The Community and Economic Development (CED) Committee met on December 15, 2025, to receive reports on the annual Team San Jose performance audit and semi-annual updates on the “Building More Housing” and “Growing Our Economy” focus areas. Committee members discussed performance metrics, program challenges, and future priorities, and accepted all reports.
This is the Community and Economic Development Committee meeting and I am late and I apologize. So can we take the roll please? Councilmember Casey. Here. Mulcahy. Here. Ortiz. Present come a chair Foley here. Thank you great Sorry while I get settled here We have nothing on consent and nothing on the work plan Let's move right into the committee reports. The first one is the team San Jose annual and annual performance audit Which we well because it's annual we hear it every year Joe, I think you're presenting. Welcome. With Adrian Perez from my office, we're here to present our audit of Team San Jose's performance for fiscal year 24-25. Since 2004, the San Jose McHenry Convention Center and several other city-owned facilities have operated on the city's behalf by Team San Jose. Additionally, since 2009, Team San Jose has operated the San Jose Convention and Visitors Bureau to promote tourism and provide services such as marketing, public relations, and convention sales and services. My office, under the terms of the management agreements between the city and Team San Jose, performs an annual performance audit to determine whether and how well Team San Jose met agreed upon performance targets that are the basis for a performance-based fee from the city. Under the terms of the agreement to operate the facilities, Team San Jose's annual performance is measured across five different performance areas. In fiscal year 24-25, Team San Jose met its weighted incentive fee scores and Convention of Israel Bureau performance targets. Specifically, Team San Jose exceeded its target in gross operating results, Booked 133,500 hotel room nights, exceeding the target of 117,000. Had an estimated economic impact of nearly $95 million, which is greater than the target of 78 million. Held 540 days of events at the cultural facilities, resulting in an occupancy rate of 97%, and received 97% satisfaction ratings on its customer service surveys. Both of those exceeded their targets as well. As a result, Team San Jose met its weighted incentive fee targets and qualifies for the performance-based fee of $300,000 as outlined in the agreement with the City. We do not have any recommendations in the report, and because of that, there is not a written management response. Any feedback we receive during the course of the work has been incorporated into the body of the report. I ask that you accept the report in cross-reference to the January 13th meeting of the City Council. happy to answer any questions and representatives from Team San Jose as well as from the Office of Economic Development and Cultural Affairs are here