Broward County Commission Regular Meeting
Director's Name: Bertha Henry
Department: County Administration Division: Parks & Recreation
Information
Requested Action
title
MOTION TO APPROVE Second Amendment to Agreement between Broward County (“County”) and Worldwide Sports Management Group, LLC (“Worldwide”) for Promotion and Management of International Cricket Events and Major Cricket Events at Central Broward Regional Park reducing the Annual Guarantee, addressing the deferral of payment of fees owed by Worldwide to County and providing for additional time for Worldwide to become current on such fees, reducing the number of required event days, clarifying Worldwide’s insurance requirements, modifying the capital improvements schedule, and eliminating Worldwide’s obligation to provide internet services, retroactively effective as of June 14, 2020; and authorize the Mayor and Clerk to execute same. (Commission District 9)
body
Why Action is Necessary
Section 16.18 of the Agreement requires Board approval of amendments.
What Action Accomplishes
Reduces Worldwide’s Annual Guarantee and the number of event days currently required, approves deferral of amounts owed to the County, and amends and clarifies certain other obligations of Worldwide, retroactive to June 14, 2020.
Is this Action Goal Related
No
Previous Action Taken
None
Summary Explanation/Background
THE PARKS AND RECREATION DIVISION RECOMMENDS APPROVAL OF THE ABOVE MOTION.
One June 14, 2017, County and Worldwide entered into an agreement for the promotion and management of International Cricket Events and Major Cricket Events at the stadium at Central Broward Regional Park (Item No. 73, Motion B). The 2017 agreement specifies a term of five years with up to two automatic, additional five-year renewal periods.
On March 5, 2019 (Item No. 38), County and Worldwide entered into a First Amendment to the Agreement (the 2017 Agreement and First Amendment, together, the “Agreement”) to clarify the rights and obligations of each party concerning the booking of cricket events at the stadium and park, to amend Worldwide’s obligations in providing stadium-related capital improvements, and to update other terms and conditions of the Agreement.
The Agreement requires Worldwide to provide for payment to the County for stadium reservation, pitch preparation, upstairs field house VIP area, second floor meeting room in the stadium fieldhouse, Presidential Viewing Box, concessions sales fee, alcohol sales fee, and Outer Park Buyout for up to a total of nine calendar days of International Cricket Events, Major Cricket Events, or Anchor Team home games per year (or a combination thereof).
Worldwide requests the reduction of required major event days from nine to five per year, which is consistent with the County’s desire to free up more days for other major stadium events such as soccer and other sporting events. The reduction of the Annual Guarantee from $158,891 to $84,350, as proposed in this Second Amendment, correlates directly to the reduction in event days. The Annual Guarantee reduction, commensurate with the reduction in event days the County is required to hold for Worldwide, is a permanent reduction in the fee, subject only to adjustments based on the annual Consumer Price Index for all Urban Consumers (CPI-U), as per the Agreement. Additionally, as a result of delays related to the novel 2019 coronavirus, Worldwide requests a modification to the capital improvements schedule to allow for more time to meet its obligations set forth therein. Accordingly, the proposed Second Amendment would move all capital improvements scheduled for Calendar Year 3 to Calendar Year 5. The Second Amendment also addresses Worldwide’s repayment of $54,598 in fees that were deferred in accordance with the Board’s August 25, 2020, action (Item No. 63), authorizing the County Administrator to defer certain fees owed by concessionaires at Broward County Parks for the months of March through September 2020. Finally, the proposed Second Amendment removes Worldwide’s obligation to provide internet services at the stadium.
The Second Amendment has been reviewed and approved as to legal sufficiency by the Office of the County Attorney.
Source of Additional Information
Dan West, Director, Parks and Recreation, (954) 357-8106
Fiscal Impact
Fiscal Impact/Cost Summary
The current Annual Guarantee of $158,891 will be reduced to $84,350, providing total revenue of $253,050 to the County over the remaining three years of the Agreement’s term.