REPORT TO THE CITY COUNCIL
June 26, 2017
FROM: BRUCE RUDD, City Manager
City Manager's Office
BY: TIM ORMAN
Chief of Staff to the Mayor
SUBJECT
Title
Approve in substantial form the Third Amendment to the Amended and Restated Stadium Sublease Agreement between the City of Fresno and Fresno Baseball Club, LLC.
Body
RECOMMENDATION
The Mayor and City Manager strongly and whole-heartedly believe that this agreement and the new owners represent the best deal for the City of Fresno and provide us with the best chance of success at the stadium and therefore ask for the Council's support and vote in favor of the Third Amendment to the Amended and Restated Stadium Sublease Agreement between the City of Fresno and Fresno Baseball Club, LLC, in substantial form, as presented by the City Attorney.
EXECUTIVE SUMMARY
The Mayor and City Manager have been negotiating with Fresno Sports and Events, LLC since January of this year. We have reached agreement on all substantial points of the agreement. We are asking Council to approve in substantial form the Third Amendment to the Amended and Restated Stadium Sublease Agreement between the City of Fresno and Fresno Baseball Club, LLC, the current owner of the team and operator of the stadium. The reason for approving the agreement at this time is to keep the process moving forward and allow the buyers-Fresno Sports and Events, LLC-to enter into escrow with the current owners and finalize their purchase of the team. As part of the escrow, the new owners are required to sign a letter agreeing to the terms of the Third Amendment. The Third Amendment also contains a Non-Relocation Agreement that provides for payment of liquidated damages to the City for the outstanding debt service on the stadium upon relocation of the team. Our agreement is one of many steps necessary to complete this transaction.
BACKGROUND
The City Attorney has been involved in the negotiations from the beginning. Initial negot...
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