Corpus Christi, Texas councilman calls for audit over OVG’s 9-year Ticketmaster deal
City Council Meeting
What began as a routine City Hall briefing in Corpus Christi turned into a tense exchange this week, as Councilman Eric Cantu called for a full audit of Oak View Group (OVG) after revelations about a controversial long-term deal with Ticketmaster.
OVG, which took over management of the city-owned American Bank Center three years ago, came to the meeting armed with glowing numbers. The company reported a 23% increase in revenue, a 55% jump in profits, and a reduction in overall expenses — touting a more than $15 million economic impact on the city. That included a boost of 10,000 hotel room nights and expanded engagement with over 50 local vendors.
The 9-Year Question
At the heart of the controversy is a newly disclosed agreement between OVG and Ticketmaster — a deal set to last until 2032. The problem? OVG’s current contract with the city only runs through 2027.
Originally, city officials were told the Ticketmaster deal was for five years. A representative from OVG360, the venue management arm of OVG, corrected that at the meeting, saying:
“I wasn’t trying to intentionally mislead anyone. We have about 50 contracts to keep track of.”
That explanation didn’t sit well with Cantu.
“Why is OVG 360 signing contracts with Ticketmaster for nine years, knowing they only have a contract for five?” he pressed. “What other contracts are they doing for that long?”
The discrepancy raises serious questions about accountability, transparency, and how much long-term financial obligation OVG is committing the city to — without full oversight.
Taxpayer Dollars and a Public Shortfall
Cantu’s concerns are magnified by the city’s budget outlook. While the new naming rights deal with Hilliard — kicking off September 1 — is expected to bring in $1.3 million annually, the city still faces a projected shortfall of nearly $856,000 after expenses. That includes a $475,000 operating deficit, excluding capital costs.
And in a decision that’s drawing more scrutiny in hindsight, OVG previously rejected a $20 million naming rights offer from attorney Thomas J. Henry — a deal that would have brought in an estimated $750,000 more per year than the current Hilliard agreement.
Wider Trouble at OVG
The audit request comes amid broader turmoil for OVG. Tim Leiweke, co-founder and recently indicted in a federal bid-rigging investigation involving the University of Texas’ Moody Center, has stepped down as CEO. Though he’s pleaded not guilty, the legal cloud over the company’s leadership only adds to public unease.
With taxpayers helping to fund the venue and unanswered questions about long-term financial commitments, Cantu says the city can’t afford to look the other way.
“We need transparency before we consider any more funding or contract extensions,” he said.
Whether the council moves forward with a formal audit remains to be seen. But one thing is clear: OVG’s management of the American Bank Center, once held up as a success story, now faces some serious second-guessing.
