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Home My WebLink AboutInfo Rprt - PSAM-PD - FY 2014-15 Imprvmnts Prjct Contract No. C29860 CITY OF PALM DESERT PUBLIC WORKS DEPARTMENT STAFF REPORT REQUEST: INFORMATIONAL REPORT RELATED TO THE PALM SPRINGS ART MUSEUM PROPOSED IMPROVEMENTS FOR FISCAL YEAR 2014/2015 k SUBMITTED BY: Mark Greenwood, P.E., Direc�or of Pubiic Works DATE: July 10, 2014 CONTENTS: Letter from Michael Kiner dated June 18, 2014 Section 2.3 of Contract 29860-Lease with Palm Springs Art Museum Recommendation By Minute Motion, 1. Receive and file the information report; and 2. Authorize reimbursement to the Palm Springs Art Museum-Palm Desert for proposed improvements per the Lease Agreement dated July 1, 2010. Funds are budgeted in General Fund Account No. 110-4800-454-3885, Contributions to Palm Springs Art Museum-Palm Desert Strateqic Plan Obiective This action contributes to the Strategic Plan Objective of providing a world-class cultural attraction, and displaying art set in the uniquely beautiful desert environment in a highly visible area of the City. Backaround On July 1, 2010, the City of Palm Desert entered into a lease agreement (Contract No. C29860) with the Palm Springs Art Museum (PSAM) for the former Visitor Center located at 72-567 Highway 111. The lease agreement requires that the City fund the installation of bases/foundations and lighting fixtures for the sculptures. Staff received a letter dated June 18, 2014, from Michael Kiner who represents the PSAM, requesting that the museum be permitted to move forward with the construction of the improvements for Phase Two. .. When the plans are approved, the City will monitor the bid process by advertising the Notice Inviting Bids, providing plans and specifications to prospective bidders, and facilitating the bid opening. The contract would be befinreen the successful bidder and the PSAM. City Contract No. C29860 Staff Report- Informational Report Palm Springs Art Museum-PD July 10, 2014 Page 2 of 3 staff would be available for technical support and perForm all necessary inspections, including verification of completion of the work. The PSAM would be responsible for all payments to the contractor. Once installation, or approved relocation is complete and the adherence to all applicable codes have been verified, the City will reimburse the PSAM as outlined in lease agreement. The reimbursement for each sculpture, per the terms of the agreement, shall not exceed $10,000 per sculpture for installation or removal, including transportation, and be limited to a total of five sculptures for this project. All tasks and costs associated with the installation of bases and/or foundations for the sculptures and lighting are without limitation per the lease agreement. As indicated in the letter from Michael Kiner, reimbursement will be for only actual expenditures, with proof of payment by the PSAM. Any installations and/or relocations above the specified five sculptures for this project or in excess of the $10,000 allowance per sculpture, will be the sole financial responsibility of the PSAM. The bid documents will be structured in such manner as to be clear to potential bidders that the contract will be strictly between the PSAM and the successful bidder. The PSAM may choose to have all or any part of the work done. And the City will have no obligation, in any manner, to any bidder. Fiscal Analvsis There is no additional fiscal impact beyond the terms of the Lease Agreement dated July 10, 2010. Section 2.3 of the Lease Agreement is attached for your reference. Any funds beyond the approved budget for fiscal year 2014/15 will be brought back to Council. Prepared By: Department Head: � Stephen Y. Ary n Mark reenwood, P.E., Risk Manager Director of Public Works Reviewed �' 1'�'� Paul S. son, Director of Finance C�DCaGv� i ��Attorney A r v . APPROVED ...._.DEN1E� � ' � � - RECEIVED OTHER J M. Wohlmuth, City Manager MEET DA o- AYES: /c NOEB: ' ABSEN'!ti ABSTAIN: VERIFIED BYs ^ ? Ori�inal on File with City e 's Oftice �,,� i-t-i E� �:i N E,�� c�� _>u r> �tE�lE1VED JUN I 9 2014 CIN OF PALI�9 DESERT PUBUC WORICS pEf� June 18, 2014 Ms. Cora Gaugush City of Palm Desert 73510 Fred Waring Drive Palm Desert, CA 92260 RE: Palm Desert Art Museum in Palm Desert Dear Ms. Gaugush: The Palm Springs Art Museum is planning on installing the Phase 2 sculptures in the Eric Johnson Garden. As per the terms of the agreement between the Museum and the City of Palm Desert,the City will pay up to $50,000 towards the cost of these Phase 2 sculpture installations. We are requesting to install these sculptures and be reimbursed by the City up to the m�imum of$50,000. We will present all of the necessary receipts required by the City to validate the costs. We are hopeful this will be acceptable to the City. We plan on installing the sculptures this summer. Please call me if you have any questions. Yours truly, ,, . ..�, .,..� Michael Kiner cc: G. Johnson A. Amick a ' �r a ,e• , . e .� �� .s -' . �• � , � � � Lessee and its guests, subject to any exclusive-use rights granted by Lessor to other persons or entities. (c) Lessor agrees to restrict vehicular access at both ends of Carriage Lane, with access available only to Lessor, the fire department, the police department and Lessee as approved by the Fire Marshall and City Engineer. It is intended that Carriage Lane will be used, except in limited circumstances,solely for pedestrians. 2.2 Condition; Compliance with Laws. Lessee shall lease the Premises in their "AS-IS" condition, without representation or warranty, express or implied, and Lessee hereby acknowledges that in no event shall Lessor be obligated to make any alterations, repairs or improvernents io the Premises, except as otherwise provided herein. Lessee has made such investigation as it deems necessary with reference to such matters and assumes all responsibility therefor. In addition, Lessee hereby expressly acknowledges that Lessee has had futl opportunity to inspect the Prernises (including, without limitation the presence/absence of hazardous materials, the condition of fixtures and equipment, and whether the improvements comply with (aw). Lessor hereby agrees to make any changes to the Premises required by existing laws or by amendments to existing laws or by new laws. 2.3 Sculpture G$rden, Multi-Sensary Gardens, Plaza, Carriage Lane and Parking Spaces. Lessee shall be responsible for transportation, installation, and remaval of sculptures; however, Lessor shall reimburse Lessee all reasonable costs in connection with the transportation, installarion, and removal of sculptures not to exceed $10,000 per instaltation or removal, including transportation of each sculpture, unless approved by the Lessor. Lessor shall be responsible for accomplishing all tasks and paying all costs associated with the sculptures tocated within the Sculpture Garden and Multi-Sensory Gardens, including without limitation, the in�tallation of bases and/or foundations for the sculptures, lighting, cleaning and ongoing maintenance as needed or reasonably requested by Lessee. Lessor shall pay to Lessee the sum of $2,575.00 as a one-time honorarium for each piece of sculpture placed by Lessee at the Sculpture Garden or Multi-Sensory Gardens, upon completion of the installation of the sculpture, which amount shall be increased by $50.00 on the anniversary of the Cammencement Date each year during the term hereof or any extension. There shall be an initial majcimum of twenty (20) honoraria; additional honoraria payments shall be at the discretion of the Lessor. Lessor shall be responsible for all Imndscaping, landscape and other maintenance, cleaning and trash removal, I irrigation and other related expenses to maintain the Sculpture Garden, Multi-Sensory Gardens, Plaza, Carriage Lane and Parking Spaces at no less than their current level of maintenance quality and to maintain the roads and pazking areas surrounding the Premises. Lessor and Lessee shall cooperate in the selection and approval of sculptures to be placed in the Sculpture Garden, � Plaza or Multi-Sensory Gardens, but the final determination of the selection of sculptures shall � be made by Lessee, provided that no sculpture shall be placed in the Non-Exclusive Use Areas � that is likely to cause substantial controversy in the community. (Lessee may display art and � sculptures selected in its sole discretion in the Museum.) Lessee shall install ten or less � sculptures in the first year of actual operation and five or less sculptures in any succeeding yeaz. { Placement of the sculptures will be determined in cooperation between Lessee and Lessor. � Lessee shall have the right to nominate representatives for one seat on Lessor's City Marketing ± Committee and one seat on Lessor's Art in Public Places Commission during the initial and any � extended term(s) hereof. Appointment of nominees to the commissions shall be at sole � discretion of Lessor's City Council. Inasmuch as copyright(s) for the scuiptures to be placed in g k � 3 ' Palm Springs Art Museum.Paim Desert L.tase 7/22010 the Gardens belongs, in most cases, to the respective artists, use of any visual images of such works by Lessor must be approved by the Lessee and capyright approval(s} must be obtained from the respective artist(s). Lessor shail be responsible to insure all sculptures at the Sculpture Garden and the remainder of the Nonexclusive Use Areas against loss, damage or theft in such amounts as are reported by Lessee to Lessor, and determined to be reasonable and appropriate by Lessor and Lessee, but in no event Iess than the aggregate fair market value of all sculptures nor more than $20,000,000 or such greater amount as may be subsequently agreed upon by the parties. Lessor shall make no material change in the Sculpture Garden, Piaza or Multi-Sensory Gardens during the initial or any extended term(s) hereof without the prior written consent of Lessee, which shall not unreasonably be withheld. During the initial and any extended term(s) hereof, Lessee shall provide a sculpture expert to work with Lessor in connection with the maintenance and appearance of the Sculpture Garden and Multi-Sensory Gardens, which sculpture expert shall initially be Lessee's Executive Director, Dr. Steven Nash, PhD. 3. Possession. Lessor shall not be required to deliver possession of the Premises to Lessee until Lessee complies with its obligation to provide evidence of insurance under Paragraph 6,but such failure to provide evidence of insurance shall not extend or delay the Commencement Date. 4. Use. 4.1 Use. Lessee shall use and occupy the Premises only for the Agreed Use, and for no other purpose. Lessee shall not use or permit the use of the Premises in a manner that is unlawful, creates damage,waste or a nuisance,or that disturbs occupants of or causes damage to neighboring premises or properties. Lessee acknowledges that Lessee's obligation to maintain the Museum open to the public as set forth in paragraph 1.6 above, and maintain an art collection of comparable size and quality to other art museums of similar size(850Q square feet)is a materiai part of the consideration to Lessor,and Lessee's failure to do so will be a material breach of this Lease. 4.2 Hazardous Substances. (a) Definitions. T'he term "Hazardous Substance" as used in this Lease shall mean any product, substance, or waste whose presence, use, manufacture, disposal, i transportation, or release, either by itself or in combination with other materials expected to be � an the Premises, is either: (i) potentially injurious to the public health, safety or welfare, the environment or the Premises,(ii)regulated or monitored by any governmentat authority, or(iii)a basis for potenrial liability of Lessor to any governmental agency or third party under any applicabte statute or common law theory. Hazardous Substances shali include, but not be limited to, hydrocazbons, petroleum, gasoline, and/or crude oil or any products, by-products or fractions thereof. "Reportable Use" shalt mean (i) the installation or use of any above or below ground storage tank, (ii) the generation, possession, storage, use, transportati�n, or disposal of a Hazardous Substance that requires a permit from, or with respect to which a report, notice, registration or business plan is required to be filed with, any governmental authority, and/or(iii) the presence at the Premises of a Hazardous Substance with respect to which any Applicable � Requirements requires that a notice be given to persons entering or occupying the Premises or neighboring properties. � � 4 + ; Palm Springs Art Museum,Palm Desert Lease 7/2lZ010 { 1