Summary:
On October 7, 2013, City Council approved a Memorandum of Understanding ("MOU") with Orlando Sports Holdings, LLC ("the Team"), which outlined the agreement between the parties with respect to the construction and use of a soccer stadium, should the Team be awarded an MLS franchise and should Orange County agree to provide Tourist Development Tax ("TDT") funding assistance for the construction of such stadium. Both these events have now been accomplished and, as a condition precedent to the issuance of contract TDT obligations for the construction of the soccer stadium, the City is required to enter into a Facility Use Agreement with the Team. This Facility Use Agreement satisfies that condition of the Interlocal and is consistent with the terms set forth in the original MOU; it includes the requirement to execute a Non-relocation Agreement, which is also attached.
Under the terms of this Facility Use Agreement, the City will own, operate and manage the soccer stadium and the Team will be responsible for funding, on an annual basis, any operating shortfall should the stadium operating costs exceed the stadium operating revenues. The Agreement is for a period of twenty five (25) years, with an option for the Team to extend the Agreement an additional five (5) years.
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