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Sacramento City Council votes 7-2 to go forward with next step in arena process

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City council meetings can be dull, but the Sacramento City Council meeting on Tuesday to decide if the Kings should go forward with a key element of their plan to secure a new Entertainment and Sports Complex (ESC) was anything but.

Alright, it was still pretty boring, but Tuesday’s meeting had everything you could ask for in a five-hour local government showdown, including human PowerPoint presentations, #Occupy protestors, some normal people, the villain city council member, people whose sole purpose in life is to show up at every city council meeting and speak on every issue, people that sang during their two minutes to speak, the transvestite with a keen business acumen, and of course, the mayor that dunked on Hakeem Olajuwon like he was Timofey Mozgov.

On the docket was a vote to determine if the city should go forward with a Request for Qualification (RFQ) from parking lot operators that could end up providing $200 million or more toward the city’s stake in the estimated $400 million arena.  Once the vote passed, the city manager would then be authorized to have parking lot operators produce preliminary bids for the right to operate city-owned parking lots for terms up to 50 years.  This is said to be the funding nut that will push the Kings over the finish line, though it remains to be seen if it will be enough.

What made Tuesday’s meeting critical, aside from the unlikely scenario that the council would vote down this motion, was getting to see once again how each council member would act, as they will ultimately determine the project’s fate. During the last procedural vote in which $500,000 was requested to secure a qualified arena negotiations team, I wrote about how each council member discussed the arena project and said that things looked good for Kings fans.

They voted 7-2 on that day to authorize funding that would move the process to its next step, and on Tuesday they voted the same exact way to authorize this RFQ. Again, the main opposition to the arena plan has come from two council members, Sally Sheedy and Darrell Fong.  After Kevin McCarty talked extensively on Tuesday about how the parking funds could be used in other ways, he also joined my unofficial ‘no’ side of the ballot.  Meanwhile, Sheedy has taken a Judge Judy like role in proceedings, barking out commands to city staff and generally trying to muck up the process.  She is seeking re-election under an anti-arena campaign.

On the other side of the ballot I had identified four arena proponents prior to Tuesday that, as I see it right now, will vote yes when the vote matters in February (Rob Fong, Angelique Ashby, Bonnie Parnell, and Jay Schenirer).

Following Tuesday’s meeting I added Steve Cohn to that list after he offered up this tidbit following an exchange with ‘no’ voter McCarty. After Cohn cited a Green Bay Packers-like stock plan as a creative example of a funding mechanism, McCarty said “It probably helps that the Packers are 13-0.”

To that point, Cohn said “Yeah but they’re going to keep their team no matter what. So we need to keep ours.”

Kevin Johnson’s ‘yes’ vote would only be needed to break a tie, so essentially Kings fans need 4-of-8 members to vote ‘yes.’

All said, I’m predicting a 6-3 vote in favor of funding the arena, but like everything else having to do with Sacramento versus Los Angeles, this will come down to the wire. Assuming my word-parsing, eye-tests, and other voodoo analysis are correct, the deal still has to come to the city council’s desks without any major flaws. Then, it has to provide enough time for council members to vote on it without having any reservations about moving too fast.

As of now, Kevin Johnson has yet to make a mistake and has conducted the campaign to a presidential degree, with a former campaign manager to Bill Clinton, Chris Lehane, at his side co-chairing the Think Big coalition. Until Johnson screws something up, it’s wise to bet that he’ll continue to hit his deliverables.

Meanwhile, Kings fans continue to impress in their role of drumming up public support.  During Tuesday’s meeting, a diverse set of seven Kings fans spoke during the time for public comments, but the twist was that they scripted their comments to fit a theme. The theme was that the city’s need for an arena is “bigger than basketball,” so before each of them spoke they removed their Kings jerseys to reveal a white T-shirt with one of the words ‘Concerts, Regional $, Events, Revitalize, Nightlife, Jobs, and Pride.’

They live-tweeted each person’s talking point and along with the streaming video of the council meeting the entire Kings’ grassroots network trended on Twitter in Sacramento.  Small gestures, big impact.  I’ve said it before, but Save our Sonics needed Twitter to invent itself a few years earlier.

I asked the leader of the group that came up with the idea for the T-shirts why they did it, and Mike Taveres of #FANS (Fund Arena Now Sacramento) said, “We wanted to show this was more than just our Sacramento Kings. They’re a piece of the puzzle but not the only piece.”

What’s going on in Sacramento is much bigger than basketball, indeed. The region has 12 percent unemployment and lost $40 million in tax revenues in the last year alone due to falling property values. The city’s normally stable public sector has been hammered by budget cuts at the state level, and big businesses are leaving with regularity (for places like Anaheim that cater to business no less).

Should Sacramento not fund the arena and they lose their team, they will need to find an anchor tenant before they could entertain the idea of building a game-changing downtown anything district. Their citizens will continue to pour money into other regions when they travel outside of Sacramento for shows and events, property values will likely continue to struggle, and businesses will see the city’s inability to build an arena as a failure of leadership. They already are. The citizens, already slumping through bad economic times, will see their crown jewel going away as a sign that things aren’t working, and confidence will erode all the way around. These aren’t my words – they’re the words of the many citizens I’ve interviewed that desperately want to keep the tumbleweeds outside of city limits.

Yes, there is a discussion to be had about the public funding of sports arenas, but ironically that discussion is in a pending status within the academic community. As I reported back in August, the go-to economist on sports subsidies, Brad Humphreys, is in the middle of a study to address the hundreds of millions of dollars of increased property value a facility like the proposed Kings arena might bring. I spoke with Humphries in great detail, and he said that as long as the Maloofs and the NBA were throwing in the type of money that had been reported, that the Kings deal shaped up as a “good deal.” As for the study, that’s on pause until his co-author can catch a break from his two newborn kids. They’re in no hurry to finish the study and under no societal obligation to do so, but for anybody with so-called claims that they understand the economics behind this – they don’t. Simply put, the experts are still studying it. In the meantime, Humphries and others have noted that the previous approach of building a stadium or arena in the middle of nowhere was flawed, and building them in the middle of downtown hubs is the best way to monetize the value of a sports franchise. He wrote,

A new state of the art facility integrated in a comprehensive urban redevelopment program and located in the heart of a large city might be expected to generate increases in residential property values in the vicinity of hundreds of millions of dollars within a mile of the facility, if the location, planning, construction, and development are carried out carefully.

This is what the Kings fans and community leaders are fighting for. It’s not just the increase in tax revenues an extra ‘hundreds of millions of dollars’ of land value might bring, but rather the overall economic activity the arena will spur. It’s why these normal citizens have given all of their waking hours to a cause, it’s why a documentary is being made about the #HereWeStay guys, it’s why thousands of fans refused to leave after the team’s final game, and it’s why they continue to outpace their opposition at every turn.  Their community literally depends on it.

Kevin Johnson heads to New York on Friday to meet with the NBA and AEG to discuss how much private contribution the league and the Maloofs are going to make. All of this is going to come together in the next 60 days, and ultimately there will be a final vote.

Sure public opposition could pick up, and yes, unappealing deal-points could make the deal go bad, but with Kevin Johnson pitching a shutout and Kings fans handling the public education piece – it sure seems like they’re on track to finally get that win over Los Angeles.

Paul George says he’s not motivated by opportunity to earn higher max

Eastern Conference forward Paul George of the Indiana Pacers (13) reacts during the second half of the NBA All-Star basketball game in New Orleans, Sunday, Feb. 19, 2017. (AP Photo/Max Becherer)
AP Photo/Max Becherer
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NEW ORLEANS — The Pacers have already granted a standing max offer to Paul George.

So, if he wants to stay in Indiana, his potential paths look relatively straightforward:

If he makes an All-NBA team this season, he can sign a designated-veteran-player extension that would kick in in 2018-19 and projects be worth about $209 million over five years (about $42 million annually).

If he doesn’t make an All-NBA team this season, he can wait to sign and try again to make one next season. If he does, he can sign a new contract in 2018 that would be worth the same $209 million or so over the same five-year period.

I think it’s this simple: If he becomes eligible to become a designated veteran player, he’ll sign then. If not, 2018 free agency projects to offer a choice of about $179 million over five years (about $36 million annually) to re-sign or about $133 million over four years (about $33 million annually) to sign elsewhere — a more difficult decision.

George says he’s not thinking about earning the higher max.

“You want to be one of the best,” George said. “And that’s the only motivation. You want to be All-NBA. That’s what you strive for. That’s what you want to play for, to be recognized as one of the league’s best players.”

That’s no small challenge for George, who was one of 12 All-Star forwards this year, joining:

With only six All-NBA forward spots, George faces long odds this season — and no easy path next season.

But at least eligibility for the higher max coincides with one of his goals.

“It’s nice. It’s nice,” George said. “But that’s not the motivation you want to play for”

Report: Chris Paul has already verbally agreed to re-sign with Clippers

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Sean M. Haffey/Getty Images
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The Clippers are approaching a pivotal offseason with both Chris Paul and Blake Griffin entering unrestricted free agency.

Drama in LA?

Maybe not.

The team already did its part, pledging to spend “whatever it takes” to re-sign those two stars. Now, it appears the players are getting in line.

Griffin reportedly plans to re-sign quickly this summer. And it seems Paul will follow suit.

Steve Kyler of Basketball Insiders:

He’ll opt out of his final $24.26 million and ink a new deal with the Clippers for north of $200 million. While Knicks fan often dream of a Carmelo Anthony-Paul tandem, it’s not going to happen. Sources close to the process said that it’s already been verbally agreed to and it’s simply a function of the calendar and the new Collective Bargaining Agreement kicking in.

If Paul demands the biggest deal possible — and why wouldn’t he? — it projects to be worth more than $207 million over five years.

But he can’t sign until July. That leaves the door open for things to sour with the Clippers and other teams to make pitches. Planning to re-sign is one — important — thing. Actually doing it is another.

The Clippers should turn their attention to J.J. Redick, who will be an unrestricted free agent this summer. They’ll have his Bird Rights, so they can exceed the cap to re-sign him. However, capped out even if he leaves, they will have no mechanism to adequately replace him.

A team with Paul, Griffin and DeAndre Jordan can’t afford to take that large of a step back. If Paul and Griffin re-sign, that gives Redick tremendous leverage.

What Vlade Divac learned in process of trading DeMarcus Cousins: ‘Not to trust agents’

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Kings general manager Vlade Divac seemingly had what he deemed a “better” offer for DeMarcus Cousins fall apart after Cousins’ camp dissuaded the other team from dealing for star.

That’s why Sacramento settled for the Pelicans’ meager package. The Kings, Divac said, feared the offers would only get worse as the trade deadline approaches.

This whole experience leaves Divac sounding jilted.

 

Sam Amick of USA Today:

The guy who declared publicly just two weeks ago that Cousins wouldn’t be traded is talking about not trusting agents? OK.

Divac reportedly told Cousins’ camp late Sunday afternoon that the center wouldn’t be traded and then reached a deal just a few hours later. There are conflicting accounts of how well Sacramento informed Cousins privately of their true intentions, but Divac public statements are enough to show hypocrisy here. The only question is precisely how hypocritical he’s being.

 

Cousins missed out on a lot of money — a projected $30 million or so — as a result of this trade. His agents were doing their job when they tried to scuttle a deal. Cousins never owed it to Sacramento to facilitate his own exit.

The Kings want to change their culture without Cousins, but they’re so far not setting a tone of trustworthiness.

Steve Kerr will not “just stick to sports,” embraces new era of player political/social activism

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NEW ORLEANS — “Just stick to sports.”

Anytime an athlete speaks out on social issues, or wades into the political arena, Twitter swells with that comment — from people who disagree with the statement. In the wake of a polarizing election and controversial moves from President Donald Trump — such as his executive order on an immigration seven majority Muslim countries — there has been criticism of his moves from Commissioner Adam Silver, coaches such as Gregg Popovich, as well as players.

Warriors coach Steve Kerr has been at the front of that criticism, and he is not going to “just stick to sports.”

“If you stick to that mantra, then everybody should stick to what they’re doing, right? That means nobody’s allowed to have a political opinion,” Kerr said during All-Star weekend, where he was repeatedly asked about political and social issues. “It just so happens we get these microphones stuck in our face and we have a bigger platform. But it’s free speech and, if you look at the history of the world, the biggest problems come when people don’t speak.”

The “just stick to sports” crowd almost always opposes what the players said, but root their comments in the idea sports should be an escape from the political realm or other worldly challenges. Even though at it’s best sports has never been that — not with Jackie Robinson or Muhammad Ali or Olympic protests.

Kerr noted that in our modern world with so many outlets for getting your information, fans can choose to avoid political discussions in sports if they wish — just don’t click the link.

“I think you can follow sports however you want as a fan. If you want to watch the games to get away from everyday life, you can do that,” Kerr said. “You can turn on the games and watch the Warriors play or watch the Spurs play or whoever, and it’s just going to be about basketball. If you don’t want to read about political issues, you don’t have to read it. It’s the same in any field, whether it’s basketball, or entertainment, even politics themselves, you have to choose what you want to read about and follow. 

“We are in a society where a lot of us have microphones in our face every day, and a lot of us feel strongly about our need to speak out on injustice. I think it’s important. But it’s up to the individual fan to take that in or not. They can pick and choose.”

For a long time, there has been less social activism among athletes — not just in the NBA, but across sports. That is changing again, and Kerr said it’s a reaction to the times in which we live.

“I think maybe over the last 20 or 30 years there hasn’t been that same sense of urgency because we’ve generally lived in a pretty peaceful era, but it feels like it’s changing and so the whole country is changing in terms of its activism and social awareness,” Kerr said…

“For a long time, a lot of athletes stayed out of the political forum, out of fear of losing customers, and I think it’s refreshing that we have athletes who are putting their social beliefs ahead of any marking issues. I think that’s powerful.”

Kerr spoke out some on a long weekend where he had a microphone in his face a lot,  opposing President Trump policies such as building a border wall with Mexico for example. However, mostly he praised both the increased social activism of players and the stance of the league to stand up for inclusion — including moving the All-Star Game out of Charlotte because of North Carolina’s “bathroom bill.”

“Free speech is one of the principles our country was founded on, I think there’s some responsibility that goes with that if you see injustice,” Kerr said. “That’s why I think the league has been great in terms of understanding that responsibility and taking action, such as moving the All-Star Game from Charlotte to New Orleans….

“I think what the NBA tries to preach is equality, and inclusion — we don’t just talk about it, we live it. We have this beautiful game where we have people from every race and religion and background, and we like that in our fans, too.”

While the league has turned its words into actions such as moving the All-Star Game — and warning Texas if they pass a similar bill Houston is likely out of the running for the 2020 edition of the game — the question is what the next step will be for the players. Commenting on social injustice is one thing, but how do they turn that into actions?

“That’s not my department,” Kerr said with a shrug. “I have spoken out on issues and will continue to do so, and I think the league has done a really good job of walking the walk. Moving the All-Star Game from Charlotte to here I think was an important statement for the league — we are about inclusion and equality for everybody, regardless of gender, race, religion, background, anything.”

Coaches such as Kerr, as well as NBA players, have a bigger megaphone to get out their views because they are interviewed by the media almost daily. Kerr said that he feels players have a responsibility to step up and be heard on issues, not just “stick to sports.”

“I think if you’re in a certain position, and you feel strongly about something, then I think it’s important and you should (speak out),” Kerr said. “But we all live different lives in different places, we’re from different backgrounds with different journeys, and what’s important to me might not be important to somebody else, and visa vera.

“But we’re all in a position where we can make a difference, and I think players understand that.”