Petrilla finds Yankees sale agreement "disturbing"

By Jennifer Learn-Andes jandes@timesleader.comLuzerne County Reporter

Petrilla

Luzerne County Commissioner Chairwoman Maryanne Petrilla said Monday evening county taxpayers should be “infuriated” that Lackawanna officials have reached a purchase agreement to sell the local Triple-A baseball franchise to the Scranton/Wilkes-Barre Yankees for $14.6 million.

 Each county paid $1 million to jointly buy the franchise, and Luzerne County’s lawsuit demanding half of the sale proceeds has not yet been resolved in court.

 Lackawanna County also has a pending countersuit arguing that Luzerne County isn’t entitled to any proceeds from a sale.

 Petrilla said Lackawanna officials did not involve their Luzerne counterparts in the purchase agreement announced Monday.

“I find the whole thing disturbing,” Petrilla said. “It’s clear they are negotiating without any involvement of Luzerne County, which owns half and should have representation at the bargaining table.”

Petrilla said she does not know if Luzerne County may stop the sale, but she plans to immediately discuss that with county legal counsel.

“They must respect that we are half owners and that $7.3 million is owed to Luzerne County,” Petrilla said.

Luzerne County Commissioner Thomas Cooney said he is relieved the county’s lawsuit was filed because it’s an official pending claim on the proceeds.

“This suit is going to establish our half ownership. I believe we will be vindicated. The suit will protect any interest Luzerne County taxpayers have,” Cooney said.

County minority Commissioner Stephen A. Urban said he does not believe the sale could be executed without Luzerne County’s approval. Urban pushed hard for the suit to stake the county’s claim and criticized Lackawanna for establishing the purchase price without an appraisal.

A 2008 analysis by Forbes magazine found the local minor league franchise was worth $21.7 million at that time.

Luzerne County’s lawsuit points to the 1986 franchise purchase agreement hammered out by both counties, which said franchise sale proceeds would be split equally between the two counties, after reimbursing the Lackawanna County Multi-Purpose Stadium Authority up to $345,000 for its cost to bring the franchise here.

 In its countersuit, Lackawanna County argues that Luzerne should not receive anything because it did not help fund ongoing operating costs since the franchise was purchased. Lackawanna officials say their county has spent more than $20 million on stadium and operating costs necessary to keep the franchise stable.

A franchise is a claim to host a Triple-A team, and the local franchise is currently occupied by the Scranton/Wilkes-Barre Yankees.

 New York Yankee representatives have said the purchase option is part of a “binding” contract and may be exercised despite Luzerne County’s pending suit.

In 2007, former Lackawanna County Commissioner Robert Cordaro negotiated agreements that would allow the New York Yankees to buy the franchise for $13 million before Oct. 1 or $14.6 million after that date.

Jennifer Learn-Andes, a Times Leader staff writer, may be reached at 831-7333.