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Winnebago County, IL - Hockey team management experts from a New York-based consulting firm gave a grim assessment of the risk a city-owned hockey team presents at Mondays Winnebago County Board meeting. They say theres a reason thats never been done before in minor league hockey.
"I can`t think of what`s riskier than minor league hockey, some of the Internet companies before the bubble burst, but it`s high risk," says David LeFevre, CEO of Beacon Sports. "Its good to have private enterprise."
LeFevre says in the last seven years, 120 minor league teams have folded. In the last 30 years, 400 teams have folded. LeFevre suggests a solution.
"That issue of taxpayer burden would go away if the Chicago Blackhawks owned the team," says LeFevre. "The county and city wouldn`t have to pay for it. We`d have the perfect fit."
But the Blackhawks General Manager Dale Tallon who spoke to the committee, as well, says thats not an option.
"We`ve never done that before," says Tallon. "We dont own our current AHL team in Norfolk, Virginia, now. This is what we do and the best way were going to proceed."
Instead he revealed the terms of a ten-year deal reached with the MetroCentre Authority that would move his AHL team from Norfolk to Rockford. The city would pay the Blackhawks $800,000 a year to have their AHL affiliate play at the MetroCentre.
"Its a more hands-on approach," says Tallon. "We can keep an eye on our players. Its easier to transfer them back and forth to Chicago. We can bring our guys up and down a lot easier than flights from the east coast."
But now the decision is in the hands of county board members. On Thursday theyre expected to reconsider their 14-11 vote to only help fund the $20 million MetroCentre renovation project with one condition. They said the deal is off if the city buys a hockey team.
County Board member Mary Ann Aiello says her opinion has stayed the same, especially after hearing the hockey experts assessment of risk.
"If attendance doesnt increase at the games or if the MetroCentre suffers losses, the city taxpayers are going to be stuck with the cost," says Mary Ann Aiello, County Board Member who invited the hockey team management consultants to speak to the Executive Committee on Monday.
But board member Randy Olson says the county shouldnt tell the city what it can and cannot do. He wants to add language that would make it clear the countys contribution would only go towards the renovation project, not buying a hockey team.
"We didn`t want to get involved with hockey, but we think that by renovating the building downtown its going to cause other economic development down here also," says Olson. "We think its a good risk on our part. The city has to decide if owning a hockey team is a big risk for them."
The county is committing $9 million over a 20 year span to help fund the MetroCentre renovation project.
Rockford is committing just under a million dollars a year for 20 years to go towards the $20 million renovations of the MetroCentre and up to $3 million to purchase a hockey team.
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