Agenda

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County Administrator's Report 11. 5.

BCC Regular Meeting

Technical/Public Service Consent

Meeting Date:	01/18/2018
Issue: Addendum to the SMG Management Services Agreement for the Pensacola Bay Center
From:	Amy Lovoy
Department:	Asst County Administrator
CAO Approval:

RECOMMENDATION:

Recommendation Concerning an Addendum to the SMG Management Services Agreement for the Pensacola Bay Center - Amy Lovoy, Assistant County Administrator

That the Board approve and authorize the Chairman to execute an Addendum to the Management Services Agreement between Escambia County, Florida, and SMG for the Pensacola Bay Center, memorializing consent to a Change in Control due to the recent acquisition of SMG by Onex Corporation.

BACKGROUND:

The Board approved the Management Services Agreement with SMG for the Pensacola Civic Center on February 16, 2012, which was subsequently amended on May 21, 2015 to reflect the new name of Pensacola Bay Center and extend the term of the agreement. Pursuant to paragraph 35.3 of the Agreement, the County shall have the option of terminating for convenience in the event of a "Change of Control" as defined in paragraph 35.4.

By correspondence dated December 15, 2017, SMG provided the County with notice of a Change in Control whereby SMG Holdings Inc. will be acquired by an entity that is managed and controlled by Onex Corporation (TSX:ONEX). The transfer of interest will not cause any change in the management and operations of SMG, and SMG will remain the manager under the Management Services Agreement. The Addendum serves to memorialize the County's consent to the Change in Control.

BUDGETARY IMPACT:

N/A

LEGAL CONSIDERATIONS/SIGN-OFF:

Senior Assistant County Attorney Kristin Hual prepared the Addendum and approved as to form and legal sufficiency.

PERSONNEL:

N/A

POLICY/REQUIREMENT FOR BOARD ACTION:

N/A

IMPLEMENTATION/COORDINATION:

N/A

Attachments
Addendum to SMG Management Service Contract dt Acquisition