(a)For purposes of this section and section 32-616b:
(1)“Authority” means the Capital Region Development Authority established pursuant to section 32-601 .
(2)“Contractor” means an entity, including any affiliate thereof, selected and approved by the board of directors of the authority to manage and operate the XL Center.
(3)“XL Center” means the civic center and coliseum complex in the city of Hartford known as the XL Center and includes the adjoining parking garage owned by the authority that is located on Church Street in the city of Hartford.
(b)Notwithstanding any provision of the general statutes, the authority may enter into an agreement with the contractor that is managing and operating the XL Center on July 1, 2023, to continue to manage and operate the XL Center. Any such ag
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(a) For purposes of this section and section 32-616b: (1) “Authority” means the Capital Region Development Authority established pursuant to section 32-601 . (2) “Contractor” means an entity, including any affiliate thereof, selected and approved by the board of directors of the authority to manage and operate the XL Center. (3) “XL Center” means the civic center and coliseum complex in the city of Hartford known as the XL Center and includes the adjoining parking garage owned by the authority that is located on Church Street in the city of Hartford. (b) Notwithstanding any provision of the general statutes, the authority may enter into an agreement with the contractor that is managing and operating the XL Center on July 1, 2023, to continue to manage and operate the XL Center. Any such agreement shall provide that the contractor will manage, operate and invest in the renovation of the XL Center and bear any losses and share in any profits from the operation of the XL Center. Any such agreement shall be entered into not later than December 31, 2025, except amendments thereto may be entered into after said date. Any such agreement or amendment to such agreement shall be subject to the approval of the Secretary of the Office of Policy and Management. (c) Any agreement entered into pursuant to this section shall include, but not be limited to, the following terms and conditions: (1) The term of the agreement, the expiration of which shall be limited to the earliest expiration of any agreement entered into in accordance with subsection (e) of this section; (2) The amounts that the authority and the contractor shall contribute toward the renovation and reconstruction of the XL Center pursuant to section 32-616b ; (3) A complete description of the scope of the management and operations and functions to be performed under the agreement and the responsibilities of the authority and the contractor thereunder; (4) The minimum quality standards the contractor shall maintain in its management and operation of the XL Center; (5) The methodology to calculate the net profit or loss derived from the operations of the XL Center, provided (A) operating expenses shall not include depreciation on any assets paid for with the funds contributed by the contractor or the authority for the renovation and reconstruction of the XL Center in accordance with section 32-616b , and (B) operating expenses may include fees for certain services that are paid to the contractor or its affiliates for certain services rendered, including, but not limited to, venue management fees, food and beverage fees, and sponsorship and premium commissions; (6) The division of the net profit or loss between the contractor and the authority, provided that on an annual basis: (A) The contractor shall be responsible for any net loss from the operations of the XL Center, (B) the contractor shall retain the first four million dollars of any net profit from the operations of the XL Center, and (C) any net profit from the operations of the XL Center in excess of four million dollars shall be split equally between the contractor and the authority; (7) Any amounts that the contractor and the authority will contribute to a capital expense fund to pay for future capital improvements; (8) A requirement that the contractor furnish an annual independent audit report to the authority and to the Secretary of the Office of Policy and Management covering all aspects of the agreement; (9) Performance and payment bonds or other security deemed suitable by the authority; (10) One or more policies of public liability insurance in such amounts determined by the authority to ensure coverage of tort liability for the public and employees of the contractor and to provide for the continued operation of the XL Center; (11) The rights and remedies available to the authority for a material breach of the agreement by the contractor; and (12) Any other provision determined to be appropriate by the authority. (d) Any agreement entered into pursuant to this section shall be consistent with the provisions of subdivision (4) of subsection (d) of section 32-602 . (e) Prior to entering into any agreement pursuant to subsection (b) of this section, the authority shall enter into one or more agreements with the city of Hartford to extend the lease of the XL Center. (f) For purposes of property taxation, while owned, leased or operated by the authority or the contractor, the XL Center and any personal property located thereon shall be deemed to be state-owned property under subdivision (2) of section 12-81 , except the state shall not make any grant in lieu of taxes with respect to the XL Center. (g) Sales of tangible personal property or services that are necessary for the operation of the XL Center made to the contractor while the XL Center is operated by the contractor shall be exempt from the taxes imposed under chapter 219.