Final Oakland Raiders Las Vegas NFL UNLV Stadium Joint Use Agreement Makes UNLV Look Like A Fool
Basic points: SNTIA law Section 29.3(g)(h) says rent should not go over operational costs for UNLV. Agreement has UNLV paying operational costs but stops short of calling that rent. Then says Oakland Raiders as Stadco will determine operational cost for UNLV later, as the Las Vegas stadium nears completion. That means UNLV could get stuck with a situation where costs overruns are passed to it to help pay.
It’s clear the Joint-Use Stadium agreement was done without a clear understanding of costs and revenues associated with the stadium, and even though costs and revenues were talked about at the SNTIC hearings!
Then, according to SNTIC, UNLV was to get $221 million in revenue offset money. But the way the agreement is written, there are three conditions such that UNLV may not see a dime of that money. For example, UNLV has to wait until the debt service reserve is at $9 million. Then there is the Capital Contribution and that is $75 million! And what if there is a deficit in revenue as it today and that money has to be used from the debt service reserve and then replaced? Bye, bye, UNLV! Those conditions should be removed and the sprit of the plan honored.
The details are in my blog post link below, but the bottom line is right now, the UNLV Regents would be total fools to approve this as is.
Final Agreement Link: http://ift.tt/2CmpyTh
SNTIC Model Report Link: http://ift.tt/2jsYFAl via IFTTT