HomeMy WebLinkAboutReso 91-061 - Approve funding agreement & lease agreement between COR & Shasta County Arts Council RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF REDDING
APPROVING THE FUNDING AGREEMENT AND LEASE AGREEMENT BETWEEN
THE CITY OF REDDING AND THE SHASTA COUNTY ARTS COUNCIL, AND
AUTHORIZING THE MAYOR TO SIGN SAME.
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 Funding Agreement and Lease Agreement between the City
of Redding and the Shasta County Arts Council, true copies of which
are attached hereto and incorporated herein.
2 . That the Mayor of the City of Redding is hereby
authorized and directed to sign said Agreements, 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 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 5th day of February, 1991 , and was duly adopted at
said meeting by the following vote:
AYES: COUNCIL MEMBERS: Arness, Dahl , Fulton, Moss & Buffum
NOES: COUNCIL MEMBERS: None
ABSENT: COUNCIL MEMBERS: None
ABSTAIN: COUNCIL MEMBERS: None
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ATTEST: FORM APPROVED:
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ETHEL A. NICHOLS, City Clerk R DALL A. HAYS, Ciefty Attorney
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FUNDING AGREEMENT
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THIS AGREEMENT is made and entered into this 5th day of
February, 1991, by and between the CITY OF REDDING, a Municipal
Corporation and General Law Cit hereinafter referred to as
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"City, " and THE SHASTA COUNTY ARTS COUNCIL, a Non-profit
Corporation duly organized and existing under and by virtue of the
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laws of the State of California, hereinafter referred to and
designated "Arts Council" :
I W I T N E S S E T H:
? WHEREAS, the City Council of City is empowered by the
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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 of
Redding, and is well able to promote and involve the community in
the Arts, from which the City and its citizens benefit;
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NOW, THEREFORE, IT IS AGREED by and between the parties hereto
as follows:
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1 . The above recitals are true and correct.
2. The term of this Agreement shall be six months,
commencing January 1 , 1991, and ending June 30, 1991.
" 3 . The Arts Council hereby agrees, during the term hereof ,
j to involve the community in the Arts by acting as a catalyst and
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leader for artistic expression and cultural growth in Shasta
County; to continue its efforts in providing arts representation on
committees and participation in City-wide events; to work
cooperatively for arts promotion and advocacy; and to reach more
citizens with the Arts. It is agreed that the Old City Hall Arts
Center be established as a focal point in this area: an asset to
the community by its historical significance and contribution to
the area' s quality of life, with a continual variety of exhibits,
concerts, theatrical performances, and art events taking place
therein.
4. 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 1990-91, the sum of
y Ten Thousand Three Hundred Fifty Dollars ( $10,350. 00) to be paid as
follows: $10, 350. 00 on February 6, 1991. It is agreed between the
parties hereto that any funds paid by City to the Arts Council
shall be used solely for the cost of providing the services set
forth in paragraph 3 of this Agreement. It is further agreed that
the provision of funding from City is a one-time only grant, and
that provision of funding to the Arts Council under this Agreement
constitutes no commitment nor intent of City to provide future
funding or assistance.
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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 members of The Shasta County Arts Council Board will,
individually and from time-to-time, donate their services under the
direction of the Director of the Board to assist as volunteers in
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the functioning of the multi-media Old City Hall Arts Center.
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 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 expiration
of the term hereof. Said request shall be acted upon by City.
6. The Arts Council agrees that it will submit a budget
summary statement of its projected income and expenses to the
Director of Finance and Director of Community Services of City
prior to acceptance of this Agreement by City Council; and a budget
summary statement of its actual income and expenses at the end of
the City' s fiscal year ending June 30, 1990; and that it will 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
1 (30 ) days ' prior to the expiration of the term hereof , it will
provide the following to City:
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(a) A statement oulining ARTS COUNCIL' s income and
expenditures relating to its operations during the period
of this agreement;
(b) A statement outlining how it utilized the grant funds
provided by the CITY OF REDDING under the FUNDING
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AGREEMENT; and
(c) A report concerning the previous six ( 6) months of
activities and events of the Arts Council, relative to
meeting the goals/services to be performed as set forth
inara ra h 3 of this Agreement.
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8. A further condition of this Agreement is that one member
of the Redding Civic Arts Commission and one member of the Board of
i Directors of the Redding Museum of Art and History shall serve as
members of the Board of Directors of the Arts Council.
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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 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
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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
and save harmless City, its officers, agents, and employees, from
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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 . It is understood and agreed as a condition of this
Agreement that the Arts Council shall, at its own expense and at
all times during the term of this Agreement, obtain from a company
authorized to do business in the State of California and keep in
full force and effect public liability insurance in the minimum
amounts of $300,000. 00 for injury or death to any person and
$500, 000. 00 for injury or death of more than one person in the same
accident, and public liability insurance for property damage in the
minimum amount of $50, 000 . 00; OR, in the alternative, a combined
single-limits policy in an amount of not less than $500,000. 00 .
Said policy shall name City, its officers, agents, and employees,
as additional insured, and shall further contain a provision
obligating the insurance carrier to notify City in writing at least
ten ( 10 ) days prior to any cancellation or reduction of such
insurance. A Certificate of Insurance evidencing such coverage and
notice requirement shall be approved by the Risk Manager of City
and filed with him prior to the commencement of this Agreement.
14. It is further understood and agreed as a condition of
this
Agreement that the Arts Council will provide workers
compensation insurance on its employees, and furnish the Risk
Manager of City with a Certificate evidencing such insurance, to be
approved by him, prior to the commencement of this Agreement. Said
Certificate shall contain a provision obligating the insurance
carrier to notify City in writing at least ten ( 10) days prior to
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To obtain an exemption from this requirement should the Arts
Council have no employees, the Arts Council shall provide the Risk
Manager of City with a letter stating that it is not employing any
person or persons in any manner so as to become subject to the
workers ' compensation laws of California; provided, however, that
should the Arts Council later become subject to the workers '
compensation provisions of the Labor Code, it will forthwith comply
with the insurance requirements set forth above.
15. 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.
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16. In the event the Arts Council violates the provisions of
jj this Agreement for any reason other than the occurrence of
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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 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.
17 . 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,
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addressed as follows: To Lessor 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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18. 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
Agreement in the presence of their respective officers duly
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CITY OF REDDING
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NANCY BUFFUM, Mayor
THE SHASTA COUNTY ARTS COUNCIL
By:
a Chairman of Board of Directors
By:
Executive Director
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ATTEST:
ETHEL A. NICHOLS, City Clerk
FORM APPROVED:
RANDALL A. HAYS, City Attorney
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L E A S E
THIS LEASE is made and entered into as of the 5th day of
February, 1991, 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 Non-
profit 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
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(hereinafter referred to as the "Premises" ) for a multi-media arts
center since 1986, and wishes to lease said Premises for a further
term of six months, provided the City does not require the Premises
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WHEREAS, LESSEE has kept the covenants heretofore agreed to;
and the granting of a lease for a further term of six months, with
the above proviso, will continue to benefit the City and its
citizens:
NOW, THEREFORE, for and in consideration of the mutual
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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 February 5, 1991, (hereinafter called
"FUNDING AGREEMENT" ) , the parties hereto agree as follows:
1. Term; Use. LESSOR does hereby lease, demise, and let
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unto LESSEE the building located at 1313 Market Street, in the City
of Redding, known as the Old City Hall Arts Center, solely for
purposes consistent with the operation and maintenance of a
publicly-owned multi-media arts center, for a term of six ( 6)
months commencing January 1, 1991, and terminating June 30, 1991,
subject to LESSOR not requiring the Premises for other purposes.
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f LESSEE shall maintain and operate the Old City Hall Arts
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l Center for the benefit of non-profit cultural groups of Shasta
County, including graphic artists, performing artists, vocalists,
lectures by professional artists, musicians, and sculptors.
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i 2. Maintenance by LESSOR. LESSOR covenants and agrees to
maintain said 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 demised Premises within the provisions of
its existing or subsequent janitorial service contracts.
3 . Renewal. As stated above, the term of this Lease is for
six ( 6) months, subject to LESSOR not requiring the Premises for
other purposes. Provided LESSEE is not in default under this Lease
or the FUNDING AGREEMENT, 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 whether or not LESSOR requires the building
for any other purpose or purposes, and based on City' s
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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.
' 4. LESSEE to Provide Documentation. 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 oulining ARTS COUNCIL' s income and
expenditures relating to its operations during the period
of this agreement;
(b) A statement outlining how it utilized the grant funds
provided by the CITY OF REDDING under the FUNDING
AGREEMENT; and
(c) A report concerning the previous six ( 6) months of
activities and events of the ARTS COUNCIL relative to
meeting the goals/services to be performed by the ARTS
COUNCIL.
5. Board of Directors. One member of the Redding Civic Arts
I Commission and one member of the Board of Directors of 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
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City Hall Arts Center open to the public an average of twenty ( 20)
hours per week minimum for the duration of this Lease.
7. Accept 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 said Premises with said appurtenances in the same
condition, reasonable use and wear thereof and damage by fire, Act
of God, or the elements excepted.
8. Waste. LESSEE shall not commit or suffer to be committed
any waste upon said Premises, nor any nuisance or other act or
thing which may disturb the quiet enjoyment of adjoining premises.
9 . Mechanics ' Liens. LESSEE shall keep the demised Premises
and the property on which the demised Premises is situated free
from any liens arising out of any work performed, material
furnished, or obligations incurred by LESSEE.
10. Compliance with Law. LESSEE covenants and agrees to
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comply with all statutes, laws, ordinances, regulations, orders,
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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 leased Premises,
or pertaining to a non-profit 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.
11. Assignment and 'Subletting. LESSEE shall not assign this
Lease or any interest therein, and shall not sublet said 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 said 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 shall not be deemed to be a
consent to any subsequent assignment, subletting, occupation, or
use by another person. 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.
12 . Bankruptcy or Insolvency. If LESSEE should be adjudged
bankrupt, either by voluntary or involuntary proceedings, or
abandon or vacate said Premises, or make an assignment for the
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benefit of creditors, or said demised Premises should 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 demised
Premises, LESSOR shall have the option to forthwith terminate this
Lease and to reenter the demised Premises and take possession
thereof. In no event shall this Lease be deemed an asset of LESSEE
after adjudication in bankruptcy.
13 . Inspection. LESSOR hereby reserves the right for its
agents and employees to come onto the demised Premises at any time
for maintenance, custodial services, or security purposes, and to
have a right of access to all portions of the demised Premises for
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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 any part of the building (Premises) hereby
leased to ascertain and inspect its condition.
14. 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 terms, conditions, covenants, or agreements, and the
right of termination 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.
15. Hold Harmless. LESSEE shall assume all responsibility
and liability in connection with the operation of said multi-media
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arts center, and LESSEE assumes and agrees to save and hold LESSOR
and its officers, agents, and employees harmless from any
responsibility or liability in connection with LESSEE' s use of the '
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Premises hereunder leased during the term of this Lease, including
damages for injuries to persons or property of persons using said
Premises.
16 . Insurance. It is understood and agreed as a condition of
this Lease that LESSEE shall, at its own expense, obtain and keep
in full force and effect public liability insurance in the amounts
of $300, 000. 00 for injury to one person, $500, 000. 00 for any one
? accident, and $50,000 . 00 for property damage, OR, in the
alternative, a combined single-limits policy in an amount not less
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than $500,000. 00, and shall name LESSOR, its officers, agents, and
employees, as additional insureds, and shall further contain a
provision obligating the insurance carrier to notify LESSOR in
writing at least ten ( 10) days prior to any cancellation or
reduction of such insurance. A Certificate of Insurance evidencing
such coverage and notice requirement shall be approved by the Risk
Manager of LESSOR and filed with him prior to the first usage of
the demised Premises under this Lease.
It is further understood and agreed as a condition of this
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Lease that LESSEE will provide workers ' compensation insurance on
its employees, and furnish the Risk Manager of LESSOR with a
Certificate evidencing such insurance to be
� g approved by him prior
to the first usage of the demised Premises under this Lease. Said
Certificate shall contain a provision obligating the insurance
carrier to notify City in writing at least ten ( 10 ) days prior to
any cancellation or reduction of such insurance.
To obtain an exemption from this requirement should LESSEE
have no employees, LESSEE shall provide the Risk Manager of LESSOR
with a letter stating that it is not employing any person or
persons in any manner so as to become subject to the Workers '
Compensation Laws of California; provided, however, that should
LESSEE later become subject to the Workers ' Compensation provisions
of the Labor Code, it will forthwith comply with the insurance
requirements set forth above.
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17 . Cancellation. Provided LESSEE is not in default under
this Lease or the FUNDING AGREEMENT, and subject to the provisions
hereinafter contained as to earlier termination of this Lease, in
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the event that 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.
18. Notice. Any notices or demands that may be given by
either art hereunder, including notice of default and notice of
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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
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Parkview Avenue, Redding, California 96001-3396; and to LESSEE at
1313 Market Street, Redding, California 96001.
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19. National Register of Historic Places. LESSEE understands
that the demised Premises is on the National Register of Historic
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Places, and that under no circumstances shall the appearance of the
Premises be altered. If LESSEE desires to place any improvements
' on the subject 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 demised 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.
+� 20. Fees. LESSEE shall charge fees commensurate to offset
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its costs of maintaining the facility.
21. LESSEE' s Responsibilities. LESSEE shall be responsible
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for security of the building ( the Premises) and 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.
22. 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.
23 . 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
demised Premises.
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 the City of Redding, 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
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upon by the parties hereto in writing.
26. Invalid Provisions. In the event any 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 covenant, condition, or provision herein
contained, provided that the validity of any such covenant,
condition ori rovision does not materially prejudice either LESSOR
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or LESSEE in its respective rights and obligations contained in the
valid covenants, conditions, and provisions of this Lease.
27 . Attorney' s 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' s fees and other sums as may
be adjudged reasonable and necessary at trial and on appeal.
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28. Binding on Successors. All terms, covenants, conditions,
and provisions of this Lease shall extend to and bind the
successors and assigns of the respective parties hereto.
29 . CEQA. It has been determined that this matter is
categorically exempt from the provisions of the California
i Environmental Quality Act.
IN WITNESS WHEREOF, the CITY OF REDDING and THE SHASTA COUNTY
ARTS COUNCIL have executed this Lease in the presence of their
respective officers duly authorized in that behalf on the day and
year set forth below.
CITY OF REDDING
Dated February 5, 1991 By:
NANCY BUFFUM, Mayor
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Dated January 1991 THE SHASTA COUNTY ARTS COUNCIL
By:
Chairman of Board of Directors
By:
Executive Director
ATTEST:
ETHEL A. NICHOLS, City Clerk
FORM APPROVED:
RANDALL A. HAYS, City Attorney
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