HomeMy WebLinkAboutReso 92-316 - Approve lease & funding agreement entered into between the COR & Shasta County Arts Council, effect 07/01/92 I
RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING APPROVING
THE LEASE AND FUNDING AGREEMENT ENMEI) INTO BETWEEN THE CITY OF
REDDING AND THE SHASTA COUNTY ARTS COUNCIL, EFFECTIVE JULY 1,
1992, AND AUTHORIZING THE MAYOR TO SIGN ON BEHALF OF THE CITY.
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IT IS HEREBY RESOLVED by the City Council of the City of Redding as
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, 1992, 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
i 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 21st day of JulY , 1992, and was duly adopted at said meeting by the
following vote:
AYES: COUNCIL MEMBERS: Anderson, Arness, Dahl, Kehoe & Moss
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL MEMBERS: None
CHARLIE MOSS, Mayor
City of Redding
A ST: _ FORM OVED:
CONNIE STRO YER, Ci Clerk RAAaLL A. HAYS, Cit Attorney N
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L E A S E
THIS LEASE is made and entered into as of the 1st day of July,
1992 , by and between the CITY OF REDDING, a Municipal Corporation
and General Law City, hereinafter referred to as "LESSOR, " and THE
SHASTA COUNTY 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 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 by THE
SHASTA COUNTY ARTS COUNCIL (hereinafter called "ARTS COUNCIL" )
under that certain Funding Agreement between the CITY OF REDDING
and the ARTS COUNCIL dated July 1, 1992 (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
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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, 1992 , and terminating June 30, 1993 ,
subject to LESSOR not requiring the Premises for other purposes.
2. RENEWAL.
A. Provided LESSEE is not in default under this Lease or the
FUNDING AGREEMENT, and provided LESSOR does not require the
Premises for other purposes, it is the present intention of
the parties hereto that on the expiration of the term hereof,
this Lease or some modification thereof may, at the sole
discretion of LESSOR, be renewed for additional successive
one-year terms, such decision to be based on ( 1) whether or
not LESSOR requires the Premises for any other purpose or
purposes, and ( 2) LESSOR' s determination of LESSEE' s
performance in fulfilling the stipulations of this Lease and
the services to be performed by the ARTS COUNCIL under the
FUNDING AGREEMENT.
B. Prior to any consideration of the renewal of this Lease,
LESSEE shall provide the following information to LESSOR no
later than thirty ( 30) days prior to the expiration of the
term hereof:
a) A statement outlining the ARTS COUNCIL' s income and
expenditures relating to its operations during the term
of this Lease;
b) A statement outlining how the ARTS COUNCIL utilized the
grant funds provided to it by the CITY OF REDDING under
the 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 by the ARTS COUNCIL.
3. USE.
LESSEE shall maintain and operate the Old City Hall Arts
Center solely for purposes consistent with the operation and
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maintenance of a publicly-owned multi-media arts center, and for
the benefit of non-profit cultural groups of Shasta County, by
presenting performing artists, vocalists, lectures by professional
artists, musicians, sculptors, graphic artists, and, with the
approval of LESSOR' s City Manager and/or designee, other agencies,
individuals, and users. LESSEE may use the outside courtyard area
alongside the Art Center for outdoor "Art Marts," where art-in-
action can be combined with the display and sale of artwork by
Shasta County artists.
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.
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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
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.
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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,
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
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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. 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: $500 ,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 . Employer' s Liability: $500,000 per accident for bodily
injury or disease.
Deductibles and Self-Insured Retentions
Any deductibles or self-insured retentions must be declared to and
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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. 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.
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. LESSEEEIs 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, canceled 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
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original endorsements effecting the coverage required by this
clause. 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
before the July 1, 1992.
18. ASSIGNMENT AND SUBLETTING.
LESSEE shall not assign this Lease or any interest therein,
and shall not sublet the Premises or any part thereof, nor any
right or privilege appurtenant thereto, nor 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 shall not, nor shall any interest therein, 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.
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
to reenter the Premises and take possession thereof . In no event
shall this Lease be deemed an asset of LESSEE after adjudication in
bankruptcy.
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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, nor 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.
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
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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 of LESSOR, or the LESSEE, any such
question may be referred to the City Council of CITY, whose
decision thereon shall be final.
25. ENTIRE AGREEMENT.
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
shall extend to and be binding upon the successors and assigns of
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the parties 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
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Dated: 1992 By:
CHARLIE MOSS, Mayor
Dated: S-" , 1992 THE SHASTA COUNTY ARTS COUNCIL
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Presiders of 13oard 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:
ALL THAT PORTION OF LOTS 11 AND 12, BLOCK 15, OLD
PLATS, PAGE 55, WITHIN SECTION 11 OF THE P .B.
READING GRANT, CONTAINING 1400 SQUARE FEET.
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EXHIBIT B
EUREKA WAY
F-1 >
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� m OLD PLATS PG. 55
� BLOCK 15
z cf) LOTS 1 1 112
D
uo+ 140' SHASTA ST
0 0
0 0
^ 140' ^
15
TEHAMA ST
MALL
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ci)
F�
FUND=NG AGREEMENT
IIS
THIS AGREEMENT is made and entered into as of the 1st day of
July, 1992, 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
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I Corporation duly organized and existing under and by virtue of
jthe laws of the State of California, hereinafter referred to as
"ARTS COUNCIL" :
W I T N E S S E T H:
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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
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hereto as follows:
1. The term of this Agreement shall be one year,
commencing July 1, 1992, and ending June 30, 1993 .
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;
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(c) To work cooperatively for arts promotion and advocacy;
and
(d) To reach more citizens with the Arts.
It is further agreed that the Old City Hall Arts Center will
jbe 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 performances, 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 1992-93, 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, 1993 .
It is specifically agreed between the parties hereto that
any funds paid by CITY to the ARTS COUNCIL shall be used solely
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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;
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(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.
5. If , upon the completion of the term of this Agreement,
j funds advanced by CITY to the ARTS COUNCIL remain unexpended, the
ARTS COUNCIL shall return the unexpended funds to CITY within
thirty ( 30 ) days after the expiration of the term hereof , or make
a request to 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
j 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
j 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, 1992, 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.
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7 . The ARTS COUNCIL further agrees that no later than
thirty ( 3 0) 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
jl Agreement;
(b) A statement outlining how it utilized the grant funds
provided by the CITY under this Funding Agreement; and
'4 (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
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d
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forth in paragraph 2 of this Agreement.
8 . A further condition of this Agreement is that one indi-
vidual 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 week minimum during the term of this Agreement.
10. No member of the City Council, nor of any board, and no
officer or employee of CITY shall be or become, directly or
indirectly, financially interested in this Agreement or the
j 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
i that CITY shall be free from any and all liability and claims for
it 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,
i
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.
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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. Workers ' Compensation insurance as required by the
State of California and Employers ' Liability Insurance.
Minimum Limits of Insurance
The ARTS COUNCIL shall maintain limits no less than:
1 . General Liability: $500, 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. Employer' s Liability: $500,000 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,
li employees, agents, and volunteers; or the ARTS COUNCIL shall
procure a bond guaranteeing payment of losses and related
investigations, claims administration, and defense expenses.
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d, Other Insurance Provisions
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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. The
y coverage shall contain no special limitations of the
j 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,
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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.
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.
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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.
j 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
j The ARTS COUNCIL shall furnish the City with Certificates of
Insurance and original endorsements effecting coverage required
by this clause. The endorsements are to be signed by a person
j 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, 1992, 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.
d 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, in addition to
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any other remedies provided for in this Agreement CITY shall 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.
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
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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: 1992 By:
CHARLIE MOSS, Mayor
THE SHASTA COUN'T'Y ARTS COUNCIL
By: L✓/ ��� ,�
Dated: 1S� 1992 Presid' nt of Board of Directors
By:
Executive Director
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,i ATTEST: FORM APPROVED:
CONNIE STROHMAYER, City Clerk RANDALL A. HAYS, City Attorney
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