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Legislative Public Meetings

File #: 24-1226    Version: 1 Name:
Type: Study Session Status: Agenda Ready
File created: 12/4/2024 In control: Council and Authorities Concurrent Meeting
On agenda: 12/10/2024 Final action:
Title: Study Session on Planned FIFA World Cup 2026 Matches at Levi's Stadium in Santa Clara
Attachments: 1. Information Sharing Agreement, 2. Version 1 of the Stadium Agreement (publicly released September 2023), 3. Version 1 of the Addendum (publicly released January 2024), 4. Version 2 of the Stadium Agreement (publicly released December 6, 2024), 5. Version 2 of the Addendum (publicly released December 6, 2024), 6. Interim Funding Agreement, 7. City Manager’s Directive 136, 8. POST MEETING MATERIAL
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REPORT TO CITY COUNCIL AND STADIUM AUTHORITY BOARD

 

SUBJECT

Title

Study Session on Planned FIFA World Cup 2026 Matches at Levi’s Stadium in Santa Clara

 

Report

COUNCIL AND BOARD PILLARS

Enhance Community Engagement and Transparency

Ensure Compliance with Measure J and Manage Levi’s Stadium

 

BACKGROUND

In 2026, Levi’s Stadium will host Super Bowl LX (“SBLX”) in February 2026 and six FIFA World Cup 2026 (“FWC26” or “World Cup”) matches between June 13 - July 1, 2026. The events are collectively referred to as “2026 Major Events” in the report.

 

FWC26 Overview

The FIFA World Cup and FIFA Women's World Cup are international soccer competitions between the national teams of the Fédération Internationale de Football Association (“FIFA”), the sport's international governing body. The World Cup is held every four years and is the most prestigious association soccer tournament in the world, as well as the most widely viewed and followed single sporting event. 

 

Below is a timeline of the key events that preceded this update on the status of planned FWC26 events at Levi’s Stadium.

 

The City of Santa Clara first affirmed its support of FWC26 and related events in a letter signed by Mayor Lisa Gillmor on August 31, 2017. 

 

On February 22, 2022, the City Council voted in favor of a resolution to support the City being selected to host FWC26 games. 

 

On June 16, 2022, FIFA announced the 16 regions that will host matches for FWC26 across Canada (2 locations), Mexico (3 locations), and the United States (11 locations). The FWC26 Host Cities are: 

                     Atlanta (Mercedes-Benz Stadium) 

                     Boston (Gillette Stadium) 

                     Dallas (AT&T Stadium) 

                     Guadalajara, Mexico (Estadio Akron) 

                     Houston (NRG Stadium) 

                     Kansas City (Arrowhead Stadium) 

                     Los Angeles (SoFi Stadium) 

                     Mexico City, Mexico (Estadio Azteca) 

                     Miami (Hard Rock Stadium) 

                     Monterrey, Mexico (Estadio BBVA) 

                     New York / New Jersey (MetLife Stadium) 

                     Philadelphia (Lincoln Financial Field) 

                     San Francisco Bay Area (Levi’s Stadium) 

                     Seattle (Lumen Field) 

                     Toronto, Canada (BMO Field) 

                     Vancouver, Canada (BC Place)

 

On May 23, 2023, the City Council and Stadium Authority Board voted in favor to adopt the Santa Clara City Council Guiding Principles for FWC26 and direct the City Manager/Executive Director and City Attorney/Stadium Authority Counsel to negotiate and execute an Information Sharing and Event Cooperation Agreement with Bay Area Host Committee, United States Soccer Federation, FIFA, and Forty Niners Stadium Management Company LLC, to facilitate the sharing of information.

 

Guiding Principles for FWC26

1.                     Professionally oversee FIFA World Cup 2026 events in a manner that positively highlights the City of Santa Clara and celebrates the rich diversity of Santa Clara’s neighborhoods.

2.                     Attain reimbursement of all event costs, including public safety (pre- and post-event costs).

3.                     Ensure direct benefits to the Santa Clara community and Santa Clara businesses.

4.                     Plan and provide for communication and engagement with residential neighborhoods adjacent to Levi’s Stadium and other venues that will be utilized for large events.

5.                     Ensure specific benefits to and involvement of Santa Clara youth and adult soccer programs.

6.                     Seek revenue generating utilization of the Santa Clara Convention Center and other event and recreation spaces (including college and school facilities) in the City of Santa Clara without any impact to the General Fund.

7.                     Seek mitigation of City and Stadium Authority financial risks and liabilities.

8.                     Engage in transparent communication on pre-planning efforts, with periodic progress reports to the City Council, including reports published on the City’s website to promote engagement and awareness for residential neighborhoods adjacent to the Stadium and the City as a whole.

9.                     Pledge that the Santa Clara City Council, Stadium Authority Board, and City staff will follow the law, act ethically and transparently with the expectation that other parties do the same.

 

On February 4, 2024, FIFA announced the match schedule for FWC26. Levi’s Stadium will host matches on June 13, 16, 19, 22 and 25 and July 1, 2026. The June matches are “group” matches and the July 1 match is considered a “knockout” match for two of the teams that advanced out of the group stage. 

 

SBLX Overview

The Super Bowl is the annual championship game of the National Football League (NFL). It serves as the final game of every NFL season and is generally played on the second Sunday in February.

 

On May 22, 2023, the NFL announced that SBLX will be played at Levi's Stadium​.

 

Article 4 of the Stadium Lease grants Forty Niners SC Stadium Company, LLC (“StadCo”) the right to use stadium for the operation of NFL Games, including the Super Bowl, subject to the terms of Article 21 of the Stadium Lease.  Article 21 of the Stadium Lease provides certain terms for the hosting of a Super Bowl at the Stadium, including a requirement for StadCo, the Stadium Authority and one or more parties, including potentially an event host committee, to enter into a “League Event Agreement.”

 

Major Events Informational Reports

City and Stadium Authority staff have presented Informational Reports on Super Bowl LX and FWC26 on these dates: September 26, 2023, March 5, 2024, and August 27, 2024.

 

On September 26, 2023, staff presented a general Informational Report on FWC26. The report included the following items:

 

                     Staff created a 2026 Major Events Executive Steering Committee to coordinate preparations for FWC26 and SBLX, focusing on public safety, communications, and community engagement. Regular meetings with the Bay Area Host Committee (“BAHC”) have addressed topics like organizational structure, event logistics, and government integration.

 

                     The City also executed the City Council/Board approved Information Sharing Agreement with BAHC, FIFA, and the Forty Niners Stadium Management Company LLC (“ManCo” or “Stadium Manager”) to manage information sharing, maintain confidentiality, and assure compliance with the California Public Records Act (CPRA). This agreement categorizes event-related documents into three levels of access based on their relevance to city responsibilities.

 

                     A Stadium Agreement outlines FIFA's requirements for stadium infrastructure and operations but presents financial and logistical challenges that the Stadium Authority needed to address, including capital improvements and signage requirements. Staff shared plans to negotiate additional agreements to clarify financial responsibilities, aiming to mitigate risks and ensure reimbursement for event-related costs, as required by Measure J.

 

On March 5, 2024, staff and BAHC presented an Informational Report on SBLX and FWC26 Updates. The discussion and Council/Board action included the following items:

 

                     Staff made two recommendations that were unanimously approved by City Council/Stadium Authority Board:

 

o                     Note and file informational report on SBLX and FWC26 updates; and, adopt the SBLX Guiding Principles, which are as follows:

 

Super Bowl LX Guiding Principles

1.                     Professionally oversee the Super Bowl LX in a manner that positively highlights the City of Santa Clara and celebrates the rich diversity of Santa Clara’s neighborhoods.

2.                     Attain reimbursement of all event costs, including public safety (pre- and post-event costs).

3.                     Ensure direct benefits to the Santa Clara community and Santa Clara businesses.

4.                     Plan and provide for communication and engagement with residential neighborhoods adjacent to Levi’s Stadium and other venues that will be utilized for large events.

5.                     Ensure specific benefits to and involvement of Santa Clara youth and adult football programs.

6.                     Seek revenue generating utilization of the Santa Clara Convention Center and other event and recreation spaces (including college and school facilities) in the City of Santa Clara without any impact to the General Fund.

7.                     Seek mitigation of City and Stadium Authority financial risks and liabilities.

8.                     Engage in transparent communication on pre-planning efforts, with periodic progress reports to the City Council, including reports published on the City’s website to promote engagement and awareness for residential neighborhoods adjacent to the Stadium and the City as a whole.

9.                     Pledge that the Santa Clara City Council, Stadium Authority Board, and City staff will follow the law, act ethically and transparently with the expectation that other parties do the same.

 

                     Additionally, staff committed to providing periodic informational reports on planning efforts for the 2026 Major Events.

 

                     Discussion Items:

o                     Major Events Key Stakeholders: Staff provided information on the stakeholder structure, roles of key stakeholders, and their responsibilities and relationships with the City and Stadium Authority for the 2026 Major Events. Key stakeholders include:

§                     Bay Area Host Committee (BAHC)

                     Non-profit focused on bringing mega-events, including SBLX and FWC26 to the San Francisco Bay Area.

§                     National Football League (NFL)

                     Professional football league responsible for organizing the annual Super Bowl event.

§                     FIFA

                     Soccer's international governing body that organizes the FIFA World Cup, an international competition between FIFA's national teams.

§                     Santa Clara Stadium Authority (Stadium Authority)

                     Owner of Levi's Stadium, which will host SBLX and six FWC26 matches.

§                     City of Santa Clara

                     Local jurisdiction where Levi's Stadium is located.

                     Lead agency responsible for public safety and permitting for the events.

§                     Forty Niners Entities

                     Forty Niners SC Stadium Company, LLC (StadCo)

o                     StadCo leases Levi's Stadium for NFL games.

                     Forty Niners Stadium Manager Company LLC (ManCo/Stadium Manager)

o                     Stadium Manager manages Levi's Stadium on behalf of StadCo and Stadium Authority.

                     Forty Niners Football Company LLC (TeamCo)

o                     TeamCo operates as a business and management arm of the 49ers organization, overseeing the team's interests in Levi’s Stadium and related operations.

o                     Under the proposed assignment and assumption of FWC26, TeamCo will cover any shortfall if BAHC is unable to meet its reimbursement obligations.

                     Regional, state, and federal government partners

o                     Regional, state, and federal partners to work with City, Stadium Authority and BAHC on emergency planning, transportation coordination, public safety, and other items for the 2026 Major Events.

 

o                     Recent and Current City and Stadium Authority Work Efforts: On March 5, 2024, staff’s presentation included updates on recent and current City and Stadium Authority work efforts related to:

§                     Acquisition of key FWC26 documents

§                     Negotiations for assignment and assumption of FWC26 responsibilities and costs

§                     City infrastructure and resources

§                     Additional personnel in the Police Department’s Special Operations Division

§                     Stadium capital project oversight

§                     Information obtained from participation in programs at Super Bowl LVIII in Las Vegas, NV.

§                     Conferences and meetings with key stakeholders

 

o                     Planned and Anticipated City and Stadium Authority Work Efforts: On March 5, 2024, staff’s presentation also described planned and anticipated City and Stadium Authority work efforts related to:

§                     Emergency management planning

§                     Public safety planning

§                     Negotiation and execution of an Assignment and Assumption Agreement and other relevant agreements required for FWC26

§                     Negotiation and execution of a League Event Agreement and other relevant agreements required for SBLX

§                     Community partnerships and outreach

 

On August 27, 2024, staff presented a Summer 2024 Informational Report on Super Bowl LX and FIFA World Cup 2026 Updates. The discussion included the following items:

 

                     The City of Santa Clara outlined a detailed cost and planning strategy for the 2026 Major Events, which involves actively tracking and managing eligible event-related expenses, reimbursed by BAHC under an Interim Funding Agreement that was executed in August 2024. This agreement enables the City to obtain reimbursement of preliminary planning costs, including public safety, staff training, and equipment needs. Eligible costs are tracked through payroll codes and staff allocation which started July 1, 2024. For costs incurred prior to this date, staff hours were reclassified to specific FWC26 and SBLX activities.

o                     Between May 2023 and June 2024, staff spent around 1,330 hours on these events, totaling approximately $328,281, although eligible reimbursements totaled approximately $148,930.

 

                     Key recent initiatives discussed on August 27 included:

o                     Public Safety and Emergency Planning: Staff noted that they were actively engaged in planning sessions and training to ensure robust safety measures for these high-profile events. The City Council/Stadium Authority Board was also informed that updated directives provided further guidance to staff on time tracking, ensuring full cost recovery for services related to stadium operations, as mandated by Measure J.

o                     Emergency planning updates were presented to the Emergency Operational Area Council (EOAC), a regional group prioritizing safety and funding for major events. City representatives, including Councilmember Karen Hardy, participated actively in these forums to align local plans with regional priorities.

 

                     Infrastructure and venue preparations discussed on August 27 included:

o                     Modifications to the field (“bowl”) are needed to meet FIFA’s field standards.  This includes expanding the playing area to include demountable structures for greater flexibility in future events. Plans for the project and a permit application were submitted and being reviewed by the City. It is anticipated that all modification costs will be paid by BAHC. More information on this project and its current status is provided later in this report.

o                     Infrastructure and permitting meetings have also focused on stadium logistics, such as access control, signage compliance, and seating configurations specific to FIFA’s field requirements.

 

                     City participation in national security and safety conferences discussed on August 27 included:

o                     City staff attended the National Homeland Security Conference, where they gathered insights on emergency response, AI in safety management, and victim assistance. They participated in FIFA-hosted seminars and discussions on best practices with other host cities, emphasizing coordination for a seamless World Cup event.

o                     The Police Department’s Special Operations Division attended both the NFL and National Center for Sports Safety and Security (NCS4) conferences. These events offered training and collaboration with NFL and FIFA representatives, reinforcing readiness for Super Bowl and World Cup safety protocols.

o                     Santa Clara also hosted a Cybersecurity Tabletop Exercise, involving regional and federal agencies like the FBI and DHS, to simulate and prepare for potential cyber threats during the 2026 events.

 

                     Community engagement and regional collaboration discussed on August 27 included:

o                     Santa Clara's leadership, including Mayor Lisa Gillmor, participated in the Bloomberg Harvard City Leadership Initiative, focused on enhancing transparency, community engagement, and accountability related to the 2026 Major Events. This initiative allows city officials to refine communication and involvement strategies to ensure that these events benefit the local community.

 

                     Ongoing negotiations and agreements discussed on August 27 included:

o                     The City and Stadium Authority are finalizing key agreements, including the Assignment and Assumption Agreement, to formalize responsibilities and reimbursement processes for event costs.

 

                     Additionally, the following items were discussed on August 27:

o                     For SBLX, the Forty Niners Entities are responsible for event management, given their exclusive rights to host NFL games under the stadium lease. The City submitted a term sheet for the League Event Agreement to BAHC, which will address specific reimbursement terms for City services.

o                     The City participated in FIFA-led planning groups, where representatives from host cities discuss operational progress and exchange best practices.

o                     Staff mentioned that upcoming efforts will continue with emergency planning, public safety meetings, a FIFA-led permitting meeting in September 2024, and oversight of stadium capital projects. Execution of final agreements with FIFA, BAHC, and the Forty Niners will further clarify cost responsibilities, while the City maintains partnerships to optimize community benefits for the World Cup and SBLX.

 

Recent Participation in Key Meetings and National Security and Safety Conferences

Listed below are the key meetings, and public safety and emergency preparedness conferences attended by Staff between August 28 to December 6, 2024:

 

                     August 28, 2024

o                     Levi’s Stadium Emergency Response Tabletop Exercise, Santa Clara, CA

                     September 4, 2024

o                     FIFA-led permitting meeting at Levi’s Stadium, Santa Clara, CA

                     September 18-19, 2024

o                     Sports and Special Event Risk Management Training, San Jose, CA (Texas A&M Engineering)

                     October 1, 2024

o                     Mass Casualty & Emerging Threats Tabletop Exercise, San Carlos, CA (FBI, NCRIC)

                     October 7-8, 2024

o                     Sports Venue Evacuation and Protective Actions Training MGT-412, San Jose, CA (Texas A&M Engineering)

                     October 29-30, 2024

o                     Urban Areas Security Initiative Public Safety Preparedness Summit, San Francisco, CA

                     October 28 and 30, and November 2, 6 and 7, 2024

o                     Crowd Management, Mobile Field Force Training, Santa Clara, CA (SCPD Department-wide training, various dates)

 

DISCUSSION

This portion of the report includes the following sections:

 

A.                     Documents and Agreements Related to Hosting the FIFA Men’s World Cup Matches at Levi’s Stadium in 2026

B.                     Estimated Planning, Public Safety, and Other City/Stadium Authority Event Costs

C.                     Assignment and Assumption Terms

D.                     Required Facility Improvements

 

At the December 10, 2024 Study Session, City/Stadium Authority staff as well as representatives from the BAHC and ManCo will formally present the following information and respond to questions from the City Council/Stadium Authority Board. Final action from the City Council/Stadium Authority Board is anticipated to be take place during a regular meeting of the bodies on January 28, 2025.

 

A.                     Documents and Agreements Related to Hosting the FIFA Men’s World Cup Matches at Levi’s Stadium in 2026

 

The Challenge

One early obstacle to the City/Stadium Authority’s ability to achieve a full understanding of the risks, responsibilities, and costs involved in hosting FWC26 games at the Stadium was not having access to the FWC26 Agreements entered into by the BAHC, ManCo and FIFA for the event.  The main challenge here was that neither City nor Stadium Authority staff were involved in negotiating or executing these agreements, and FIFA was not accustomed to having such agreements made available to anyone other than the contracting parties themselves.  In resisting disclosure, it should be noted that the parties did express some legitimate concerns regarding full disclosure of financial terms still under negotiation at other venues and terms that, if disclosed publicly, could compromise event security. 

 

Although it took more time than expected, over the spring and summer of 2023, City/Stadium Authority staff were ultimately able to overcome FIFA, BAHC and ManCo resistance to disclose key documents through the terms of a negotiated Information Sharing Agreement (“ISA”).  A copy of the final ISA dated August 1, 2023, is attached to this report as Attachment 1.

 

Summary of ISA Terms 

The Information Sharing Agreement requires ManCo, BAHC and FIFA to provide the City/Stadium Authority with all relevant World Cup agreements and information in connection with any events to be scheduled at Levi’s Stadium (or elsewhere within the City), or otherwise having material impacts on the City.  In exchange, the City and Stadium Authority agree not to disclose to the public any information provided that is “confidential” (generally, information that implicates public safety, that is part of any ongoing negotiations, or that is considered proprietary), and to coordinate on any response to any public request for documents that contain confidential information.  The types of documents and the level of access to be provided were arranged into “categories” as follows:

 

Category One: Category One documents are comprised of World Cup Event related documents to which City or Stadium Authority is a party or which ManCo executed “on behalf of” the Stadium Authority.  Category 1 documents are to be provided to City/Stadium Authority for internal use without redactions, and be available for disclosure to the public subject only to redactions of proprietary, privileged, or other confidential information (e.g., sensitive venue/operational details) where such information is exempt from disclosure under the CPRA.  Category 1 documents include the Stadium Agreement and the portions of the Addendum that amends the Stadium Agreement. 

 

Category Two: Category Two Documents are comprised of World Cup Event related documents with information reasonably expected to have direct or material indirect impacts on City or Stadium Authority, but where neither City nor Stadium Authority is a party, and are therefore not bound by the terms of the document.  City/Stadium Authority is given the opportunity to review but not “possession” of Category 2 documents.  Category 2 documents include the Host City Agreement between BAHC and FIFA, and the portions of the Addendum the amend the Host City Agreement. 

 

Category Three: Category Three Documents are comprised of World Cup Event related documents that do not fall into Category One or Two, e.g., Training Site Agreements, Airport Agreements, and Hotel Agreements.  BAHC/FIFA are obligated to provide a list of Category Three agreements where any activities governed thereby will occur in the City.  After City/Stadium Authority review of this Category Three list, the parties will meet and confer to identify which of such documents have the possibility of having material impacts on the City or Stadium Authority, and the level of access to be provided.

 

The ISA also provides that confidential information shared with City/Stadium Authority would be limited to an identified group of “Relevant Personnel” and that all such personnel had a duty to keep such information confidential (Section 8.1).  There were approximately 20 City/Stadium Authority staff and consultants, along with the City Council, that were included in the group of Relevant Personnel.  City/Stadium Authority also had a duty to develop and enforce protocols to ensure that confidential information would not be improperly distributed.  Such protocols included execution of an Acknowledgement of Duty of Confidentiality form as a condition to get access to such information (Section 8.2).  The ISA also included a process for the parties to meet and confer regarding categorization of provided information and for the City to provide notice if a CPRA request was made with respect to information identified as “proprietary” or that had otherwise been characterized as exempt from disclosure.  While any party could assert an exemption, ultimately the City reserved the right to disclose information that it believed required disclosure under the CPRA (Section 8.4.2).

 

Timeline for Document Sharing and Disclosure

The following timeline sets forth the key milestones in the process for requesting, obtaining and disclosing the primary World Cup Event documents:

 

                     Late 2021 - Early 2023: City/Stadium Authority requests in writing that ManCo and BAHC provide documents and information necessary to evaluate the obligations and risks; no progress is made

                     April-May, 2023: City/Stadium Authority legal and business staff engage with their counterparts at ManCo, BAHC and FIFA to develop a framework for the sharing of all necessary information.

                     May 23, 2023: At the City/Stadium Authority meeting, as part of the FIFA World Cup Event update, the idea and framework for the terms of a possible Information Sharing Agreement (ISA) are presented.

                     August 1, 2023: After extensive negotiations, the terms for the ISA are finalized.

                     August 20, 2023: A final, executed version of the ISA is provided to Council/Board via email (and later posted on the City’s website)

                     August 29, 2023: A redacted version of the Stadium Agreement is provided to Council via email.

                     September 8, 2023: Council is apprised via email that the redacted Stadium Agreement is to be provided to the public and given summary of the Stadium Agreement.  Council is also apprised that the Addendum to the Stadium Agreement was currently under review for redactions and would be provided when redaction process was complete.

                     September 8, 2023: Stadium Agreement (Redacted) released to the public and later posted on the City website. (Version 1 of the Redacted Stadium Agreement is attached as Attachment 2)

                     September 22, 2023: Email sent to Council attaching the Acknowledgement of Duty of Confidentiality form needed to obtain access to “Confidential Information” under the ISA.

                     October, 2023: “Intralinks” document sharing platform is activated to allow for City/Stadium Authority review (but not possession) of Category Two documents, including Host City Agreement and portions of the Addendum amending that agreement. All Councilmembers executing the ISA Acknowledgement of Duty of Confidentiality form are provided access to Confidential documents on Intralinks.

                     January 2024: The Addendum to the Stadium Agreement and Host City Agreement is provided to the public subject to redactions of all Host City Agreement related provisions, and provisions exempt from disclosure under the CPRA; Addendum also posted on City website. (Version 1 of the Redacted Addendum is attached as Attachment 3)

                     September 30, October 21, November 8, and November 23, 2024: FIFA apprised/reminded that unless qualified exemptions remained, substantially unredacted documents will need to be made public in preparation for City/Stadium Authority decision-making on the proposed Assignment and Assumption Agreement.

                     December 6, 2024, substantially unredacted Stadium Agreement and portions of the Addendum amending the Stadium Agreement are released to the public through a response to a pending Public Records Act request, and inclusion as attachments to this report (Version 2 of the Stadium Agreement attached as Attachment 4; Version 2 of the Addendum attached as Attachment 5; and the explanation of the redactions in the description, below)

 

Explanation of Unredacted Documents

The attached “Version 2” of the Stadium Agreement and Addendum have been substantially “unredacted” from the versions previously made public.  The unredacted portions of the Stadium Agreement are as follows: sections 6.2, 7.7, 15.2, 15.3, 16.5, Annexe 1, and Annexe 3 (partial). The unredacted portions of the Addendum are as follows: 2b (partial), 3, 12 (partial), Exhibit B (partial), and Exhibit D.  Some redactions do remain, however.  These include redactions that implicate venue/event security concerns, terms relating to pending negotiations of allocated suites and seats, and some of the “line-item” financial details.  Please note, however, where line-item financial details remain redacted, the “bottom-line” financial information is now disclosed.  Terms of the Addendum that amend the “private” Host City Agreement, as opposed the public Stadium Agreement, also remain redacted. 

 

The redactions are coded as follows:

                     Redactions in the Addendum that relate to provisions from the Host City Agreement remain redacted in BLACK.

                     Redactions in both the Stadium Agreement and Addendum that relate to security concerns, proprietary business practices and strategies of FIFA, pending negotiations of allocated suites/seats or “line-item” financial details, remain redacted in white with RED overlay text stating “Redacted”.

 

When “Version 1” of the Stadium Agreement and Addendum were made public in late 2023-early 2024, a number of the terms of the deal were still being negotiated by FIFA not just with respect to Levi’s Stadium, but with respect to all of the venues.  Such negotiations were conducted in conjunction with the allocation of the game schedule for the tournament as a whole. While a few items remained in negotiation after announcement of the game allocation (as stated above), the majority of the terms were settled and, therefore, can now be unredacted, as reflected in “Version 2” of the Agreements.

 

Stadium Agreement Basics

The Stadium Agreement was first entered into by ManCo and the United States Soccer Federation, Inc. (“USA Soccer”) back in 2018 and submitted to FIFA as part of the region’s bid package.  The execution and submittal of this agreement was a requirement to be considered as a “host venue” for the FIFA World Cup 2026 event.  Since then, as contemplated by the agreement, USA Soccer has assigned its rights under the agreement to a FIFA subsidiary.

 

In general, the Stadium Agreement sets forth FIFA’s terms and requirements for stadium infrastructure and operations in connection with the World Cup.  It also provides the initial terms for allocation of event costs and revenues.  In all material respects, the agreement heavily favors FIFA, including a reservation of rights to modify and impose new requirements and obligations.  It is staff’s understanding that similar, if not identical, terms and conditions are contained in the other “Stadium Agreements” that were signed by the various stadium operators throughout the country in connection with their World Cup bids.

 

The portions of the Addendum that amend the Stadium Agreement set forth a number of more detailed terms and requirements that are more specific to Levi’s Stadium. Key terms include:

 

                     Replacement of United States Soccer Federation, Inc. with FIFA as the contracting party (Section 1).

                     Provisions for “Basic Services” to be provided by the BAHC and “Variable Stadium Rental Fees” to be paid in consideration for such services (Section 3 and Exhibit B, now with total amounts unredacted)

                     An updated “Stadium Footprint Map” defining the area to be made available to FIFA’s “exclusive use” during the “exclusive use period” and defining the security perimeter (Section 4 and Exhibit C, still redacted for security purposes)

                     Further details on the required “Field Improvements” and other required Stadium technical improvements (Section 5 and Exhibit D)

 

As discussed below in more detail, under the terms of the proposed Assignment and Assumption Agreement, all rights and responsibilities under the Stadium Agreement, as amended by the Addendum shall be assigned by ManCo to the BAHC.  Neither City nor Stadium Authority shall have any direct responsibility or liability for the performance of such obligations.

 

The Host City Agreement

Like the Stadium Agreement, the Host City Agreement (HCA) was first entered into back in 2018 and submitted to FIFA as part of the region’s bid package.  Despite the “Host City” reference, the City is not a party to the HCA.  Instead, the BAHC is the identified “Host City Authority”.  Therefore, the terms of the HCA, and the provisions within the Addendum that amend the HCA are not directly binding on the City or the Stadium Authority.  

 

Because neither the City nor the Stadium Authority are parties to the HCA, and City/Stadium Authority are not in physical possession of the agreement, the HCA is not a traditional “public record” subject to disclosure.  However, while FIFA and BAHC have indicated they are not willing to disclose this “private agreement” to the public, they do recognize that the City has a legitimate interest in having access to review the terms of the agreement.  This is because some of the contemplated activities under the agreement will occur within the City, and/or at or near the Stadium, and the BAHC will surely need to engage or further contract with the City for cooperation and support to fulfill several of its HCA obligations.  Accordingly, access to review the HCA has been provided to all City/Stadium Authority “Relevant Personnel” under the terms of the ISA. 

 

In general, the HCA defines the role of the “Host City Authority” to promote and support the event, including the obligation to provide training sites, accommodations, transportation and parking, “fan fest” activities, public relations and support and protection for FIFA commercial activities.  To the extent City or Stadium Authority services or support are necessary to facilitate such obligations, BAHC will need to contract with the City or Stadium Authority as appropriate.  While not imposing any specific obligation, a provision in the pending draft Assignment and Assumption Agreement provides that the City/Stadium Authority agrees to meet and confer with the BAHC regarding reasonable terms to provide such services or support.

 

B.                     Estimated Planning, Public Safety, and Other City/Stadium Authority Event Costs

 

Measure J prohibits the use of City funds for Stadium Authority expenses, including operations and maintenance. This means staff work directly related to FWC26 and SBLX events, such as planning, negotiating, training, event operations, and post-event activities, must be properly tracked and reimbursed to the City. Additionally, the FWC26 Guiding Principles require reimbursement of all FWC26 event costs, including public safety before and after events.

 

Interim Funding Agreement

BAHC agreed to reimburse the City for event planning costs through an Interim Funding Agreement (IFA) (Attachment 6), which was executed on July 1, 2024. The purpose of the IFA is to provide for payment by BAHC of all eligible costs that are directly incurred by the City in connection with the provision of Event Planning Work for World Cup. The initial cost estimated cost allocation is $150,000, according to the following eligible costs categories:

 

 

The City submitted three invoices to BAHC for expenses related to the Event Planning Work that were incurred in July, August, and September 2024, respectively. BAHC has paid the July, August, and September invoices, which totaled $34,062.58. The City expects timely reimbursement for the forthcoming October, November and December invoices.

 

Reclassification of Staff Time

In June 2024, staff reclassified general staff time into specific FWC26 and SBLX-related activities as needed from May 23, 2023 (which corresponds with the date City Council/Stadium Authority Board approved the FWC26 Guiding Principles) to June 30, 2024 (the date prior to the IFA effective date). This was done to ensure compliance with Measure J and prepare an accounting for negotiations and reimbursement purposes. Additionally, staff revised the City Manager’s Directive (CMD) 136 (Attachment 7) that outlines staff's timekeeping responsibilities and City-wide reimbursement procedures. Prior to June 2024 and since its initial promulgation in August 2016, CMD 136 been used to communicate the requirement of accurately reporting and charging of City services provided to the San Francisco Forty Niners entities, Stadium Authority, and Levi’s Stadium.  The August 2024 update provides additional clarification on City services that should be tracked and reported. It also delineates direct Stadium event costs related to public safety from administrative and management time.


There are two staff reclassification categories: a) Staff that have a portion of their time allocated in the Stadium Authority budget (SCSA Budgeted Staff); and b) Staff that do not budget a portion of their time for Stadium Authority work (Non-SCSA Budgeted Staff).

 

                     SCSA Budgeted Staff spent approximately 584 hours costing $141,017 on FWC26-related activities. This amount was covered by the Stadium Authority 2023/24 and 2024/25 approved budgets.

 

                     Non-SCSA Budgeted Staff spent approximately 106 approximate hours costing $24,845 on FWC26-related activities (Unreimbursed Staff Costs”). These costs include staff time from across the City organization, primarily in the departments of Community Development, Police, and Office of Emergency Management. Activities related to the 106 hours vary from initial departmental meetings after the announcement of the FIFA match schedule, to research by individuals staff members to understand the potential impact of the FWC26 events on City operations. The BAHC did not agree to cover these costs, as such the costs do not meet the definition of “pre-event expenses” within the draft Assignment & Assumption Agreement (outlined below). However, as per the draft Agreement, if BAHC obtains government funding, and such funding remains available after other primary obligations to fund City public safety costs are satisfied, such funding may be used to reimburse these costs. Should funds not be obtained to cover the $24,845 of pre-planning staff time, the cost should be allocated to and paid by the Stadium Authority. Stadium Authority payment of non-reimbursed pre-planning costs are allowable and aligns to how the City and the Stadium Authority have treated similar expense for prior events such as the 2019 College Football Playoff National Championship and Super Bowl 50 that were both held at Levi’s Stadium.

 

Methodology to Calculate Public Safety Cost (PSC) Estimates

Public Safety Cost estimates include, but are not limited to, Police Department, Fire Department, and Public Works Department staff costs and outside vendor expenses related to three cost categories: Planning and Training, Equipment, and Direct Event costs. Staff examined prior large event costs, including Super Bowl 50 and the July 2, 2023 Concacaf Gold Cup soccer match, and analyzed current market conditions and risk exposure to develop a methodology with hardened assumptions that drive the PSC estimates cost calculation. Importantly, all costs, assumptions, and responses are subject to change due to FIFA requirements, market conditions, new threats, and other factors.

 

Each of the categories utilized a unique methodology to develop the FWC26 PSC estimates:

 

                     Planning and Training - Staff reviewed SB50 planning and training costs as a baseline and developed a streamlined organizational structure around FWC26 public safety requirements. Estimates were calculated by department, by position, and by hour, for each planning year.

 

                     Equipment - Staff assigned a dedicated resource to secure quotes for key equipment requirements from multiple vendors, leveraging SB50 as a baseline to determine need. The equipment estimate is based on a cost-efficient sourcing model in which new equipment will be borrowed from peer agencies if possible. If it cannot be borrowed, it will be rented. If those options are not available or feasible, the new equipment will then be purchased.

 

                     Direct Event - Staff reviewed the 2023 Concacaf Gold Cup match as a baseline soccer match to estimate FWC26 PSC costs and applied a 1.5x multiplier to that baseline, based on the following FWC26 assumptions:

 

o                     FWC26 will have a much larger perimeter for each match;

o                     Increased counter-terrorism and cyber-security threats, regionally, domestically and internationally;

o                     Increased international conflict and regional and domestic demonstrations; and

o                     Increased focus on human trafficking

 

Additionally, FWC26 will require a 24/7 deployment for the Stadium perimeter for approximately 30 days, which will increase staffing costs. 

 

C.                     FIFA World Cup 2026 - Assignment and Assumption Agreement

 

Since early 2023, all parties have generally agreed that the best approach to having the World Cup Event at Levi’s Stadium, while mitigating Stadium Authority and City liability for what was expected to be a money losing event, was to enter into an agreement whereby ManCo would assign all obligations under the World Cup Stadium Agreement to the BAHC, with a commitment from the BAHC to reimburse the City for all event related public safety costs.  The logic of this approach was borne out once staff was able to obtain and analyze unredacted versions of the key FIFA documents (in particular the Stadium Agreement and the Addendum), and the number and timing of when the proposed matches at the Stadium was announced.  Accordingly, since late 2023 and throughout 2024, a substantial amount of time has been dedicated to developing and negotiating appropriate terms for an Assignment and Assumption agreement among the BAHC, the City, the Stadium Authority and ManCo.  The resulting agreement does two main things.  First it places the responsibility on the BAHC, working with ManCo, to fulfill all Stadium Agreement obligations at no cost to the Stadium Authority.  Second, it provides that the City will be the lead local agency in providing security at and around the Stadium for the events, with assurances that the City will be reimbursed for all of its costs.

 

The risks to the City are addressed through several robust mechanisms. These include the implementation of a detailed and transparent reimbursement process for Qualified Event Expenses, ensuring that the City is compensated fairly, and in a timely manner. A clear and efficient dispute resolution framework has been established to handle any disagreements that may arise. To further protect the City’s financial interests, the agreement requires Advance Payments to cover actual event expenses and guarantees a 100% backfill from TeamCo. This provision ensures that if BAHC is unable to meet its reimbursement obligations, TeamCo will be legally required to cover any shortfall.

 

The agreement also includes provisions, such as a $6 per ticket surcharge, that provide opportunities for the Stadium Authority and the City to generate revenue from the event. While event-related revenues are anticipated to be lower than actual expenses, these revenue-sharing mechanisms help offset the financial impact and support the City and Stadium Authority’s broader fiscal strategy. Collectively, these measures balance the potential risks and benefits, ensuring that the City and Stadium Authority are adequately safeguarded while supporting the successful execution of the event.

 

The following is a summary of the key terms of the FIFA World Cup 2026 Assignment and Assumption Agreement (“Agreement”).  These terms have been substantially agreed to among the parties.  A formal Agreement based on these terms is expected to be finalized shortly at a staff level.  Once this occurs, the Agreement will be presented to the Council/Stadium Authority Board for its full consideration and action.  This action is currently scheduled for the January 28, 2025 Council/Board meeting.  We are informed by the BAHC and FIFA that this will be the first such agreement that FIFA will approve in connection with the FIFA World Cup 2026 Event. 

 

1.                     ManCo to Assign all Stadium Agreement Obligations to BAHC

 

a.                     BAHC obligations include everything set forth in the Stadium Agreement initially entered into between ManCo and United States Soccer Federation (now FIFA), as amended.  The total cost of such obligations, including their own event costs, public safety costs to be paid to the City (described in Section 3, below), and the Capital Improvement obligations described in Section 10, below, are estimated to be in the range of $45 million to $50 million).

b.                     In consideration of assuming all obligations, BAHC will be entitled to receive all payments for “Basic Services” to be made by FIFA under the Stadium Agreement.  Such payments shall be paid in the form of cost based, variable “rental fees.”  Total payments are projected to be approximately $13.5 million (based on a payment of $1.5 million for each of the 6 match days and, $150K for each of the 30 projected non-match days), but may be more or less if the number of non-match days is adjusted (See Stadium Agreement Addendum Section 3 and Exhibit B).

c.                     Because BAHC will assume all obligations under the Stadium Agreement, the agreement calls for FIFA to approve the assignment (as required under Section 16.7 of the Stadium Agreement), and to formally release the Stadium Authority from all such obligations.

 

2.                     Subject to Reimbursement, City shall Provide all Necessary Local Security, Transportation and Related Event Services (“World Cup Support Services”)

 

a.                     “World Cup Support Services” include what’s typically involved in support of any non-NFL event at the Stadium, plus, given the unique nature of the event, additional security services/standards required by federal, state and regional agencies.  FIFA security requirements will also be included.

b.                     City to produce a Public Safety Plan, with input from all stakeholders, as guideline for event security services.

c.                     Ultimately, City (SCPD) has final approval over the Public Safety Plan; and the City will be local agency responsible for Public Safety Plan implementation.

d.                     Public Safety Plan will include Event Overview, Goals and Objectives, Roles and Responsibilities, Incident Command System (ICS) Framework, Risk Assessment, Emergency Communications Plan, Crowd Management Plan, Security Measures, Emergency Medical Service (EMS), Evacuation Plan, Severe Weather Preparedness, Coordination with Federal Resources, Community Impact Mitigation, and Post-Event Review.

 

3.                     BAHC Responsible to Reimburse City/Stadium Authority for all “Qualified Event Expenses”

 

a.                     “Qualified Event Expenses” include all reasonable cost incurred by City/Stadium Authority that are necessary to support World Cup Support Services at and around the Stadium.  Categories of expenses include “Event Planning and Training Expenses,” “Actual Event Expenses,” “Required Equipment Expenses,” and “Miscellaneous or Unexpected Expenses.” 

b.                     Preliminary Cost Estimate: Public safety planning and training activities are currently estimated to cost $3,281,521; equipment costs are estimated at $356,369; and actual event costs are estimated to be $8,522,927, for a total of $12,160,817.

c.                     This Preliminary Cost Estimate is to be updated periodically, at least every 2 months, based on new information regarding cost or requirements.

d.                     BAHC’s ultimate reimbursement obligation is to pay whatever reasonable “Qualified Event Costs” are incurred and invoiced, even if such amount is above the final “Updated Cost Estimate.”

 

4.                     Invoicing and Reimbursement Process for Pre-Event Expenses

 

a.                     In general, Pre-Event planning and training expenses are to be billed monthly using processes and forms similar to what parties have used under the Interim Funding Agreement.

b.                     BAHC may request additional information or reasonably dispute requested reimbursement items.

c.                     After review and approval, BAHC will pay all undisputed items and set aside disputed amounts; if disputed amounts balance exceeds $50K, such amounts to be deposited into a Dispute Escrow Account.

d.                     Parties will meet and confer to resolve disputes; if disputed amounts exceed $200K, either party can trigger expedited Dispute Resolution through binding mediation.

 

5.                     Invoicing and Reimbursement Process of Actual Event Expenses

 

a.                     To assure payment of Actual Event Expenses, BAHC agrees to make “Advance Payments” to the City as follows: (1) by May 1, 2026, 50% of the then estimated Actual Event Expenses (based on current cost estimates this payment would be approximately $4.2 million); and (2) by June 22, 2026, 25% of the then estimated Actual Event Expenses cost (based upon current estimates, this payment would be approximately $2.2 million).

b.                     Invoices for Actual Event Expenses to be submitted on or before August 21, 2026, with a proposed Final Payment Request to be submitted on or before September 18, 2026.

c.                     BAHC to receive credit for Advance Payments amounts already paid

d.                     BAHC reserves the right to reasonably dispute requested reimbursements similar to process for Pre-Event Expenses, with parties meeting and conferring to resolve disputes, and deposits of any disputed amounts into the Dispute Escrow Account.)

e.                     If parties are unable to resolve any dispute(s), the matter(s) will be decided through binding arbitration.

 

6.                     Special Rules for Equipment and Miscellaneous Expenses

 

a.                     The cost of additional equipment required for the World Cup matches will also be reimbursed by BAHC.  Needed equipment to be listed on an attached Exhibit, with updates as necessary.

b.                     If equipment is to be purchased for World Cup events only, BAHC prior approval is required; if it is to be retained by City for future use, it will be leased to BAHC at reasonable rates; if it is not to be retained, BAHC shall be entitled to equipment itself of salvage/sale proceeds.

c.                     If equipment can be leased instead of purchased this is preferred; third party leased costs will be passed through to BAHC as a Qualified Event Expense.

d.                     Miscellaneous or unexpected costs to discussed and reasonably agreed to by the parties.

e.                     Equipment costs and approved miscellaneous costs to be submitted for reimbursement with the next scheduled Payment Request.

 

7.                     49ers to Guarantee BAHC’s Qualified Event Expenses Reimbursement Obligation

 

a.                     As a condition to the effectiveness of the Assignment and Assumption Agreement, ManCo shall cause TeamCo to enter into a Guaranty Agreement for the benefit of City/Stadium Authority whereby TeamCo guarantee BAHC’s obligation to reimburse City/Stadium Authority for all Qualified Event Expenses.

b.                     TeamCo’s obligation will be offset by Stadium Authority’s agreement to contribute a percentage of its Surcharge Revenues received to offset TeamCo’s obligation.  The amount of Stadium Authority’s surcharge contribution shall be equal to the lesser of (i) 20% of the Guaranty obligation amount, and (ii) a percentage of the actual Surcharge Revenues received (still under negotiation), not to exceed a negotiated cap (currently $1.5 million).  For example, if TeamCo’s Guaranty obligation is $4 million (because BAHC does not pay City $4 million of the amount it owes for Qualified Event Expenses) and City receives $1.8 million in Surcharge Revenues, Stadium Authority would pay $800K of its Surcharge Revenues to the City (20% of $4 million) and TeamCo would pay $3.2 million to the City to reimburse the City unpaid Qualified Event Expenses.  Stadium Authority would retain its remaining $1 million balance of Surcharge Revenues. 

c.                     If BAHC fails to make a payment due to the City, City will notify TeamCo and TeamCo can cure the default in order to avoid interest accrual.  Otherwise, TeamCo’s Guaranty obligation will be is triggered 90 days after BAHC’s final payment due of Qualified Event Expenses is due.

d.                     The details of TeamCo’s Guaranty obligation will be set forth in a separate agreement.  TeamCo’s entering into that agreement will be a condition to the effectiveness of the Assignment and Assumption Agreement.

 

8.                     Revenues under the Stadium Agreement and Agreed Upon Ticket Surcharge to the Stadium Authority

 

a.                     BAHC shall receive payments for “Basic Services” (estimated at $13.5 million, as described in Section 1.b, above), and shall also be entitled to generate revenue from resale of a limited number of allocated Suites and possible commissions from local sales of Hospitality Packages under contract with FIFA’s designated sales agent.

b.                     ManCo is representing that StadCo is being required to purchase Owner’s Suites to satisfy existing obligations to Suite Holders and that it shall not receive revenues from the sale of Suites.

c.                     Stadium Authority is to receive a $6 ticket surcharge on each ticket sold to World Cup matches (FIFA has agreed to this in the Addendum to the Stadium Agreement.). ManCo is to exercise best efforts to work with FIFA to implement the $6 surcharge consistent with current surcharge protocols for other Non-NFL Events.  Assuming 60,000 “sold” tickets per game, ManCo is projecting $1.8 million in Surcharge revenues.

d.                     Surcharge amounts received will be deposited 50% into the Stadium Authority general revenues account and 50% into the Discretionary Fund under the terms of the Stadium Lease.

 

 

9.                     Government Funding

 

a.                     The Parties agree to cooperate to obtain Government Funding to help offset Qualified Event Expenses, ideally with earmarks for that purpose.

b.                     Cooperation includes seeking maximum allocation from existing State OESA Funding to be administered by Santa Clara County.

c.                     If New Government Funding is actually paid to City/Stadium Authority for Qualified Event Expenses, BAHC’s obligations will be offset by the amount received by City.  If funding is committed, but not yet received, parties to meet and confer to see if any corresponding BAHC obligations may be offset pending the actual receipt of funding, subject to final, reasonable City approval.  BAHC will remain ultimately responsible if government funding is not ultimately received.

d.                     After BAHC’s primary reimbursement obligations are satisfied, any remaining New Government Funding may also be used to reimburse City’s otherwise “unreimbursed” pre-planning costs incurred prior to the July 1, 2024.

 

10.                       Stadium Improvements

 

a.                     Any FIFA required Stadium Improvements shall by BAHC’s responsibility, with the primary (maybe only) required improvements to be modifications to the seating and the field surface to bring the field into compliance with FIFA standards (“Field Improvements”).

b.                     With the approval of the Assignment and Assumption Agreement, Stadium Authority will also be approving the Field Improvements.  City has already approved the building permits.

c.                     ManCo shall be responsible for implementing the Field Improvements in accordance with the approved plans, all applicable laws and Stadium Authority procurement requirements.  ManCo must only use private funding sources, make no claims against Stadium Authority funds, and indemnify the Stadium Authority against third party claims.  The project shall be implemented so as not to interfere with other Stadium events.

d.                     BAHC shall be entitled to remove the Improvements so long as the Stadium and the field is restored, at BAHC’s cost, to its previous condition.  Any improvements not removed shall become the property of the Stadium Authority.

e.                     The estimated cost of the Field Improvements is $25 million.  In consideration for BAHC’s funding of these improvements, Stadium Authority and BAHC to negotiate Stadium access/benefits to be determined (e.g., no cost access to certain Stadium office space and/or event space, so long as actual direct costs are paid and other scheduled events are not displaced).

 

11.                       Additional Agreements

 

a.                     Permitting.  City to work in good faith to expedite permit processing; BAHC to pay all customary processing and permit fees.

b.                     Communications with FIFA.  Parties to cooperate in communications with FIFA to obtain key information needed regarding security matters, other possible FIFA requirements, marketing opportunities for City assets, ticket surcharge implementation, availability of Stadium for alternative uses during Non-Exclusive Event time periods.

c.                     Convention Center Use.  BAHC to book desired use of Convention Center during the World Cup Event time period by April 1, 2025, at applicable rates, or Convention Center operator will market to third parties for alternative uses.

d.                     Youth Sports Park (YSP).  Parties to work with FIFA to maintain access to and use of the YSP by youth sports programs.  To the extent access is limited, the Parties will cooperate to identify and obtain access to alternative fields at equivalent rates or provide some other form of support for displaced youth programs.  Any FIFA use of the YSP is subject to City approval, and will require restoration of the YSP to its previous condition at BAHC’s cost.

e.                     Third Party Approvals.  ManCo shall be responsible for obtaining any third-party approvals or waivers required from parties with contractual or ticket purchase rights adversely affected by FIFA’s rights under the Stadium Agreement on terms to be negotiated with BAHC, but at no cost to Stadium Authority.

f.                     Accounting Requirements.  ManCo to be responsible for providing an initial and final accounting of event costs in accordance with existing standards for Non-NFL Events.  Costs to be negotiated between ManCo and BAHC.  Each party reserves the right to conduct an independent accounting at its cost.

g.                     Conflicts of Interest.  In implementing its obligations under the Agreement, ManCo is obligated to comply with all standards under the Management Agreement, including the conflict-of-interest policy previously approved by Stadium Authority and adopted by ManCo.  BAHC represents that no ManCo or StadCo official has or shall participate on behalf of BAHC in connection with BAHC’s negotiations, approval or implementation of its obligations to Stadium Authority under the Assignment and Assumption agreement.  This restriction will not apply to fundraising efforts or with respect to BAHC’s independent obligations under the Host City Agreement between BAHC and FIFA.

h.                     No City Waiver of Local Laws, Taxes or Fees.  City has not agreed to any waiver of local laws, taxes or fees in connection with the World Cup events and reserves its rights in its sole discretion to approve or disapprove any such request.

i.                     Marketing of City Assets.  BAHC and ManCo agree to cooperate with City in the marketing of any City assets it believes may be of value to FIFA or FIFA’s “Commercial Affiliates”.

j.                     Community Benefit Programs.  BAHC is developing a “community legacy program” that it intends to implement throughout the region, including the City of Santa Clara, as part of its support of the World Cup and other Major Events.  BAHC agrees to make best efforts to ensure that City and possible beneficiaries of the program in the City of Santa Clara are made aware of program initiatives and opportunities.

k.                     ManCo’s Obligation to Mitigate Pre-Empted Non-NFL Events.  ManCo agrees to develop and implement an enhanced Marketing Plan for the 2026/27 Stadium Authority operating year to help address any lost revenues from non-ticketed or ticketed events that may be displaced by the World Cup.  The Marketing Plan shall be subject to Stadium Authority approval and shall include, among other things coordination with FIFA to maximize Stadium use during Non-Exclusive periods, and enhanced marketing efforts for events prior to and after the World.

l.                     Clean Zone/Ambush Marketing.  City agrees to consider any reasonable FIFA proposal for additional regulations or enforcement of “clean zone” and “ambush marketing” standards, subject to applicable federal and state laws.  By law, City reserves the right to approve or disapprove any such proposal in its sole discretion.

 

D.                     Required Facility Improvements

 

As noted above, modifications will be required to the Stadium playing field (“bowl”) to accommodate the required field of play for the FIFA World Cup 2026 matches. These modifications will allow the Stadium to comply with the FIFA pitch regulation requirements and will include temporary changes to the seating bowl. The modified system will allow for a system that quickly restores the seating bowl back to the original configuration once the World Cup matches are complete.

 

The project involves temporary changes to the seating bowl at the four (4) corners / four (4 quadrants) of the Lower inner Bowl at Level 100 sections. The four (4) quadrant areas will require three (3) rows of general seating to be demolished replaced with a demountable structure. The proposed demountable structure is a steel system that quickly restores the seating bowl back to the original configuration once the world cup matches are complete, while allowing for flexibility for any other future turf events that may need adjustments to the pitch of the bowl as well.

 

The Stadium Manager filed a building permit for the proposed changes in May 2024. City staff and Stadium Authority representatives met with representatives from Stadium Manager bi-weekly to discuss the status of the design and needed improvements for the seating bowl modifications to ensure the proposed design was in compliance with local regulations, codes, and standards. Permit fees were paid, and the City has reviewed and is ready to issue permit. The field improvements are needed for FWC26, however, the project will be a permanent benefit to the Stadium and allow for the hosting of other events at Levi’s Stadium that the Stadium is not currently designed to host, such as rugby matches.

 

The scope of the project includes demolition of the existing lower precast bowl and structure, installation of a slab on grade with trenching, replacement of precast seating with ADA platforms including demountable platforms and railings, addition of demountable ADA platforms at the upper portion of the lower bowl and installation of grow light outlets in field.

 

The estimated cost of the project is $25 million and will be paid by the BAHC. As noted above, the terms of the draft Assignment and Assumption Agreement call for ManCo to be responsible for implementing the Field Improvements in accordance with the approved plans, all applicable laws and Stadium Authority procurement requirements.  Further, ManCo must only use private funding sources, make no claims against Stadium Authority funds, and indemnify the Stadium Authority against third party claims.  Additionally, the project shall be implemented so as not to interfere with other Stadium events.

 

Next Steps

Following City Council and Stadium Authority Board approval of the Assignment and Assumption Agreement, staff will issue the permits to allow for the bowl improvements to commence.

 

As noted above, City/Stadium Authority staff as well as representatives from BAHC and ManCo will formally present the aforementioned information and respond to questions from the City Council and Stadium Authority Board. Final action from the City Council/Stadium Board is anticipated to be agendized for a regular meeting of the bodies on January 28, 2025.

 

ENVIRONMENTAL REVIEW

The action being considered does not constitute a “project” within the meaning of the California Environmental Quality Act (“CEQA”) pursuant to CEQA Guidelines section 15378(b)(5) in that it is a governmental organizational or administrative activity that will not result in direct or indirect changes in the environment.

 

FISCAL IMPACT

There is no fiscal impact associated with this item other than administrative staff time.

 

COORDINATION

This report was coordinated between the Offices of the City Manager/Executive Director and City Attorney/Stadium Authority Counsel.

 

PUBLIC CONTACT

Public contact was made by posting the Council agenda on the City’s official-notice bulletin board outside City Hall Council Chambers. A complete agenda packet is available on the City’s website and in the City Clerk’s Office at least 72 hours prior to a Regular Meeting and 24 hours prior to a Special Meeting. A hard copy of any agenda report may be requested by contacting the City Clerk’s Office at (408) 615-2220, email clerk@santaclaraca.gov <mailto:clerk@santaclaraca.gov> or at the public information desk at any City of Santa Clara public library.

 

RECOMMENDATION

Recommendation

Note and file the informational report on FIFA World Cup 2026 and provide input to staff on the proposed terms for an Assignment and Assumption Agreement.

 

Staff

Reviewed by: Chuck Baker, Assistant City Manager

Approved by: Jovan D. Grogan, City Manager/Executive Director

 

ATTACHMENTS

1.                     Information Sharing Agreement

2.                     Version 1 of the Stadium Agreement (publicly released September 2023)

3.                     Version 1 of the Addendum (publicly released January 2024)

4.                     Version 2 of the Stadium Agreement (publicly released December 6, 2024)

5.                     Version 2 of the Addendum (publicly released December 6, 2024)

6.                     Interim Funding Agreement

7.                     City Manager’s Directive 136