Groups sue, vow ballot measure to block Sacramento NBA arena
May 14, 2013, 3:21 PM | Updated: 5:36 pm
While the NBA’s Board of Governors is set to vote Wednesday on the fate of the Sacramento Kings, several taxpayers filed suit Tuesday while two groups announced a new effort to launch a ballot initiative and block the building of a new arena.
A lawsuit filed in Sacramento Superior Court Tuesday accuses the city of breaking the law with its $448 million downtown arena deal to keep the Kings, The Sacramento Bee reported.
The suit alleges the city offered a far bigger subsidy to developers than disclosed, and constitutes an illegal “give-away” of public money.
While the City Council approved a deal to contribute a reported $258 million, the three taxpayers filing the suit argue the subsidy is actually worth $338 million.
NBA TV legal analyst Michael McCann said in a tweet the suit might delay the arena but likely won’t stop it. “The allegations are serious, but these kinds of lawsuits are common with arena/stadium deals and seldom succeed.”
Meantime, the group Taxpayers for Safer Neighborhoods said it was joining with Sacramento Taxpayers Opposed to Pork (STOP) to begin gathering signatures for a new referendum.
“Working with Taxpayers for Safer Neighborhoods, we have put together the funds to begin gathering signatures for an initiative which will prevent the public gift of over $250 million in taxpayer dollars to developers and professional sports team owners,” said Julian Camacho, Chairman of Sacramento Taxpayers Opposed to Pork (STOP).
The group argues the arena deal recently agreed to by the Sacramento City Council “comes at a time when the City simply does not have the funds to waste,” Camacho said.
According to Camacho, the City of Sacramento is facing an $8.9 million deficit and just this week, with City Manager John Shirey warning the Council of “an impending fiscal cliff.”
