San Francisco Could Lose Money After Changes To America’s Cup Deal
SAN FRANCISCO (KCBS) – The city attorney approved some potentially costly changes to the terms for bringing the America’s Cup yacht race to San Francisco after the board of supervisors had already approved the deal.
The modified agreement gives the America’s Cup Event Authority a unilateral right to a long-term lease at Pier 29, and exempts it from paying rent on Piers 30 and 32.
Supervisor Ross Mirkarimi has called for a hearing to explain some of the financial terms of the deal were renegotiated.
“I want to believe that we’re not giving away the store,” he said.
KCBS’ Chris Filippi Reports:
City negotiators and former Mayor Gavin Newsom had the authority to make changes, so long as San Francisco incurred no new financial obligations or liabilities.
The new leasing terms represent a material change to the agreement the supervisors voted on at the end of 2010 during Newsom’s final days in office, according to the audit released Thursday.
“It’s important we analyze why those changes happened,” Mirkarimi said.
The audit does not put a price tag on how much the changes could cost San Francisco.
Mirkarimi said the Board of Supervisors Budget Committee would review the audit at its March 16 meeting.
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