MINUTES OF THE SANTA CLARA STADIUM AUTHORITY OF
THE CITY OF SANTA CLARA FOR MEETING
HELD ON TUESDAY EVENING, AUGUST 21, 2012

 

 

     The Stadium Authority met at 6:00 pm in the City Hall Council Chambers with the following Stadium Authority Members present: Lisa M. Gillmor, Will Kennedy, Patrick Kolstad, Patricia M. Mahan, Jamie McLeod and Kevin Moore and Chairperson Jamie L. Matthews. The Stadium Authority then met for a Closed Session in the Council Conference Room for a Conference with Legal Counsel - Anticipated Litigation pursuant to Government Code Section 54956.9(b); Potential exposure to litigation:  1 potential case (Stadium Authority Counsel – 08/16/12). The Stadium Authority then met at 9:15 pm for the regular scheduled meeting in the City Hall Council Chambers.

 

 

 

     Present:  Stadium Authority Board Members Lisa M. Gillmor, Will Kennedy, Patrick Kolstad, Patricia M. Mahan, Jamie McLeod and Kevin Moore and Chairperson Matthews.

 

 

 

     MOTION was made by Kennedy, seconded and unanimously carried with Mahan abstaining (not present at the meeting), that the Minutes for the meeting of June 26, 2012 be adopted as written.

 

 

 

     MOTION was made by Kennedy, seconded and unanimously carried, that the Minutes for the meeting of July 10, 2012 be adopted as written.

 

 

 

     MOTION was made by Kennedy, seconded and unanimously carried with Gillmor abstaining (not present at the meeting), that the Minutes for the meeting of July 17, 2012 be adopted as written.

 

 

 

     The Stadium Authority proceeded to consider the items as they relate to the proposed San Francisco 49ers stadium including the adoption of a Resolution authorizing Forty Niners Stadium Management Company, LLC to enter into a Concessions Operating Agreement with Volume Services, Inc. to provide concessions and merchandise services to the Santa Clara Stadium. The Interim Executive Director reviewed the Assistant City Manager’s memo (08/15/12) and noted that the Stadium Authority entered into the Pre-Opening Services Agreement with Volume Services, Inc. after a request for qualifications/request for proposals process was conducted in 2011 and the Concessionaire has been actively participating in the Stadium design and construction process, in accordance with the Pre-Opening Services Agreement. The Interim Executive Director also briefly reviewed portions of the terms and conditions under which concessions and merchandise services that will be provided at the Stadium. Larry MacNeil, Chief Financial Officer for the San Francisco 49ers, and the Interim Executive Director answered Stadium Authority questions. Lee Strieb, representing Unite HERE, Local 19 and Ben Field, representing South Bay Labor Council, addressed the Stadium Authority with comments of concern. Further Stadium Authority questions were answered by Mr. Strieb, the Interim Executive Director and Jim Mercurio, Vice President of Stadium Operations and Security for the San Francisco 49ers and Mr. MacNeil. MOTION  was made by Gillmor, seconded and unanimously carried, that the Stadium Authority continue the consideration of the adoption of a Resolution authorizing Forty Niners Stadium Management Company, LLC to enter into a Concessions Operating Agreement with Volume Services, Inc. to provide concessions and merchandise services to the Santa Clara Stadium to the August 28, 2012 Stadium Authority meeting.

 

 

 

     Earlier in the evening, the Mayor/Chairperson opened a Joint City Council/Successor Agency/Stadium Authority meeting to consider this evening’s action as it relates to the Proposed San Francisco 49ers Stadium, including approval of one of the following options: adoption of a Council Resolution, acting as the Governing Board of the Successor Agency for the Redevelopment Agency of the City of Santa Clara, approving a Settlement Agreement by and among the Forty Niners SC Stadium, LLC, (StadCo), the Oversight Board to the Successor Agency, the Santa Clara Stadium Authority and the Successor Agency and approving an amendment to the Recognized Obligation Payment Schedule (ROPS) for the period of July through December 2012 and adoption of a Stadium Authority Resolution approving a Settlement Agreement by and among the Forty Niners SC Stadium, LLC (StadCo), the Oversight Board to the Successor Agency to the Redevelopment Agency of the City of Santa Clara and the Santa Clara Stadium Authority and approving an amendment to the Recognized Obligation Payment Schedule (ROPS) for the period of July through December 2012 or approval to continue discussions until the successful conclusion of negotiations between StadCo and the Oversight Board. The Interim City Manager/Executive Director reviewed the Assistant City Manager’s memo (08/17/12 and revised 08/21/12) and noted that on June 22, 2012 the Oversight Board voted to terminate stadium-related agreements and in turn, the Forty Nines SC Stadium Company, LLC (StadCo) sued the Oversight Board, the County Auditor-Controller and the County of Santa Clara. On July 3, 2012, the Sacramento Superior Court granted StadCo’s request for a Temporary Restraining Order (TRO) and at the request of the parties to litigation, a hearing date was rescheduled to early January 2013. Since the issuance of the TRO, StadCo and the Oversight Board have been negotiating the terms of a settlement and on August 9, 2012 reached a tentative agreement. The Terms of the Settlement Agreement are expected to include a payment schedule for repaying the funds advanced by StadCo that takes into account the needs of the taxing entities for distribution of funds from the Redevelopment Property Tax Fund. The Successor Agency, as the Successor Agency for the Redevelopment Agency, and the Stadium Authority are parties to the Settlement Agreement and must approve the terms of the settlement. The Oversight Board will consider the Settlement Agreement at its meeting being held tomorrow morning, August 22, 2012. The Interim City Manager/Executive Director, Karen Tiedemann, redevelopment attorney, City Attorney/General Counsel and the Director of Finance/Agency Treasurer/Treasurer/Auditor answered Council/ Successor Agency/Stadium Authority questions. Further Council/Successor Agency/Stadium Authority comments were made. MOTION was made by Gillmor, seconded and carried with McLeod dissenting, that the Council, acting as the Governing Board of the Successor Agency for the Redevelopment Agency of the City of Santa Clara, adopt Resolution No. 12-7960 entitled, “A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA CLARA, ACTING AS THE GOVERNING BOARD OF THE SUCCESSOR AGENCY FOR THE REDEVELOPMENT AGENCY OF THE CITY OF SANTA CLARA, APPROVING A SETTLEMENT AGREEMENT BY AND AMONG THE FORTY NINERS SC STADIUM COMPANY, LLC, THE OVERSIGHT BOARD TO THE SUCCESSOR AGENCY, THE SANTA CLARA STADIUM AUTHORITY AND THE SUCCESSOR AGENCY AND APPROVING AN AMENDMENT TO THE RECOGNIZED OBLIGATION PAYMENT SCHEDULE FOR THE JULY THROUGH DECEMBER 2012 PERIOD” which approves a Settlement Agreement by and among the Forty Niners SC Stadium, LLC, (StadCo), the Oversight Board to the Successor Agency, the Santa Clara Stadium Authority and the Successor Agency and approves an amendment to the Recognized Obligation Payment Schedule (ROPS) for the period of July through December 2012 and that the Stadium Authority adopt Resolution No. 12-11 (STADIUM AUTHORITY) entitled, “A RESOLUTION OF THE SANTA CLARA STADIUM AUTHORITY APPROVING A SETTLEMENT AGREEMENT BY AND AMONG THE FORTY NINERS SC STADIUM COMPANY, LLC, THE OVERSIGHT BOARD TO THE SUCCESSOR AGENCY, THE SUCCESSOR AGENCY TO THE REDEVELOPMENT AGENCY OF THE CITY OF SANTA CLARA, AND THE SANTA CLARA STADIUM AUTHORITY” which approves a Settlement Agreement by and among the Forty Niners SC Stadium, LLC (StadCo), the Oversight Board to the Successor Agency to the Redevelopment Agency of the City of Santa Clara and the Santa Clara Stadium Authority and approves an amendment to the Recognized Obligation Payment Schedule (ROPS) for the period of July through December 2012.  

 

 


 

 

     The Stadium Authority Counsel reported that earlier in the evening the Stadium Authority met for a Closed Session in the Council Conference room for a Conference with Legal Counsel - Anticipated Litigation pursuant to Government Code Section 54956.9(b); Potential exposure to litigation:  1 potential case and that there was no reportable action.

 

 

 

     MOTION was made by Kennedy, seconded and unanimously carried, that there being no further business, the meeting was adjourned at 9:41 pm to Tuesday evening, August 28, 2012 at 7:00 pm for the regular scheduled meeting in the City Hall Council Chambers.

 

 

 

 

 

 ATTEST:  ________________________

             Secretary

 

APPROVE: ________________________

            Chairperson