Roanoke Times
Copyright (c) 1995, Landmark Communications, Inc.
DATE: SATURDAY, September 4, 1993 TAG: 9309040232
SECTION: SPORTS PAGE: B1 EDITION: METRO
SOURCE: SCOTT BLANCHARD STAFF WRITER
DATELINE: LENGTH: Medium
State Sen. Russ Potts, trying to avoid what could be a violation of the state's conflict-of-interest law for legislators, is restructuring a deal he made to promote two Virginia Tech basketball games in Landover, Md., during the 1993-94 season.
Potts, a Republican from Winchester who runs Sports Promotions Inc., contracted with Tech in August to move the Hokies' games against West Virginia and Virginia to USAir Arena in Landover. However, the state attorney general's office has written Potts to express concerns that the deal may break a law that prohibits legislators contracting with state agencies without going through a competitive bidding process.
Several people with knowledge of the deal said Friday that Potts now wants the contracts made between Tech and Georgetown - which plays its home games in Landover - or between Tech and USAir Arena. The sources said either Georgetown or USAir Arena then would hire Potts - who originally approached Tech about moving the games - to promote the games, from which he stands to profit.
Under that arrangement, Potts would not have a contract with Tech. Virginia statute 2.1-639.35 forbids state legislators having "personal interest in a contract" with any state agency unless competitive sealed bidding or negotiation has taken place. Potts negotiated with Tech and USAir Arena to move the games, and he maintains competition existed when he cleared the dates with USAir Arena, formerly known as the Capital Centre.
Bob Chapman, the Roanoke Civic Center manager, has said he discovered Tech was moving the game against Virginia - which was to be played March 2 in Roanoke - by reading it in the newspaper.
Potts, who has made his living as a sports promoter for 29 years, said he has given Attorney General Stephen D. Rosenthal "several scenarios" for review. He would not specify the scenarios, nor would he confirm the proposal to contract with Georgetown or with USAir Arena.
"Whatever ruling will come down, I will abide by it," Potts said Friday. "If this situation passes muster, so be it. If it doesn't pass muster, so be it."
Potts denied he has a conflict of interest in making money off games that involve two state-funded institutions.
"If I was able to make this negotiation because I was a state senator, that's one thing," he said. "The only feeling I have is I have [an] absolutely complete and very sincere and deep feeling that I have done the right thing.
"I want to be treated like any other citizen, and I want to be treated like all the other 139 members [of the House of Delegates]."
The Tech-Virginia game could be moved back to the Roanoke Civic Center if the deal is voided. The Tech-West Virginia game was scheduled for Cassell Coliseum in Blacksburg in February 1994.
Sources said Potts has asked Rosenthal to tell him whether the new arrangement is legal. Potts told The Winchester Star on Thursday that Rosenthal would have no problem with the final deal, which prompted Rosenthal to write Potts.
"There is nothing I have said . . . that would justify such a statement," Rosenthal wrote in the letter, a copy of which was obtained by the Roanoke Times & World-News. "In fact, my written communication to you of Aug. 19, 1993, is to the contrary."
In the letter, Rosenthal referred to "potential statutory violations" and said he "would not decide whether any particular kind of contract came within both the spirit and the law of the Conflict of Interests Act until I reviewed the specific proposal . . . and responded officially in writing."
Deborah Love-Bryant, Rosenthal's chief of staff, would not comment specifically on Potts' new proposal.
"I'm not prepared to say the attorney general's office is currently reviewing contracts," Love-Bryant said. "The senator is entitled to request an opinion and is entitled to a response.
"The attorney general will offer an opinion [on the new arrangement] that may or may not involve the reviewing of contracts."
Dave Braine, Tech's athletic director, said Rosenthal's office last week requested and was sent a copy of the original contract with Potts. Braine said Potts and Potts' lawyer have told him as recently as Monday they are confident the new proposal will be approved.
"There's always a possibility until a contract is signed that we might have a problem," Braine said Friday. "It's not a major concern."
Potts guaranteed Tech $300,000 for both games and will pay Virginia $100,000 when it plays in Landover.
Braine was asked what would happen if the deal is voided.
"I'd cry, first of all, because I'd be out $300,000 that I desperately need [for Tech's athletic budget]," he said. "And, if the civic center would have us back, I guess we'd go back to Roanoke."
by CNB