REPORT TO STADIUM AUTHORITY BOARD
SUBJECT
Title
Action on the Santa Clara Stadium Authority Financial Status Report for Quarter Ending March 31, 2026 and Approve Related Budget Amendments
Report
BACKGROUND
In Fiscal Year 2014/15, the Stadium Authority Board (“Board”) requested that staff prepare quarterly Santa Clara Stadium Authority (“Stadium Authority”) Financial Status Reports. These reports provide an update on the events held at Levi’s® Stadium, Stadium Authority finances, and the impact of Stadium Authority activity on the City of Santa Clara’s (“City”).
This report provides information covering the Stadium Authority’s fourth quarter of the 2025/26 fiscal year (“FY”), which runs from January 1, 2026 - March 31, 2026.
The Adopted Stadium Authority Budget incorporates the estimated revenues and expenses for all Stadium Authority funds. As a part of the Stadium Authority policy to ensure adherence to the budget, a budget/encumbrance control system is used to ensure proper budgetary control. Budgetary appropriation control for expenditures is maintained at the fund level. The attached Financial Status Report provides the budget to actual revenue and expense summaries for the operating, debt service, and capital funds. Analysis of the financial activity through the fiscal year measures the adherence to the budget and allows the Stadium Authority to monitor and project revenues and expenses. Any significant variances are explained in the reports.
DISCUSSION
The attached financial status report provides information covering the Stadium Authority’s fourth quarter (January 1, 2026 - March 31, 2026) of FY 2025/26. The report summarizes National Football League (“NFL”) and Non-NFL event activity at Levi’s® Stadium and describes the financial impact of these events on the Stadium Authority and City since FY 2014/15. The report also provides the budget to actual revenue and expense summaries for the operating, debt service, and capital funds. Analysis of the financial activity through the fiscal year measures the adherence to the budget and allows the Stadium Authority to monitor and project revenues and expenses. Any significant variances are explained in the report.
NFL Event Revenue and Expenses
There were ten NFL games held in the fourth quarter of FY 2025/26. Levi’s® Stadium hosted two pre-season NFL games and eight regular NFL season games of the 2025 NFL season which are detailed in the report. This resulted in $16.1 million in NFL ticket surcharge for the Stadium Authority and $276,000 of Senior and Youth Program Fees for the City. There was an additional $27,000 collected in Senior and Youth Program Fees from Superbowl LX (SBLX) which was hosted at Levi’s® Stadium on February 8, 2026. Public safety costs for NFL games totaled an estimated $6.1 million which will be fully reimbursed to the City by a combination of payments from ManCo and offsite parking fees that were collected, per Measure J and contractual requirements. SBLX-related revenues and expenditures are tracked and accounted for separately.
Non-NFL Event Revenue and Expenses
There were eight ticketed Non-NFL events and 43 special events which are detailed in the report. The eight ticketed Non-NFL events generated an average net revenue of $942,000 per event. Table 1 below summarizes revenues and expenditures for the eight ticketed events.
Table 1
The Non-NFL event ticket sales generated $1.8 million in base ticket surcharge revenue from the $4 per ticket base surcharge and $2.6 million in additional ticket surcharge revenue, derived from the additional proceeds exceeding the $4 per ticket base surcharge for this period. One half of the base Non-NFL ticket surcharge, or $891,000 was deposited into the discretionary fund with the remaining half being accounted for as general Stadium revenues. The $2.6 million in additional ticket surcharge was deposited into the Public Safety Cost Reserve in accordance with Section 12.1 of the Stadium Lease. Public safety costs for these events totaled an estimated $4.6 million. The City will be fully reimbursed by a combination of payments from ManCo on behalf of the Stadium Authority and offsite parking fees that were collected.
When combining ticketed and non-ticketed Non-NFL revenues to date, Table 2 shows approximately $8.1 million in net revenue (excluding surcharge revenue) through the end of the fourth quarter. This is a decrease of $2.1 million from the prior year’s Non-NFL event net revenue of $10.2 million for the quarter.
Table 2
Levi’s Stadium
Net Revenue for Non-NFL Events
by Event Type
Historical Year-to-Date Through March 31, 2026
(1) Other Operating Income is income not attributable to a specific event. Examples are interest income and reimbursements unrelated to a specific event.
(2) Other Operating Expenses are expenses not attributable to a specific event. Examples are event selling expenses, administrative expenses and miscellaneous costs.
(3) Net Revenue from Non-NFL Events does not include Non-NFL Event Ticket Surcharge.
Stadium Builder Licenses (“SBLs”)
SBLs account for 9.3% of the Stadium Authority’s annual budgeted revenue in FY 2025/26. There is a total of 67,759 currently active SBLs. Through the fourth quarter, since inception, the value of the active SBLs amount to $562.9 million of which $539.0 million has already been collected.
Stadium Authority Budgets
The detailed analysis of Stadium Authority budget to actual financials is provided in the attached Financial Status Report. In summary, total operating revenues were $74.1 million representing 102% of the overall budget for revenues and total operating expenses were $40.0 million or 91% of the budget. The debt service fund was able to pay down $9.9 million in debt, bringing total Stadium Authority debt down to $209.7 million. Capital expenses were $10.8 million representing 49% of the overall Capital Expenditure (CapEx) budget.
FY 2026/27 Stadium Authority Budget Adjustments
From time to time, budget adjustments may be necessary to align revenues or expenditures to actual or unexpected activity during the course of a fiscal year, known after the adoption of the Stadium Authority Budget. On March 10, 2026, the Stadium Authority Board adopted the Santa Clara Stadium Authority FY 2026/27 Operating, Debt Service, and Capital Budget. As of the timing of the publication of this report, additional information from FY 2025/26 has resulted in recommended budget adjustments as follows:
Operating Budget:
1) Beginning Fund Balance / Ending Fund Balance Adjustment - The FY 2025/26 year-end actual was completed and fund balance adjustments to the FY 2026/27 beginning and ending fund balances are necessary. Because the adoption of budget is conducted in March, estimates are used to determine the beginning and ending fund balances, including reserve amounts.
Debt Service Budget:
1) Beginning Fund Balance / Ending Fund Balance Adjustment - The FY 2025/26 year-end actual was completed and fund balance adjustments to the FY 2026/27 beginning and ending fund balances are necessary. Because the adoption of budget is conducted in March, estimates are used to determine the beginning and ending fund balances, including reserve amounts.
CapEx Budget:
1) Beginning Fund Balance / Ending Fund Balance Adjustment - The FY 2025/26 year-end actual was completed and fund balance adjustments to the FY 2026/27 beginning and ending fund balances are necessary. Because the adoption of budget is conducted in March, estimates are used to determine the beginning and ending fund balances, including reserve amounts.
2) CapEx Carryover Adjustments - With the completion of FY 2025/26 year-end actuals, adjustments to the FY 2026/27 CapEx Budget are necessary to align project carryovers with actual spend from FY 2025/26. Because the adoption of budget is conducted in March, projected spend is used to determine the FY 2026/27 projected carry over.
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 an administrative activity that will not result in direct or indirect physical changes in the environment.
FISCAL IMPACT
The Stadium Authority FY 2025/26 budget appropriation is maintained at the fund level. At the end of the fourth quarter of FY 2025/26, spend has been within budget.
From time to time, adjustments to the budget are required to reflect new information and align budgets with actual revenues and expenses. Attachment 2 includes, 1) technical adjustments in the FY 2026/27 Operating Budget to adjust the Beginning/Ending Fund Balance to true up fund balances based on actual FY 2025/26 performance, 2) technical adjustments in the FY 2026/27 Debt Service Budget to adjust the Beginning/Ending Fund Balance based on actual FY 2025/26 performance, and 3) technical adjustments in the FY 2026/27 CapEx Budget to adjust the Beginning/Ending Fund Balance and adjustments to capital project carryovers based on actual FY 2025/26 performance. The attachment reflects these budget adjustments.
COORDINATION
This report was coordinated with the Stadium Manager per Section 4.6 of the Management Agreement between Stadium Authority, Stadium Manager, and StadCo, as well as the Executive Director’s and Stadium Authority Counsel’s Offices.
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 or at the public information desk at any City of Santa Clara public library.
RECOMMENDATION
Recommendation
1. Note and file the Santa Clara Stadium Authority Financial Status Report for the Quarter Ending March 31, 2026; and
2. Approve the FY 2026/27 Budget Amendments in the Operating Budget in the aggregate amount of $2,851,775, the Debt Service Budget in the amount of $138,515, and the CapEx Budget in the amount of $1,104,825 to make technical adjustments to true up the fund balance and capital project carryovers based on actual FY 2025/26 performance, all as more specifically provided in Attachment 2.
Staff
Reviewed by: Linh Lam, Acting Treasurer
Approved by: Jovan D. Grogan, Executive Director
ATTACHMENTS
1. SCSA Financial Status Report for the Quarter Ending March 31, 2026
2. FY 2026/27 Budget Amendments