HomeMy WebLinkAboutResolution - 2012-R0382 - License Agreement With Lubbock Moonlight Musicals - 10/11/2012Resolution No. 2012-R0382
Executed Resolution and
Contract Not Received
October 11, 2012
Regular City Council Meeting
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RESOLUTION
IBE IT RESOLVED BY THE CITY COUNCIL OF TIIE CITY OF Lt.1BBOCK:
THAT the Mayor of the City of Lubbock is hereby authorized and directed to
execute for and on behalf of the City of Lubbock, a License Agreement by and between
the City of Lubbock and Lubbock Moonlight Musicals, Inc., and related documents. Said
Agreement is attached hereto and incorporated in this resolution as if fully set forth herein
and shall be included in the minutes of the City Council.
(Passed by the City Council on 2012.
GLEN C. ROBERTSON, MAYOR
ATTEST:
Rebecca Garza, City Secretary
APPROVED AS TO CONTENT:
Freddy Chave irector of CiNo8ervices
APPROVED AS TO FORM:
Attorney
RL'S.License Agnnt-Moonlight Musicals, Inc.
8.17. 2012
LICENSE AGREEMENT
THE STATE OF TEXAS
COUNTY OF LUBBOCK
This License Agreement (the
, 20 , between the City
Municipal Corporation, and Lubbock
nonprofit organization.
KNOW ALL MEN BY THESE PRESENTS:
"Agreement") is entered into on the day of
of Lubbock, Texas (the "City), a Texas Home Rule
Moonlight Musicals, Inc. ("LMMI"), a State of Texas
RECITALS
WHEREAS, LMMI desires to construct improvements, which shall include a pavilion, at
the Wells Fargo Amphitheater (the "Project");
WHEREAS, it is the belief of the City and LMMI that the Project will encourage the use
of the Wells Fargo Amphitheater and encourage tourism to the City;
WHEREAS, LMMI desires to construct the Project over and on that certain real property
described on Exhibit "A" attached hereto (the Lands");
WHEREAS, the mission of LMMI is to produce and present large, family -oriented
musical theatrical works, using the talents and abilities of Texas Tech Music Theatre students and
other college -age students, Lubbock -area and other high school students, local Lubbock talent and
other artistic/technical professionals, to build and promote goodwill among the city of Lubbock,
Texas Tech and local and area school districts, to promote tourism to the City of Lubbock and the
South Plains, and to give professional experience to all student performers involved;
WHEREAS, LMMI has secured funds for the Project;
WHEREAS, the Project shall enhance and improve the use of the facilities in the Wells
Fargo Amphitheater; NOW THEREFORE:
ARTICLE I
License
Section 1.01. License. In consideration of the mutual covenants and agreements of this
Agreement, and of other good and valuable consideration, the City hereby grants, upon the terms
and conditions set forth in this Agreement, a license on and over the Lands to LMMI, for the sole
purpose of constructing and improving the Project.
Section 1.02. Term. The term of this license is for one (1) year beginning on the date of'
the execution of this Agreement by the City, and ending on the first anniversary of such date or
until such date the Project is completed and accepted by the City as set forth in Section 2.05,
whichever period is shorter (the "Primary Term"), unless terminated sooner as provided in this
Agreement.
This Agreement shall terminate without further notice when the Primary Term expires, and
LMMI shall immediately vacate the Lands. Any holding over by LMMI after that term expires,
except as provided otherwise in this Agreement, shall not constitute a renewal of this Agreement.
or provide LMMI any rights whatsoever under this Agreement and/or to the Lands.
ARTICLE Il
Improvements
Section 2.01. Construction of Project. On or before November 1, 2012, LMMI and/or its
contracted agent shall begin construction, or cause to begin construction, and begin location upon
the Lands, the Project. The Project shall include improvements to the Wells Fargo Amphitheater.
Section 2.02. Approval of Construction. No construction of any type or kind, including
additions or alterations to existing structures or structures completed, or caused to be completed.
by LMMI and/or placement or location of improvements, including all matters described in this
Article II, may be commenced, unless the plans, specifications and proposed location of such
construction and/or location of improvements have received the City's, and if required by the City
or by law, any other entities' or parties', including, but not limited to, the State of Texas, "Texas
Parks and Wildlife Department and Texas Historical Commission, prior written approval, as
described below.
LMMI shall, at its own expense, engage a licensed architect or engineer to prepare plans
and specifications for the construction, addition, location or alteration of any building or
improvement. LMMI shall submit a copy of detailed working drawings, plans and specifications
to the City for its approval not less than twenty (20) days before such construction or location of
improvements is scheduled to commence.
The City, and any other parties having the right of approval, as described herein, shall
review all plans submitted under this Section 2.02, and provide to LMMI, in writing, any required
changes or corrections that must be made, that the City, and any other parties having the right of
approval, as described herein, may deem necessary, in their sole discretion, Any required changes
or corrections shall be made and the plans resubmitted to the City, and any other parties hax ing
the right of approval, as described herein, prior to the commencement of such construction.
addition or alteration of any building or location of improvement. No such construction, addition
or alteration of any building or location of improvement shall be commenced unless and until the
plans are finally approved by the City and any other parties having the right of approval, as
described herein. The failure to receive the approval described herein shall not excuse the
performance by LMMI of any activity or covenant described in this Agreement.
The City and/or any of the parties having the right of approval, as described herein, shall
have the right at all times to observe any and all activities described in this Article 11.
Notwithstanding the approval by the City and/or any of the parties having the right of approval, as
2
described herein, of any plans and specifications, and/or the observation rights of the City and/or
any of the parties having the right of approval, ad described herein, the City assumes no liability
or responsibility for the architectural or engineering design or for any defect in any building or
improvement constructed from such plans or specifications, not shall such approval and/or
observation relieve LMMI from any or all of its obligations hereunder.
All activities described in this Article II shall be at the sole cost and expense of LMMI.
Section 2.03. Sure . Any and all contracts that LMMI may enter into with third parties to
participate in the construction and/or location of improvement activities contemplated by this
Agreement shall contain the requirement that such third parties adequately bond their performance
under said contract, naming the City as a co -beneficiary or co -secured. The original of said bonds
are to be suitable in form to the City and submitted to the City prior to the commencement of any
activities of any kind by such third parties.
Section 2.04. Standards for Construction. Construction of the Project shall be conducted
and shall be fully equipped in a good and skillful manner with materials of high quality, strictly in
accordance with the plans and specifications, as approved in Section 2.02.
Section 2.05. Acceptance of Project by City. Construction of the Project shall be deemed
completed only upon inspection and acceptance by the City. If LMMI considers the Project
construction complete, LMMI shall timely notify the City. The City shall then timely conduct
inspections of the Project. If, after inspection, the City finds deficiencies or any issues with the
construction of the Project, the City shall then submit a list of such deficiencies and/or issues to
LMMI. LMMI shall then remedy all such deficiencies and/or issues with the construction. After
completion of such remedies, LMMI shall timely notify the City of completion and the City shall
again timely conduct inspections of the Project. If after inspection, the City finds that the
construction of the Project is complete and satisfactory to the City, the City shall notify LMMI of
the City's acceptance of the Project. The City's acceptance of the Project shall be within its sole
discretion.
Section 2.06. Ownership of Buildings and Improvements. Any and all buildings,
improvements, additions, alterations and fixtures constructed, placed, located and/or maintained
on any part of the Lands during the term of this Agreement, with the exception of certain
theatrical equipment that is removed and stored off the Lands by LMMI for annual maintenance
subsequent to each playing season, are considered part of the real property and must remain on the
Lands and become property of the City, from and after the termination of this Agreement.
3
ARTICLE III
Operations of LMMI
Section 3.01. Security. LMMI shall take any and all actions necessary to prevent the entry
of unauthorized persons in, on, and/or over the Lands.
Section 3.02. Taxes. LMMI shall pay and discharge all charges, including without
limitation, personal property taxes, gross receipts taxes, general and special assessments, and other
charges of similar nature which may be levied or assessed against the Lands, the Project, andior any
activity contemplated by this Agreement, if any.
Section 3.03. Prohibition on Encumbrance. LMMI shall not encumber any interest in the
license granted herein, the Lands, the improvements described herein, and/or this Agreement. in
any way, manner or form, including, but not limited to, by deed of trust, mortgage or any other
security instrument.
Further, LMMI shall not cause or permit any mechanic's liens or any other liens to be filed
against the license granted herein, the Lands, the improvements described herein, and/or this
Agreement by reason of any work, labor, services, or materials supplied and!or performed or
claimed to have been supplied and/or performed to, by or for LMMI or any contractors or
subcontractors of LMMI.
Section 3.04. Right of Entry ----City. Nothing contained in this Agreement shall be
construed to prohibit, upon reasonable notice to LMMI, the right of entry by the City, in, on, over
and./or across the Lands, at any and all times, and for any and all purposes, and City expressly
reserves the right to enter upon the Lands and any and all improvements located thereon, subject to
the conditions stated herein, to conduct any and all activities the City deems necessary. LMMI
shall furnish to the City any and all keys and/or instructions necessary to allow the City's right oi'
entry reserved and/or described herein.
Section 3.05. Control of City. The City shall retain all authority placed in it which is non -
delegable. No provision of this Agreement shall be construed as delegating any non -delegable
right, power or duty of the City, and in the event of a conflict between this Section 3.06 and any
other term or provision of this Agreement, this Section 3.06 shall control and such conflicting term
or provision shall be void and of no force and effect.
Section 3.06. Assistance by the City. The City may from time to time, provide such
assistance as requested by LMMI, including, but not limited to certified inspectors that would
inspect the Project and notify the LMMI of any concerns. LMMI shall reimburse the City for any
and all costs the City incurs by providing such assistance.
4
ARTICLE IV
Operation Funds
Section 4.01. Solicitation of Funds. LMMI shall, during the effective term of this
Agreement, utilize its best efforts to solicit funds from various sources, including, but not limited
to, memorials, honorarians, grants, membership dues, concessions and gifts in kind, or any other
like sources to be utilized in the construction, operation and maintenance of the Project.
Section 4.02. Accounting and Audits. LMMI shall keep complete and accurate records,
books and accounts according to customary and accepted business practices and generally accepted
accounting principles, and the City shall have the right to examine and audit said records, books
and accounts at any reasonable time. LMMI shall furnish the City an annual audit of its books by a
certified public accountant, such audit report to be furnished to the City on or before ninety (90)
days after the end of each fiscal year of LMMI.
ARTICLE V
Insurance, Indemnity and Release
Section 5.01. Indemnity and Release. LMMI SHALL INDEMNIFY AND HOLD
HARMLESS, TO THE FULLEST EXTENT PERMITTED BY LAW, THE CITY, AND CITY'S
RESPECTIVE OFFICERS, EMPLOYEES, ELECTED OFFICIALS AND AGENTS, FROM AND
AGAINST ANY AND ALL LOSSES, DAMAGES, CLAIMS OR LIABILITIES, OF ANY KIND
OR NATURE, WHICH ARISE DIRECTLY OR INDIRECTLY, OR ARE RELATED TO, IN
ANY WAY, MANNER OR FORM, THE ACTIVITIES CONTEMPLATED HEREUNDER, OR
THE OMISSION OF THE ACTIVITIES CONTEMPLATED HEREUNDER, INCLUDING, BtJ-I'
NOT LIMITED TO, LOSSES, DAMAGES, CLAIMS OR LIABILITIES ARISING FROM OR
RELATED TO, IN ANY WAY, MANNER OR FORM, THE ACT OR OMISSION OF THIRD
PARTIES. LMMI FURTHER COVENANTS AND AGREES TO DEFEND ANY SUITS OR
ADMINISTRATIVE PROCEEDINGS BROUGHT AGAINST THE CITY AND/OR THE CTTY'S
RESPECTIVE OFFICERS, EMPLOYEES, ELECTED OFFICIALS AND/OR AGENTS ON
ACCOUNT OF ANY SUCH CLAIM, AND TO PAY OR DISCHARGE THE FULL AMOUNT
OR OBLIGATION OF ANY SUCH CLAIM INCURRED BY, ACCRUING TO, OR IMPOSED
ON THE CITY, OR THE CITY'S RESPECTIVE OFFICERS, EMPLOYEES, ELECTED
OFFICIALS AND/OR AGENTS, AS APPLICABLE, RESULTING FROM ANY SUCH SUITS.
CLAIMS, AND/OR ADMINISTRATIVE PROCEEDINGS OR ANY MATTERS RESULTING
FROM THE SETTLEMENT OR RESOLUTION OF SAID SUIT'S, CLAIMS, AND/OR
ADMINISTRATIVE PROCEEDINGS IN ADDITION, LMMI SHALL PAY TO THE CITY, TIIF,
CITY'S RESPECTIVE OFFICERS, EMPLOYEES, ELECTED OFFICIALS AND/OR AGENTS,
AS APPLICABLE, ALL ATTORNEYS' FEES INCURRED BY SUCH PARTIES IN
ENFORCING LMMI'S INDEMNITY IN THIS SECTION.
THE CITY, AND ITS RESPECTIVE OFFICERS, EMPLOYEES, ELECTED OFFICIALS
AND AGENTS, SHALL NOT BE LIABLE, AND LMMI HEREBY RELEASES THE CITY,
AND ITS RESPECTIVE OFFICERS, EMPLOYEES, ELECTED OFFICIALS AND AGENTS,
FOR, FROM AND/OR AGAINST ANY LOSSES, DAMAGES, CLAIMS OR LIABILITIES TO
5
LMMI, ON ANY THEORY OF LEGAL LIABILITY, INCLUDING, BUT NOT LIMITED TO
THE NEGLIGENCE, OF ANY TYPE OF DEGREE, OR FAULT, OF THE CITY.
THE INDEMNITY AND RELEASE PROVIDED HEREIN SHALL SURVIVE THE
TERMINATION OR VOIDANCE OF THIS AGREEMENT.
Section 5.02. Insurance. LMMI shall carry and require all contractors and/or
subcontractors to procure and carry, at their sole cost and expense during the term of any
construction of the Project, insurance protection and hereinafter specified, in form and substance
satisfactory to the City, carried with an insurance company authorized to transact business in the
State of Texas, covering all foreseeable aspects and operations in connection with the
construction contemplated under this Agreement, including, but not limited to, all aspects,
operations and/or occurrences to which LMMI has indemnified the City, as provided in Section
5.01 hereof. A Certificate of Insurance specifying each and all coverage shall be submitted to
the City no later than fifteen (15) days prior to the commencement of construction activities.
LMMI shall provide to the City proof of the below -described insurance on or before fourteen
(14) days prior to the expiration date of each expiring policy, and cause each required policy to
require the insurer to (i) give notice to the City, as specified herein, of termination of any such
policy sixty (60) days before such termination is to be effective; and (ii) contain a waiver of any
and all of the insurer's rights to subrogation that any such insurer or insurers may acquire by
virtue of payment of any loss under such insurance.
A. Builder's Risk Insurance. LMMI shall require through written contract that each
and every contractor and subcontractor carry Builder's Risk Insurance in the
amount of one hundred percent (100%) of the prices of each contract relating to
the construction activities contemplated in this Agreement.
B. General Liability Insurance. LMMI shall require through written contract that
each and every contractor and subcontractor carry general liability insurance with
Limits of $500,000 combined single limit in the aggregate and per occurrence.
The City shall be named as an additional insured on a primary and non-
contributory basis in such policies.
C. Auto Liability Insurance. LMMI shall require through written contract that each
and every contractor and subcontractor carry auto liability insurance with Limits
of $300,000 combined single limit in the aggregate and per occurrence.
D. Worker's Compensation. LMMI shall require through written contract that each
and every contractor and subcontractor obtain worker's compensation coverage
pursuant to Section 406.002 of the Texas Labor Code. Further, LMMI shall
ensure that each and every contractor and subcontractor shall maintain said
coverage throughout the term of the Agreement and LMMI shall ensure that each
and every contractor and subcontractor shall comply with all provisions of Title 5
of the Texas Labor Code to ensure that any such contractors and/or subcontractors
maintain said coverage. Any termination of worker's compensations insurance
coverage by such contractors and/or subcontractors or any cancellation of
6
nonrenewal of worker's compensation insurance coverage for such contractors
and/or subcontractors shall be a material breach of this Agreement. Such policies
shall contain a waiver of subrogation in favor of the City of Lubbock.
Section 5.03. Reservation of Rights. The City reserves the right to exercise any right or
remedy available to it by law, contract, equity, or otherwise, including without limitation, the right
to seek any and all forms of relief in a court of competent jurisdiction. Further, the City shall not
be subject to any arbitration process prior to exercising its unrestricted right to seek judicial
remedy. The remedies set forth herein are cumulative and not exclusive, and may be exercised
concurrently. To the extent of any conflict between this provision and another provision in, or
related to, this document, the former shall control.
ARTICLE VI
Warranties, Covenants and Representations of LMMI
Section 6.01. Existence. LMMI is a corporation duly organized, validly existing and in
good standing under the laws of the State of Texas, and is duly qualified to carry on its business in
the State of Texas.
Section 6.02. Power. LMMI has the corporate power to enter into and perform this
Agreement and all activities contemplated hereby.
Section 6.03. Authorization. The execution, delivery and performance of this Agreement
and the activities contemplated hereby have been duly and validly authorized by all requisite
corporate action on the part of LMMI.
ARTICLE VII
Events of Default and Remedies
Section 7.01. Default. An Event of Default (therein so called) shall exist if anyone or more
of the following events shall occur:
(a) Any representation or warranty made by LMMI is this Agreement shall
prove to be untrue or inaccurate in any material respect as of the date on
which such representation or warranty is made;
(b) LMMI shall default, in any way, manner or form, in the performance of any
of the covenants, provisions and/or terms of this Agreement;
(c) IMMI shall (i) apply for or consent to the appointment of a receiver,
custodian, trustee, intervener, or liquidator of itself or of all or a substantial
part of its assets, (ii) voluntarily become the subject of a bankruptcy,
reorganization or insolvency proceeding or be insolvent or admit in writing
that it is unable to pay its debts as they become due, (iii) file a petition or
answer seeking reorganization or an arrangement with creditors or to take
7
advantage of any bankruptcy or insolvency laws, (iv) become the subject of
an order for relief under any bankruptcy, reorganization or insolvency
proceedings, or (v) fail to pay any money judgment against it before the
expiration of thirty (30) days after such judgment becomes final; or
(d) LMMI shall default in the payment of any material indebtedness of LMMI.
Section 7.02. Remedies upon Event of Default. If an Event of Default shall have occurred
and be continuing, then the City, at its option may (i) declare this Agreement, and all rights and
interests created by it, terminated and LMMI shall reimburse the City any and all sums provided by
the City to LMMI under this Agreement, or otherwise; (ii) assert an action for damages, including,
but not limited to, recovery of any and all sums provided by the City to LMMI under this
Agreement and/or pursuant to law or equity; and/or (iii) pursue and enforce any rights of the City
as provided under or pursuant to any applicable law or this Agreement.
In the event the City elects to terminate this Agreement as provided herein, this Agreement
shall cease as if the day of the City's election to terminate was the day originally fixed in this
Agreement for its expiration.
ARTICLE VII
Miscellaneous
Section 8.01. No Waiver. No failure to exercise, and no delay in the exercise on the part
of the City, of any right hereunder shall operate as a waiver thereof, nor shall any single or partial
exercise thereof preclude any other or further exercise thereof or the exercise of any other right.
The rights of the City hereunder shall be in addition to all other rights provided by law.
Section 8.02. City Rights. The City reserves the right to exercise any right or remedy
available to it by law, contract, equity, or otherwise, including without limitation, the right to seek
any and all forms of relief in a court of competent jurisdiction. Further, the City shall not be
subject to any arbitration process prior to exercising its unrestricted right to seek judicial remedy.
The remedies set forth herein are cumulative and not exclusive, and may be exercised concurrently.
To the extent of any conflict between this provision and another provision in, or related to, this
document, the former shall control.
Section 8.03. Notice. Any notice required or permitted to be given herein must be given in
writing and must be personally delivered, delivered by telephonic facsimile, or mailed by prepaid
certified or registered mail to the party to whom such notice or communication is directed at the
address of such party as follows:
M
City:
Freddy Chavez
Director of Civic Services
P. O. Box 2000
(806) 775-2236
Fax: (806) 775-3240
Lubbock Moonlight Musicals:
Gerald Dolter
Associate Professor of Music, Voice
Director, TTU Music Theatre
P. O. Box 42033
Lubbock, TX 79409
(806)-742-2270 x267
gerald.dolter2ttu.edu
Any such notice or other communication shall deemed to have been given (whether actually
received or not) on the date it is personally delivered or delivered by telephonic facsimile, or, if
mailed, on the third day after it is mailed as aforesaid. Any party may change its address for
purposes of this Agreement by giving notice of such change to all other parties pursuant to this
Section 8.03.
Section 8.04. Assignment/Sublet. This license is personal to LMMI. LMMI shall not
assign or sublet this license. Any attempt to assign or sublet this license shall terminate the license
granted herein.
Section 8.05. City. Unless otherwise provided herein or required by law and/or local
ordinance, charter or code, any action required or permitted to be taken by "the City", shall be
taken by the City Manager of the City of Lubbock or any party designated by him or her.
Section 8.06. Relationship of Parties. The relationship between the City and LMMI is at
all times solely that of licensor and licensee, and may not be deemed, in any event, a partnership or
a joint venture.
Section 8.07. Compliance with Applicable Law. LMMI shall comply with all applicable
federal, state and local rules, regulations, statutes, laws and ordinances governing, in any way,
manner or form the construction activities contemplated herein, the operation of the Project, and/or
any other aspect of the activities described in this Agreement, including, without limitation those
regarding to access of the facilities by handicapped persons and the storage, display and alternation
of antiquities.
Section 8.08. Time of the Essence. Time is of the essence of this Agreement.
Section 8.09. Texas Law/Venue. This Agreement is to be construed under Texas law,
without regard to conflict of law rules that would direct application of the laws of any other
jurisdiction, and all obligations of the parties created by this Agreement are performable in
Lubbock County, Texas. Venue for any action brought pursuant to this Agreement, or any activity
contemplated hereby, shall lie exclusively in Lubbock County, Texas.
9
Section 8.10. Partial Invalidity. If anyone or more of the provisions contained in this
Agreement are for any reason held to be invalid, illegal, or unenforceable in any respect, the
invalidity, illegality, or unenforceability will not affect any other provision of this Agreement,
which shall be construed as if it had not included the invalid, illegal or unenforceable provision.
Section 8.11. Agreements Superseded. This Agreement constitutes the parties' sole
agreement and superseded any prior understandings or written or oral agreements between the
parties with respect to the subject matter hereof.
Section 8.12. Amendment. No amendment, modification, or alteration of this Agreement
is binding, unless in writing, dated subsequent to the date of this Agreement, and duly executed by
the parties.
Section 8.13. Attorney's Fees. If, as a result of either party's breaching this Agreement,
the other party employs or uses an attorney or attorneys to enforce its rights under this Agreement,
then the breaching party shall pay the other party the reasonable attorney's fees and costs incurred
to enforce this Agreement.
Section 8.14. Exhibits. The exhibits which are referenced in, and attached to this
Agreement, are incorporated in and made a part of this Agreement for all purposes.
Section 8.15. Captions. Section captions are for convenience only and shall in no way
affect the interpretation of this Agreement.
Section 8.16. License Agreement. The intent of this Agreement is to grant a license to
LMMI to utilize the Lands solely for the purposes described herein. This Agreement shall not be
construed, in any way, manner or form, as a lease of the Lands or as conveying to LMMI any
interest in the real property comprising the Lands.
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Executed and effective as of the date of the execution hereof by the City of Lubbock.
CITY OF LUBBOCK, TEXAS LUBBOCK OO IGHT MUSICALS, INC.
GLEN C. ROBERTSON, MAYOR
Date executed:
ATTEST:
Rebecca Garza,City Secretary
APPROVED AS TO CONTENT:
�reddy Chav , Director of is Services
APPROVED AS TO FORM:
4f 5- ------------- 7 -
nSims, Assistant City Attorney
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