This article contains excerpts from a “Request For City Council Action” that will be reviewed at the Irvine City Council meeting on October 10, 2023. The full document can be viewed here.
After an uncertain 2022, it appears the City of Irvine and Orange County Soccer Club are set to be long term partners.
This Tuesday (October 10), the Great Park Board and the City Council will vote on a proposal that will keep OCSC in Championship Stadium for five years with the potential for an additional five year extension.
The proposal, which is signed off by City Manager Oliver Chi, states the following:
“At its September 13, 2022, meeting, City Council directed staff to enter into a one-year extension of the Memorandum of Understanding (MOU), presented as Attachment 1, with OC Professional Soccer, LLC, commonly known as Orange County Soccer Club (OCSC), for use of the Great Park Championship Soccer Stadium (Stadium). That one-year extension is set to expire on November 30, 2023, and was developed to provide the City and OCSC with time to evaluate the feasibility of developing a longer-term facility use agreement.
Over the past year, staff and OCSC have worked collaboratively to prepare a multi-year agreement that if approved, would facilitate OCSC's use of the Stadium. The contemplated Multi-Year Facility Use and Sponsorship Agreement (Agreement) is the product of this collaboration and the partnership between the City and OCSC. The Agreement allows for OCSC's continued use of the Stadium, ensures access is maintained for other community groups and athletic teams, and provides flexibility for future mutually beneficial Capital Improvement Projects. The Agreement (Attachment 2) details sponsorship, naming rights, and branding opportunities for OCSC while also creating an annual Community Grant Fund, enhancing the City's Scholarship Fund.
The proposed Agreement contemplates terms that provide community access to the Stadium, while providing OCSC a home for their team and fans. The Agreement includes terms for OCSC's use of the facility, as well as sponsorship opportunities. The Agreement contemplates a 5-year term, with one optional 5-year extension.”
This sets up a dynamic shift in the relationship between the City and the team. What was once viewed strictly as a tenant/landlord relationship, this new proposal brings OCSC into the fold as a true partner, a sign that the City Council views the team as a vital part of the identity of the city.
One of the biggest issues that arose in the stadium fight last year was in regards to facility usage. The city (correctly) views Championship Stadium as a public amenity that should be able to be utilized by community groups and not just a professional soccer team. That being said, OCSC has an obligation to USL to provide adequate facilities for the regular and postseason. The proposed terms for OCSC’s usage are:
Priority scheduling of the Stadium for 18 home games (2 days per game)
Priority scheduling for up to 4 playoff games (as needed)
Use of a training field (2 hours) and locker rooms (4 hours) for up to 20 days per month, for 10 months
Additional uses beyond the above schedule to be coordinate within the existing schedule and Great Park Sports Complex Allocation and Fee Policy
This seems more than adequate enough to meet the team’s needs for the USL season. If this was all that was included in the proposal, fans would consider this a success. No more would the team have to worry about where they will play home games in 2024. However, through extensive negotiating and collaboration between the City and the team, the team stands to benefit in many other ways.
“Advertising Rights: Per the proposed Agreement, OCSC would have the right to find, secure, and sell sponsorship opportunities on fixed assets within the Stadium, and may include signage on fan zones, fixtures within the Stadium, or the advertisement panels of the Stadium videoboards. OCSC will retain 80 percent of the total gross sponsorship receipts, and OCSC will pay the City 20 percent of total gross receipts.
Branding: OCSC will pay City $25,000 per year for the ability to place permanent OCSC branding in the Sports Complex for the term of this Agreement. This includes pre identified locations within the Stadium and Great Park Sports Complex for OCSC branded signage.”
The USL is rife with teams that are clearly second- or third-string tenants in their facilities. It’s hard not to feel that way when you walk into a stadium and see branding for another team (sometimes for another sport entirely). Should the current proposal be approved, OCSC will be able to add permanent branding and advertising inside their grounds. From a fan perspective, this is huge in terms of lending legitimacy to the team. When fans walk into Championship Stadium, they will instantly know that this is the home of Orange County Soccer Club.
Speaking of Championship Stadium...
“Stadium Naming Rights: Through October 31, 2025, OCSC will have the exclusive right to find, secure, and sell naming rights for the Stadium. Of note, any such Stadium naming rights would not be allowed to move forward without express approval by the City Council. If the City Council were to grant the naming rights proposed by OCSC, the City would receive 20 percent of any gross sponsorship receipts obtained via the deal, while OCSC would retain 80 percent of the total gross receipts. Nothing in the proposed agreement obligates the City to approve any proposed Stadium naming rights proposal brought forward by OCSC. Further, the Agreement outlines that if OCSC has not secured a third party sponsorship for Stadium naming rights by November 1, 2025, the City and OCSC will each have the right to pursue third-party sponsorship for naming rights for the Stadium. Under that scenario, if a third-party naming rights sponsor is identified by OCSC, then OCSC would retain 80 percent of the total gross receipts, with the City receiving the other 20 percent. However, if the City were to secure the third-party naming rights sponsorship, the City would retain 80 percent of the total gross receipts, while OCSC would receive the remaining 20 percent of the total gross receipts.
With the exception of UCI Health, no healthcare provider or entity shall be proposed as a third party for purposes of Stadium naming rights for the duration of the UCI Health Sponsorship Agreement.”
No fan would have anticipated or expected this development. OCSC will have two years to find an exclusive sponsor for naming rights to the stadium. And if they find a sponsor that gets approved by the city, then 80% of the sponsorship revenue will go to the team. In a league where finances are volatile and often opaque, this could be the biggest clause in the new proposal. This would be an injection of resources that the team has never known. And again, this lends itself to a sense of ownership and permanency for the team if they get to decide what their stadium is called (although admittedly, Championship Stadium is a pretty good name already).
Expanding beyond the USL, this proposal entrusts OCSC to be a key player in terms of bringing professional, high-quality soccer to Irvine:
“6.5. CITY and OCSC mutually agree that OCSC is in a unique position, in which national and international soccer teams discuss use of the Sports Complex with OCSC. CITY and OCSC agree to explore opportunities to bring national and international soccer teams to the Sports Complex, and will work together to accommodate opportunities, based on CITY approval and Sports Complex availability.”
USL fans will recall this past November, Orange County SC hosted Hamburger SV from 2. Budesliga at Championship Stadium, while San Diego Loyal hosted Borussia Dortmund at Snapdragon Stadium in July 2023. It appears the City recognizes OCSC’s beyond-sporting contributions bringing international powerhouses to Orange County.
There will be a worldwide soccer phenomenon happening in the United States in 2026, and Championship Stadium may be a part of it:
“FIFA. OCSC acknowledges and agrees the Sports Complex, including the Stadium and soccer fields may be used by FIFA teams as part of the FIFA World Cup 2026. OCSC acknowledges and agrees that its use of Sports Complex, including the Stadium and soccer fields may by interrupted and/or suspended due to that use by FIFA teams. The City agrees to work with OSCS in advance of any interruption and/or suspension of use in an effort to maintain its obligations to OCSC under this Agreement. Any such use by FIFA and/or FIFA teams shall not constitute a breach of this Agreement and shall not alter the financial obligations of OCSC to City.”
American soccer is on the precipice of something great, and that greatness starts at the club level. In order for small teams like OCSC to make their mark on the soccer landscape in this country, they need stability. Last year, when the one-year extension on the MOU was adopted in the City Council meeting, it was a tepid victory. But those who bleed orange and black showed out in record numbers, and that unwavering support paid off. If it weren’t for the groundswell of support on social media and in the Council Chamber at Irvine City Hall, OCSC would be bidding farewell to their home at the end of this month. Instead, the city has acknowledged that this soccer club deserves support and recognition as more than just a sports team. It’s a haven for fans to shed their daily responsibilities for two hours while they sing and dance with thousands of others. It’s a sanctuary where one can find heartbreaking despair and unbridled joy. And it’s a celebration of community and camaraderie that many never find.
OCSC fans: this victory is for you.
