Oakland Picks AEG – Again

Officials voted a second time on who should manager O.co Coliseum in Oakland, Calif., and the result is the same: AEG is still the favorite to win a new management contract to operate the sports stadium and Oracle Arena.

After competing bidder SMG launched a complaint about the process used by the Oakland Coliseum Joint Powers Authority to enter into negotiations AEG on April 20, JPA commissioners scheduled a revote May 14.

SMG, which managed the coliseum complex for the last 13 years, objected to the original vote, accusing the JPA’s process of being ridden with “errors and irregularities (that) are fatal to the fairness and integrity of the (request for proposals) process.”

Alleged irregularities cited included violation of California’s Brown Act governing open meetings and transparency of government agencies. SMG also accused the JPA of providing misleading information about the qualifications of AEG and SMG during the original deliberations of the facility management bids.

If negotiations between the JPA and AEG are successful, any contract will reportedly require AEG to adopt a “hands off” position toward the NFL’s Oakland Raiders, which play at O.co Coliseum and are widely rumored to be one of the teams that could be enticed to move to AEG’s proposed Farmers Field in Los Angeles.