Reports Chris Daniels and the Sacramento Bee: http://www.sacbee.com/2013/01/03/5090840/virginia-beach-mayor-says-hell.html
Don't see how the Kings can enter into that agreement without permission from the NBA Board of Governors first, who do not meet until next month, so this would effectively eliminate the only other relocation option the Maloofs held, weak as it was.
One step closer to Seattle. Maloofs, consider your bluff called.