HomeMy WebLinkAboutResolution - 2005-R0458 - License Agreement - Civic Lubbock Inc. - 09/21/2005Resolution No. 2005-80458
September 21, 2005
Item 27
RESOLUTION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
THAT the Mayor of the City of Lubbock BE and is hereby authorized and
directed to execute for and on behalf of the City of Lubbock a License Agreement with
Civic Lubbock, Inc., and any associated documents. Said License Agreement is attached
hereto and incorporated in this Resolution as if fully set forth herein and shall be included
in the minutes of the Council.
Passed by the City Council this 2151 d
ATTEST:
Rebecca Garza, City Secreta
APPR D AS TO C ENT:
Freddy Chavgl,
Civic Services Director
APPROVED AS TO FORM:
Linda L. Chamales, Senior Attorney
Office Practice Section
City Att / Linda Res -Civic Lubbock License Agreement
September 14, 2005
nf)h rn A r% -r- n in
000-6333
LICENSE AGREEMENT
THE STATE OF TEXAS
COUNTY OF LUBBOCK
Resolution No. 2005-80458
This agreement is entered into on the 21st day ofseptembQ2-005, by and
between the City of Lubbock, a home rule municipal corporation (hereinafter called
"City") and Civic Lubbock, Inc., a Texas non-profit corporation (hereinafter called
"Corporation".
WITNESSETH
WHEREAS, the City and the Corporation did heretofore on the 23`d day of
October, 2003, enter into an Agreement wherein the City granted to Corporation a license
for the use of the Auditorium/Coliseum and the Lubbock Memorial Civic Center, and
WHEREAS, it is the desire of the City and Corporation to enter into a new
Agreement establishing the relationship between the City and the Corporation; NOW
THEREFORE:.
BE IT RESOLVED BY THE CITY AND THE CORPORATION AS FOLLOWS:
1. This agreement supercedes and takes theSlace of the Agreement entered
into by and between the City and Corporation on the 23 day of October, 2003, including
all amendments thereto, and any and all prior agreements between the City and the
Corporation; and upon execution this Agreement shall establish and govern the
relationship between the City and Corporation.
2. In consideration of the Corporation's service to the community in the
enhancement of public art and the Corporation's commitment to its cultural and
educational programs, the City hereby grants to Corporation a license for all food,
beverage and other concession sales in or surrounding the Lubbock Municipal
Auditorium/Coliseum, Lubbock Memorial Civic Center, Buddy Holly Center, Silent
Wings Museum and other designated municipal facilities as mutually determined by the
City and Corporation. The City also grants to Corporation all commissions collected
from catering fees collected at the Lubbock Memorial Civic Center and all merchandise
fees collected at the Lubbock Memorial Civic Center and Lubbock Municipal
Auditorium/Coliseum.
3. Corporation agrees that for and in consideration of such license, herein
granted, that Corporation shall pay:
a) City a commission of five percent (5 %) of food and soft drink adjusted
gross sales at the Lubbock Municipal Auditorium/Coliseum and Lubbock
Memorial Civic Center and other mutually determined municipal facilities
for the term of this agreement. The food and soft drink concession sales
commission shall be paid by Corporation to the City on a quarterly basis
with the first such payment being due on the 10th day of January in each
fiscal year, and a similar payment on the 10th day after each succeeding
quarter during the term of this Agreement.
b) City a commission of five percent (5 %) of alcoholic beverages gross sales
at the Lubbock Municipal Auditorium/Coliseum and Lubbock Memorial
Civic Center and other mutually determined municipal facilities for the
term of this agreement. This commission shall be paid by Corporation to
the City on a quarterly basis with the first such payment being due on the
10th day of January in each fiscal year, and a similar payment on the 10th
day after each succeeding quarter during the term of this Agreement.
4. As additional consideration for this license, the Corporation agrees to
abide by the exclusive beverage agreement between the City of Lubbock and Southwest
Coca-Cola Bottling Company, dated August 26, 1999, in regard to the sale, dispensing,
serving sampling of beverages through their concession operation for the term of that
agreement, a copy of which is attached hereto. Corporation also agrees to purchase
beverage products from Southwest Coca-Cola Bottling Company for and to provide
service to any beverage vending machines located at the Municipal Auditorium/Coliseum
and the Lubbock Memorial Civic Center. The Corporation may retain all revenues from
such vending machines. City agrees that Corporation will have the appropriate signage
on the System provided by Southwest Coca-Cola Bottling Company for the Municipal
Coliseum. Video messages, produced by Corporation, may also be run on the System
when System is being utilized for events.
5. Corporation agrees to pay all operational expenses associated with such
concession rights or sales, including, but not limited to, all salaries of full or part-time
staff employees engaged in such sales. The exception will be with regards to the salary
and benefits related to the Food and Beverage Coordinator, whereas the Corporation will
only pay for seventy-five percent (75%) of that amount. Routine maintenance of all
concession areas included in this license shall not be considered an operational expense
and shall be borne by the City at no cost to the Corporation. In addition, the City agrees
to employ such full-time staff as may be necessary and appropriate to assist the
Corporation in carrying out the duties and responsibilities of the concessions and
accounting functions of the Corporation. Salaries and benefits of such employees shall
be reimbursed to the City by the Corporation on a quarterly basis.
b. In consideration of Corporation's desire to expand its programs and in
addition to the license heretofore granted, the City does hereby further grant to
Corporation a license to operate and manage all box office operations reasonably
N
necessary for events scheduled by the City in the Lubbock Memorial Civic Center,
Lubbock Municipal Auditorium/Coliseum and in other mutually agreed venues. This
license authorizes the Corporation to undertake ticket sales for events scheduled by the
City in its facilities, utilize the box office areas within the Municipal
Auditorium/Coliseum and Lubbock Memorial Civic Center, establish charges for
ticketing services in City facilities and other venues in the community which may request
ticketing services for their scheduled events.
7. Corporation agrees to pay all operational expenses associated with such
box office services, including, but not limited to, all salaries of full or part-time staff
employees engaged in such sales. Routine maintenance of all box office areas included
in this license shall not be considered an operational expense and shall be borne by the
City at no cost to the Corporation. In addition, the City agrees to employ such full-time
staff as may be necessary and appropriate to assist the Corporation in carrying out the
duties and responsibilities of the box office and accounting functions of the Corporation.
Such salaries and benefits of such employees shall be reimbursed to the City by the
Corporation on a quarterly basis.
8. The Civic Lubbock, Inc. CLI Board shall have three standing sub-
committees: 1) the Museum and Arts Standing Sub -Committee; 2) the Entertainment
Task Force Standing Sub -Committee; and 3) the Cultural Arts Grant Review Standing
Sub -Committee. Each sub -committee shall elect a chairperson and vice -chairperson, one
of whom shall be chosen from the Directors on that committee. Public representatives
for each committee shall be appointed by the City Council.
The Museum and Arts Standing Sub -Committee shall be composed of four Directors and
three representatives of the art community appointed by the City Council to serve three
year terms or until their successors are appointed. Responsibilities of this committee
include serving as an advisory board for the Silent Wings Museum and serving as an
advisory board for the Buddy Holly Center. The President of the Civic Lubbock, Inc.
Board of Directors or his designee shall serve as an ex officio member of this committee.
The Entertainment Task Force Standing Sub -Committee shall be composed of three
Directors and six representatives from the public appointed by the City Council to serve
three year terms or until their successors are appointed. Responsibilities of this
committee include developing recommendations for the full CLI Board to present to the
City Council with regard to the development, organization, coordination and funding of
events that would take advantage of the various talent and venues associated with the
City of Lubbock's entertainment industry while working collectively with entertainment
entities throughout the region that would have a positive impact on tourism within the
City. The President of the Civic Lubbock, Inc. Board of Directors or his designee shall
serve as an ex officio member of this committee.
The Cultural Arts Grant Review Standing Sub -Committee shall be composed of three
Directors plus two member at -large appointed by the City Council. This committee shall
be responsible for developing the guidelines for the Cultural and Arts Grant Program
funded by the Hotel Occupancy Tax, accepting applications, and making
recommendations to full CLI Board to present to the City Council for grant recipients
twice each year. The President of the Civic Lubbock, Inc. Board of Directors or his
designee shall serve as an ex officio member of this committee.
9. At the Corporation's expense, Corporation agrees to conduct an annual
audit of its book of accounts by an independent auditor and provide a copy of the final
audit to the City each year during the term of this Agreement. The audit shall be
completed no later than the 30`h day of December of each year this Agreement is in force.
The copy shall be provided to the City within 60 days after completion.
10. If the audit presented by the Corporation to the City identifies a cash fund
balance, after payment of the total considerations hereinabove mentioned and excluding
all expenses incurred or encumbered, the Corporation is hereby authorized to retain such
fund balance as follows:
a. The first one hundred thousand dollars of such cash fund balance shall
be retained by Corporation as a reserve fund for the performance of its
obligations and duties herein set forth.
b. Any fund balance remaining after the contribution to a reserve account
as mentioned above is satisfied shall be placed in a reserve to fund
activities relative to the purposes of the Corporation as stated in its
Charter.
11. The Corporation hereby agrees to prepare and submit to the City a budget
for the upcoming fiscal year beginning October 1 of each year. The Corporation shall
prepare this budget on forms satisfactory to the City and shall present this budget to the
City Council prior to the beginning of each fiscal year.
12. The Corporation agrees to use its best efforts to foster, promote, and
present cultural and educational programs, attractions and entertainments for the general
intellectual and physical improvement and welfare of the people of the City of Lubbock
and the surrounding area which shall add to the quality of life of the citizens of the City
of Lubbock in accordance with the Corporation's Charter. This will include, but is not
limited to, sponsoring such programs, attractions, and entertainments and matters
incidental hereto, including, but limited to the Walk of Fame and Terrace projects,
development and implementation of a local grant program for events held in the Civic
Center and Auditorium/Coliseum, sponsorship and co-sponsorship of national touring
productions and events held in the Lubbock Memorial Civic Center and Municipal
Auditorium/Coliseum and public art programs in or on property owned and operated by
the City of Lubbock.
13. It is understood by both parties that Civic Lubbock, Inc. receives no direct
or indirect monetary benefit from advertising or sponsorship revenues generated by the
operation of the facilities or events scheduled in the facilities. It is also understood that
II
Civic Lubbock, Inc. has no right or authority to control, either directly or indirectly, any
programming or booking decision at the Lubbock Memorial Civic Center and Lubbock
Municipal Auditorium/Coliseum. These functions are handled and controlled by the City
of Lubbock. It is also understood that Civic Lubbock, Inc. is not subject to the direction
or control, either directly or indirectly, of the City of Lubbock as the facility owner and
operator, event producer, or any upper tier member of the alcoholic beverage industry as
to the quantities or brands of alcoholic beverage products purchased and/or sold by Civic
Lubbock, Inc.
14. In consideration of the Corporation's services to be rendered pursuant to
the Agreement, the City does hereby grant the Corporation the right to use any and all of
the above mentioned or agreed upon City facilities for its business meetings. The
Corporation, however, will be required to schedule its meetings at times that are mutually
agreeable to both the City and the Corporation.
15. The term of this Agreement shall be for eight (S) years from the date of
execution of this Agreement. After the initial eight (8) year term, this Agreement may be
extended by mutual agreement of the parties expressed in writing upon a year-to-year
basis.
16. In the event that this Agreement terminates at any time after the initial
eight (8) year guaranteed term, then in such event the Corporation shall nevertheless be
authorized to undertake and fulfill all existing obligations and contracts necessary and
essential for the conclusion of the Corporation's business. The Corporation further
agrees to cooperate with the City to insure an orderly transition of all services and
facilities subject to this Agreement upon its termination.
EXECUTED this 21st day of September , 2005.
G
CITY O
Wei
ATTES
1
(-.R I Rebecca Garza, City Secret
APPROVED AS TO CONTENT:
YA
Freddy Ch ez, Civic Sei
Director
APPROVED AS TO FORM
Linda L. Chamales, Senior Attorney
Office Practice Section
CDRR, CERTIFICATE OF LIABILITY INSURANCE
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09/1 6/2005)
PRODUCER (806) 771-4368 FAX (806) 771-4382
Wi ndmark & Associates/Brenhol tz Insurance
5219 Cit Bank Parkway Ste 200
Y Y
Lubbock, TX 79407
THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION
ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE
HOLDER. THIS CERTIFICATE DOES NOT AMEND, EXTEND OR
ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW.
INSURERS AFFORDING COVERAGE NAIC
INSURED Civic Lubbock, Inc.
1501 6th Street
Lubbock, TX 79401
INSURER United Fire
INSURERB: Texas Mutual Insurance
INSURER C St Paul Travelers
INSURER D:
INSURER In:
rnVP0Ar_rC
THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING
ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR
MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH
POLICIES, AGGREGATE LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS.
INSR
I TR
DD'
NSRGENERAL
TYPE OF INSURANCE
POLICY NUMBER
POLICY EFFECTIVE
POLICY EXPIRATION
LIMITS
Lubbock, TX 79453
LIABILITY
85305042
12/16/2004
12/16/2005
EACH OCCURRENCE S 1,000,000
X COMMERCIAL GENERAL LIABILITY
DAMAGE TO RENTED $ 1()0,000
PREMISES Fa nrcurencel
CLAIMS MADE [y] OCCUR
MED EXP (Any one person) $ 5,000
A
PERSONAL & ADV INJURY $ 2,000,000
GENERAL AGGREGATE $ 1,000,000
GEN'L AGGREGATE LIMIT APPLIES PER.
PRODUCTS • COMP/OP AGG $ 2,000,000
POLICY PRO-
JECT LOC
AUTOMOBILE
LIABILITY
COMBINED SINGLE LIMIT $
ANY AUTO
(Ea accident)
BODILY INJURY $
ALL OWNED AUTOS
SCHEDULED AUTOS
(Per person)
BODILY INJURY
$
HIRED AUTOS
NON -OWNED AUTOS
(Per accident)
PROPERTY DAMAGE $
(Per accident)
GARAGE LIABILITY
AUTO ONLY - EA ACCIDENT S
OTHER THAN EA ACC $
ANY AUTO
AUTO ONLY: AGO $
EXCESSIUMBRELLA LIABILITY
EACH OCCURRENCE $
AGGREGATE $
OCCUR F] CLAIMS MADE
I
$
$
DEDUCTIBLE
$
RETENTION $
WORKERS COMPENSATION AND
TSF0001129358
11/06/2004
11/06/2005
WCSTATU' OTH-
X I TORY I WITS ER
E,L. EACH ACCIDENT $ 500,000
EMPLOYERS' LIABILITY
B
ANY PROPRIETORIPARTNERIEXECUTIVE
E . DISEASE- EA EMPLOYEE S 500,000
OFF➢CERIMEMBER EXCLUDED?
If yes, describe under
SPECIAL PROVIS9ONS below
E.L. DISEASE- POLICY LIMIT S S00,000
Dishonesty
103932432
11/16/2002
11/16/2005
$50,000
C
�mployeeTHE
DESCRIPTION OF OPERATIONS I LOCATIONS f VEHICLES I EXCLUSIONS ADDED BY ENDORSEMENT I SPECIAL PROVISIONS
ertificate Holder as Additional Insured ATIMA; Waiver of Subrogation in favor of Certificate
older
r'C0T1r19'ATr unl nrD rANrrF1 I ATInAI
ACORD 25 (2001/08) OACORD CORPORATION 1988
SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE
EXPIRATION DATE THEREOF, THE ISSUING INSURER WILL ENDEAVOR TO MAIL
10 DAYS WRITTEN NOTICE TO THE CERTIFICATE HOLDER NAMED TO THE LEFT,
City of Lubbock
BUT FAILURE TO MAIL SUCH NOTICE SHALL IMPOSE NO OBLIGATION OR LIABILITY
P. 0. BOX 2000
OF ANY KIND UPON THE INSUR , ITS AGENTS OR REP NTATIVES.
AUTHORIZED REPRESENTATIVE
Lubbock, TX 79453
ACORD 25 (2001/08) OACORD CORPORATION 1988
IMPORTANT
If the certificate holder is an ADDITIONAL INSURED, the policy(ies) must be endorsed, A statement
on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s).
If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may
require an endorsement. A statement on this certificate does not confer rights to the certificate
holder in lieu of such endorsement(s),
DISCLAIMER
The Certificate of Insurance on the reverse side of this form does not constitute a contract between
the issuing insurer(s), authorized representative or producer, and the certificate holder, nor does it
affirmatively or negatively amend, extend or alter the coverage afforded by the policies listed thereon.
ACORD 25 (2001108)