be "tightening up on security" If there never was any In the first place?
A lot more consideration should be given to fans who can't afford to go to games. The only chance they get to see their team in action is at a practice. For example, parents can't afford to take 3 children to a game. Even sitting up in the grays, it would cost $20.00 alone for the tickets. Then there Is always the popcorn, drinks, and a program that the kids won't go home without, if they wanted to sit closer, even a few rows down in the blue seats, their cost would be $35.00. Don't you think that most parents would prefer to take "their children to a Saturday or Sunday morning practice, Instead of allowing them to stay out late?
Not mentioning any names, of course, a few of the players bring their children to the practices regularly. Will they be banned from practices, too? Are they any different from any other children around Winnipeg? We believe that the players would prefer to have fans In the stands during practices. It gives them encouragement, s h o w i n g them that Winnipeg is really behind them. If anyone cares to remember our captain last season, Danny Johnson, he was quoted in a story called, "Sport" by Reyn Davis. It appeared In the January, 1975 'Issue of the Booster Club's newspaper, the Jet Stream. Danny said, "Maybe they (Jet Fans) can't afford to go to games, and maybe It's a chance to bring your boy to see the guys up close, but It's very encouraging to see the number of the people who turn out to see us practice." Need we say more?
Bravo to Reyn Davis of the Free Press who SAID IT ALL In his superb article of Tuesday, September 30. We've been to many practices and we really can’t believe that as many as 50 pucks a workout have been lost by the Jets. This is ridiculous because there is never more than man one puck per player. Their must be 50 players on the team then. They lose their pucks simply by a shot being deflected into the stands and we've never seen anyone worrying about getting the puck back.
What are the Enterprises REALLY up to? Will their next move be to ban the autograph seekers from the downstairs area after games? Or maybe they’ll construct a barrier around the rink so the fans can’t breathe on the players? But, OOPS, we better be careful not to give the Enterprises any more ideas
If the Jets keep making stupid moves like this, the public will reach a point where they just won’t give a damn anymore what happens to the Jets. But don’t be discouraged Winnipeg hockey fans, if this Idea of closed practices causes the Jets to lose fans, they can always go to Europe, because now the European hockey fans know more about our Jets than we do. Oh, isn’t it wonderful that we've been given the opportunity and-the privilege of having the first scheduled open practice on a Monday.
Are we to assume that all the little kids are supposed to skip morning classes and come out and see "their" team? Businessmen, of course, can also be counted on to just go ahead and take a morning off work. This is all so convenient. But for who? So, Winnipeg hockey fans, don't despair. We'll be able to see our (?) Jets...whenever. And it's reassuring to know that Winnipeg Enterprises has EVERYTHING under control .. .
Darlene Banack Cindy Komar Debbie Keyzer
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Post by JETStender on Jan 13, 2009 1:26:49 GMT -5
Winnipeg Free Press Tuesday October 7 1975
NHL, Players Sign Five-Year Bargaining Pact
BY AL COLLETII
NEW YORK (CP) ~- The owners and players of the National Hockey League announced Monday a five-year pact that recognizes the validity of the option clause in contracts as well as compensation and compulsory arbitration.
The NHL, in a statement, termed the collective- bargaining agreement "sweeping" and said it was of "historical significance" in professional sports. The pact, more than a year in the making, was announced jointly by the NHL Players Association (NHLPA) and the owners of the 18 clubs.
"Hockey now has five years of stability and it's up to the owners to decide whether they can survive or not," said A l a n Eagleson, executive director of the NHLPA. "At the moment this is the fairest thing that's available in sports, so we're happy to be part of it." The highlight of the agreement is the players' recognition that the owners have the right to equalization or compensation from an NHL team that acquires the services of a player who has played out his option.
It is the first in professional sports history that equalization has been recognized by the players and achieved through collective bargaining. Eagleson admitted the negotiations went through a "lot of ranting and raving" before real progress was made this summer.
Unlike the Rozelle Rule in the National Football League, where commissioner Pete Rozelle is the last arbitrator in awarding compensation for a player who becomes a "free agent" after playing out his option, the NHL owners and players have agreed to compulsory arbitration by an independent judge, Ed Houston of Ottawa,. The Rozelle Rule is being challenged by the NFL players in the courts, with opponents claiming that in reality it can bind a player rather than give him freedom of choice.
The new NHL pact, retroactive to Sept. 15 and ending Sept. 14,1980, would be nullified by any merger with the rival World Hockey Association. The conditions of our agreement, and it is underlined in bold red letters, is that all bets are off if there is a merger," Eagleson said. "The only reason that we're making this deal, other than for financial considerations, is the fact that there is competition for talent from the World Hockey Association. The WHA has been largely responsible for the success we have accomplished today-. "There is no way this agreement could have been written in without a WHA dealing for the same players in the NHL."
Under the agreement, if there is a merger with the WHA, NHL players will be entitled to terminate .their agreement with "respect 10 certain provisions" of the standard player contract. The players then will be entitled to reopen negotiations in regard to equalization and free agent status.
Speaking for the NHL owners, .William Wirtz, president of Chicago Black Hawks and chairman of the NHL board of governors, said: ' "Recognition of a team's right to equalization or compensation for the loss of a player was a major consideration. The players recognized its importance to the structure and stability of the entire league." Under the agreement, the player’s benefited financially by having their pensions increased by 50 per cent, and they also will share 50-50 on receipts from all international hockey games. The extra money for the players will go toward their higher pension costs.
In the option clause situation, players have what is called (dual option." They can agree to an option year if they wish, or sign a contract without one. Eagleson had been dead set against an option clause. What changed his mind? "The reason is that the option clause now is a dual option clause. In football, the ' club has the option and the player has none, so if the player is signed for two years with a one-year option that means he's committed to three years to the club. But the club is only committed to two years to him.
"In hockey, if it is a two year contract with a one-year option, the player has three years guaranteed of no-cut unemployment.”He can sign a no-option clause if he wants to. The clubs want the option. What I told the players is that if you want a three-year contract, sign a two-year contract with a one-year option and you're bound for three years."
Eagleson also said that the agreement on compensation would be wiped out if there is a joint draft by the WHA-NHL, or if there is any type of merger of interests. "We would just say that is a breach of our agreement, and the compensation rule no longer applies. The merger would kill the players' position in the marketplace." Eagleson said that if the U.S. courts rule the Rozelle rule is illegal, or if Congress passes legislation abolishing any type of reserve clause that binds a player from freely selling his services, then the NHL pact would be affected But Eagleson was confident the owners’ and players would be able to adjust to any new situation.
I n recognizing the 1974 standard form players contract, of which about 89 per cent of the league already has signed, the players agreed to a dual option of one year or longer if mutually agreed upon by the team and players. If a player signs a no-option contract, at the end of the contract he is unconditionally released and, as a free agent, may negotiate with any other NHL team without compensation to the team he leaves.
Other highlights of the agreement: - benefits would be increased to $750 from $500 a year of service, meaning that a 10-year NHL veteran would receive about $14,000 annually at 55 instead of $8000 - Equal sharing in the proceeds from international hockey games such as the forthcoming eight-game series against two teams from the Soviet Union. The players agreed to pay 50 per cent of the costs of the new pension plan from their share of the gate of international competitions.
Eagleson said a series between the 1975-76 Stanley Cup champs and the Russians is a distinct possibility is late 1976, but there would be no such meeting at the end of the playoffs.
Under the agreement, the players will take part in the following formats: (1) one that is similar to the eight game series against Russian teams this season; (2) games in which the Stanley Cup champions for the preceding season represent the NHL; (3) games in which an all-star team represents the NHL, or (4) a combination of any of these formats.
The arbitration Agreement that had been in effect will be extended for the five-year period. The basic features relates to salary disputes between player and team. But arbitration by the independent arbitrator will be available in disputes between a player and his team over equalization and compensation. If no agreement is reached, bids are submitted by each side with the arbitrator making the official decision, which must be accepted by both sides.
—The players will select two representatives who will sit at all meetings of the NHL rules committee, but in a non-voting advisory capacity. Annual increases in per diem travel allowances from $23 this season to $27 by 1978-80 and increases in all-star games; individual trophy and playoff award money from last season's $1,562,000 to $2 million by 1979-80. This season it will go to $1,650,000.
The owners' negotiators included Charles W. Mulcahy of Boston, William W. Wirtz of Chicago, Edward M. Snider of Philadelphia, Bruce Norris of Detroit, Walter Bush of Minnesota, John Wilcox of Atlanta, Seymour H. Knox III of Buffalo, James Cullen of St. Louis, and Winston Adams, then with Boston but no longer affiliated with that organization.
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Post by JETStender on Jan 13, 2009 1:27:16 GMT -5
THURSDAY, OCTOBER 16, 1975
City's purchase of Highlander hotly debated
By ALAN CHRISTIE Free Press Staff Writer
W i n n i p e g city council bought an empty curling rink for $1.3 million Wednesday night, in the hope that it will fill a void in the city's recreational facilities.
Amid charges that the city was bailing out a private owner who couldn't make it, the Highlander Curling Club, 1871 E11 i c e Avenue, St. J ames-Assiiiiboia, was purchased. The club has been vacant for more than a year. It was owned by Joseph Burnett of Toronto and Genevieve Holdings Ltd.
Some councillors opposed to the purchase indicated not enough thought had gone into the move, and in fact, had come too quickly. Councillor Slaw Rcbchuk (Independent — Lord Selkirk) said the offer to purchase came like a bombshell. (It was . disclosed Tuesday that policy committee met in closed session to discuss the purchase).
But the debate centred around recreation — how much, for whom and at what cost. The Highlander, built in 1964, houses 24 sheets of curling ice. One-quarter of that space will be used to1 offices of the provincial sports federation, and in return the province will pay $25,000 a year to operate the rink. The rest of the rink will be used for curling and some of those councillors, who favored the purchase said it could be used for things such as dog shows in the summertime.
Twenty-seven councilors voted to exercise the option to buy, with 11 voting against; the motion. The option was to expire Wednesday but had been extended 48 hours. Coun. Rebchuk wanted to know to what public use the rink would be put. He said the city was too recreation minded.
Coun. Alan Wade (New Democratic Party — Centennial) said there is a great need for recreation, but at the grassroots level, and voted against the purchase. Councillors Joe Zukeu (Labor Election Committee — Lord Selkirk) said the people of Winnipeg would be disturbed if council spends $1.3 million for a recreational facility when the real concern is housing.
Coun, June W e s t b u r y (ICEC — Fort Rouge) wanted a feasibility study done, asking how the rink would be put to use in the summer. Coun. Al Ducharme (ICEC — St. Vital) said the city was buying the link and then deciding what to do with it later. Coun. Roy Parkhill (ICEC — Assiniboine Park) said he was torn between wanting to buy the curling club, and not wanting to buy. He finally voted for the motion.
Coun. Norm Hudson (Ind. — Lord Selkirk) said he was "amazed, appalled and disgusted" at the way the city went about buying the club, he voted in favor of the motion. It was explained to the councillors that the move wasn't a spur-of-the-moment thing. Coun. Bill Hallonquist ( I C E C — St. James-Assiniboia) said he presented a motion to council 13' months ago regarding the feasibility of purchasing the curling club. He said it was time Winnipeg played an active role in amaleur sports. Coun. Eldon Ross (ICEC — St. James-Assiniboia) said the Highlander is on five acres of prime industrial land and would prove to be an excellent buy for the city. Couri. Don Perry (Ind. — Transcona) said curling is a working man's sport, and that thousands of Winnipegger’s will use the facility.
City council voted to refer to finance committee a recommendation by policy committee to let the Winnipeg e n t e r p r i s e s corporation operate the rink. The corporation is a city owned agency which runs the Winnipeg Arena, Winnipeg Stadium and the Playhouse Theater.
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Post by JETStender on Jan 13, 2009 1:32:41 GMT -5
Friday, October 24,1975 'Sky Falling' On U.S. Pro Sports
By JOE STEIN Copley News Service
Take a sane, sober look at the pro sports scene and one conclusion is inescapable: "The sky is falling...the sky is falling!" ‘Only this is no fairy tale. P r o f e s s i o n a l sports are teetering on the brink of a major upheaval that could see hockey, basketball and football franchises falling like flies and an amalgamation of several leagues.
Changing tax laws that plug loopholes advantageous to the sports lords loom as the trigger for the shaking-out process but they won't be the overriding reason for the turmoil ahead. No, credit for that must go to both the owners and players, whose years of greed are finally taking their toll. Virtually every major team sport is facing some sort of crisis.
Let's examine them: Basketball - Hardly anyone i n either the N a t i o n a l Basketball Association or A m e r i c a n B a s k e t b a l l Association made money last year. How could they with the huge payrolls created by a suicidal bidding war for talent? An indication of just how desperate things have become is the announced intention of two of the ABA's stronger franchises — the Denver Nuggets and New York Nets to join the rival NBA. Were they serious or attempting to dramatize how bad things are in the sport? Ask six different basketball executives and you'll get a half-dozen different answers. -But almost all will agree on one thing — the leagues can't go on much longer the way they have. Whether it's called merger or absorption, a major revamping is in the offing with the NBA remaining as the sole league and a number of ABA franchises falling by the wayside.
Hockey — If you are to believe Ben Hatskin, everything is peachy keen in the World Hockey Association. Why, not only is the league prospering, il's looking to expand into New York, Seattle, Miami and.Hamilton, according to Hatskin, WHA chairman. Nonsense. The truth is, the WHA is in deep trouble. In fact, there are rumbles that four teams — Edmonton, Winnipeg, New England and Houston — might even steal a page from the Nuggets-Nets book and try to jump to the National Hockey League. And the NHL isn't without its problems, either. Soaring payrolls have hurt, forcing owners to chop away at their once-bulging farm systems. This has cost many a pro hockey player his job and turned Ihe once-militant NHL Players Association into somewhat of a lamb. Witness the association agreeing to a Rozelle Rule • clause in player contracts through 1980. The athletes, finally awakening to the fact they were plucking themselves along with the golden goose, pulled in their horns and became conciliatory. It was a sensible gesture almost unheard of in the realm of sperls negotiating.
Football — The World Football League is all but gone, an epitaph to the folly of sports promoters who didn'l stop to realize there's another side to the gel-rich-quick coin. And while the National Football League is solid, it's not without its own perplexing problems, such as slumping atlendance in some key cilies. Bul no. 1 on the list of worries is the owners' relationship with the NFL Players Association. Unless the breach between them is closed, it appears a fullblown strike is inevitable, a walkout that would play havoc with TV contracts, season ticket plans, etc. Also, litigation initiated by the association threatens the draft and power of Commissioner Pete Kozelle.
Baseball — Fortunes have turned around-in recent years. The football people have stopped counting packed houses and chuckling at the ineptitude of baseball. Suddenly, baseball no longer is being viewed as too slow and too dull and too old. But it's not without its problems. Foremost is a strike threat that might be even more menacing than the one hanging over the pro football. The M a j o r League Players Association contract with baseball is running out and so is the time to straighten out the differences between the union and players. While the football players appear to be splintered, with some backing executive director Ed Garvey and others wanting his hide, the Major League Players Association presents a more unified front. Marvin Miller, who heads up the baseball players, is a far more formidable opponent than Garvey, and Miller seems determined to extract a much bigger cut of the pie for the players.
Baseball's also bothered by dwindling farm systems, which is resulting in untried youngsters being funneled to the big leagues before their time. It cheapens the product. One of the darkest clouds hovering over al! sports involves what appears to be a determination by Congress to close some tax loopholes. For years, wealthy men had two big incentives for buying teams — ego gratification and tax write-offs. That last incentive is being eroded. Owners have been affixing almost all of their Investment, as much as 99 per cent, to the players for tax purposes. The cost of the players could then be written off through depreciations over a five-year period. Which provided a way on paper to circumvent taxes on real personal and team profits. But those days appear to be gone forever:
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Post by JETStender on Jan 13, 2009 1:34:46 GMT -5
Tuesday, November 4, 1975
I’m not Going Back to Chicago : Hull
WINNIPEG (AP) – Winnipeg Jets' star left wing Bobby Hull, who says he's tired of hearing reports that he'll return to, the National Hockey ' League ' and the Chicago Black Hawks, apparently will not make the move.
"Unequivocally nor I'm not going back to Chicago, okay?" was Hull's response to reports in a Toronto newspaper that action was underway to effect such a move. A return to the NHL from the W o r l d Hockey Association would be a difficult undertaking. Each of the member clubs helps pay the contract that brought the veteran to Winnipeg three years ago, and it would" not be easy to obtain release from the pact.
It has been reported,- however, that Hull is not happy in Winnipeg. The Toronto Star reported Monday that Hull will meet with WHA officials next week in an effort to negotiate his way out of the deal, i which assured him a $1 million signing bonus and $250,000 per season for the next 10-years.
Bud Poile, WHA vice president in charge of hockey operations, said he had not heard of such a prospective, meeting. It was learned, though, that Hull, was to meet with his agent, Henry Wirieberg, today. Black -Hawks General Manager Tommy Ivan said in-Chicago that he would not comment on-the matter and said, "We’ve-had. no call-from Bobby or his agent.. It's-a; matter between Bobby-and the WHA. We cannot • get involved at this time'"
~ Last year he set a single-season scoring record of 77 goals in 78 games with the Jets. Last week he staged: a one-game strike . to protest growing violence in the game. The Star said a number of factors could spur Hull's return to Chicago. He would enjoy a tax advantage by returning to the United States with all the money he has in deferred annuities, and the Black Hawks could use him to bolster attendance which-reached a low of 9,300 earlier this season.
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Post by JETStender on Jan 13, 2009 1:36:47 GMT -5
Nov 12 1975
Solidified Leauge, Baldwins objective
HARTFORD, Conn. (AP) The World Hockey Association would be a more competitive, more fiscally; sound league if several of the financially troubled teams withdrew , says WHA vice-president Howard Baldwin, who also is general managing partner of the league's New England Whalers.
"I would not be surprised ' or upset if two or .three teams dropped out of our league before the end of the season," Baldwin said.1 "We have a couple of teams that do not have. A proper financial structure," he said, refusing to name them. He said any speculation that New England was in financial trouble was "absolutely ridiculous."
Reports during the 'last. week have pointed to Minnesota F i g h t i n g "Saints, Denver Spurs, Calgary Cowboys, Cleveland Crusaders. - and San Diego Mariners as W H A teams with money problems.
"It's time to take a look at consolidating our league and put a stop to all this talk. I'd rather, see 10 or 12 strong teams in the<WHA than a'14-team league with some weak teams, said Baldwin, He said he would refuse to kick in money to subsidize weaker league teams, as has been done in the past. "We've done this before We're not going to do it again.-We're not going to put another dime into another franchise. -It's not fair -to my partners arid I won't do it"
. He-also .reiterated his .belief that a. merger between the young WHA and the rival N a t i o n a l Hockey League "has not got to happen." . The NHL has some teams with money problems but in that league, top echelon officials keep quiet publicly, Baldwin added. "I have a good pipeline to the N a t i o n a l Hockey League/1 said Baldwin,- formerly in the NHL Philadelphia Flyers' front office. '"I know that league is subsidizing at least a half-dozen of its teams but you don't hear about that. "We have a few owners in the WHA who should learn to keep their mouths shut.
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Post by JETStender on Jan 13, 2009 1:37:06 GMT -5
Dec 4 1975
Sport's financial crunch certain to continue, scribe says
By THE ASSOCIATED PRESS
The financial crisis that has claimed 13 professional sports' franchises and one league in the past two months seems certain to continue because of the economic conditions in which the sports industry operates.
Item: The St. Louis team in the American Basketball Association can start five players whose combined salaries are at least $1 million a year. The club has one main source of income; home attendance. The average is about 2,600 a game at ticket prices of $3, $5 and $7. The net result is that the Spirits ot St. Louis will probably lose in excess of $2 million this season.
In basketball and hockey, in particular, salary wars and growing legal problems have combined with i n f l a t i o n to produce an economic structure under which most teams have no hope of breaking even.
"It's virtually impossible for a franchise to stand on its own and succeed," said Jerry Sachs, executive vice president of the Washington Bullets of the National Basketball Association, a league which says its average player makes $110,000 a year. When the ABA folded its Utah franchise on Tuesday— making that the third club In go since Oct. 15—owner Bill Daniels said his five years as an owner had cost him $3.1 million. The league now has SCVPII loams, and at least one of them, Virginia, is shaky.
Up to four of the 14 teams in the World Hockey-Association are said by sources to be candidates for collapse before the season ends. One WHA team, Calgary, is said to have such high player salaries t h a t it cannot break even by selling every ticket to every game. Another club, is averaging 9,000 at home and has had trouble meeting its payroll.
Alan Eagleson, president of the National Hockey League players' union—whose members make an average of $70,000 a year each—said this week that.six of that established league's 18 teams are shaky. He proposed they be consolidated into four teams. While claiming that would not happen, one NHL owner said, "Eagleson is a very perceptive person."
Major league baseball and the National Football League are much healthier. But each has its problems. The 26-team NFL had a record eight teams report losses lasl year despite record income from its broadcast contracts. Baseball has several learns which are losing. One of them. San Francisco, is for snip after two years in which more than $3 million was lost.
Legal and labour problems also hurt. The NBA says suits which challenge its rules that bind a player to one team are costing more than $1million a year. ABA players have sued, their owners, claiming they are conspiring to cost them jobs. And the ABA players and owners have sued the NBA, claiming it is trying lo run them out of business.
Other expenses are rising, too. It cost one ABA team about $13,000 lo make a four day trip to three cities last week, and the team had no income to show for that period- Because both pro basketball leagues signed labor contracts which says players will always fly first class, those costs will continue to rise.
Owners were once more willing to accept losses, because many of them could write those losses off against more profitable businesses they owned. But in some cases, those other businesses arc not doing as well, and today's losses o f t e n translate into real cash.
More i m p o r t a n t , pending legislation in Congress and a ruling by one U.S. District Court will significantly reduce the millions a person can write-off as player depreciation when he or she buys a franchise. In past years, an owner could write off almost the entire cost of a pro sports' loam over five years, claiming the cost of the team was the value of the players, who were losing their value. So again , red ink on t h e balance sheet is more likely to mean real rash lost than it once did.
Meanwhile, the losses grow. The economics are such that some teams cannot make money under present conditions no matter how many tickets they sell.
One factor is television, which in 1976 will spend more than $300 million for the rights to sports' events. But most observers believe TV money is at its peak and will level off. The NHL, for one, has discovered that, losing its national television contract this year.
How did sports get to this juncture, and who is" to blame? Opinions vary widely, but it is obvious that players who demand astronomical contracts are no more to blame t h a n owners who pay them. Unions which demand contracts that might price a sport out. Of existence can hardly be blamed more than a league which agrees to them.
There is hardly any disinterested observer of pro basketball who believes two leagues, can survive much longer. But merger is a longshot because a federal judge has delegated to himself and the NBA players' union the right to veto any such action.
It is still possible in basketball to buy a competitive team, and the current economy doesn't stop it from happening. The Philadelphia NBA team, the league's worst a few seasons ago, has bought three stars- —George Mc.Ginnis, Doug Collins and Billy Cunningham— who have made the club very competitive. But sources say the cost o( those three is at least $800,000 a year.
There is no evidence that the economy will support the kind of wild expansionism which dominated the late 1960s.
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Post by JETStender on Jan 13, 2009 1:37:22 GMT -5
WINNIPEG FREE PRESS, TUESDAY, DECEMBER 9, 1975
NHL clubs talk merger
TORONTO (AP) — Several teams in the National Hockey League are pressing again for merger between their league and the World Hockey Association, the executive director of the NHL Players' Association said Monday. Alan Eagleson said such a merger could not take place without the consent of his association. "Although many clubs have contacted me in this regard, I am unable to discuss the topic due to the nature of the fiveyear agreement," he said.
The agreement between the league and players association states that in the event of a merger the players will be en titled to terminate the agreement with respect to certain provisions in the standard player contract. In the event of a merger, the players would ask that compensation and option clauses be removed from the standard player contract.
NHL President Clarence Campbell said in Montreal he couldn't foresee a merger taking place in light of his league's agreement with the players. Reportedly, the NHL teams pressing for a merger are Philadelphia, St. Louis, Pittsburgh and the New York Rangers.
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Post by JETStender on Jan 13, 2009 1:37:45 GMT -5
WINNIPEG FREE PRESS,, WEDNESDAY, DECEMBER 10, 1975
Bid for Arena, Football seats
A $10.7 million expansion of seating in the Winnipeg arena and stadium was proposed Tuesday to Winnipeg's civic finance committee. The expansion plan, which would add about 5,000 seats to the 10,777-seat arena and about 6,000 seats to the 25,553-seat stadium, is vital to the survival of-the Winnipeg Jets hockey team and the Winnipeg Blue Bombers football t e a m , committee -was told.
The cost of arena expansion is estimated at $7.3 million and the cost of stadium expansion' is estimated at $3,357,000. Committee laid the matter over for further discussion at its next meeting. The expansion plea was presented by Allan B. Finnbogason, chairman of the Winnipeg enterprises corporation, which runs the stadium, arena and velodrome c o m p l e x and the former Highlander Curling Club.
Vigorous opposition to the proposal was expressed by. Councillor Bob Bockstael (Independent Citizens Election Committee — St. Boniface). Paying off interest and principal on the proposed debt would cost Winnipeg ratepayers $30 million over 20 years, Couh. Bockstael said. Finance committee chairman Councillor C. John Gee" (ICEC — St. Boniface) said later that the city is still seeking provincial and federal government financial help on stadium-arena expansion.
Mr. Finnbogason told committee members he was aware of the city's policy of limiting its yearly capital borrowing to $50 million, and assured them that just $1.5 million would be needed in 1976 to get the expansions under way. By having a commitment now, this would enable enterprises to complete the whole expansion in the year 1977."
City treasurer J. C. Gilmour told committee the city could expect to pay $1.4 million, or about" one mill of property taxes, annually for 20 years to finance the expansion proposal. He said the city could expect an estimated $300,000 annual net profit from Winnipeg enterprises operations.
Mr. Finnbogason told committee that neither the Winnipeg Football Club, which operates the Blue Bombers, nor the Winnipeg Jets expects to be financially viable without expansion of facilities. The ^hockey club has told Winnipeg enterprises that if the arena isn't expanded within two years, the future of the Jets in Winnipeg would be in jeopardy,"
Mr. Finnbogason said Both clubs have agreed to pay increased rent after the proposed expansion, and there would also be increased rental revenue from concessions in the facilities, he said.
Mr. Finnbogason said the Manitoba Curling Association has agreed to set up a curling hall of fame in an expanded arena, Mr. Finnbogason said the football and hockey clubs h a v e been pressing enterprises for the past two years for expansion. But financing is beyond the corporation's current or future capacity, he told committee.
Mr. Gilmour told committee the city's original outlay to build the stadium was paid off long ago. The $4 million it cost to build the arena in 1955 will be paid off by 1978, the city treasurer said. Mr. Finnbogason said Winnipeg has the second smallest stadium in the Canadian Football League. Only Regina's Taylor Field has smaller seating capacity The arena is the second smallest in the World Hockey Association,, he said. Yet for 20 years, the Bombers have been the corporation's main revenue producer, and the Jets have had five sell-outs so far this year , and near-capacity crowds at nearly every home game, he said.
Conn. Bockstael said Winnipeg "can't afford the proposal, which he called a luxury, at present. Other development areas, such as housing, have priority, he said. He said a proposal "as serious as this could be grounds for a public referendum." But he suggested that with six city councillors on the enterprises board and two on the Jets board, there is "a powerful built-in lobby group"' favoring expansion.
Pro-expansionists are counting on news media support, which has already begun, Coun. Bockstael said. ''Please beware of falling into the trap that suggests if you vote in favor, you will be far-own as a good spoil: if you oppose the project, you will be branded as a poor or bad sport and be criticized by the media” he told other committee members.
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Post by JETStender on Jan 13, 2009 1:38:17 GMT -5
WINNIPEG FREE PRESS,,WEDNESDAY, DECEMBER 17, 1975
Jets banking on Vegas Night
With the Winnipeg Jets playing in the second smallest arena in the World Hockey Association it has become obvious that until such time the seating capacity at the Winnipeg Arena is increased — if it ever is — it will be necessary to stage fund-raising activities to keep the team here.
The revenue from off-ice promotions is badly needed and it is with this in mind that Vegas Night will be held at the Winnipeg Civic Centre Jan. 19. From all accounts it should be quite an evening, what with two casinos, continuous entertainment provided by big sound bands, plus a cabaret-style dance floor and a discotheque. There will also be notable guest artists.
Members of the Jets will be on hand to sign autographs. Ticket sales are going well — a book costs $12.50 — but the Jets are hoping the Convention Centre will, be jammed to - capacity and there are still plenty of tickets available. The book of tickets not only provides admission to all activities, but also a free $1 food voucher, plus a draw stub for many door prizes. There's a 1976 Cadillac sedan to be won, too.
Tickets can be obtained from any member of the Jets Booster Club, Metro Drugs, all Champs outlets, CBO the Bay, all club directors, the Jets office and Arena box office.
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Post by JETStender on Jan 13, 2009 1:38:36 GMT -5
WFP FRIDAY, DECEMBER 19, 1975
Stadium-arena up for sale?
M a y o r Steve Juba has been directed to report to civic executive policy committee in two weeks on the possibility o f private enterprise buying the Winnipeg stadium- arena complex.
The mayor said Thursday he may throw the Winnipeg Jets hockey club and Winnipeg Blue Bombers football club into the pot also.
Policy committee, at a closed session Thursday, directed the mayor to report on the possibility of a private takeover because of concern over a proposed seating capacity expansion of both stadium and arena.
Winnipeg Enterprises Corporation, a board of local businessmen and city councillors, now operate both facilities and last week proposed the city invest $11 million in seating expansion.
The corporation's chairman, Allan B. Finnbogason, told finance committee last week that both Jets and Bombers might fold if there is no seating expansion. City councillors, however, under a self-imposed $50 million annual capital borrowing restraint, are reluctant to consider investing such a large sum.
Councillor Alf Skowron (New Democratic Party —East Kildonan), a finance committee member, asked Mr. Finnbogason if private enterprise had ever expressed interest in buying the arena and stadium and was told no.
But Mayor Juba said he and eight other councillors, including finance committee chairman C. John Gee (Independent Citizens Election Committee — St. Boniface), discussed that prospect after Wednesday's council meeting- The mayor then brought the idea before policy committee Thursday for consideration, Whether the arena and stadium are owned privately or publicly, the service to the community would be the same, Mayor Juba said. And whether the Jets and Bombers are publicly owned, as they are now, or privately owned, hockey and football will still be played the same, he said.
The mayor said any deal that might be discussed over the next two weeks is very flexible, and policy committee didn't set ail asking price for it. As soon as the committee meeting ended Thursday, the mayor put in a call to businessman Jim Wright,-owner of Assiniboia Downs racetrack. He said he -also would contact the owner of Toronto's Maple Leaf Gardens, Harold Ballard. Perhaps local businessman K. A. ( S a m ) Fabro, a member of Winnipeg Enterprises board, could bring together a consortium that might be interested, the mayor speculated.
"I'd just as soon have it first locally, then go nationally," the mayor said, indicating which potential buyers might have priority. Only as a last resort would he, seek buyers internationally he said.
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Post by JETStender on Jan 13, 2009 1:38:53 GMT -5
WFP SATURDAY, DECEMBER 20, 1975
Stadium bid sale possible
Businessman Jim Wright is interested in acquiring the Winnipeg stadium-arena complex, he said Friday. "We certainly would be interested in looking at the situation." Mr. Wright and Edmonton businessman Bory Margolis are co-owners of Assiniboia Downs racetrack,
W i n n i p e g Mayor Steve Juba talked briefly to Mr. Wright on the subject Thursday after civic executive policy committee in closed session told him to report in two weeks whether private enterprise is interested in a takeover.
The publicly-owned sports complex is now operated by Winnipeg Enterprises Corporation, a non-profit group of local businessmen and city councillors. Last week, the corporation proposed the city invest $ 11 million in seating expansion for both the stadium and arena. It said the Winnipeg Blue Bombers football club might fold and the Winnipeg J e t s hockey team might leave town if this weren't done.
But city council has limited itself to a $50 million annual capital borrowing target and many councillors are reluctant to spend such a large amount. The mayor said Friday the proposed expansion w o u l d figure in the deal to sell the complex to private enterprise., He also said the proceeds from the sale would be used to build other civic sports facilities throughout the city.
On Thursday, he said he might throw the Bombers and the Jets into the deal, but Mr. Wright said he would not be interested in the teams. Public interest in the teams can be better maintained if they remain publicly-owned, he said, adding they are run well now. But Mr." Wright said his company, being involved in operation of a sports facility already, might be able to manage the stadium and arena better . He said no price was mentioned in his talk, with Mayor Juba, which he described as "a very short, exploratory conversation. ''The first decision is to se-e whether the city is serious."
Mr. Wright said he sent a letter to the mayor after t h e i r conversation simply stating his group's interest in discussing the proposal. He did-not want to comment on whether he would expand the seating capacity of the stadium or arena, since he had none of the pertinent facts, such as attendance rates.
All the conversation with t h e mayor Thursday established, he said, was that the city might be interested in selling the complex. The offer to sell, he said, '''was quite a surprise."
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Post by JETStender on Jan 13, 2009 1:39:14 GMT -5
WFP WEDNESDAY, DECEMBER 24, 1975
Seats vote delayed for debt data
Civic finance committee discussed expanding the Winnipeg stadium-arena complex for 3 1/2 hours Tuesday, then voted to wait two weeks for "proper figures" about the cost before making any decision.
Two weeks ago, the city owned Winnipeg Enterprises Corporation, which operates the stadium and arena, recommended adding 5,000 seats to the 10,777-seat arena and 6,000 to the 25,553-seat stadium. The expansion would require $11 million, but there h a v e been conflicting estimates, ranging from $23 million to $30 million, of how much it would cost to pay off interest and the debt over 20 years..
Councillors Ken Galanctaik (Independent Citizens Election Committee — Lord Selkirk), Geoff Dixon (ICEC — Midland) and Norm Hudson (Independent — Lord Selkirk) gave unqualified support for expansion. Representatives of the Winnipeg Blue Bomber football club and the Winnipeg Jets hockey team indicated the expansion could be "self financing.
Ross Smith, the football club's vice-president of finance, said increases in ticket prices and an increase in rental over the next 20 years would more than pay for the total debt incurred by expanding the stadium. Rental income, he said, is expected to be about $8.2 million in the next 20 years, and the debt is estimated at $7.65 million.
Art Coulter, secretary of the Winnipeg Jets, said expansion of the arena "can be self supporting," but , he said, he couldn't be sure whether rental increases in the arena over the next 20 years would offset the costs of expansion.
Leading the opponents was Coun. Bob Bockstael (ICEC — St. Boniface). He said city council usually makes decisions on major budget considerations on a "priority rating system, which indicates whether projects are vital, essential or desirable.
Expansion of the stadium arena is definitely not essential, he said. Other things such as housing, community recreation and public transit should have higher priority. A man who criticized the expansion, Paul Mackenzie, heartily applauded when Coun . Bockstael finished speaking, drawing a warning from committee chairman C. John Gee: "no more demonstrations or you'll be out." Coun. Bockstael said there is no guarantee that the Jets will not leave Winnipeg, leaving the city with an enlarged arena and no major tenant.
"Contrary to popular opinion, the subscribing members (citizens of Winnipeg) don't own the Jets, they're owned by Sports Centrepoint Enterprises Ltd." But Mr. Coulter said later Sports Centrepoint Enterprises is a non-profit organization operated by the Winnipeg Jets, which is community owned.
Coun. Galanchuk, first to speak to the committee, said the controversy stirred up by the proposed expansion and distortion of facts and figures led him to make his presentation to council. He said sports fans shouldn't be classified as second-class citizens. Three hours later, Coun. Alan Wade (New Democratic Party — Centennial), said finance committee had sat patiently all morning listening to both proponents and opponents of the proposal call each other liars, that each speaker took exception with the former speaker's figures.
He proposed that the /committee refer the matter to the city treasurer's office so the committee could get a report with the proper figures. The report will be sent to the finance committee, which in turn will submit its recommendations to the executive policy committee, before it goes before city council in February
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Post by JETStender on Jan 13, 2009 1:39:31 GMT -5
WINNIPEG FREE PRESS. SATURDAY, DECEMBER 27,1975
By RON CAMPBELL
A certain insouciance is needed these days in asking municipal politicians for multi- millions of dollars to expand an arena and a football stadium.
The trouble Montreal has been having, watching its lax dollars flow endlessly into the '76 Olympic facilities, must make city councillors everywhere thank their horoscopes the same thing isn’t happening in their towns.
When governments are asking people to economize and are attempting to do so themselves. the last thing needed is a money-gobbling sports project. Nevertheless, the Winnipeg Enterprises Corporation has decided to go against the temper of the times.
The corporation wants to build a $7.3 million, 5.000-seat addition to the Winnipeg Arena, and a $3,357.000 seating addition on the east side of the Winnipeg Stadium to mirror the 6.000- scats added to the west side in 1972.
A couple of weeks ago Enterprises' board chairman, Allan Finnbogason came to city ball to announce the modest proposal He mentioned a nice, rough figure of $11 million and caused contractions all around the civic finance committee table as he asked the cily to ante up.
Full of respect for the councillors' recently expressed desire to keep annual capital borrowing close to a $50 million limit, Mr. Finnbogason said they'd need to invest only $1.5 million in ‘76 to get the expansion projects started.
If Enterprises could get a city commitment now. the program could be complete in 1977, he said.
The finance committeemen were in no mood for action now however. Quite sensibly, they deferred even discussing the matter for a week so the shock could wear off. They acted as if Mr. Finnbogason had sneaked up on them and planted gelignite on the premises.
Mr. Finnbogason pitch Has that, for two years, the Blue Bombers and the Jets have been pushing Enterprises to expand the stadium and arena; now they say they'll fold if it doesn't happen. They can't afford to continue playing in the second smallest stadium in Canada and the second-smallest arena in the World Hockey Association, he said.
His figures were backed by city treasurer Jim Gilmour who also put out a little bait. He said the city could expect the non-profit Enterprises to earn over an estimated $300,000 to the municipal treasury annually it the expansion occurred.
Enterprises made $177,000 last year from its stadium and arena operations, but used SI 15.000 for renovations, leaving the city the rest. U was impossible. Mr. Finnbogason said, for Enterprises lo increase its debt load now or in the future lo finance the expansion itself.
He and his delegation were filing from the committee room when Councillor Bob Boekstael (Independent Citi7cns Election Committee — St. Boniface) sat down at the head of the table, ready to blast their proposal. Besides pointing out that it would cost the city $30 million over 20 years to finance the expansion and quoting pertinent figures from the 1975 and 1976 projected city budgets, Conn. Bockstael questioned the priority such a project should have" There's no real need, he said. The Bombers play in the stadium just nine times a year and there's no guarantee the Jets will stay in Winnipeg even if the arena is expanded.
As for sports fans, many are just free loaders, attending the games only when they get a free ticket, the councillor said. Many season ticket holders were businesses which bought tickets as a tax deduction, giving them away for public relations purposes. Winnipeg isn't rich enough for the luxury of the expansion project, he said, and should be directing its scant money resources to higher priority items, such as housing.
So what is the answer? Should city councillors agree to finance arena and stadium expansion? First, there must be a realistic study of the facts; need must be demonstrated as conclusively as possible before any investment. It would be a credit lo no one if there turned out to be 6.000 under-utilized new seats in the stadium and 5.000 in the arena.
If that happened — assuming the Bombers' and Jets' cries for help to be realistic — both clubs would fold, anyway. A second question is whether the city can finance an $11 million expansion and still keep within .shouting distance of its self-imposed $50 million annual capital borrowing limit. If the money is borrowed a!( at once, as it would need to be to hit Mr. Finnbogason's 1977 completion target, the answer is no unless there were severe cut backs in more vital capita! areas such as transportation and community recreation construction.
Obvious answers are a smaller expansion than that proposed by Enterprises or a longer-phased construction of the $11 million project, requiring smaller bites of the capital budget each construction year.
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