Stadium Authority Meeting — Part 1
By Robert Haugh
Stadium Authority meetings are now held separately from the City Council meetings. Good thing because it was a long meeting. It started at 4:30 p.m. and ended after midnight.
Today’s report will be mostly about the workshop. Monday’s column will be about the meeting — where the real fireworks happened.
Fred Brousseau of Harvey Rose spent almost two hours (5-7 p.m.) walking the Stadium Authority members through the final audit.
But first Brousseau felt he needed to respond to the public criticism from the 49ers about the qualifications of his firm. It’s impressive. They’ve been in business 38 years doing auditing for all the major cities and counties in California.
Here are the major answers to what the auditors discovered from one of the presentations slides:
1.Were City policies & procedures in place to ensure Measure J compliance during audit review period? No.
2.Was the General Fund reimbursed for all Stadium-related work (NFL and non-NFL) No. At least $229,239 not reimbursed in audit review years for NFL & non-NFL events.
3.Could revenues and expenses associated with non-NFL events be identified? No. Information kept by ManCo; could not be accessed, reported for audit.
4.Does information provided to Board allow give full financial picture? No (e.g.: unreported $894,228 in Construction Fund monies for staff costs).
5.Could parking receipts and off-site parking fees for City-owned property be validated? No. Records are kept by ManCo could not be accessed & reported for audit. StadCo owes City $718,803 in unpaid fees for Golf Course used for parking.
Brousseau explained each issue in great detail. In turn, he fielded a lot questions from Stadium Authority members. But there were no major debates or fireworks. Even Stadium Authority member Dominic Caserta, a solid 49ers supporter, said that he thought the audit was money well spent.
Speaking of money, the audit cost was approximately $180,000, not the $200,000 that has been reported in the media, including us. Total money identified that needs to be returned to the general fund or the stadium construction fund is approximately $1.8 million.
But the biggest thing we learned is that the audit has forced a lot of systematic changes in how the City staff is handling stadium billing and operations. That may be the biggest, long-term benefit. Kudos to the Harvey Rose team.
Stadium Authority Meeting Preview
On Monday, read about how:
- Police Chief Mike Sellers delivered a 6-minute tirade attacking Mayor Lisa Gillmor and defending his department against the audit.
- Stadium Authority member Teresa O’Neill corrected Sellers and the public record about how the auditor was chosen and why.
- Caserta complained about audit leaks from the Ad-Hoc audit committee.
- Stadium Authority Member Kathy Watanabe defended the committee.
- Caserta believes Santa Clara’s most important local news site does “fuzzy math.”
- Read about how Caserta’s motion to lift the weekday stadium curfew to 11 p.m. for the Coldplay concert failed on a 4-3 vote.