HomeMy WebLinkAboutReso 93-236 - Approve lease & funding agreement entered into between the COR & the Shasta County Arts Council, effective July 1, 1993 RESOLUTION NO. q3`.Z2_3 Ln
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING
THE LEASE AND FUNDING AGREEMENT ENTERED INTO BETWM THE CITY OF
REDDING AND THE SHASTA COUNTY ARTS COUNCIL, EFFECTIVE JULY 1,
1993, AND AUTHORIZING THE MAYOR TO SIGN ON BEHALF OF THE CITY.
IT IS HEREBY RESOLVED by the City Council of the City of Redding as
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follows:
1. That the City Council of the City of Redding hereby approves the
Lease and the Funding Agreement entered into between the City of Redding and
The Shasta County Arts Council, effective July 1, 1993, true copies of which
are attached hereto and incorporated herein by reference.
2. That the Mayor of the City of Redding is hereby authorized and
directed to sign said Lease and Funding Agreement on behalf of the City of
Redding; and the City Clerk is hereby authorized and directed to attest the
signature of the Mayor and to impress the official seal of the City of Redding
thereto.
I HEREBY CERTIFY that the foregoing Resolution was introduced and read
at a regular meeting of the City Council of the City of Redding on the 15th
day of June , 1993, and was duly adopted at said meeting by the following
vote:
AYES: COUNCIL MEMBERS: Anderson Dahl Kehoe, Moss and Arness
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL MEMBERS: None
CARL ARNESS, Mayor
City of Redding
AST: FORM PROVED
CONNIE STROHMAYER, Cia Clerk RANDALL AYHAYS, City Attorney
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L E A S IF-
THIS
THIS LEASE is made and entered into as of the 1st day of July,
1993 , by and between the CITY OF REDDING, a Municipal Corporation
and General Law City, hereinafter referred to as "LESSOR," and THE
SHASTA COUN'T'Y ARTS COUNCIL, a California Nonprofit Corporation,
whose principal office is located in the City of Redding, County of
Shasta, State of California, hereinafter referred to as "LESSEE: "
W I T N E S E T H:
WHEREAS, LESSEE has leased the Old City Hall Arts Center for
a multi-media Arts Center since 1986, and wishes to lease the Arts
Center for a further term of one ( 1) year, provided LESSOR does not
require the building for other purposes; and
WHEREAS, LESSEE has kept the covenants heretofore agreed to;
and the granting of a lease for a further one-year term, with the
above proviso, will continue to benefit LESSOR and its citizens;
and
WHEREAS, LESSEE has asked that use of the outside courtyard
area alongside the Arts Center be allowed for outdoor "Art Marts,"
where art-in-action can be combined with the display and sale of
artwork by Shasta County artists;
NOW, THEREFORE, for and in consideration of the mutual
promises, covenants, considerations, and conditions hereinafter set
forth, and in consideration of the services to be performed under
that certain Funding Agreement between the CITY OF REDDING and THE
SHASTA COUNTY ARTS COUNCIL dated July 1 , 1993 (hereinafter called
"FUNDING AGREEMENT") , the parties hereto agree as follows:
1 . TERM.
LESSOR does hereby lease, demise, and let unto LESSEE the
building located at 1313 Market Street in the City of Redding,
known as the Old City Hall Arts Center, together with the outside
courtyard area alongside the Arts Center, as shown on Exhibits A
and B attached hereto and incorporated herein by reference
(hereinafter referred to as. the "Premises" ) , for a term of one ( 1)
year commencing July 1 , 1993 , and terminating June 30, 1994,
subject to LESSOR not requiring the Premises for other purposes.
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and authority and does hereby agree to perform said work by means
of advertising; preparing and publishing booklets, folders,
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pamphlets, circulars, and other printed matter; furnishing
advertising matter and news items to newspapers, magazines,
newsreels, pamphlets, and other publications; collecting and
preparing information pertinent to tourism in the Shasta Cascade
Region; distributing information in such a manner as will be the
most beneficial to CITY and its tourist industry; and maintaining
a public office fully equipped for the purpose of disseminating
information and answering correspondence and inquiries regarding
the Shasta Cascade Region, its tourist industry, and other
matters of interest.
4. In order to assist the SCWA in performing said
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promotional work, CITY agrees to provide the SCWA with one full-
time CITY Convention and Visitors Bureau employee, namely a
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general manager, who will work in the SCWA offices. It is
understood and agreed, however, that the SCWA will continue as an
independent, autonomous, non-profit, public-service organization,
with its own Board of Directors. The general manager, although a
CITY employee, will be , responsible to ( 1) the SCWA Board of
Directors in matters relating to program content and the carrying
out of those programs; and ( 2) CITY staff in matters of general
administration, financial administration, and personnel
administration.
The CITY will further assist the SCWA by providing other
services, at the discretion of the CITY Manager or his designee.
5 . The Board of Directors of the SCWA shall continue to
include as members of its Board of Directors those represen-
tatives currently designated by their respective counties as
members of the Tourism Advisory Council.
6 . The SCWA agrees to seek and obtain contributions,
donations, grants, and subsidies from federal, state, and county
governments; residents of the community; memberships; and any
other appropriate sources.
7 . The SCWA will submit a summary statement of its income
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4. NATIONAL REGISTER OF HISTORIC PLACES.
LESSEE understands that the Premises is on the National
Register of Historic Places, and that under no circumstances shall
the appearance of the Premises be altered. If LESSEE desires to
place any improvements in or on the Premises, LESSEE agrees that it
will first obtain the written consent of LESSOR as to any such
improvements, including advertising signs. Any improvements later
installed by LESSEE within the Premises shall become the property
of LESSOR. Wall surfaces of the Premises shall be maintained in
their restored condition, and shall not be used for displays or
wall-hanging exhibits.
5. BOARD OF DIRECTORS.
One individual designated by the City Council of LESSOR and
one individual designated by the Redding Museum of Art and History
shall serve as members of the Board of Directors of LESSEE.
6. HOURS.
LESSEE shall be responsible for making the Old City Hall Arts
Center open to the public an average of twenty ( 20) hours per week
minimum for the duration of this Lease.
7. FEES.
LESSEE shall charge use fees commensurate to offset its costs
of maintaining and administrating the use of the Premises.
8. PREMISES AS-IS.
By entry hereunder, LESSEE accepts the Premises as being in
good and sanitary order, condition, and repair; and agrees that on
the last day of the term hereof or sooner termination of this Lease
to surrender unto LESSOR all and singular the Premises and appurte-
nances in the same condition, reasonable use and wear thereof and
damage by fire, Acts of God, or the elements excepted.
9. MAINTENANCE BY LESSOR.
LESSOR covenants and agrees to maintain the Premises,
including provision for security measures to prevent fire and theft
within the building, and to provide and pay all costs of utility
services. In this connection, it is further agreed that LESSOR
shall provide janitorial service to the Premises; it being the
present intention that this will be provided by LESSOR including
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the Premises within the provisions of its existing or subsequent
janitorial service contracts.
10. LESSEE'S RESPONSIBILITIES.
LESSEE shall be responsible for security of the Premises;
janitorial maintenance in connection with the cleanup needed after
each event; program administration; and office furniture. Any
condition of the Premises which LESSEE believes requires the
attention of LESSOR should be called to the attention of the
Director of General Services of LESSOR.
11. . WASTE.
LESSEE shall not commit or suffer to be committed any waste
upon the Premises, nor any nuisance or other act or thing which may
disturb the quiet enjoyment of adjoining property.
12. TAXES.
LESSEE agrees to pay promptly when due any and all taxes
assessed against its personal property, and any possessory interest
taxes levied by reason of its occupancy of the Premises.
13. MECHANICS' LIENS.
LESSEE shall keep the Premises and the property on which the
Premises is situated free from any liens arising out of any work
performed, material furnished, or obligations incurred by LESSEE.
14. INSPECTION.
LESSOR hereby reserves the right for its agents and employees
to come onto the Premises at any time for maintenance, custodial
services, or security purposes, and to have a right of access to
all portions of the Premises for said purposes.
Further, LESSOR or its agents, accompanied by a member of the
staff or Board of LESSEE, shall have the right, on reasonable
occasions, to enter into or onto any part of the Premises to
ascertain and inspect its condition.
15. COMPLIANCE WITH LAW.
LESSEE covenants and agrees to comply with all statutes, laws,
ordinances, regulations, orders, judgments, decrees, directions,
and requirements of LESSOR, and of all federal, state, county, and
city authorities now in force, or which may hereafter be in force,
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applicable to the Premises, or pertaining to a nonprofit
corporation incorporated under the laws of the State of California.
The judgment of any Court of competent jurisdiction or the
admission of LESSEE in any action or proceeding against LESSEE,
whether LESSOR be a party thereto or not, that LESSEE. has violated
any such ordinance or statute in the use of the Premises shall be
conclusive of the fact as between LESSOR and LESSEE and shall
subject this Lease to immediate termination at the option of
LESSOR.
16. HOLD HARMLESS.
LESSEE shall. assume all responsibility and liability in
connection with the operation of the multi-media Arts Center; and
this Lease is granted upon, the express condition that LESSOR shall
be free from any and all liability and claims for damages for
personal injury, death, or property damage in any way connected
with LESSEE' s use of the Premises and the services to be performed
hereunder, including claims of LESSEE, its officers, agents,
employees, and members. LESSEE shall indemnify, save harmless, and
defend LESSOR, its officers, officials, employees, agents, and
volunteers, from any and all liability, loss, cost, or obligation
on account of or arising out of any such injury, death, or loss
caused by, the negligence or other legal fault of LESSEE or its
officers, agents, employees, and members.
17. INSURANCE.
LESSEE shall procure and maintain for the duration of the
Lease the following insurance against claims for injuries to
persons or damages to property which may arise from or in
connection with LESSEE' s operation and use of the Premises. The
cost of such insurance shall be borne by LESSEE.
Minimum Scope of Insurance
Coverage shall be at least as broad as:
1 . Insurance Services Office Commercial General Liability
coverage (occurrence form CG 0001) . Claims-made form is
also acceptable.
2 . Insurance Services Office form #CA 0001 (Ed. 1/87)
covering Automobile Liability, owned, non-owned, and
hired.
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3 . Workers' Compensation insurance as required by the State
of California, and Employers' Liability Insurance.
Minimum Limits of Insurance
LESSEE shall maintain limits no less than:
1. General Liability: $1, 000,000 per occurrence for bodily
injury, personal injury, and property damage. If
Commercial General Liability Insurance or other form with
a general aggregate limit is used, the general aggregate
limit shall be twice the required occurrence limit.
2. Automobile Liability: $1, 000,000 per accident for bodily
injury and property damage.
3 . Employer' s Liability: $1, 000,000 per accident for bodily
injury or disease.
Deductibles and Self-Insured Retentions
Any deductibles or self-insured retentions must be declared to
and approved by LESSOR. At the option of LESSOR, either: the
insurer shall reduce or eliminate such deductibles or self-
insured retentions as respects the LESSOR, its officers,
officials, employees, agents, and volunteers; or LESSEE shall
procure a bond guaranteeing payment of losses and related
investigations, claims administration, and defense expenses.
Other Insurance Provisions
The general liability policy is to contain, or be endorsed to
contain, the following provisions:
1 . LESSOR, its officers, officials, employees, agents, and
volunteers, are to be covered as insureds as respects:
liability arising out of activities performed by or on
behalf of the LESSEE; products and completed operations
of the LESSEE; Premises owned, occupied or used by the
LESSEE; or automobiles owned, leased, hired, or borrowed
by LESSEE. The coverage shall contain no special
limitations of the scope of protection afforded to
LESSOR, its officers, officials, employees, agents, or
volunteers.
2. LESSEE' s insurance coverage shall be primary insurance as
respects LESSOR, its officers, officials, employees,
agents, and volunteers.. Any insurance or self-insurance
maintained by LESSOR, its officers, officials, employees,
agents, or volunteers, shall be excess of LESSEE' s
insurance and shall not contribute with it.
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3 . Any failure to comply with reporting or other provisions
of the policies, including breaches of warranties, shall
not affect coverage provided to LESSOR, its officers,
officials, employees, agents, or volunteers.
4. LESSEE' s insurance shall apply separately to each insured
against whom claim is made or suit is brought, except
with respect to the limits of the insurer' s liability.
5. Each insurance policy required by this clause shall be
endorsed to state that coverage shall not be suspended,
voided, cancelled by either party, reduced in coverage or
in limits except after thirty ( 30) days' prior written
notice has been given to LESSOR.
Acceptability of Insurers
Insurance is to be placed with insurers with a current A.M.
Best' s rating of no less than A:VII .
Verification of Coverage
LESSEE shall furnish LESSOR with certificates of insurance and
original endorsements effecting the coverages required by this
paragraph 17 . The endorsements are to be signed by a person
authorized by that insurer to bind coverage on its behalf .
All endorsements are to be received and approved by the Risk
Manager of LESSOR on or before July 1, 1993 .
18. ASSIGNMENT AND SUBLETTING.
LESSEE shall not assign this Lease or any interest therein;
and shall not sublet the Premises or any part thereof or any right
or privilege appurtenant thereto; or suffer any other person (the
agents and servants of LESSEE excepted) to occupy or use the
Premises or any portion thereof, without the written consent of
LESSOR first had and obtained. A consent by LESSOR to one
assignment, subletting, occupation, or use by another person or
entity shall not be deemed to be a consent to any subsequent
assignment, subletting, occupation, or use by another person or
entity. Any such assignment or subletting without such consent
shall be void and shall, at the option of LESSOR, terminate this
Lease. This Lease or any interest therein shall not be assignable
as to the interest of LESSEE by operation of law without the
written consent of LESSOR.
The normal use of the Premises (as per paragraph 3 above) for
performances, classes, lectures, etcetera, shall not be deemed a
sublease in the context of this paragraph.
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19. BANKRUPTCY OR INSOLVENCY.
If LESSEE should be adjudged bankrupt, either by voluntary or
involuntary proceedings, or abandon or vacate the Premises, or make
an assignment for the benefit of creditors, or should the Premises
come into possession or control of any trustee in bankruptcy, or if
any receiver should be appointed in any action or proceeding with
power to take charge, possession, control, or care of the Premises,
LESSOR shall have the option to forthwith terminate this Lease and
reenter the Premises and take possession thereof. In no event
shall this Lease be deemed an asset of LESSEE after adjudication in
bankruptcy.
20. DEFAULT.
If LESSEE should default as to any of the terms, conditions,
covenants, and agreements herein contained, and LESSOR having
knowledge of such breach should not take advantage of same, such
failure on LESSOR' s part shall not be construed as a waiver of such
term, condition, covenant, or agreement, and the right of termi-
nation by LESSOR shall remain in full force and effect unless
expressly waived in writing. In no event shall the right to give
or withhold consent in any case be deemed to be waived on account
of a prior waiver thereof.
21. CANCELLATION.
In the event subsequent differences arise between the parties
hereto, and either party desires to cancel this Lease, it is
covenanted and agreed between LESSOR and LESSEE that such
cancellation can be effectuated only upon two ( 2) months' written
notice to the other party in advance.
22. NOTICE.
Any notices or demands that may be given by either party
hereunder, including notice of default and notice of termination,
shall be deemed to have been fully and properly given when made in
writing, enclosed in a sealed envelope, and deposited in the United
States Post Office, certified mail, postage prepaid, addressed as
follows: To LESSOR c/o City Manager, City Hall, 760 Parkview
Avenue, Redding, California 96001-3396; and to LESSEE at 1313
Market Street, Redding, California 96001.
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23. HOLDING OVER AT END OF TERM.
If, with LESSOR' s prior written consent, LESSEE holds
possession of the Premises after the term of this Lease has
expired, LESSEE shall become a tenant from month-to-month upon the
terms and conditions herein specified; and LESSEE shall continue in
possession of the Premises on said month-to-month basis until
termination of the tenancy by either party hereto, preceded by
thirty ( 30) days' written notice of such intention to terminate.
24. ADMINISTRATION BY LESSOR.
Whenever LESSEE is required to secure the approval or consent
of LESSOR under this Lease, LESSOR shall mean the Director of
Community Services of LESSOR. However, at the option of the
Director of Community Services or the LESSEE, any such question may
be referred to the City Council of CITY, whose decision thereon
shall be final.
25. ENTIRE AGREMUNT.
This Lease sets forth the entire agreement between the parties
hereto. Modifications or additions to this Lease shall be
considered valid only when mutually agreed upon by the parties
hereto in writing.
26. INVALID PROVISIONS.
In the event any term, covenant, condition, or provision
herein contained is held invalid by any Court of competent
jurisdiction, the invalidity of the same shall in no way affect any
other term, covenant, condition, or provision herein contained,
provided that the validity of any such term, covenant, condition,
or provision does not materially prejudice either LESSOR or LESSEE
in their respective rights and obligations contained in the valid
terms, covenants, conditions, and provisions of this Lease.
27. ATTORNEY FEES.
In case suit or action is instituted to enforce any of the
provisions of this Lease, the prevailing party therein shall be
entitled to attorney fees and other sums as may be adjudged
reasonable and necessary at trial and on appeal.
28. BINDING ON SUCCESSORS.
All terms, covenants, conditions, and provisions of this Lease
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shall extend to and be binding upon the successors and assigns of
theP arties hereto.
29. TIME OF ESSENCE.
Time is of the essence of this Lease, and of each and every
provision thereof .
30. CEQA.
It has been determined that this matter is categorically
exempt from the provisions of the California Environmental Quality
Act.
IN WITNESS WHEREOF, the parties hereto have executed this
Lease in the presence of their respective officers duly authorized
in that behalf on the days and year set forth below.
CITY OF REDDING
Dated: , 1993 By:
CARL ARNESS, Mayor
Dated: , 1993 THE SHASTA COUN'T'Y ARTS COUNCIL
By:
President of Board of Directors
By:
Executive Director
ATTEST: FORM APPROVED:
CONNIE STROHMAYER, City Clerk RANDALL A. HAYS, City Attorney
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EXHIBIT A
ALL THAT REAL PROPERTY MORE PARTICULARLY DESCRIBED AS FOLLOWS:
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ALL THAT PORTION OB LOTS 11 AND 12, BLOCK 15, OLD
PLATS, PAGE 55, WITHIN SECTION 11 OF TH$ P .B.
READING GRANT, CONTAINING 1400 SQUARE FEET.
EXHIBIT B
EUREKA WAY
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o � OLD PLATS PG. 55
� BLOCK 15
z CIO LOTS 1 1 112
D
� 140SHASTA ST
0 0
0 0
140' ^
15
TEHAMA ST
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FUND=NG AGREF7KFNT
THIS AGREEMENT is made and entered into as of the 1st day of July,
1993, by and between the CITY OF REDDING, a Municipal Corporation and
General Law City, hereinafter referred to as "CITY," and THE SHASTA
COUNTY ARTS COUNCIL, a Non-profit Corporation duly organized and
existing under and by virtue of the laws of the State of California,
hereinafter referred to as "ARTS COUNCIL" :
W I T N E S S E T H:
WHEREAS, the City Council of CITY is empowered by the Government
Code of the State of California to appropriate and expend money from
CITY funds for furtherance of the CITY; and
WHEREAS, CITY has no organized means of its own for conducting the
systematic expenditure of such funds so that the CITY may receive the
utmost benefit therefrom; and
WHEREAS, the ARTS COUNCIL, with its large number of volunteer
members, is dedicated to serving the best interests of the CITY and is
well able to promote and involve the community in the Arts, through
which the CITY and its citizens benefit;
NOW, THEREFORE, IT IS AGREED by and between the parties hereto as
follows:
1 . The term of this Agreement shall be one year, commencing
July 1, 1993 , and ending June 30 , 1994 .
2 . The ARTS COUNCIL hereby agrees, during the term of this
Agreement:
( a) To involve the community in the Arts by acting as a catalyst
and leader for artistic expression and cultural growth in
Shasta County;
(b) To continue its efforts in providing arts representation on
committees and participation in CITY-wide events;
(c) To work cooperatively for arts promotion and advocacy; and
(d) To reach more citizens with the Arts.
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It is further agreed that the Old City Hall Arts Center will be
maintained as a focal point in this area--an asset to the community by
its historical significance and contribution to the quality of life--
with a continual variety of exhibits, concerts, theatrical perfor-
mances, and art events taking place therein.
3 . To partially offset the costs of the ARTS COUNCIL in
performing the above-mentioned services in the Redding Area, CITY
agrees to pay the ARTS COUNCIL, for fiscal year 1993-94, the sum of
Twenty Thousand Seven Hundred Dollars ( $20,700 .00) , to be paid as
follows: $10, 350 . 00 upon approval of this Agreement by the City
Council of CITY and processing for payment; and $10,350. 00 on
January 1, 1994 .
It is specifically agreed between the parties hereto that any
funds paid by CITY to the ARTS COUNCIL shall be used solely for its
costs in providing the services set forth in paragraph 2 of this
Agreement; that this provision of funding from CITY is a one-time-only
grant; and that the provision of funding to the ARTS COUNCIL under this
Agreement constitutes no commitment nor intent of CITY to provide
future funding or assistance.
The ARTS COUNCIL agrees to seek and obtain additional
contributions, donations, grants, and subsidies from federal, state,
and county governments, and residents of the community.
It is also anticipated by the parties hereto that the patrons and
board members of The Shasta County Arts Council will, individually and
from time-to-time, donate their services under the direction of the
President of the Board to assist as volunteers in the functioning of
the multi-media Old City Hall Arts Center.
4 . CITY also agrees to assist the ARTS COUNCIL by providing
personnel from the Community Services Department to perform the
following services:
( a) theater technical work at the Old City Hall Art Center;
(b) house management, namely an event coordinator during events
at the Old City Hall Art Center; and
( c) typesetting and printing of the ARTS COUNCIL' s bi-monthly
newsletter and calendar.
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5 . If, upon the completion of the term of this Agreement, funds
advanced by CITY to the ARTS COUNCIL remain unexpended, the ARTS
COUNCIL shall return the unexpended funds to the CITY within thirty
( 30) days after the expiration of the term hereof, or make a request to
the CITY in writing to retain said funds. The request shall be
submitted to the Director of Finance of CITY, and must be received by
her no later than thirty ( 30) days after the expiration of the term
hereof . Said request shall be acted upon by CITY.
6 . The ARTS COUNCIL further agrees that it will:
( a) Submit a budget summary statement of its projected income and
expenses to the Director of Finance of CITY prior to
acceptance of this Agreement by City Council;
(b) Submit a budget summary statement of its actual income and
expenses at the end of the CITY' s fiscal year ending June 30,
1994 , to the Director of Finance of CITY; and
( c) Keep a full and complete account of its use of the funds
received from CITY, and make such accounting available to
CITY upon request.
7 . The ARTS COUNCIL further agrees that no later than thirty
( 30) days prior to the expiration of the term hereof, it will provide
the following to CITY:
( a) A statement outlining its income and expenditures relating to
its operations during the term of this Agreement;
(b) A statement outlining how it utilized the grant funds
provided by the CITY under this Funding Agreement; and
(c) A report concerning the previous 12 months of activities and
events of the ARTS COUNCIL, relative to meeting the goals and
services to be performed as set forth in paragraph 2 of this
Agreement.
8 . A further condition of this Agreement is that one individual
designated by the City Council of CITY and one individual designated by
the Redding Museum of Art and History shall serve as members of the
Board of Directors of the ARTS COUNCIL.
9 . The ARTS COUNCIL shall be responsible for making ,the Old City
Hall Arts Center open to the public an average of twenty ( 20) hours per
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week minimum during the term of this Agreement.
10 . No member of the City Council, or, of any board, and no
officer or employee of CITY shall be or become, directly or indirectly,
financially interested in this Agreement or the above-mentioned
services to be performed by the ARTS COUNCIL.
11 . In providing its services, the ARTS COUNCIL will act as an
independent contractor; and no officer or employee of the ARTS COUNCIL
will be deemed to be an officer or employee of CITY for any purpose.
12. This Agreement is granted upon the express condition that
CITY shall be free from any and all liability and claims for damages
for personal injury, death, or property damage in any way connected
with the services to be performed hereunder by the ARTS COUNCIL,
including claims of the ARTS COUNCIL, its officers, agents, employees,
and members. The ARTS COUNCIL shall indemnify, save harmless, and
defend CITY, its officers, officials, employees, agents, and
volunteers, from any and all liability, loss, cost, or obligation on
account of or arising out of any such injury, death, or loss caused by
the negligence or other legal fault of the ARTS COUNCIL or its
officers, agents, employees, and members.
13 . The ARTS COUNCIL shall procure and maintain for the duration
of this Agreement the following insurance against claims for injuries
to persons or damages to property which may arise from or in connection
with the performance of the work hereunder by the ARTS COUNCIL, its
officers, officials, employees, agents, and volunteers. The cost of
such insurance shall be borne by the ARTS COUNCIL.
Minimum Scope of Insurance
Coverage shall be at least as broad as:
1 . Insurance Services Office Commercial General Liability
coverage ( occurrence form CG 0001) . Claims-made form is also
acceptable.
2 . Insurance Services Office form #CA 0001 (Ed. 1/87) covering
Automobile Liability, owned, non-owned, and hired.
3 . Workers' Compensation insurance as required by the State of
California and Employers' Liability Insurance.
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Minimum Limits of Insurance
The ARTS COUNCIL shall maintain limits no less than:
1 . General Liability: $1,000 . 000 per occurrence for bodily
injury, personal injury, and property damage. If Commercial
General Liability Insurance or other form with a general
aggregate limit is used, the general aggregate limit shall be
twice the required occurrence limit.
2 . Automobile Liability: $1,000,000 per accident for bodily
injury and property damage.
3 . Employer' s Liability: $1,000,000 per accident for bodily
injury or disease.
Deductibles and Self-Insured Retentions
Any deductibles or self-insured retentions must be declared to and
approved by the CITY. At the option of the CITY, either: the
insurer shall reduce or eliminate such deductibles or self-insured
retentions as respects the CITY, its officers, officials,
employees, agents, and volunteers; or the ARTS COUNCIL shall
procure a bond guaranteeing payment of losses and related
investigations, claims administration, and defense expenses.
Other Insurance Provisions
The general liability policy is to contain, or be endorsed to
contain, the following provisions:
1 . The CITY, its officers, officials, employees, agents, and
volunteers, are to be covered as insureds as respects:
liability arising out of activities performed by or on behalf
of the ARTS COUNCIL; products and completed operations of the
ARTS COUNCIL; premises owned, occupied, or used by the ARTS
COUNCIL; or automobiles owned, leased, hired, or borrowed by
the ARTS COUNCIL. The coverage shall contain no special
limitations of the scope of protection afforded to the CITY,
its officers, officials, employees, agents, or volunteers.
2 . The ARTS COUNCIL' s insurance coverage shall be primary
insurance as respects the CITY, its officers, officials,
employees, agents, and volunteers. Any insurance or self-
insurance maintained by the CITY, its officers, officials,
employees, agents, or volunteers, shall be excess of the ARTS
COUNCIL' s insurance and shall not contribute with it.
3 . Any failure to comply with reporting or other provisions of
the policies, including breaches of warranties, shall not
affect coverage provided to the CITY, its officers,
officials, employees, agents, or volunteers.
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4 . The ARTS COUNCIL' s insurance shall apply separately to each
insured against whom claim is made or suit is brought, except
with respect to the limits of the insurer' s liability.
5 . Each insurance policy required by this clause shall be
endorsed to state that coverage shall not be suspended,
voided, cancelled by either party, reduced in coverage or in
limits except after thirty ( 30) days' prior written notice
has been given to CITY.
Acceptability of Insurers
Insurance is to be placed with insurers with a current A.M. Best' s
rating of no less than A:VII.
Verification of Coverage
The ARTS COUNCIL shall furnish the CITY with Certificates of
Insurance and original endorsements effecting the coverages
required by this paragraph 13 . The endorsements are to be signed
by a person authorized by that insurer to bind coverage on its
behalf. All endorsements are to be received and approved by the
CITY prior to July 1, 1993, the commencement date hereunder.
14 . The ARTS COUNCIL shall at all times during the term of this
Agreement comply with all legal requirements, including any applicable
federal, state, county, or city regulations, and shall secure, at its
full cost and expense, any and all permits, applications, or other
requirements in connection therewith.
15. In the event the ARTS COUNCIL violates the provisions of this
Agreement for any reason other than the occurrence of circumstances
over which it can exercise no effective control, and such violation
shall not be cured or remedied within thirty ( 30) days after written
notice thereof by CITY, the CITY shall, in addition to any other
remedies provided for in this Agreement, have the right to terminate
this Agreement by written notice duly served upon the ARTS COUNCIL.
16 . Any notices or demands that may be given by either party
hereunder shall be deemed to have been fully and properly given when
made in writing, enclosed in a sealed envelope, and deposited in the
United States Post Office, certified mail, postage prepaid, addressed
as follows: To CITY c/o City Manager, 760 Parkview Avenue, Redding,
California 96001-3396; and to the ARTS COUNCIL at 1313 Market Street,
Redding, California 96001.
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17 . It has been determined that this matter is not subject to the
provisions of the California Environmental Quality Act.
IN WITNESS WHEREOF, the parties hereto have executed this Funding
Agreement in the presence of their respective officers duly authorized
in that behalf on the days and year set forth below.
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CITY OF REDDING
Dated: 1993 By:
CARL ARNESS, Mayor
THE SHASTA COUNTY ARTS COUNCIL
By:
Dated: 1993 President of Board of Directors
By:
Executive Director
ATTEST:
CONNIE STROHMAYER, City Clerk
FORM APPROVIZ,,Z
RANDAL HAYS, City Attorney
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