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HomeMy WebLinkAbout2008/09/09 Item 10 ., -".i' " CITY COUNCIL AGENDA STATEMENT ~\~ CITY OF ~CHULA VISTA ITEM TITLE: SUBMITTED BY: REVIEWED BY: SEPTEMBER 9, 2008, Item /0 RESOLUTION OF THE CITY COUNCIL OF THE CITY OF CHULA VISTA APPROVING THE LICENSE AGREEMENT WITH THE SAN DIEGO JUNIOR THEATRE FOR USE OF THE CRAFT ROOM OF THE PARKWAY COMMUNITY CENTER AND THE CHULA VISTA WOMEN'S CLUB FOR CONDUCTING CHILDREN'S THEA TER CLASSES AND CAMPS FROM SEPTEMBER 9, 2008 UNTIL SEPTEMBER 9, 2009 AND AUTHORIZING THE DIRECTOR OF RECREATION TO APPROVE TWO ONE-YEAR EXTENSIONS OF THE TERM OF /Jr THE LICENSE AGREEMENT UNTIL SEPTEMBER 9, 2011. ~ . (l ASSISTANT DIRECTOR REDEVELOPMENT & HOUSING / DIRECTOR OF RECREATIO~l~~ CITY MANAGER ~\!I 415TffS VOTE, YES n NO 0 SUMMARY The San Diego Junior Theatre (SDH) has provided perfonning aJ.1S classes and camps in Chula Vista since 2002. For nearly a year, City staff has been working to identify possible facilities that could accommodate the classes, CaITIpS and performances that the SDJT provides. In exchange for use of certain City facilities, the SDn will pay the City 25% of gross revenue earned from registration fees and ticket sales for all Chula Vista classes and CaITIps. ENVIRONMENTAL REVIEW The Environmental Review Coordinator has reviewed the proposed activiry for compliance with the California Environmental Quality Act (CEQA) and has determined that the activiry is not a "Project" as defined under Section 15378 of the State CEQA Guidelines because it does not involve a physical change to the environment: therefore, pursuant to Section 15060(c)(3) of the State CEQA Guidelines the activity is not subject to CEQA. Thus, no environmental review is necessary. RECOMMENDATION Adopt the resolution. Not Applicable. BOARDS/COMMISSION RECOMMENDATION. 10-1 SEPTEMBER 9, 2008, Item~ Page 2 of 3 DISCUSSION San Diego Junior Theatre originally be*an as a community program of the San Diego Old Globe Theatre and recently celebrated its 60' season. Today, the SDJT is an independent nonprofit organization that provides the oldest continuing children's theatre program in the country. The SDJT's primary location is in Balboa Park with services also provided at the YMCA in La Jolla. Since October of 2002 the SDJT has served thousands of South Bay children at their Chula Vista location through more than 200 classes and 50 summer and holiday camps, and they have performed more than 20 productions. F or the last six years the SDJT has been offering classes at a location on Third A venue in downtown Chula Vista, however, nearly one year ago, they approached the City about a possible partnership to provide a new location for their program. City staff has been working with the SDJT to identify possible locations for both classes and performances. The City's Recreation Department has identified available space at the Chula Vista Women's Club and Parkway Community Center for classes and camps. The proposed use of these facilities is further described below: Dav Time Facility Mondays 2:30-6:00 pm CV Women's Club Tuesda ys 2:30-6:00 pm Parkway Community Center Wednesdays 2:30-6:00 pm CV Women's Club Th ursda ys 2:30-6:00 pm CV Women's Club Fridays /:30-6:00 pm Parkway Community Center , In exchange for use of City facilities, the SDJT will pay the City 25% of the gross revenue eamed from the registration fees for classes and camps in Chula Vista. Based upon an average of the last four years of SDJT's revenue and expenses, it is estimated that the City's Recreation Department will receive approximately $ I 3,000 annually for use of its facilities. This partnership is mutually beneficial as it provides support for the SDJT to continue to provide instruction in theatre arts for school-aged children utilizing existing City facilities while generating revenue for the Recreation Department. This arrangement is identical to that of the SDJT and the La Jolla Branch of the YMCA and is predicated upon the concept that the better attended the SDJT programs are the better the City does. The City has not identified space for performances however staff is continuing to work with the SDJT to identify possible locations. Should city facilities become available for perfom1ances, and the City agrees to allow this use, the SDJT would provide payment to the City at a rate of 25% of gross ticket sales with a minimum annual payment of two thousand five hundred dollars ($2,500). Based upon an average of the last four years revenue, the City would potentially generate an additional $4,500 annually through performances. The Revenue Sharing Agreement shall be for a twelve-month period beginning September 9, 2008. Staff is requesting that the Director of Recreation be authorized to enter into two one-year extensions for a term ending September 9, 20 II. 10-2 SEPTEMBER 9, 2008, Item~ Page 3 of 3 DECISION MAKER CONFLICT Staff has reviewed the property holdings of the City Council and has found a conflict exists, in that Councilmember Castaneda has property holdings within 500 feet of the Parkway Community Center and the Chula Vista Women's Club, which are the subject of this action. FISCAL IMPACT The approval of this agreement will result in increased revenue of approximately $13 ,000 annually to the City through the license agreement with the SDJT. There may be a minimal tiscal impact to implement a regular cleaning schedule by custodial staff for maintenance of the Parkway Community Center and the Chula Vista Women's Club. ATTACHMENT 1. License Agreement Prepared by: Diem Do, Senior Project Coordinator, Redevelopment Agency and Housing Au~hority 10-3 RESOLUT10N NO. :2008- RESOLUTION OF THE crTY COUNCfL OF THE CITY OF CHULA V1STA APPROVING THE LICENSE AGREEMENT WLTH THE SAN DIEGO JUNIOR THEATRE FOR USE OF THE CRAFT ROOM OF THE PARKWAY COMMUNfTY CENTER AND THE CHULA VISTA WOMEN'S CLUB FOR CONDUCTfNG CHILDREN'S THEATER CLASSES i\ND CAMPS FROM SEPTEMBER 9, 2008 UNTlL' SEPTEMBER 9, 2009 AND AUTHOR1ZfNG THE DfRECTOR OF RECREATfON TO APPROVE TWO ONE-YEAR EXTENSIONS OF THE TERM OF THE LICENSE AGREEMENT UNTlL SEPTEMBER 9, 201 I. WHEREAS, the City of Chula Vista supports theater arts in the South Bay; and WHEREAS, San Diego Junior Theatre has provided children's theater education and productions in Chula Vista since 2002; and WHEREAS, the San Diego Junior Theatre wishes to relocate its classroom and performance space in Chula Vista; and WHEREAS, the City has identified the Craft Room at the Parkway Community Center at 373 Park Way and the Chula Vista Women's Club at 357 G Street as locations where classes and camps may be conducted; ai1d WHEREAS, pursuant to the License Agreement, the San Diego Junior Theatre will pay the City twenty-five percent (25%) of the gross revenue earned from enrollment fees from its classes and camps held in these City-ownecll~\cilities; and WHEREAS, the License Agreement is for a one year tenTI beginning September 9,2008, and ending on September 9,2009, NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Chula Vista as follows: I. That it approves the License Agreement with the San Diego Junior Theatre for use of the Craft Room of the Parkway Community Center and the Chula Vista \'lomen's Club for conducting children's theater classes and camps tl'om September 9,2008 LLntll September 9,2009. 10-4 2. Thm it authorizes the Director of Recreation to approve two one-year extensions of the term of the License Agreement until September 9.20 ll. Presented by Approved as to form by Eric Crockett Assistant Director of Redevelopment Agency and Housing Authority i~;"--,. ()Lv~ ~ Bali Miesfeld . (! . - Interim City Attornev J:\i-\lli1rney\FINAL RESOS\2()():)\()() (JlJ U:;;\JI' Th~:Jler Resnlut:t111.dlll.: 10-5 THE ATTACHED AGREEMENT HAS BEEN REVIEWED AND APPROVED AS TO FORM BY THE CITY ATTORNEY'S OFFICE AND WILL BE FORMALL Y SIGNED UPON APPROVAL BY THE CITY COUNCIL ;':L ~ '. '. ':'1 - I' ',..-c-:~~ I- \ ~~~ 1<-'/,- Bart C. Miesfeld (j Interim City Attorney Dated: 1/J/D~ License Agreement between the City of Chula Vista and San Diego Junior Theatre for the Craft Room at 373 Park Way, Chula Vista, CA 91910, and - . the Chu1a Vista Women's Club at 357 G Street, Chula Vista, CA 91910 10-6 LICENSE AGREEMENT This License Agreement is made and entered into this day of 2008 between the CITY OF CHULA VISTA, a municipal corporation ("City") and SAN DIEGO JUNIOR THEATRE, a 501(C)(3) nonprofit corporation ("SDn"). RECITALS A. SDJT has provided children's theater education and productions 111 San Diego County for 60 years. B. City and SDn desire to collaborate in providing children's theater classes and camps at certain City facilities. C. City and SDn will continue to work cooperatively to identify possible City facilities for productions.'Should productions be conducted at a City facility, this License Agreement will be amended and the City shall be compensated at a rate similar to the rate described in this Agreement. AGREEMENT City and SDn agree as follows: I. !Ught to Enter. The City grants SDn the right to enter upon City-owned property located at 373 Park Way, Chula Vista, California 91910, specifically, the Craft Room of the Parkway Community Center, consisting of approximately 580 square feet. City also grants SDn the right to enter upon City-owned property located at 357 G Street, Chula Vista, California 91910, specifically, the Chula Vista Women's Club, consisting of approximately 1,860 square feet (together, the "Premises"). Pelmission to enter and use the Premises is conditioned upon the terms set forth below. 2. Use of the Premises. Prior to the beginning of each class/camp session, SDn shall obtain a Facility Permit from the City. SDn shall have the exclusive use of'the Premises for the purpose of conducting children's theater classes and camps and for no other purposes. SDn shall have exclusive use of the Women's Club beginning September 15, 2008, on Mondays, Wednesdays, and Thursdays from 2:30 p.m. until 6:00 p.m. and at no other times. SDJT shall have the exclusive use of the Craft Room at the Parkway Community Center beginning September 16, 2008, on Tuesdays and Fridays from 2:30 p.m. until 6:00 p.m. and at no other times. SDn shall have the use of the Premises including all furniture, tixtures and equipment listed on the attached Exhibit A. SDn shall determine the number of participants for each class and camp at the Premises to maximize emollment and participation. However, son shall not allow more 10-7 than 100 persons in the Women's Cub at any time and shall not allow more than 65 persons in the Craft Room of the Parkway Community Cenrer at any time. 3. Storage. SOH shall have the use of a portion of the Women's Club outdoor storage room for storage during the term of this License Agreement. The size of the storage space is approximately four feet high, three feet wide and one and one-half feet deep. SOH shall not store any materials of any kind in the Craft Room of the Parkway Community Center or anywhere else in the Women's Club. SOlT agrees that the City is not responsible for any materials stored by SOH in this space. SOH waives any claims against the City for the loss or destruction of any item or material stored by SOH in this storage space. 4. License Fee. SOH shall pay the City twenty-five percent (25%) of the total tuition and fees for each of the following: (a) the falllO-week class/camp session; (b) the winter I a-week class/camp session; (c) the spring 1 a-week class/camp session; and, (d) the summer 10-week class/camp session. SOH shall notifY the City at least thirty (30) days before cancellation of any class/camp session. 5. Pavment of License Fee. Within thirty (30) days of the close of em-ollment of each la-week class/camp session listed above, SOH shilll submit to the City, in a form approved by the City, a detailed report of the em-ollment, tuition, and fees received by SOH for that 10-week class/camp session. SOH shall include a check payable to the City ofChula Vista for twenty-five percent (25%) ofthat total amount. , 6. Complimentarv Tuition or Fees. SOH shall not waive tuition and/or fees or grant any free or complimentary classes or camps for any participant in any class or camp, or grant any other free benefit to any participant without the express wTitten consent of the City. 7. Term. This License Agreement is effective on September 9, 2008, and shall terminate on September 9, 2009, unless terminated earlier. Either Party may terminate this License Agreement for any reason upon sixty (60) days written notice to the other Party. 8. Insurance. SOH, at its sole cost and expense, and for the duration of the agreement, shall obtain and maintain the following: A. Minimum Scope of Insurance. Coverage must be at least as broad as: i) Insurance Services Office Commercial General Liability coverage (occurrence Form CGOOO I) ii) Workers' Compensation insurance as required by the State of California and Employer's Liability Insurance, if applicable. Hl-8 iii) Property insurance against all risks of loss to any tenant improvements or betterments, if applicable. B. Minimum Limits of Insurance. SDJT must maintain limits no less than: i) General Liability: (Including operations, products and completed operations, as applicable.) ii) Workers' Compensation Employer's Liability: where applicable iii) Property Insurance $1,000,000 per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability insurance with a general aggregate limit is used, either the general aggregate limit must apply separately to this project/location or the general aggregate limit must be twice the required OCCUlTence limit. Statutory $1,000,000 each accident $1,000,000 disease-policy limit $1,000,000 disease-each employee Full Replacement Cost with no CO-1l1surance penalty provision, where applicable C. Deductibles and Self- Insured Retentions. , Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either the insurer will reduce or eliminate such deductibles or self-insured retentions as they pertain to the City, its officers, officials, employees and volunteers; or the SDJT will provide a financial guarantee satisfactory to the City guaranteeing payment of losses and related investigations, claim administration, and defense expenses. D. Other Insunince Provisions. The general liability, and where appropriate, the Worker's Compensation policies are to contain, or be endorsed to contain, the following provisions: i) The City of Chula Vista, its officers, officials, employees, agents, and volunteers are to be named as additional insureds with respect to liability arising out of ownership, maintenance or use of that part of the premises used by the SDJT. The General liability Additional Insured coverage must be provided in the form of an endorsement to the SDJT's insurance using ISO CG20l0 (l0/01) or its equivalent. ii) For any claims related to a project, the SDJrs insurance coverage must be primary insurance as it pertains to the City, its officers, officials, employees, agents, and volunteers. Any insurance or self-insurance HI-9 maintained by the City, its officers, officials, employees, or volunteers is wholly separate from the insurance of the SDJT and in no way relieves the SDJT from its responsibility to provide insurance. iii) Each insurance policy required by this clause must be endorsed to state that coverage will not be canceled by either party, except after thirty (30) days' prior written notice to the City by certified mail, return receipt requested. iv) Coverage shall not extend to any indemnity coverage for the active negligence of the additional insured in any case where an agreement to indemnify the additional insured w!"lUld be invalid under Subdivision (b) of Section 2782 of the Civil Code. v) SDJT's insurer will provide a Waiver of Subrogation in favor of the City for each required policy providing coverage during the life of this agreement. E. Acceptability ofInsurers. Insurance is to be placed with licensed insurers admitted to transact business in the State of California with a current A.M. Best's rating of no less than A V. If insurance is placed with a Surplus Lines insurer, insurer must be listed on the State of California List of Eligible Surplus ,Lines Insurers CLESLI") with a current A.M. Best's rating of no less than A: X. An exception may be made for the State Compensation Fund when not specifically rated. F. Verification of Coverage. SDJT must furnish the City with original certificates and amendatory endorsements effecting coverage required by this clause. The endorsements should be on forms provided by the City or on insurance industry forms, provided those endorsements or policies conform to the requirements. All certificates and endorsements are to be received and approved by the City before activity commences. The City reserves the right to require, at any time, complete, certified copies of all required insurance policies, including endorsements evidencing the coverage required by these specifications. 9. Indemnitv. SDJT shall defend, indemnify, protect and hold harmless the City, its elected and appointed officers and employees, from and against all claims for damages, liability, cost and expense (including without limitation attorneys fees) arising out of or alleged by third parties to be the result of the negligent acts, errors or omissions or the willful misconduct of SDJT, and SDJT's officers, directors, employees, participants, patrons, invitees, or other persons, in connection with the use of City-owned property contemplated by this Agreement, except only for those claims, damages, liability, costs and expenses (including without limitations, attorneys fees) arising from the sole negligence or sole willful misconduct of the City, its officers, employees. Also covered is 1 ()I-1 0 liability arising from, connected with, caused by or claimed to be caused by the active or passive negligent acts or omissions of the City, its agents, officers, or employees which may be in combination with the active or passive negligent acts or omissions of SDJT, its otlicers; directors, employees, participants, patrons, invitees, or any third party. SDJT's indemnification shall include any and all costs, expenses, attorneys fees and liability incurred by the City, its officers, agents or employees in defending against such claims, whether the same proceed to judgment or not. SDJT's obligations under this Section shall not be limited by any prior or subsequent declaration by the SDJT. SDJT's obligations under this Section shall survive the termination ofthis Agreement. 10. No Assignment. SDJT shall not assign any rights or interest granted by this License Agreement to any person or entity. II. Revocable License. This License Agreement is not a lease. It is a license to use City property, revocable by the City pursuant to Section 6 of this Agreement. SDJT agrees that the City shall not be obligated for any loss, tlnancial or otherwise, which may be incurred by SDJT as a result of the termination of this License Agreement. SDJT waives any claim for expense or loss which SDJT might incur as a result of termination of this License Agreement. City shall have the right to enter upon the Premises during SDJT's use of the Premises in the City's sole discretion. 12. Compliance with Citv Direction and Laws. SDJT shall obey the directions of any City employee in connection with the use of the Premi?es. SDJT shall, at its sole cost and expense, comply with all [he requirements of all municipal, state, federal authorities now in effect or which may be in effect in the future which pertain to the Premises. 13. Condition of the Premises. SDJT shall not bring on to the Premises, or allow on the Premises, any hazardous material or substance as defined by any municipal, state, or federal authority. SDJT shall not allow the consumption of alcohol, smoking, the use of candles, or any other open fires on the Premises. SDJT shall restore .the Premises to its original condition and configuration and leave the Premises clean and orderly after each use. 14. Sims. No signs shall be displayed on the Premises, or on City-owned property near the Premises, without the prior wTitten consent of the Director of Recreation. 15. Waiver. The failure of the City to insist upon strict per.formance by SDJT of any condition of this License Agreement, in one or more instances, shall not be construed as a waiver of any such condition, and the condition shall remain in full force and effect. 10'-11 16. Promotional Materials. Each Party grants permission to the other Party to use its approved name, likeness and logo in promotional and advertising materials in any form or media during the term of this License Agreement. Each Party shall supply the other Party with approved names, likenesses and logos when requested. Each Party shall have the opportunity to review promotional and advertising materials in which its nlline, likeness andlor logo may appear prior to the publication of such materials. Such materials shall not be published without the prior approval of both Parties, and such approval shall not be unreasonably withheld. 17. Notices. Notices to the City shall be mailed to: City ofChula Vista Recreation Department 276 Fourth Avenue Chula Vista, CA 91910 Attention: Frank Carson, Recreation Supervisor Notices to SDJT shall be mailed to: San Diego Junior Theatre 1650 EI Prado, Suite 208 San Diego, CA 9210 I , Attention: Will Neblett, Executive Director 18. Entire Agreement. This License Agreement constitutes the entire agreement between the Parties, and there are no promises, representations, agreements, warranties or inducements, either expressed orally or implied, except as set forth in this Agreement. This License Agreement may not be changed or amended except by a written document executed by both Parties. (END OF AGREEMENT. NEXT PAGE IS SIGNATURE PAGE.) 1lJi-12 1 7. Entire Agreement. This License Agreement constitutes the entire agreement between the Parties, and there are no promises, representations, agreements, warranties or inducements, either expressed orally or implied, except as set forth in this Agreement. This License Agreement may not be changed or amended except by a written document executed by both Parties. Dated; "r /27 /0 ~ I I SAN DIEGO JUNIOR THEATRE BY;~~ Will Neblett Executive Director Dated; ClTY OF CHULA VISTA By: Cheryl Cox Mayor l:\Attorney\ELISA\AGREEMENTS\Junior Theater License Agreement Draft 2.doc 6 10-13 EXHIBIT A FURt"'ITliRE, FIXTURE AND EQUIPMENT LIST Chula Vista Women's Club # I N D Q tern arne escnptlOn tv 1 8' Straight Tables Metal - Seat Approx. 8-10 16 2 6' Straight Tables Metal - Seat Approx. 6-8 12 3 5' Diameter Round Tables Metal - Seat Approx. 8-10 15 4 Card Tables Seat 4 10 5 Folding Chairs Brown Plastic 22 6 Folding Chairs Metal 21 7 Folding Chairs Metal WI Cushion 162 8 Folding Chairs Metal WI Super Cushion 36 Parkway Community Center-Craft Room It N o 'f Qtv em arne escnpnon 5' Straight Tables for Preschoolers Metal- Seat Approx. 6-8 Preschoolers 4 6' Straight Tables Metal - Seat Approx. 6-8 17 Chairs for Preschoolers Various Colors (Blue, Yellow, and Red) 42 Folding Chairs Brown Plastic 20 10-14