In February, a judge ruled that if the Provo-Utah County Ice Sheet Authority posted a $3.5 million bond, it would be allowed to take over the former Olympic Arena if the current tenant did not pay up within 10 days what is now three years of unpaid rent.

Tuesday's unanimous vote by the Provo City Council assures that the Ice Sheet Authority will go ahead and execute the bond.

“This is our best option and our best next step,” said Councilwoman Cindy Richards, who, along with the rest of the council, was briefed on the history of the issue before making a decision.

Max Rabner of Peaks Management Co., which now manages the arena, and the Ice Sheet Authority are in the middle of a bitter lawsuit over the unpaid rent, which now totals roughly $286,000.

The Ice Sheet Authority filed suit to terminate Rabner's lease on the arena in 2003, hoping to evict him because of two years of defaulted rent payments.

Rabner has maintained that he tried to pay rent, but his money wasn't accepted, and that the Ice Sheet Authority is attempting a hostile takeover of the facility.

The authority, which is chaired by Provo Mayor Lewis Billings, was slow to move forward on the bond, hoping Judge Derek Pullan would rule favorably on a motion to either throw out the bond requirement or reduce the bond.

But Pullan ruled against that request, and on April 5 the Ice Sheet Authority took the first steps toward the bond. The Utah County Commission signed off on the bond last week and Tuesday's action was the final move to authorize the bond.

“This thing has been thoroughly and carefully reviewed by the joint legal staff of both the city and the county,” Billings said. “I feel very confident this is the best course of action considering the ruling of the judge.”

The initial purchase price of the surety bond is about $21,000, which will be paid out of the Ice Sheet Authority's budget. If needed, future payments may be split 50/50 between Provo and Utah County.

The $3.5 million figure attached to the bond was decided by Pullan based on the equity Rabner claims to have in the building. Rabner said he not only gave up the property the arena was built on, but has put hundreds of thousands of dollars into the facility for improvements.

If Rabner pays the rent within the 10 days, which he has said he will do, Peaks Management Co. would continue to maintain the arena until the trial.

The Ice Sheet Authority is made up of city and county officials.

thollingshead@sltrib.com