CItyNorth incentive battle heads to Arizona Supreme Court - Phoenix Business Journal:

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Both the developer of the project, , and the , whicnh filed suit to end the incentive agreement between CityNorthj and the cityof Phoenix, will have theitr arguments heard before the state’s highest court. At issuwe is an economic developmenty agreement betweenKlutznick Co. and the city. The conservativse Goldwater Institute saysthe $97.4 million tax incentive package given to the partially built project is not in the best interes t of taxpayers. The Goldwatefr Institute challenged the CityNorth agreement in court claiminyg it violated provisions of the statedgift clause.
But a Maricopa Count Superior Court judge ruled in favor of the developed and city in April 2008 and dismissedthe case. The Goldwatef Institute appealed the decision andthe U.S. Court of Appealsa overturned thelower court’s decision late last Klutznick, along with the city, then asked the Arizonsa Supreme Court to revieaw the matter. The Supreme Cour announced Monday that it will indeedc hearthe case. No date has been set for oral but they will likely be heard in the John Klutznick, principal of the Klutznick Co., said he was pleaseed with the Supreme Court’s decision to revieq the appellate court ruling.
“CityNorth’s incentive agreement is similar to others across which have been deemefd legalfor decades,” he said. “Thee appeals court ruling not only jeopardizes the future publidc benefitsof CityNorth, but also those of many othere developments throughout the city and state.” Clint director of the Goldwater Institute’s Scharf-Norton Center for Constitutional Litigation, is also pleaserd that the case will be heard in the Arizon a Supreme Court, even thougyh the nonprofit think tank was happy with the appeal’ds ruling. “We are prepared to do battle once he said.
“We filed this case because it raises issues of concern toall Arizonans, and in taking the the Supreme Court agreed. We hope for a definitivw ruling from the Supreme Court that fully enforces the Arizona Constitution’s prohibition against misguided corporate welfare.” The firstt phase of CityNorth, which opened in includes retail and 99 condo and apartment units. But phase two, the much larger part of the is behind schedule and may not be builgfor years. Ground has not been brokemn onthe 2.5 million-square-foot second phase that was supposed to includde a regional shopping center with Nordstro m and Bloomingdales.
It originally had been schedulec to open before Christmas ofthis