Should this ordinance be approved, in my opinion, it would not in and of itself affect the cost of government and could result in additional revenue for the City.
The proposed ordinance amends the Administrative Code to allow the Recreation and Park Department to approve or enter into an agreement for the naming rights of the City-owned sports stadium located at Candlestick Point. The San Francisco 49ers currently have exclusive rights to sell and enter into agreements with five named entities listed in their 2004 naming agreement with the City.

The proposed ordinance would permit the 49ers to enter into agreements with any other naming rights sponsor with prior approval from the Recreation and Park Department and Board of Supervisors.

The City has not earned naming rights revenue from the stadium since 2008. The previous naming rights agreement generated approximately $700,000 annually for the City. The proposed ordinance could earn revenue for the City by significantly widening the pool of potential naming rights sponsors.

The proposed ordinance also specifies that at least fifty percent of the revenue received by the City from naming agreements shall be used to fund recreation center directors. However, any revenues generated from a naming rights agreement are General Fund revenues and could be used for any legal purposes of the City, subject to Board of Supervisors’ appropriation approval.

On July 28, 2009 the Board of Supervisors voted 8 to 3 to place Proposition C on the ballot.

The Supervisors voted as follows:

Yes: Supervisors Alioto-Pier, Campos, Chiu, Chu, Dufty, Elsbernd, Maxwell and Mirkarimi.

No: Supervisors Avalos, Daly and Mar.