HomeMy WebLinkAboutResolution - 2002-R0165 - VOID - 04/25/2002S00 - b I (0�
RESOLUTION
WH REAS, the City Council of the City of Lubbock was authorized in a Capital
Improveme is Bond Election, September 18, 1999, by the citizens of Lubbock to issue
general ligation bonds of the City in the principal amount of $14,765,000 for
permane t public improvements and public purposes to acquire or improve, or both land
for par purposes; and
WHEREAS, one of the proposed public improvement projects for the park
ad to the voters at that ti a development of an outdoor theatre in
izie Park at an estiou cost of $1.7 million dollars; and
SEAS, the project is anticipated to exceed this estimate and the City Council
nif ttted to go forward with the project only if the additional funds can be obtained
federal or state grants and private sources by September 30, 2002; and
WHEREAS, City desir o grant the aming Rights for this project to Naming
Sponsor, and Naming Spo r desires to acquir the Naming Rights from City, and posit
a challenge for do ions for the remainin sum needed for construction; NOW
THEREFORE,
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF LUBBOCK:
J`HAT the Mayor o e City of Lubbock BE and is hereby authorized and
directed execute on behalf of the City of Lubbock a Mackenzie Amphitheatre
Naming Agreement between the City of Lubbock and
and all reldocuments. Said Agreement is
attached hereto and incorporated in this Resoluti as if fully set forth herein and shall be
included in the minutes of the Council.
Passed by the City Council this/ day of
ATTEST:
Rebecca Garza, City Secretary
APPROVED AS TO CONTENT:
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Tommy GoriYalez,
Assistant City Manager
,MAYOR
APPROVED AS TO FORM:
Linda Chamales,
Supervising Attorney
Regular City Council Meeting
March 27, 2003
Some of the highlights of the agreement are as follows:
• The term is for one year.
• The City must approve all work to be done.
• Applicable clearance must be made by the Texas Parks and
Wildlife, Texas Historical Commission, the U. S. Fish and Wildlife
Service and U. S. Corps of Engineers.
• RPNA shall keep records of expenditures
• Indemnity language is included.
+ Insurance requirements for the contractor are included.
On April 23, 2002 the Remington Park Neighborhood Association
presented a request to the Parks and Recreation Advisory Board for
improvements to the playa lake area at Remington Park. The Parks Board
supported their request.
Staff recommended approval of this resolution.
Motion was made by Council Member Martin, seconded by Council
Member Morrison to pass Resolution No. 2003-R0130 as recommended
by staff. Motion carried: 6 Yeas, 0 Nays.
(38.) Resolution No. 2003-R0131 authorizing the Mayor to execute the
necessary documents for a Naming Rights Agreement with Wells
Fargo for the Mackenzie Amphitheater.
On April 25, 2002, Wells Fargo announced its support for the Mackenzie
Amphitheater, by pledging $500,000 and a sculpture to be valued at
$100,000 for the Mackenzie Amphitheater, in exchange for the naming
rights to the facility. The amount was to be paid at $16,666.67 annually
for a thirty-year period. Shortly before the contract was to be signed by
Wells Fargo, the Securities and Exchange Commission (SEC) changed the
guidelines for contributions made by publicly traded companies. In effect,
long-term contracts for these companies now have to be expensed in the
first year of the contract. The SEC changed the guidelines in response to
the scandals exposed at Enron, WorldCom and others.
This Naming Rights Agreement is performance based and is similar to the
first agreement that was not signed last spring. The most significant
change is in the length of the contract. Instead of one thirty-year
agreement, the agreement now consists of unlimited three-year terms that
are automatically renewable, with annual contributions of $16,000.
Again, this change was made so that Wells Fargo would not have to
expense the $500,000 contribution all in one year. Like the previous
version of the agreement that was reviewed last Spring by the City
Council, but not signed by Wells Fargo, the contributions are tied to the
annual production of a historical drama that is planned to attract visitors to
the city each summer.
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