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HomeMy WebLinkAbout10/19/2005 - STAFF REPORTS (32) ;off pA�M SA4 c ' V N k k f k DARD qh k c9`IF°�"�p City Council Staff Report DATE: October 19, 2005 NEW BUSINESS SUBJECT: AGREEMENT FOR PUCHASE AND SALE OF PUBLIC ARTWORK BETWEEN THE CITY OF PALM SPRINGS AND BUSCHLEN MOWATT GALLERIES, A LIMITED LIABILITY COMPANY OF PALM DESERT, CA., FOR THREE SCULPUTRES LOCATED ON KIRK DOUGLAS WAY. FROM: David H. Ready, City Manager BY: Community and Economic Development SUMMARY Three large sculptures by internationally known Artist Jean Claude Farhi (the "Artist"), have been on display on Kirk Douglas Way on loan from the Artist, for the past three years. The original Agreement was for one year, and has been extended twice since. Buschlen Mowatt Galleries (the "Gallery"), representing the Artist, has proposed that the sculptures be purchased and added to the City's permanent Public Art collection. RECOMMENDATION: 1. Adopt Minute Order No. _ to Approve the Agreement for Purchase and Sale of Public Artwork between the City of Palm Springs and Buschlen Mowatt Galleries in the amount of $190,000 for three Corten steel sculptures by Jean Claude Farhi. 2. Adopt Resolution No. _ A Resolution of the City Council of the City of Palm springs, California, Amending the Budget for the 2005-06 Fiscal Year. 3. Authorize the City Manager to execute all necessary documents. STAFF ANALYSIS: In May 2002 the City Council approved an Amendment to Agreement No. 4043 between the City and Airport Displays, Ltd, which allowed flexibility in the existing Agreement to have various works of art of the "highest professional standards" displayed for public view along the Mid-Valley Parkway airport extension road (now Kirk Douglas Way). Item No. 5 . B . City Council Staff Report (October 19,2005) — Page 2 (Purchase Farhi Sculptures) Buschlen Mowatt Galleries presented a proposal to the Airport Commission to place three (3) Corten steel sculptures created by Jean Claude Farhi along the airport extension road. The sculptor has major collections throughout Europe and America. One of two of his largest works is at the entry to the Nice Airport on the Cote D' Azur in the south of France. The second largest piece, a 50-foot sculpture, commissioned by Bill Gates of Microsoft, is located at his residence in Washington State. The Airport Commission, at their May 1, 2002 meeting recommended that City Council approve the Amendment and placement of the artwork. The Planning Commission reviewed the placement of the artwork and recommended Council approval on May 8, 2002 and the Public Arts Commission reviewed and approved the proposed artwork on May 9. Subsequently, the City Council approved the Amendment and placement of the artwork on May 15, 2002. On September 4, 2004 the Gallery submitted a letter to the City requesting a meeting to begin discussions to purchase the artwork, which was discussed at the Public Arts Commission meeting on October 14, 2004. The Gallery's proposal was for the City to purchase the three original sculptures for $270,000. The Commission discussed the following options: seek Airport financial participation; move one or more of the sculptures to another location; and purchase one versus all three. The Commission directed staff to get input from the Airport Commission. The Airport Commission discussed the item on December 1, 2004 and rejected the Gallery's proposal; they also voted that any placement of artwork at the Airport in the future would need to come to the Airport Commission via the Public Arts Commission. Other comments by the Airport Commission were that future artwork proposed for the Airport should be aviation related; and that in light of staff layoffs and other budget cuts, the Airport was not in a position to purchase the sculptures. The Gallery submitted a second letter to Public Arts reducing the purchase price to $1190,000 for all three sculptures. The Commission discussed the proposal at their meetings of November 18, 2004, December 16, 2004, and January 7, 2005. No action was taken, except to approve a letter written by the Acquisition Subcommittee, addressed to Bill Gates, asking for his financial participation. Mr. Gates did not reply to this request. On July 14, 2005 the Public Arts Commission reviewed a segment of the City Council meeting relating to the comments made by Councilmember Mills about the sculptures, which appeared on the cover of the Desert Water Agency brochure. Mr. Mills asked that the Commission be directed to investigate purchasing the sculptures and not lose this opportunity to keep the works of art in the City. Councilmember Foat stated that the Airport Commission felt the sculptures were not proper for the airport, but that she agreed that we should look into keeping the sculptures. The Commission reviewed the Ordinance language about original works of art and discussed whether purchasing three pieces from the same artist made sense, (reference was made to the four Chihuly glass sculptures). They also discussed seeking funding from other City's, (reference was CAy Council Staff Report (October 19,2005) -- Page 3 (Purchase Farhi Sculptures) made to the difficulty to raising funds for the Chihuly sculptures); and whether the pieces may be too expensive. The Commissions concluded that the sculptures make a nice statement and are a strong impact for visitors and residents. The Acquisition Subcommittee was to contact other cities about securing additional funding. On September 26, 2005, Alex Longmuir, owner of the Gallery met with staff and the Public Arts Chairperson. Mr. Longmuir reported that the City of Vancouver B.C. has expressed an interest in the three sculptures. A large outdoor exhibition begins on October 215f and Vancouver wanted the sculptures moved back (where they were originally on display before being moved to the desert). The proposal to purchase the sculptures remained at $190,000 with a flexible payment plan offered. The sculptures are valued at $360,000, which would be reflected in an Insurance Valuation Certificate. In order to give the Public Arts Commission and City Council an opportunity to retain the sculptures, Mr. Longmuir requested the proposal be discussed at the Commission's Oct 13, 2005 meeting and the City Council meeting on October 19, 2005, At the October 13, 2005 Public Arts Commission meeting, the Chair gave a brief overview of the offer to purchase from the Gallery. A motion to purchase the three Farhi Sculptures was made and seconded. Aye votes were Arterberry, Miller and Wick. Nay votes were Fruehling, Stern and Chair Kleinschmidt. Ciali was absent. There was no other discussion and the motion failed on a tie. Given the Council's expressed interest in the Sculptures and the fact that the motion failed on a tie, Staff recommends approval of the Agreement for Purchase and Sale of Public Artwork with Buschlen Mowatt Galleries, in the amount of $190,000, payable over a three-year period: $70,000 upon signing the Agreement and $60,000 in the second and third years. The Gallery indicated they would be flexible and accept a different payment structure. Section 3.37111 of the Public Arts Ordinance states that artwork being placed on private property must be a one-of-a-kind piece, but allows the Commission to purchase "limited edition" pieces for public placement. The three sculptures are original works of art and are in the median of a public street. The artwork also meets the Criteria for Selection outlined in Section, 3.36.090 of the Ordinance as to quality, style, environment, and permanence, elements of design and diversity. The three sculptures can either be considered a "set "or three stand alone pieces. An example of a "set" owned by the City would be the four Chihuly glass sculptures at the Airport. Examples of multiple works of art created by one Artist and owned by the City and/or other entity include: Chairman of the Links (downtown) and Help is on the Way (police department), by Jeffrey Fowler; Lucille Ball bench, Sonny Bono fountain (downtown) and a Sonny Bono bust (airport) by Emmanuil Snitkovsky; The Entertainer (Palm Canyon Theater) and Sympatico (soon to be moved to Convention Center) by John Kennedy; and the Agua Caliente Women (Tahquitz) and Moon Maiden (Spa) by Doug Hyde. Mr. Hyde also has created artwork for the new Wal Mart Center. City Council Staff Report (October 19,2005) -- Page 4 (Purchase Farhi Sculptures) FISCAL IMPACT: r There will be no fiscal impact to the City's General nd. The money would come from the Pubic Arts Fund, which has an estimated 46d balance of $920,000 as of July 1, 2005. Staff recommends approving a Budget Resolution transferring $70,000 from the Public Arts Fund Account to Specialized Equipment to pay the first installment. $I30,000 will be added to the annual budget for payment years two and three. J hn mono, Director of Community Assistant City Ma er �//., _ & conomic elooment David H. Ready, City Mana l" Attachments: Minute Order Resolution Amending Budget Agreement For Purchase and Sale of Pubic Artwork MINUTE ORDER NO. APPROVE THE AGREEMENT FOR PURCHASE AND SALE OF PUBLIC ARTWORK BETWEEN THE CITY OF PALM SPRINGS AND BUSCHLEN MOWATT GALLERIES IN THE AMOUNT OF $190,000 FOR THREE CORTEN STEEL SCULPTURES BY JEAN CLAUDE FARHI. I, James Thompson, City Clerk of the City of Palm Springs, hereby certify that this Minute Order approving the Agreement for Purchase and Sale of Public Artwork Between The City of Palm Springs and Buschlen Mowatt Galleries in the amount of $190,000 for three corten steel sculptures by Jean Claude Farhi, was adopted by the City Council of the City of Palm Springs, California, in a meeting thereof held on the 19th day of October, 2005. James Thompson, City Clerk RESOLUTION NO. OF THE CITY COUNCIL OF THE CITY OF PALM SPRINGS, CALIFORNIA, AMENDING THE BUDGET FOR THE 2005-06 FISCAL YEAR. WHEREAS Resolution 21283 approving the budget for the fiscal year 2005-06 was adopted on June 8, 2005; and WHEREAS the City Manager has recommended, and the City Council desires to approve, certain amendments to said budget; NOW THEREFORE BE IT RESOLVED that the Director of Finance is authorized to record inter-fund cash transfers as required in accordance with this Resolution, and that Resolution 21283, adopting the budget for the 2005-06 fiscal year is hereby amended as follows: SECTION 1. ADDITIONS Fund Activity Account Amount 150-Public Arts Specialized 150-30-4408- 70,000 Equipment 50015 Transfer funds from Public Art Fund to Art Acquisitions account to cover the first Installment payment for the purchase of three sculptures located on Kirk Douglas Way, to add to the Public Arts Collection. SECTION 2. SOURCE Fund Activity Account Amount 150-Public Arts Public Arts Fee 150-34390 70,000 ADOPTED THIS __day of 2005. David H. Ready, City Manager ATTEST: James Thompson, City Clerk CERTIFICATION STATE OF CALIFORNIA ) COUNTY OF RIVERSIDE ) ss. CITY OF PALM SPRINGS ) I, JAMES THOMPSON, City Clerk of the City of Palm Springs, hereby certify that Resolution No. is a full, true and correct copy, and was duly adopted at a regular meeting of the City Council of the City of Palm Springs on by the following vote: AYES: NOES: ABSENT: ABSTAIN: James Thompson, City Clerk City of Palm Springs, California AGREEMENT FOR PURCHASE AND SALE OF PUBLIC ARTWORK THIS AGREEMENT FOR PURCHASE AND SALE OF PUBLIC ART WORK ("Agreement') is entered into this day of , 2005, by and between the CITY OF PALM SPRINGS, a municipal corporation ("City"), acting by and through its Public Arts Commission (the "Commission") and Buschlen Mowatt Galleries, a Limited Liability Company ("Artist'). RECITALS A. Pursuant to Municipal Ordinance No. 1479, City established the Commission and an Art In Public Places Program ('Program"). B. Artist submitted a proposal to the Commission for the sale and installation of an art piece referred to herein as "Farhi Sculptures" ("Artwork"). The Artwork is offered for sale to the City, acting by and through the Commission. The Proposal, including all relevant specifications, is attached hereto as Exhibit "A" and incorporated herein by reference. Where the Proposal and the terms of Exhibit "A" conflict, the terms of Exhibit "A" shall control. C. The Proposal provides that the Artwork will be installed in a public space located in Palm Springs more particularly depicted on Exhibit "B" attached hereto (the .>ite ). D. Consistent with the objectives of the Commission, and in furtherance of the Program, City desires to purchase from Artist, and Artist desires to sell to City, artwork described in the Proposal. NOW, THEREFORE, City and Artist, forthe consideration and underthe conditions hereinafter set forth, and pursuant to the authority, terms and conditions set forth in Municipal Ordinance No. 1479, agree as follows: 1. Scope of Services. 1.1 Fabrication and Completion of the Art Work. Artist has fabricated or caused to be fabricated, the Artwork under the personal supervision of the "Artist' and in conformity with the Proposal, Procedures and tim eline set forth in the Schedule of Performance (the "Schedule"), attached hereto as Exhibit "C" and incorporated herein by reference. The Artwork shall not deviate in specifications, including, but not limited to, size, design or material from the Proposal, unless the change is approved in writing by motion of the Commission. In addition to the requirements described in Exhibit "A", Artist shall create, transport, and install the Artwork to the Site at its sole cost and expense. The Artist shall install the Artwork with the highest standards of care, giving special consideration to protecting the Artwork from theft and/or breakage. 1 1.2 City's Installation Costs. City shall bear, in its sole and absolute discretion, any installation costs as it pertains to the site as described in Exhibit"B", relating to any landscaping alterations, lighting enhancements, and concrete materials. 1.3 Consultations and Deviations from Proposal. The Parties agree to cooperate and consult each other during installation of the Artwork to assure compliance with the specifications in the Proposal. Artist will present any proposed installation design changes to the Commission for its approval and acceptance. The Commission shall have sole discretion to approve and accept any such installation design changes. 1.4 Modifications to Installation. The Commission shall have the right, before acceptance of the Artwork as defined in Exhibit"D", to request modifications to the installation of the Artwork. Should such modifications result in an increase in cost to Artist, full documentation of such costs shall be submitted to the Commission in writing and subject to approval by the Commission. Upon approval, such increased costs shall be paid to Artist prior to the date of installation, in addition to the fee to be paid to Artist pursuant to Section 4 below. In the event the modifications result in a reduction of costs to Artist, the fees owed to Artist pursuant to Section 2 below outlined in Exhibit"C"shall be reduced by a like amount. Except as expressly provided in this Agreement, City shall not intentionally damage, alter, modify or change the Sculpture, without the priorwritten consent of Artist, except in such cases where damage results from an emergency or as set forth in Section 6.2 below. 1.5 Citv's Removal or Transfer of Artwork. City may remove or transfer the Artwork to another location, provided, however, that the Artwork is not destroyed, mutilated, or modified, as those terms are used in 17 U.S.C. §106A, and so long as the Artwork can be described as created by the Artist. 2. Commencement of Installation of Artwork. Artist shall commence installation of the Artwork upon the receipt of a written "Notice to Proceed"from the Commission. The Artwork shall be completed in accordance with the Schedule of Performance contained in the Proposal, a copy of which is attached hereto as Exhibit "C". 3. Ownership of Documents, Models. All studies, drawings, designs, and models prepared and submitted by Artist to City relative to this Agreement shall become the property of City. The Commission may permit Artist to borrow such items as needed for the installation of the Artwork. City agrees not to reuse such studies, drawings, and models for the purpose of constructing a full-sized duplicate of the Artwork. City acknowledges and agrees that Artist is the exclusive intellectual property right owner of any and all designs, drawings, models and artwork created by Artist pursuant to this Agreement. 2 4. Fee and Interim Payments. As consideration for the Artwork and all services by Artist hereunder, City shall pay Artist the fees set forth on the attached Exhibit "D" in accordance with the time frames provided therein ("Fee Schedule"). THE MAXIMUM AMOUNT OF CITY'S OBLIGATION UNDER THIS AGREEMENT IS THE AMOUNT SPECIFIED UNDER THIS SECTION 4 OF THIS AGREEMENT. ARTIST WILL COMPLETE THE WORK AND SERVICES REQUIRED UNDER THIS AGREEMENT FOR THE DESIGN, DEVELOPMENT, CONSTRUCTION, AND INSTALLATION OF THE ARTWORK WITHOUT LIABILITY ON THE CITY'S PART FOR ANY PAYMENT BEYOND SUCH MAXIMUM AMOUNT. 5. Artist's Riqhts; Citv's Ownership Riqhts. 5.1 Alterations. The City, having expended considerable public funds to commission the Artwork, and pursuant to its governmental and proprietary responsibilities, intends to display the Artwork at the Site as originally created by Artist and to maintain the Artwork in good condition. The City must preserve complete flexibility to operate and manage City property in the public's interest. Therefore, City retains the absolute right to alterthe Artwork in City's solejudgment. For example, City may alter the Artwork to eliminate hazard, to comply with the ADA, to otherwise aid City in the management of its property and affairs, orthrough neglect or accident. If, during or after the term of this Agreement, City finds the Site to be inappropriate, City has the right to cause the Artwork to be installed at an alternate location that City chooses in its sole reasonable discretion. 5.2 Waiver. With respect to the Artwork produced under this Agreement, Artist waives any and all claims, arising at any time and under any circumstances, against City, its officers, agents, employees, successors and assigns, arising under the federal Visual Artists Rights Act (17 U.S.C. §§106A and 113(d)), the California Art Preservation Act (Cal. Civil Code §§987 et seq.), and any other local, state, federal or international laws that convey rights of the same nature as those conveyed under 17 U.S.C. §106A, Cal. Civil Code §§987 et seq., or any other type of moral right protecting the integrity of works of art. If the Artwork is incorporated into a building or the Site such that the Artwork cannot be removed from the building or Site without alteration of the Artwork, Artist waives any and all such claims against any future owners of the Site, and its agents, officers and employees, for alteration of the Artwork. 5.3 Good Faith. Where time permits, prior to altering the Artwork, City shall make reasonable good faith efforts to notify and consult with Artist, at the last phone number or address provided by Artist to the City, and to come to a mutually agreeable plan for disposition of the Artwork. Such consultation shall be without charge by Artist unless otherwise specifically agreed in writing. If the Artwork is altered and City intends to maintain the Artwork on display, City shall make a reasonable good faith effort to engage Artist in the restoration of the Artwork and to 3 compensate Artist for Artist's time and efforts at fair market value,which maybe the subject of a future agreement between Artist and City. However, City has no obligation under this Agreement to restore the Artwork to its original condition or to compensate Artist for any restoration work. If Artist fails or refuses to negotiate with City in good faith with respect to any restoration, City may contract with any other qualified art conservator or artist for such restoration. 5.4 Disclaimer. If City alters the Artwork without Artist's consent in a manner that is prejudicial to Artist's reputation, Artist retains the right to disclaim authorship of the Artwork in accordance with California Civil Code §987(d) and 17 U.S.C. §106A(a)(2). 6. Artists' Warranties/Waivers. 6.1 Defects in Materials or Workmanship. Artist warrants that the Artwork and Artist services hereunder will be free of defects in workmanship or materials, and that Artist will, at Artist's own expense, remedy any defects due to faulty workmanship or materials appearing during the twelve (12) month period immediately following completion of the installation of the Artwork. This warranty includes any workmanship or materials which cause the Artwork, orthe installation, to deteriorate over said twelve (12) month period in a manner inconsistent with the design, the approved plans and specifications or as would otherwise be expected from products made of similar materials, or from any quality within the materials which comprise the Artwork, or their installation, which, either alone or in combination, result in the tendency of the Artwork, or their installation, to deteriorate. 6.2 Public Safety. City and Artist shall cooperate to insure that the Artwork, or the installation, incorporate no feature which is a danger to the public such as sharp edges or points. The Commission shall review the Artwork and installation plans and shall request any modification relative to public safety prior to installation. Any modifications requested by the Commission shall be governed pursuant to Section 1.3 above. Should hazards in relation to the apparent after installation, City shall have the right to make adjustments and modifications thereto to eliminate such hazards. Artist agrees to cooperate in making adjustments to the site or pedestal or display of the Artwork, if necessary, to eliminate other hazards which become apparent within one (1) year of the date the Artwork is finally accepted by City. City shall solely bear the cost of any such modifications. 6.3 Title. Artist warrants that the Artwork is the result of the artistic efforts of Artist and that the Artwork will be installed and transferred to City free and clear of any liens, claims, or other encumbrances of any type, exclusive of intellectual property rights of Artist. 7. Excuse or Suspension of Contractual Obliqations; Force Maleure. The time period(s)specified in the Proposal for performance of the services rendered pursuant to 4 this Agreement shall be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of Artist, including, but not restricted to, acts of God or of the public enemy, unusually severe weather, fires, riots, strikes, freight embargoes, wars, litigation, and/or acts of any governmental agency, including the City, if Artist, within fifteen (15)days of the commencement of such delay, notifies the Commission in writing of the causes of the delay. 8. Maintenance of the Artwork. Upon completion of the installation of the artwork, Artist shall provide City with written instructions for appropriate maintenance and preservation of the Artwork. 9. Default; Remedies. 9.1 Disputes. In the event of any dispute arising under this Agreement, the injured party shall notify the defaulting party in writing of the breach or dispute and the facts giving rise thereto. The injured party shall continue performing its obligations hereunder so long as the defaulting party commences to cure such default within fifteen (15) days of receipt of such notice and completes the cure of such default within thirty(30) days after receipt of the notice, or such longer period as may be permitted by the injured party; provided that if the default is or presents an immediate danger to the health, safety and general welfare, City may take immediate action. Compliance with the provisions of this Section shall be a condition precedent to termination of this Agreement for cause and to seek arbitration, and such compliance shall not be a waiver of any party's right to seek arbitration in the event that the dispute is not cured. 9.2 Waiver. No delay or omission in the exercise of any right or remedy by non-defaulting party on any default shall impair such right or remedy or be construed as a waiver unless such waiver, delay or omission is memorialized in writing. A party's consent to or approval of any act by the other party requiring the first party's consent or approval shall not be deemed to waive or render unnecessary the other party's consent to or approval of any subsequent act unless such consent or approval is memorialized in writing. Any waiver by either party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement. 9.3 Rights and Remedies. Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the parties hereunder are cumulative and the exercise by either party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other party. 9.4 Arbitration. In addition to any other rights or remedies, either party may seek arbitration to cure, correct, or remedy any default or to recover damages for any default. Arbitration shall occur in the State of California according to the 5 rules of the American Arbitration Association. The prevailing party shall be entitled to recover reasonable attorney's fees, in addition to all other sums provided by law. The internal laws of the State of California shall govern this Agreement(exclusive of the conflicts of laws provision). 9.6 Termination for Default of Artist. City shall have the right to terminate this Agreement for cause upon any material breach by Artist of the obligations imposed upon Artist under this Agreement, subject to the requirements of Section 9.1 above. In such event, City may after compliance with the provisions of Section 9.1 above, take over the Artwork and complete the installation of the Artwork as such installation is contemplated hereunder, and Artist shall be liable for the reasonable costs City incurs in completing the same. City may withhold payments to Artist for the purpose of off set or partial payment of the amounts owed City as previously stated. 9.7 Termination for Default of City. Artist shall have the right to terminate this Agreement for cause upon any material breach by City of the obligations imposed upon City under this Agreement, subject to the requirements of Section 9.1 above. 9.8 Attorneys' Fees. If either party to this Agreement is required to initiate or defend or is made a party to any action or proceeding in any way connected with this Agreement, the prevailing party in such action or proceeding, in addition to any other relief which may be granted, whether legal or equitable, shall be entitled to reasonable attorneys'fees. Attorneys'fees shall include attorneys'fees on appeal, and in addition, a party entitled to attorneys' fees shall be entitled to all other reasonable costs for investigating such action,taking depositions and discovery and all other necessary costs which are incurred in such arbitration and on appeal. 10. Insurance. Artist shall procure and maintain, at its sole cost and expense, until completion of installation of the Artwork, the following policies of insurance: 10.1 Comprehensive General Liability Insurance. A policy of comprehensive general liability insurance written on a per occurrence basis in an amount not less than ONE MILLION DOLLARS ($1,000,000)combined single limit. 10.2 Workers' Compensation Insurance. Artist shall maintain insurance and shall provide a copy for City upon execution of this Agreement. 10.3 Automotive Insurance. A policy of comprehensive automobile liability insurance written on a per occurrence basis in an amount not less than either (i) bodily injury liability limits of TWO HUNDRED FIFTY THOUSAND DOLLARS ($250,000.00) per person and FIVE HUNDRED THOUSAND DOLLARS ($500,000.00) per occurrence and property damage liability limits of ONE HUNDRED THOUSAND DOLLARS ($100,000.00) per occurrence and TWO HUNDRED FIFTY THOUSAND DOLLARS ($250,000.00) in the aggregate, (ii) 6 combined single limit liability of FIVE HUNDRED THOUSAND DOLLARS ($500,000.00), or (iii) limits as set by the City Risk Manager. Said policy shall include coverage for owned, non-owned, leased and hired cars. All of the above policies of insurance shall be primary insurance and shall name City, its officers, employees and agents as additional insureds. The insurer shall waive all rights of subrogation and contribution it may have against City, its officers, representatives, employees and agents and their respective insurers. All of said policies of insurance shall provide that said insurance may not be amended or canceled without providing thirty(30) days prior written notice by registered mail to City. In the event any of said policies of insurance are canceled, Artist shall, prior to the cancellation date, submit new evidence of insurance in conformance with this Section to the Commission. No work or services under this Agreement shall commence until Artist has provided City with Certificates of Insurance or appropriate insurance binders evidencing the above insurance coverages and said Certificates of Insurance or binders are approved by City. The policies of insurance required by this Agreement shall be satisfactory only if issued by companies qualified to do business in California, rated "A" or better in the most recent edition of Best Rating Guide, The Key Rating Guide or in the Federal Register, and only if they are of a financial category Class VII or better, unless such requirements are waived by the City Risk Manager due to unique circumstances. 11. Intellectual Property and Publicity Riqhts 11.1. Copyright. Except as noted in this Agreement, the Artist shall retain all copyrights in all original works of authorship produced under this Agreement. Artist's copyright shall not extend to predominantly utilitarian aspects of the work, such as landscaping elements, furnishings, or other similar objects. Notwithstanding any other provision to the contrary, Artist shall not grant, sell, give, or in any way convey to any person or entity of any kind a copy of the Artwork or any component thereof or any likeness or reproduction of the Artwork or any component thereof without the express written approval of the City. Nothing herein shall prohibit the Artist from providing two dimensional images of the Artwork or portions thereof to be included in any portfolio or other resume of the Artist demonstrating or depicting representative samples of the Artist's work. 11.2. City's Intellectual Property License. Artist grants to City, and to City's agents, authorized contractors and assigns, an unlimited, exclusive, and irrevocable license to all rights worldwide with respect to the Artwork and any and all intellectual property or other property of any nature produced, created, or suggested by the Artist during the term of this Agreement or resulting from the Artist's services shall be deemed a work made for hire and shall be the sole and exclusive property of the City. Such license rights include, but are not limited to the following with respect to the Artwork and any original works of authorship created under this Agreement, whether in whole or in part, in all media (including electronic and digital)throughout the universe: 7 11.2.1 Implementation, Use, and Display. City may use and display any and all graphic representations or models of the Artwork, as well as the Artwork. To the extent the Artwork involves design elements that are incorporated by City into the design of the Site, City may implement such elements at the Site. 11.2.2 Reproduction and Distribution. City may make and distribute, and authorize the making, display, and distribution of, photographs and any other two reproductions. City may use such reproductions for any purpose, including advertising, educational, and promotional materials, brochures, books, flyers, postcards, print, broadcast, film, electronic and multimedia publicity, gifts for City benefactors, documentation of City's Civic Art Collection, and catalogues or similar publications. City shall ensure that such reproductions are made in a professional and tasteful manner, in the sole and reasonable judgment of the City. The proceeds from the sale of any such reproductions shall be used to maintain and support the Artwork or for any other governmental or charitable purpose as determined at the sole discretion of City. 11.2.3 Public Records Requests. Any documents provided by Artist to City are public records and City may authorize third parties to review and reproduce such documents pursuant to public records laws. 11.2.4 Title to Work Product. Without limiting the generality of the foregoing, title to all drawings, plans, ideas, concepts, specifications, models, or othertangible work product produced by the Artist pursuant to this Agreement shall become the property of the City when produced. The City shall own the worldwide right, title and interest in such work product. Artist shall deliver all such original work product to the Commission upon the completion or sooner termination of the Artist services under this Agreement but may retain copies thereof for its permanent records so long as the same are not used without the City's prior express written consent. 11.3 Third PartV Infrinqement. The City is not responsible for any third party infringement of Artist's copyright and not responsible for protecting the intellectual property rights of Artist. 11.4 Credit. Artist hereby agrees that all formal references to the Artwork and any reproductions of the Artwork in any form shall include the following credit: "Collection of the Orange County Fire City." City shall credit Artist for the Artwork upon publication of any two or three dimensional reproductions of the Artwork. 11.5 Publicity. City shall have the right to use Artist's name, likeness, and biographical information, in connection with the display or reproduction and 8 distribution of the Artwork including all advertising and promotional materials regarding the City. Artist shall be reasonably available to attend any inauguration or presentation ceremonies relating to the public dedication of the Artwork. 11.6 Trademark. In the event that City's use of the Artwork creates trademark, service mark, or trade dress rights in connection with the Artwork, City shall have an exclusive and irrevocable right in such trademark, service mark, or trade dress. Artist may not use the Artwork in any manner that would cause a likelihood of confusion as to source or sponsorship by City, its agents or assigns, or to dilute the distinctive quality of such mark. 11.7 Unique. Artist warrants that the design of the Artwork as expressed in the Proposal is an edition of one, and that neither Artist not Artists' agents will execute or authorize another to execute another work of the same or substantially similar image, design, dimensions, and materials as the Artwork. Artist may create works that utilize or incorporate various individual art elements that comprise the Artwork, so long as the work utilizing or incorporating such individual elements (1) does not consist predominantly of such elements(2)is notthe same or substantially similar in image, design, dimensions and materials as the Artwork, and (3) is not displayed in an environment that is the same or substantially similar to the environment in which the Artwork is to be displayed at the Site. This warranty shall continue in effect for a period consisting of the life of Artist plus 70 years or for the duration of the Artwork's copyright protected status, whichever is longer, and shall be binding on Artist and Artist's heirs and assigns. In the case where Artist is comprised of two or more individual persons or a group of people,the measuring life shall be the life of the last surviving individual person comprising Artist. Recognizing that City has no adequate remedy at law for Artist's violation of this warranty, Artist agrees that, in the event Artist breaches this warranty, City shall be entitled to enjoin Artist's breach. 11.8 Resale Rovaltv. If City sells the Artwork as a fixture to real property, and if the resale value of the Artwork is not itemized separately from the value of the real property, the Parties agree that the resale price of the Artwork shall be presumed to be less than the purchase price paid by City under this Agreement. Thus, City has no obligation to pay resale royalties pursuant to California Civil Code §986 or any other law requiring the payment of resale royalties. If City sells the Artwork as an individual piece, separate from or itemized as part of a real property transaction, City shall pay to Artist a resale royalty to the extent required by law, based upon the sale price of the Artwork. 12. Documentation. To the extent possible, Artist shall provide information on the Artwork requested by the Commission for its registration files. 13. Repair and Restoration. It is the current policy of the Commission to consult with Artist regarding repairs and restoration which are undertaken during Artist's lifetime when that is practical. To facilitate consultation, Artist will, to the extent feasible, notify the 9 Commission of any change in his professional address. 14. Reputation. 14.1 City's Commitment. The City agrees that it will not use the Artwork or Artist's name in a way which reflects discredit on the Artwork or on the name of Artist or on the reputation of Artist. 14.2 Artist's Commitment. Artist agrees that it will not make reference to the Artwork or reproduce the Artwork or any portion thereof in a way which reflects discredit on City or the Artwork. 14.3 No Assignment or Transfer. The personal skill, judgment and creativity of Artist are essential elements of this Agreement. Therefore, Artist shall not voluntarily or involuntarily assign, convey, subcontract, hypothecate, encumber or otherwise transfer any portion of this Agreement or any of the services to be performed hereunder without the express written consent of City, which consent may be withheld in City's sole and absolute discretion. In the event of such unapproved transfer, including any bankruptcy proceeding, this Agreement shall be void. 15. Artist as Independent Contractor. 15.1 Neither City nor any of its employees shall have any control over the manner, mode or means by which Artist, its agents or employees, perform the services required herein, except as otherwise set forth herein. City shall have no voice in the selection, discharge, supervision or control of Artist employees, servants, representatives or agents, or in fixing their number, compensation or hours of service. Artist shall perform all services required herein as an independent contractor of City and shall remain at all times as to City a wholly independent contractor with only such obligations as are consistent with that role. Artist shall not at any time or in any manner represent that it or any of its agents or employees are agents or employees of the City. City shall not in any way or for any purpose become or be deemed to be a partner of Artist in its business or otherwise or a joint venture or a member of any joint enterprise with Artist. 15.2 City and the Commission may require Artist to make such revisions to the Proposal as are necessary for the installation of the Artwork to comply with applicable statutes, ordinances or regulations governing the services of Artist hereunder. Artist acknowledges (i)that Labor Code Section 1771 may require the payment of prevailing wages and (ii) the Public Contracts Code may require that certain aspects of the installation of the Artwork be publicly bid. Upon request of City, Artist shall make such revisions to the installation of the Artwork and/or supply data to City as is necessary for the installation of the Artwork to comply with the Labor Code or Public Contracts Code; provided, however, that any such changes that increase Artist costs to complete the installation shall be paid to Artist in 10 advance of the installation of the Artwork. 16. Conflict of Interest. No officer, representative or employee of City shall have any financial interest, direct or indirect, in this Agreement nor shall any such officer, representative or employee participate in any decision relating to the Agreement which effects his or herfinancial interest orthe financial interest of any corporation, limited liability company, partnership or association in which he or she is, directly or indirectly, interested, in violation of any Federal or California statute or regulation. Artist warrants that it has not paid or given and will not pay or give any third party any money or other consideration for obtaining this Agreement. 17 Covenant Aqainst Discrimination. Artist covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, that there shall be no discrimination against or segregation of, any person or group of persons on account of race, color, creed, religion, sex, marital status, national origin, or ancestry in the performance of this Agreement. Artist shall take affirmative action to insure that applicants are employed and that employees are treated during employment without regard to their race, color, creed, religion, sex, marital status, national origin, or ancestry. 18. Integration; Amendments. This Agreement contains all of the agreements of the parties and cannot be modified, terminated or rescinded, in whole or in part, unless written and signed by authorized representatives of the parties hereto. No prior oral or written understanding shall be of any force with respect to those matters covered in this Agreement. 19. Governinq Law. This Agreement and all matters pertaining thereto shall be construed according to the laws of the State of California. 20. Licenses, Permits and Fees. Any licenses, permits, and approvals required by law for installation of the Artwork on City property shall be obtained by the City at City's sole cost and expense. 21. Further Responsibilities of the Parties. Both parties agree to use reasonable care and diligence to perform their respective obligations under this Agreement. Both parties agree to act in good faith to execute all instruments, prepare all documents and take all actions as may be reasonably necessary to cant' out the purposes of this Agreement. Unless hereafter specified, neither party shall be responsible forthe services of the other. 22. Commission. The Commission shall be the City's designated representative with respect to this Agreement. It shall be Artist responsibility to assure that the Commission is kept informed of the progress of Artist services hereunder and Artist shall refer any decision which must be made by City to the Commission. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the Commission. Except as otherwise directed by the City Council, the Commission shall have the authority to give any approvals or consents required hereunder and to otherwise act on 11 behalf of City in order to carry out the terms of this Agreement. 23. Notices. Any notice which either party may desire to give to the other party under this Agreement must be in writing and may be given by personal delivery or by mailing the same by registered or certified mail, return receipt requested, to the party to whom the notice is directed at the address of such party hereinafter set forth, or such other address and to such other persons as the parties may hereafter designate, or by facsimile when followed by a facsimile confirming receipt: To Artist: To Commission: Public Arts Commission City of Palm Springs P.O. Box 2743 Palm Springs, CA 92263 Copy to: City Attorney A change in the designation of the person or address to which submittals, requests, notices or reports shall be delivered is effective when the other party has received notice of the change by certified mail or by facsimile when followed by a return facsimile confirming receipt. 24. Execution in Counterpart. This Agreement may be executed in several counterparts, and all so executed shall constitute one agreement binding on all parties hereto, notwithstanding that all parties are not signatories to the original on the same counterpart. 12 IN WITNESS WHEREOF, the parties have entered into this Agreement as of the date first above written. "ARTIST" a : By: Its: "CITY" CITY OF PALM SPRINGS, a municipal corporation ATTEST: By: By: City Clerk City Manager APPROVED AS TO FORM: 13 EXHIBIT "A' (PROPOSAL) The proposal made by Buschlen Mowatt Galleries is to purchase three (3) Jean Claude Farhi sculptures currently on loan to the City, located in the center median on Kirk Douglas Way, Palm Springs. The title and size of the sculptures are as follows: 1. Forget Me Not (143'5" ht x 100" x 78.5") 2. Le Compas de Vuilcan (169.25" ht x 100" x 75") 3. Machine Age (136 ht x 86.75" x 82.75") Total purchase price for the three (3) sculptures is $190,000.00. The Gallery will accept payment in three annual installments: $70,000, $60,000, and $60,000. 14 j�yyT+r+ � •,,j 3: E I H _ i� W ti I Jc 1_ Jean Claude Farhi Jean Claude Farhi Jean Claude Farhi Forget Me Not Le Compas de Vulcan Corton steel sculpture Machine Aqe 143.5"Corto ht x 100r' x sculpture Corton steel sculpture Corton steel sculpture 169.25'' ht x 1 10" x 75" 136'' ht x 86.75" x 82.75" EXHIBIT "B" (THE SITE) The three (3) sculptures are located on Kirk Douglas Way, Palm Springs in the center median. The sculpture entitled "Forget Me Not' is located closest to Ramon Road; Le Compas de Vulcan is the middle piece; and Machine Age is closest to the Airport entrance. 15 —I r- y 1. r .. a 7 Mr+ le-e y.r F �y11T��1!1 4 � t2 r �F a rr s r +'♦ � to rMl rk`�dkf.,.wN�S"�'w�P. " .ka"C3!.�' �'l _ - ' s r " Tift�4 -A, j'r r'y" 'A�#jM,Ng. i , y 1�•�lv='Yf"y�x • "}I �aW w.�� � .'�'ti+! '"_ ''�,q��!(p ii�k.. C �'R � � �Sk yam F r F?�f �1,� '• .M yyA.hh t. `c All iv r s 1 a l Y"h q l.4t o-^ u• ..� t +r h sV � ngt! ,LI$IHXH - Ak 4S i � Al '�� .sa�y,^.au,` .�•��,. • '«.�f '� .; � r 1 n - s. .lt yr ttt u EXHIBIT "C" (SCHEDULE OF PERFORMANCE) The three (3) sculptures are existing works of art, already transported and installed, at their respective sites therefore the followings Sections are not applicable: 1. Scope of Services 1.1 Fabrication and Completion of the Artwork. 1.2 City's Installation Costs 1.3 Consultations and Deviations from Proposal 1.4 Modifications to Install 2. Commencement of Installation of Artwork 6. Artists' Warranties/Waivers 6.1 Defects in Materials or Workmanship 6.2 Public Safety 10. Insurance (The City shall add the artwork to its Insurance Policy) 10.1 Comprehensive General Liability Insurance 10.2 Workers' Compensation Insurance 10.3 Automotive Insurance 16 EXHIBIT "D" (FEE SCHEDULE) The City shall pay the following payment schedule to the Gallery: First installment: $70,000 payable within 30-days of date of execution of the Agreement for Purchase and Sale of Public Artwork Second installment: $60,000 payable within 30-days upon receipt of an invoice from the Gallery after November 1, 2006. Third installment: $60,000 payable within 30-days upon receipt of an invoice from the Gallery after November 1, 2007. 17 EXHIBIT "E" (BILL OF SALE) BILL OF SALE AND ASSIGNMENT THIS BILL OF SALE AND ASSIGNMENT is made as of _ from Buschlen Mowatt Galleries (Seller) to the CITY OF PALM SPRINGS, a municipal corporation ("Buyer"). That for good and valuable consideration to be paid pursuant to the provisions of that certain Agreement for Purchase and Sale of Public Art Work dated 2005 between Buyer and Seller (the "Purchase Agreement") Seller does hereby sell, assign, transfer and deliver unto Buyer, and its successors and assigns, that certain work cheated by Seller entitled Forget Me Not, Le Compas de Vulcan and Machine Age, by Jean Claude Farhi "(the "Property"), including all right, title and interest therein, and shared copyrights thereto. Seller does hereby represent and warrant to Buyer that Seller is the lawful owner of such personal property, and that Seller had good right to sell the same as aforesaid and will warrant and defend the title thereto unto buyer, its successors, subsidiaries, parent corporations, affiliates and loan participant. IN WITNESS WHEREOF, Seller has executed this Bill of Sale as of the date first above written. ,Artist (Tax.1.D. Number) By: Signature CITY OF PALM SPRINGS a municipal corporation By: City Manager ATTEST: By: City Clerk APPROVED AS TO FORM: CITY ATTORNEY: 18 234 North Helena Circle Palm Springs CA 2262 760-323-6971 charilepsca@earthlink.net October 14,2005 v Cathy Van Hom Economic Development and Public Arts Administrator c, City of Palm Springs 3200 EastTahquitz Canyon Way Wi Palm Springs CA 92263-2743 Dear Ms.Van Hom: Thank-you for so expeditiously having a copy of the Public Arts Commission meeting of October 13, 2005 available to me as per my request..As you know I was unable to attend due toJury Duty in Indio. It concerns me that I was unable to vote on a specific issue because I was required to perform a public duty(Jury Duty)elsewhere. The issue I am referring to was the vote on the purchase of the three sculptures currently located at the Airport. My initial concerns as stated in the minutes of the meeting of July 141h 2005 were the possibility of only purchasing one of the three. After revisiting the site and realizing the financial benefit by the purchase of all three I would like to be on record that I am for the purchase of all three sculptures for$190,000.00. 1 am unaware of the protocol that would need to be addressed concerning my absence and hence not being able to vote. In this particular situation, first, that it was a split vote, my vote would have made the difference. Secondly, because my absence was due to a Summons to Perform Jury Duty,l sternly feel that my opinion and vote on this matter should be considered. Should you need anyfurther clarification on my part please do not hesitate to call. arlk you, Chafe Ciali/ Public Arts Commissioner I -ITY OF f /\u. i 20�5 0"'T 17 P N 0 234 North Helena Circle S Pa lm CA 2262 I Springs 760-323-6971 C!T Y C L E k K ellarliepsca@earkhlinli.net October 15,2005 Mayor Ron Oden CRY Council of Palm Springs ®ear Mayor Oden and Members of the City Council: On October 13th a vote was taken during the Public Arts Commission meeting regarding the purchase of three sculptures by the artist P'arhi for the amount of$190,000.00. These sculptures have been placed at the Palm Springs Airport. l am a Commissioner on the Public Arts Commission and was unable to attend this meeting due to Jury Duty in Indio. Hence I was unable to vote on this public arts acquisition. I received a video CD of the meeting which i have reviewed and learned that floe vote for the purchase of the above mentioned sculpture was 3/3. Had I been present my vote would have broken that tle. Given that my civic duty to appear for Jury Duty was the reason for Iny absence from this meeting I feel that my vote should be considered in this process. I would like the Council to be made aware of my vote to purchase the sculptures (all three) which currently are located at the Palm Springs Airport. Thank you for you time and consideration regarding this matter. Should you need any further clarification please feel free to contact me. Sincer Charhe Tali/Public Arts Commissioner G