REPORT TO COUNCIL
SUBJECT
Title
Action on an Initial Grant Funding Agreement with Forty Niners SC Stadium Company LLC to Provide $200,000 Annually in Grant Funding for an Initial Three Years to the Santa Clara Community and Santa Clara Organizations and Approve the Related Budget Amendments (DEFERRED FROM MAY 28, 2024)
Report
COUNCIL PRIORITY
Enhance Community Engagement and Transparency
BACKGROUND
On May 9, 2013, the Santa Clara Stadium Authority (Stadium Authority) and Levi Strauss & Co. (Levi's(r)) entered into a Naming Rights Agreement. Under the 20-year agreement, Levi's(r) provides an annual payment to the Stadium Authority in exchange for exclusive naming rights and branding at the Stadium.
On January 30, 2024, the Stadium Authority Board approved the following actions related to the Naming Rights Agreement:
1. Approve a First Amendment to the Naming Rights Agreement with Levi Strauss & Co. that will provide a 10-year extension and additional Naming Rights revenue to the Stadium Authority on the terms presented, in a final form approved by Authority Counsel;
2. Approve a Levi's(r) Stadium Naming Rights Extension and Enhanced Signage Project Implementation Agreement with Forty Niners SC Stadium Company LLC (StadCo) to coordinate the Enhanced Sign Project and the share in the costs for the design, construction, and installation of the signage, and memorialize StadCo's $4,000,000 charitable commitment over 20 years, on the terms presented, in a final form approved by Authority Counsel; and
3. Authorize the City Manager to negotiate and execute a grants agreement and take other actions as may be required to implement StadCo's charitable commitment, in final form(s) approved by the City Attorney.
As a result, the Stadium Authority and Levi's(r) entered into a First Amendment to Naming Rights Agreement that provided a 10-year extension of the Naming Rights Agreement, which will generate an additional $119,000,000 in revenue over the 10 years for the S...
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