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Approve an amendment to reinstate and extend the Lease Agreement between Solano County, the Solano County Fair Association, and Outfront Media LLC for billboard signage at the Solano County Fairgrounds for the period of October 1, 2023 through December 31, 2026; and Delegate signing authority to the County Administrator to execute the amendment and any future related amendments, with County Counsel concurrence
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Published Notice Required? Yes ____ No _X _
Public Hearing Required? Yes ____ No _X _
DEPARTMENTAL RECOMMENDATION:
The County Administrator’s Office recommends that the Board of Supervisors:
1. Approve an amendment to reinstate and extend the Lease Agreement between Solano County, the Solano County Fair Association (SCFA), and Outfront Media, LLC for billboard signage at the Solano County Fairgrounds for the period of October 1, 2023 through December 31, 2026;
2. Delegate signing authority to the County Administrator to execute the amendment and any future related amendments, with County Counsel concurrence.
SUMMARY/DISCUSSION:
In May 2003, the Board approved a 20-year Lease Agreement between the County, SCFA, and Viacom Outdoor, Inc. for two static billboard signs located at the Solano County Fairgrounds. In exchange for allowing billboard advertising, Viacom installed a digital LED sign at the Fairgrounds for County/SCFA use. Through a series of rebrandings and corporate transitions, Viacom eventually became Outfront Media LLC.
The original lease expired in May 2023. Since then, County staff, SCFA, and Terra Realty Advisors (County’s consultant) have worked with Outfront Media to negotiate a short-term reinstatement and lease amendment, which provides immediate revenue recovery and clarifies next steps for future billboard development.
The key terms of the Lease Agreement Amendment (Attachment A) include:
• Term Reinstatement and Extension: Reinstates the lease retroactive to October 1, 2023, and extends through December 31, 2026 (39-month term).
• Monthly Rent: Sets rent at $4,150 per month, payable to SCFA.
• Retroactive Pay: Outfront Media will pay a one-time lump sum of $116,200 to cover missed rent from October 1, 2023 through January 31, 2026 upon execution.
• Access Rights: Outfront Media regains access to the leased premises, upon execution, but access may be restricted by SCFA if rent is unpaid after notice.
• Future Development Intent: Parties agree to continue discussions on converting the two static billboards with digital signage and removing the County-owned electronic sign, subject to all required approvals.
• Right of First Refusal Eliminated: Removes Section 17 of the original lease, eliminating Outfront Media’s right of first refusal and giving the County and SCFA greater flexibility for future signage opportunities.
• Ownership of Static Signs: Clarifies that Outfront Media owns the two static billboard structures and may remove them upon lease termination.
As previously communicated to the Board in December 2025, the lease negotiations were underway and anticipated to result in new revenues not included in the SCFA’s CY2026 Budget. The proposed amendment now formalizes that outcome, providing additional unbudgeted revenue to support SCFA operations.
FINANCIAL IMPACT:
Approval of the Lease Agreement Amendment will generate a total of $161,850 in revenue over the 39-month term, including a one-time retroactive payment of $116,200 for October 1, 2023, through January 31, 2026 and ongoing monthly rent of $4,150 through December 31, 2026. Lease revenue will be collected by the SCFA and was not included in SCFA’s CY2026 Budget. These funds will help stabilize SCFA’s financial position and support continued operations.
The cost of preparing this item is nominal and absorbed by the Department’s FY2025/26 Working Budget. The SCFA is a non-profit operating outside of the County’s budget and is self-funded.
ALTERNATIVES:
The Board could elect not to approve the Lease Agreement Amendment; however, this is not recommended as it would forgo $161,850 in guaranteed revenue and delay progress on future billboard development at the Fairgrounds.
OTHER AGENCY INVOLVEMENT:
This item was coordinated with County Counsel and reviewed by SCFA’s legal counsel and CEO, who confirmed with the SCFA Board that the County may proceed with approval.
CAO RECOMMENDATION:
APPROVE DEPARTMENTAL RECOMMENDATION