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.

Report: Luke Walton sued for sexual assault

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Luke Walton is being sued by a female reporter claiming sexual assault from a hotel room incident that dates back to before he was hired as the Lakers’ head coach (he was recently let go from that position and is currently the coach of the Sacramento Kings).

Kelli Tennant was writing a book and wanted Walton to write the forward, according to a lawsuit obtained by TMZ. The two had a business relationship and she agreed to meet him in a Santa Monica hotel to discuss him writing the forward to the book, according to the report. We’ll let TMZ take it from there:

In the suit, Tennant says when she arrived at Walton’s hotel, he convinced her to come up to his room so they could discuss the book. She claims when they got up to his room, Walton suddenly pinned her to the bed, placing his hips and legs over her body.

In the docs, Tennant claims Walton then began forcing kisses on her neck, face and chest. She claims she screamed for him to stop and tried to free herself, but he held her down, groped her breasts and groin, and rubbed his erection on her leg.

She says he eventually relented and let her get up from the bed, but as she was walking towards the door to leave he grabbed her from behind and again forced his body up against hers.

The lawsuit goes on to say Walton and her would interact after that, because of her job, and he would give her exaggerated hugs, kisses, and would make lewd comments to her.

Walton took over coaching the Lakers for the 2016-17 season. The alleged assault took place while Walton was still an assistant coach with the Warriors, however, some of the comments/actions that made her uncomfortable came later while Walton was with the Lakers.

Walton has yet to comment on the lawsuit.

The Sacramento Kings have made a statement:

“We are aware of the report and are gathering additional information. We have no further comment at this time.”

The Warriors issued this statement:

“We became aware of the alleged incident and story this evening and are in the process of seeking more information. We’ll have no further comment at this time.”

The Lakers issued this statement:

“This alleged incident took place before Luke Walton was the Head Coach of the Los Angeles Lakers. At no time before or during his employment here was this allegation reported to the Lakers. If it had been, we would have immediately commenced an investigation and notified the NBA. Since Luke Walton is now under contract to another team, we will have no further comment.”

NBA fines Brooklyn part-owner Joe Tsai for Tweet backing his GM challenging referees

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I just hope he can afford this.

Brooklyn Nets GM Sean Marks was suspended and fined by the league for breaking a taboo and going into the officials’ locker room after the Nets’ Game 4 loss at home to challenge the referees. Marks — along with pretty much every Nets’ fan — was livid about how Philadelphia’s Joel Embiid has been officiated in the series.

Brooklyn minority owner (for now) and alternate governor Joe Tsai Tweeted this about Marks.

The NBA has fined Tsai $35,000 for “making public statements detrimental to the NBA.”

Tsai is the second-largest shareholder of online shopping powerhouse Alibaba and is worth an estimated $10.2 billion. He owns 49 percent of the Nets.

Virginia’s Kyle Guy staying in NBA draft, not returning to Virginia

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Virginia is going to lose three starters from its national championship team. De'Andre Hunter is a likely top-7 pick that a lot of teams think can be a good “3&D” NBA player. Ty Jerome is a bubble first-round pick expected to stay in the draft. Mamadi Diakite also has his name in the mix.

Now it’s official, Kyle Guy says he is keeping his name in the mix.

Guy had 24 points in the title game against Texas Tech and was named the NCAA tournament’s Most Outstanding Player for leading the Cavaliers to a title.

What he brings is shooting — he hit 42.6 percent from three this past season. He moves well off the ball and can catch-and-shoot, skills that NBA teams want. However, while he was a playmaker in college his handles and passing need work to be NBA ready, according to scouts. There also are concerns about his athleticism at the next level, and with that how well he can defend.

Guy is likely a second-round pick if taken at all, but he’s all in and going to take his shot while at the hight of his college career.

Hawks’ Lloyd Pierce replaces Pacers’ Nate McMillan as Team USA assistant coach

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Spurs coach Gregg Popovich is taking over Team USA, and he has assistant coaches for the 2019 World Cup and 2020 Olympics:

  • Warriors coach Steve Kerr
  • Pacers coach Nate McMillan
  • Villanova coach Jay Wright
  • Hawks coach Lloyd Pierce

USA Basketball release:

Atlanta Hawks head coach Lloyd Pierce was named to the USA Basketball Men’s National Team coaching staff today. Pierce replaces Indiana Pacers head coach Nate [McMillan] who withdrew because of scheduling conflicts.

This is a pretty big honor for Pierce, who just completed his first season as an NBA head coach. He guided Atlanta to only a 29-53 record.

But the young Hawks, especially Trae Young, improved throughout the season. Atlanta pushed the pace, hoisted 3s and defended aggressively (though not well). An identity is forming.

Though it’s far too early to say much about Pierce’s head-coaching acumen, he acquitted himself well in his first year.

Working with Team USA could even help Pierce ingratiate himself with stars. This could eventually pay off for the Hawks in free agency.