5-807

5-807. Constructing and operating multipurpose facility

A. The authority shall construct, finance, furnish, maintain, improve, operate,
market and promote the use of a multipurpose facility and do all things necessary or
convenient to accomplish those purposes. One or more site hosts shall provide the land,
infrastructure and parking facilities associated with the multipurpose facility. The
authority shall own the multipurpose facility, subject only to liens and other security
interests of record. The authority may own or lease the land on which the multipurpose
facility is located.

B. The executive director shall:

1. Recommend to the board for its approval a contractor and architect, unless the
architect will be employed directly by the contractor.

2. Work with the users, contractor and architect to prepare a design for the
multipurpose facility and submit the design to the board for its approval.

3. Prepare the construction budget and schedule for the multipurpose facility and
submit them to the board for its approval.

4. Prepare the annual operating budget for the multipurpose facility and submit it
to the board for its approval.

5. Negotiate use agreements with parties that will use the multipurpose facility on
a regular basis, including parties that will make a contribution toward the construction
of the facility, and submit the agreements to the board for its final action. Any such
agreement that grants naming or other advertising rights must include a provision
requiring the multipurpose facility name and other advertising to comply with community
decency standards.

6. Negotiate agreements with the contractor and architect, unless the architect
will be employed directly by the contractor, and submit the agreements to the board for
its final action.

7. Review construction change order requests and submit them to the board with
recommendations for final action.

8. Arrange for capital and operating financing, as needed, and submit the
transactions to the board for its final action.

9. Analyze and recommend to the board potential sites for the multipurpose facility
proposed at any time before September 13, 2002 by a site host.

10. Negotiate agreements with site hosts, including intergovernmental agreements
pursuant to title 11, chapter 7, article 3 if a site host is a public agency, as defined
in section 11-951, concerning the land, infrastructure and parking to be provided by the
site host and submit the agreements to the board for its final action. All agreements
must:

(a) Provide that the site host shall indemnify and hold harmless the authority and
this state from any liability to the extent resulting from the negligent or intentional
acts or omissions of the site host, its representatives and agents or employees resulting
from any access ways provided by the site host and reasonably used by the public for
ingress and egress to the land, infrastructure and parking facilities provided by the
site host for use in connection with the multipurpose facility.

(b) Require any site host to maintain insurance or an adequate self-insurance plan
for any liability of the site host, with a waiver of sovereign immunity if necessary.

11. In consultation with the users of the multipurpose facility, negotiate a
contract with a management firm to operate, promote and market the multipurpose facility
and submit the contract to the board for its final action.

12. In consultation with the users of the multipurpose facility, negotiate contracts
with concessionaires and other providers for food, beverage and other services at the
multipurpose facility and submit the contracts to the board for its final action.

13. Take other actions that are necessary to ensure that the multipurpose facility
is constructed according to the schedule and budget approved by the board.

C. Title 34 applies to the authority, except that regardless of the funding source
for design and construction of facilities and structures and notwithstanding title 41,
chapter 23, the authority may establish alternative systems and procedures, including the
use of the design-build method of construction and the use of qualifications-based
selection of contractors with experience in stadium design or construction, by either
direct selection or by public competition, to expedite the design and construction of any
of its facilities or structures or any facilities or structures leased to it or used by
it pursuant to an intergovernmental agreement. For purposes of this subsection:

1. "Design-build" means a process of entering into and managing a contract between
the authority and another party in which the other party agrees to both design and build
any structure, facility or other items specified in the contract.

2. "Qualifications-based selection" means a process of entering into and managing a
contract between the authority and another party in which the other party is selected by
the authority on the basis of the party's qualifications and experience in designing or
constructing facilities, structures or other items similar to those the authority is
authorized to construct or lease.

D. The plans and specifications for the multipurpose facility are subject to review
and approval by the board. The board shall inspect and approve construction of the
facility, if it conforms to the plans and specifications and applicable engineering
standards. Throughout the life of the multipurpose facility, the board is responsible and
shall monitor and take action as necessary to ensure the appropriate maintenance and
operation of the facility.

E. To assure that a site host has the financial capability to perform its
obligations under any agreements with the authority, before entering into an agreement
with any site host, the authority shall either:

1. Cause a review of the financial books and records of the site host by an
independent certified public accountant selected by the authority who shall prepare for
the authority, and attest to, a report setting forth the results of that review.

2. Provide in the agreement with the site host another method for assuring the
payment of the obligations of the site host. The alternative methods for assuring payment
may include:

(a) Deposits in a construction trust account in an amount equal to the site host's
estimated obligations to the authority.

(b) Posting a bond in an amount equal to the site host's estimated obligations to
the authority.

(c) Providing the authority with a letter of credit in an amount equal to the site
host's estimated obligations to the authority.

(d) Other similar financial assurance.

F. The authority shall provide in any agreements between the authority and a site
host that is an Indian tribe:

1. A waiver of sovereign immunity to allow the enforcement by the authority of the
agreements entered into between the authority and the Indian tribe.

2. A consent to the jurisdiction of state and federal courts by the Indian tribe.

3. A waiver of the right to require the authority to exhaust tribal remedies before
bringing an action in state or federal courts.

4. That state and federal law will govern the interpretation of any agreements
entered into between the authority and the Indian tribe.

5. An agreement that the Indian tribe will levy, collect and pay to the authority a
charge or other imposition equivalent to the taxes provided in section 5-840 for any
hotel located within a development area to be defined by agreement between the authority
and the Indian tribe around the multipurpose facility.

6. An agreement that the Indian tribe will provide for an annual disclosure of gross
proceeds of sales or gross income as determined for purposes of a tax base under the
transient lodging transaction privilege tax classification under section 42-5070 and
contributions made to the authority equal to the taxes as provided by section 5-840.