MUSKEGON, Mich. — Starting Jan. 1, the city of Muskegon's arena will be the Mercy Health Arena. Muskegon City Commissioners approved the arena naming rights agreement with WH Hockey, owners of the Muskegon Lumberjacks and Mercy Health Tuesday evening by a 4-1 vote.
The vote followed community debate on the name change starting in October when city and hospital leaders gathered at the arena to announce the name change.
The agreement since then was ratified multiple times, including changes in the hours leading up to the vote.
The final version of the agreement calls for Mercy Health to pay $1.6 million over the next 15 years.
New signs with the new name are required according to the agreement to be in place on the West Western Avenue arena entrance and on the large marquee on Shoreline Drive by March 2020.
Community members who spoke in favor of the agreement praised city staff for finding a way to keep arena maintenance costs from straining city finances.
Others criticized the name change, believing it stripped history from the building and no longer recognized Louis Carlisle Walker, the Muskegon philanthropist who donated the arena to the city in 1960.
In the final version of the deal, 80% of the fees from the naming rights go to the city, with 20% to WH Hockey.
On promotional sponsorship packages sold for locations inside the arena, the city will take 20% with WH Hockey receiving 80%.
Previous versions of the deal gave team owners a larger share of the naming rights proceeds and a commission too.
"The input from the community made an impact on the negotiations and the language in the contract," said Willie German Jr., the lone Muskegon City Commissioner to vote no.
Among German Jr.'s concerns is possibility of litigation. He and a number of community members believe the city could be vulnerable for legal troubles for allowing the Christian cross in the Mercy Health logo to be displayed on a public building.
The City of Muskegon and Mercy Health will begin discussing a new display inside the arena to honor L.C. Walker's gift to the city. The cost of the display will be split equally between the city and Mercy Health.
"Mr. Walker has been a huge asset to the community and City of Muskegon," German Jr. said. "Something like a bronze statue."
City leaders say the naming sponsorship will reduce the city's use of tax-payer funds to support the arena's operation and maintenance.
Mercy Health released a statement Wednesday stating "Mercy Health is proud to support the arena and help ensure that this community asset is here for generations to come. This is an opportunity for us to continue investing in a community we care deeply about, a place where our patients and our colleagues come and enjoy many offerings from this arena."
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