§ 32-15-122 — Lease of stadium

(1) Any lease agreement entered into by the district
and the franchise shall include, but is not limited to, the following:

(a) A lease term that is, at a minimum, for the same length of time as the length of
time the sales tax is levied and collected by the district;

(b) A provision requiring the franchise and its successors and assigns to conduct its
complete regular home season schedule and any home play-off events in the
stadium for a period of at least twenty years and that such provision shall be
specifically enforceable against the franchise and its successors and assigns;

(c) A provision requiring the franchise to advertise and promote events it conducts
at the stadium;

(d) A provision requiring the franchise to not unreasonably withhold permission for
the holding of other events in the stadium;

(e) A provision requiring the franchise to agree that, during the lease term, the
franchise will not limit the broadcast of any game to a pay-per-view broadcast;
except that this provision may be waived if the board deems it would violate
national football league requirements and except that, if the board waives this
provision, the lease agreement shall include a provision requiring the franchise, in
addition to the lease payments otherwise required, to pay an amount equal to the
amount received by the franchise as a result of any pay-per-view broadcast;

(f) A provision requiring the franchise to guarantee that two thousand tickets for
each game held at the stadium are available for sale to the general public. The
tickets for preseason and regular season games shall be made available at a cost
equal to fifty-percent of the regular ticket price;

(g) A provision requiring the franchise to purchase, or cause to be purchased, any
unsold tickets to any football game played by the franchise in the stadium;

(h) A provision requiring the franchise, upon the sale of the franchise or eighty
percent of the beneficial interest in the entity owning the franchise, to pay to the
district, as a one-time payment, an amount equal to the sharing amount to be used
for youth activity programs. As used in this paragraph (h), sharing amount means
an amount equal to two percent of the net profit realized by the franchise or the
persons or entities selling interests, as the case may be, not to be less than one
million dollars. Net profit means the gross proceeds of the sale less capital
contributions to the franchise (or capital contributions of the person's selling
interests), plus six percent imputed annual return on such capital contributions, and
less franchise debt if such debt is not assumed or paid by the purchasing entity.
Individual sales of the franchise's beneficial interests will not trigger this profit-sharing provision if such sales do not, over a one-year period, result in the sale of
eighty percent or more of the beneficial interests of the franchise to a person or
entity or related persons or entities that have not been beneficial owners of
interests of this franchise.

Legislative History

Source: L. 96: Entire article added, p. 1073, � 1, effective May 23. L. 98: (1)(b) amended and (1)(h) added, p. 510, � 16, effective April 22.