ACTION 5.2.

14 Office of the Superintendent of Schools MONTGOMERY COUNTY PUBLIC SCHOOLS Rockville, Maryland April 23, 2013 MEMORANDUM To: From: Subject: Members of the Board of Education Joshua P. Starr, Superintendent of Schools Richard Montgomery High SchoolAmendment to Stadium Field Agreement

Background On January 8, 2008, the Board of Education approved a resolution to install artificial turf at the Richard Montgomery High School stadium field. The Board of Education accepted a contribution from Maryland Soccer Enterprises, LLC in the amount of $300,000 toward installation of the artificial turf in return for a five-year term that provides preferred scheduled use of the stadium field during non-school hours. On June 23, 2008, the Board of Education authorized the president of the Board of Education and the superintendent of schools to execute a stadium field agreement with Maryland Soccer Enterprises, LLC, which went into effect February 15, 2009. On November 29, 2012, Maryland Soccer Enterprises, LLC notified Montgomery County Public Schools that Real Maryland FC, a semiprofessional soccer club subsidiary of Maryland Soccer Enterprises, LLC, was dissolved and requested pro-rata reimbursement of the contribution that they had made in accordance with the Richard Montgomery High School Stadium Field Agreement. Maryland Soccer Enterprises, LLC has utilized the stadium field for a period of four years of the five-year term. For the remaining one year, the pro-rata reimbursement amount would be approximately $60,000. There are three options at this point. The first option is to rescind the termination notice and allow Maryland Soccer Enterprises, LLC to continue their use of the field for the remaining oneyear term. It is our understanding that Maryland Soccer Enterprises, LLC has no planned use for the field. As the field will not be used by Maryland Soccer Enterprises, LLC and there would be limited hours available for community use, this option would result in limited utilization of the stadium field for the next year. The second option is to reimburse Maryland Soccer Enterprises, LLC on a pro-rata basis to terminate the current use agreement and initiate a process to identify a new partnership with

Members of the Board of Education

April 23, 2013

another organization for a multiyear term. Given the demand for the field, there is a good possibility that we may secure a partnership with another sports organization. The third option is to amend the current use agreement that allows Maryland Soccer Enterprises, LLC to sublease the field to another sports organization for the remaining one-year term. MCPS would initiate the process to select a new partner next year when the current agreement with Maryland Soccer Enterprises, LLC expires. This option has no cost implication to MCPS. My recommendation is to amend the current agreement that allows Maryland Soccer Enterprises, LLC to sublease the field to another sports organization for the remaining one-year term and select a new partner upon expiration of the current agreement. However, the current stadium field agreement with Maryland Soccer Enterprises, LLC includes a provision for no assignment or sublease conditions. In order to allow Maryland Soccer Enterprises, LLC to sublease the stadium field to Bethesda Soccer Club, an amendment to the current stadium field agreement is needed. Therefore, I request approval to execute an amendment to the current stadium field agreement with Maryland Soccer Enterprises, LLC. WHEREAS, The Board of Education approved a resolution to install artificial turf at Richard Montgomery High School stadium field on January 8, 2008; and WHEREAS, The Board of Education accepted a contribution from Maryland Soccer Enterprises, LLC in the amount of $300,000 toward the installation of artificial turf in return for preferred scheduled use of the stadium field during non-school hours; and WHEREAS, Maryland Soccer Enterprises, LLC has utilized the stadium field four years of the five-year term; and WHEREAS, Maryland Soccer Enterprises, LLC is requesting approval to sublease the remaining one-year term to another sports organization; and WHEREAS, It is in the best interest for the Board of Education to allow the sublease of the Richard Montgomery High School stadium field for the remaining one-year term; and WHEREAS, The current stadium field agreement with Maryland Soccer Enterprises, LLC prohibits assignment or sublease; therefore be it Resolved, That the president of the Board of Education and the superintendent of schools be authorized to execute an amendment to the Richard Montgomery High School Stadium Field Agreement with Maryland Soccer Enterprises, LLC to allow the sublease of the stadium field for the remaining one-year term. JPS:LAB:JS:jlc