REPORT TO STADIUM AUTHORITY BOARD
SUBJECT
Title
Report from the Stadium Authority Regarding the Stadium Manager's Request for Delegated Authority to Execute Agreements with FedEx and USPS for Mailing Stadium Builder License (1) Notice of Default and/or Notice of Termination and (2) Request for Payment for 2021 Invoices
Report
BOARD PILLAR
Ensure Compliance with Measure J and Manage Levi's Stadium
BACKGROUND
On September 17, 2019, the Stadium Authority Board (Board) approved the introduction of Ordinance No. 2005, which rescinded the Executive Director's delegated purchasing authority and requires Board approval for all contracts or agreements to acquire supplies, materials, equipment and services, by amending Chapter 17.30 ("Stadium Authority Procurement Policy") of the City of Santa Clara City Code. On October 8, 2019, the Board adopted Ordinance No. 2005, which became effective on November 8, 2019.
Through the Stadium Management Agreement (Management Agreement), the Stadium Authority has engaged the Forty Niners Stadium Management Company LLC (Stadium Manager) to provide management services for the Stadium, including overseeing the day-to-day operations and maintenance of the Stadium as well as the marketing and booking of Non-NFL Events. Section 2.1 of Amendment 1 to the Management Agreement provides that the Stadium Manager has full authority to procure on behalf of the Stadium Authority related to the Stadium and its operations to the extent that the Executive Director has authority to enter into such contracts pursuant to Santa Clara City Code Section 17.30.010 through 17.30.180.
As result of the City's revocation of the Executive Director's authority to procure good and services on behalf of the Stadium Authority as of November 8, 2019, the Stadium Manager must now seek approval from the Board and demonstrate that it has properly and legally procured goods and services before contracts may be executed.
Section 2.6.18 in Amendment 4 to the Managemen...
Click here for full text