Dallas Mavericks CEO Rick Welts on Tuesday sought to add context to comments he made during a sports economics panel last week, when he said Dallas City Manager Kimberly Bizor Tolbert first approached the Mavericks more than a year ago about City Hall likely being an available site for the team’s new arena and entertainment district.

Welts, who joined Mavericks President Ethan Casson for a lunch with D-FW media, characterized his remarks during Friday’s panel as a “very quick answer that really didn’t capture the context” of what he called a “very long conversation” more than a year ago with Tolbert.

“We were discussing a variety of potential sites for a future Mavericks’ arena,” Welts said. “And in that conversation, she told me that it could cost hundreds of millions of dollars to renovate City Hall, and it could be that the city would have to consider moving out of City Hall. That really was the summation of our conversation.”

Welts on Tuesday reaffirmed the franchise’s commitment Dallas, called the city’s engagement “tremendous” and reiterated that the Mavericks are “on the clock” as they pursue a move to a new arena when their lease at the American Airlines Center expires in 2031.

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They have narrowed their focus for the new arena to two locations: the 110-acre former home of Valley View and downtown Dallas.

Welts said any decision on the arena’s location beyond July would “start to put real pressure” on opening the venue in time for the 2031-2032 basketball season. When The Dallas Morning News asked if there is a possibility the American Airlines Center lease could be extended a year, if needed, Welts said, “No idea.”

Welts said the city will determine whether to renovate or relocate City Hall and “then we will react to that.” Asked by The News if the city’s timetable for deciding the fate of City Hall aligns with the Mavericks’ timeline for choosing an arena site by July, Welts said, “That’s out of our control. I don’t know [the city’s timeline]. They haven’t laid out a timeline that I have seen.”

On Friday, Welts said Tolbert approached the team and said, “‘Look, I’ve got to move out of City Hall. I can’t afford to operate what we do in that building going forward for the taxpayers.’” The remarks sparked sharp reaction from some City Council members who said Welts’ comments suggested a predetermined outcome for City Hall’s future.

When asked to directly address concerns that Welts’ comments suggest a predetermined outcome on City Hall’s future, Tolbert on Friday instead defended her record as Dallas city manager saying it’s “no secret that I have aggressively approached problems facing the city.”

Tolbert confirmed that she has met with the Dallas Mavericks and Dallas Stars to discuss their needs for modern, fan-friendly arenas and the future of American Airlines Center, as well as the Convention Center and downtown revitalization.

She stressed that the decision to repair or move out of City Hall rests with the City Council, and until then, her team will continue discussions with the Mavericks on other matters.

Council member Paul Ridley on Friday called Welts’ comments “alarming,” noting that it was the first time he’d heard the city manager admit that Dallas couldn’t afford to operate City Hall.

“But to have said that a year ago to a sports team executive without authorization from the City Council, to put City Hall on the market, is just astounding,” said Ridley, who represents the downtown area where American Airlines Center sits. “It clearly exceeded her authority and she should publicly explain herself.”

Welts on Tuesday repeated that the City Council’s 9-6 vote on March 5 to approve a resolution to explore options for leaving City Hall was a very important step in the team’s arena project journey.

He explained that the vote enables the Mavericks and the city to formally discuss what the Mavericks’ 50-acre entertainment district and arena could look like in the downtown footprint if the city opts to move operations out of the 48-year-old I.M. Pei-designed building.

“Conversations can accelerate now,” Welts said.