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HomeMy WebLinkAbout025907 ORD - 08/24/2004ORDINANCE AUTHORIZING THE CITY MANAGER, OR DESIGNEE, TO EXECUTE A ONE YEAR LEASE AMENDMENT TO THE ART MUSEUM OF SOUTH TEXAS LEASE DATED MARCH 19, 1996 WITH THE CORPUS CHRISTI ART FOUNDATION, NOW THE SOUTH TEXAS INSTITUTE FOR THE ARTS, INC. ("LESSEE") FOR USE OF CITY PROPERTY (ART MUSEUM OF SOUTH TEXAS BUILDING ) IN CONSIDERATION OF LESSEE OPERATING THE MUSEUM FOR THE BENEFIT OF THE PUBLIC AND TO FURTHER PUBLIC APPRECIATION OF ART; PROVIDING FOR SEVERANCE; PROVIDING FOR PUBLICATION; AND DECLARING AN EMERGENCY. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF CORPUS CHRISTI, TEXAS, THAT: SECTION 1. The City Manager, or designee, is authorized to execute a one-year Lease amendment to the Art Museum of South Texas Lease Agreement dated March 19, 1996 with the Corpus Christi Art Foundation, now the South Texas Institute for the Arts, Inc. ("Lessee') for the use of City property (Art Museum of South Texas Building) in consideration of Lessee operating the museum for the benefit of the public and to further public appreciation of art. A copy of the Lease including the exhibits that are attached to and incorporated into the Lease Amendment is attached as Exhibit A and a copy is on file with the City Secretary. SECTION 2. The City Council intends that every section, paragraph, subdivision, clause, phrase, word or provision of this ordinance shall be given full force and effect for its purpose. Therefore, if any section, paragraph, subdivision, clause, phrase, word or provision of this ordinance is held invalid or unconstitutional by final judgment of a court of competent jurisdiction, that judgment shall not affect any other section, paragraph, subdivision, clause, phrase, word or provision of this ordinance SECTION 3. Publication shall be made in the official publication of the City of Corpus Christi as required by the City Charter of the City of Corpus Christi. SECTION 4. That upon written request of the Mayor or five Council members, copy attached, the City Council (1) finds and declares an emergency due to the need for immediate action necessary for the efficient and effective administration of City affairs and (2) suspends the Charter rule that requires consideration of and voting upon ordinances at two regular meetings so that this ordinance is pass_ed and takes effect upon first reading as an emergency measure this the~.'~day of ~,~t', 2004. ATTEST /'~ City Secretary Approved: August 26, 2004 Lisa Aguilar /" .) Assistant City Attc~rhey for City Attorney THE CITY OF CORPUS CHRISTI Mayor Corpus Christi, Texas oq'-~4k Dayof ~z~ ,2004 TO THE MEMBERS OF THE CITY COUNCIL Corpus Christi, Texas For the reasons set forth in the emergency clause of the foregoing ordinance an emergency exists requiring suspension of the Charter rule as to consideration and voting upon ordinances at two regular meetings: I~ve, therefore, request that you suspend said Charter rule and pass this ordinance finally on the date it is introduced, or at the present meeting of the City Council. Respectfully, Respectfully, City of Corpus Christi Council Members The above ordinance was passed by the following vote: Samuel L. Neal, Jr. Brent Chesney Javier D. Colmenero Melody Cooper Henry Garrett Bill Kelly Rex A. Kinnison Jesse Noyola Mark Scott ART MUSEUM OF SOUTH TEXAS LEASE AGREEMENT THE STATE OF TEXAS § COUNTY OF NUECES § WHEREAS, the Corpus Christi Art Foundation ("Foundation") constructed the Art Museum of South Texas building ("Museum") on property owned by the City of Corpus Christi, ("City"); and WHEREAS, Foundation conveyed the Museum to the City; and WHEREAS, the City leased the Museum to the Foundation continuously since the odginal lease dated February 18, 1970 through the most recent lease dated March 19, 1996, authorized by ordinance No. 022509; and WHEREAS, in 1998, the Foundation filed with the Office of the Secretary of State of Texas Articles of Amendment to the Articles of Incorporation to change its name to South Texas Institute for the Arts, ("STIA"); WHEREAS, the City desires to lease the Museum to STIA for a term of ten (10) years in consideration of the terms and conditions and mutual promises set out below. NOW, THEREFORE, the City and the STIA hereby agree as follows: 1. Premises. This Lease covers the building located in the Bayfront Arts and Science Park known as the Art Museum of South Texas, end tho proporty dooo~ibed on the at~aehed and ieee;,~erated Exhibit. 2. Definitions. Whenever used in this Lease, the following terms shall have the meanings ascribed to them as set forth in this paragraph, to wit: A. STIA shall mean the South Texas Institute for the Arts, a nonprofit Texas corporation, formedy known as the Corpus Christi Art Foundation, Inc. B. City shall mean the City of Corpus Christi, a Texas home-rule municipal corporation. C. City Council shall mean the City Council of the City of Corpus Christi. D. City Manager shall mean the City Manager of the City, or his designee. E. Museum shall mean the Art Museum of South Texas and its successor. F. Building shall mean the building housing the Museum. 3. Consideration. As consideration for the use of the Museum and the providing of said services and/or funds by the City, the STIA hereby covenants and agrees to operate and manage the Museum in accordance with the terms and conditions of this Lease and to provide or authorize and supervise the providing of exhibits, functions, programs and events therein involving art activities, art education, and similar cultural functions in the manner as hereinafter set forth. 4. Term. This lease shall be for a term of one (1) year, beginning the day after final City Council approval of this lease. 5. City's Obligations. A. The City agrees to provide and pay the cost of fire and extended coverage insurance on the structure of the Building as part of the City's insurance program. B. City will pay to STIA an agreed maximum sum each fiscal year, subject to appropriation, to be used to offset the cost of providing janitorial services, intedor and exterior Building maintenance services, utility services (including electricity, water, sewage collection, gas and garbage collection, but excluding telephone); secudty services; fire and extended insurance coverage on the contents of the Building. Maintenance services will be limited to the care and upkeep of the Building and the area surrounding the Building, the operation and maintenance of ventilation system, including both heating and cooling facilities; the maintenance of mechanical and electrical equipment which is a part of the Building; and the maintenance of the physical structure of the Museum. Security services and janitorial services shall include labor, equipment and supplies needed to provide said services. C. City will maintain exterior grounds. City will use its best efforts to provide adequate parking and access to parking for Museum members and guests including providing signs directing visitors to the Museum parking lots. City and City's agents will endeavor to provide at least thirty (30) days advance notice of an event using the barge dock area which will limit access or preclude visitor parking. D. The amount, if any, to be paid by the City to STIA annually shall be as adopted by the City Council in the approved City fiscal year budget. When the City has paid the budgeted amount for the above services and expenditures, it shall have no other obligation to STIA for maintenance, utilities, insurance, custodial, or security expenditures except expenditures for maintenance of the grounds outside the Building for which the City shall be directly responsible. The City will not reimburse STIA should it incur expenditures for outside ground maintenance without the City Manager's prior wdtten approval. E. STIA shall submit its annual budget request, according to the City's regular budget procedure. The request will be subject to the usual review and appropriation process. STIA will submit requests for payment monthly in the amount of one-twelfth of the annual appropriation and City shall pay such requested amounts until the total appropriation for payment to STIA for the particular fiscal year has been expended. Each such request for reimbursement shall be approved by an officer of STIA or an employee authorized in writing by STIA to submit such requests. F. The City Council may, at its discretion, provide additional funds to assist in the carrying out of functions, programs, and events within the Museum by or under the authorization of STIA in accordance with the spirit and terms of this Lease. G. STIA recognizes that the continuation of any expenditure by the City, after the close of any fiscal year of the City, which fiscal year ends on July 31 annually, shall be subject to appropriations and budget approval providing for such expense as an expenditure in said budget. The City does not represent that said budget item will be actually adopted, said determination being within the sole discretion of the City Council at the time of adoption of such budget. 6. STIA Obligations. STIA agrees to operate the Museum for the benefit of the general public and agrees that the general exhibits, functions, programs, and events held, conducted and/or presented therein by or under the authorization of STIA shall be open and available for the attendance of and/or participation and support of the general public and stipulates that any and all law-abiding residents of South Texas are eligible for membership. In operating the Museum, STIA shall have complete control over the planning, execution, and presentation of all exhibits, functions, programs, and events. In the ordinary course of providing or authorizing functions, programs, exhibits, and events under and in accordance with this Lease STIA may, without the prior consent thereto of the City Manager, enter into written contracts and agreements of a routine nature and of more than 90 days duration, with such contracts and agreements being in accordance with and subject to the terms and provision of this Lease. Exhibits, functions, programs, and events exclusively for members of STIA and/or for members of similar cultural organizations may be held, conducted or presented in the Museum by or under the authorization of STIA only at such times and only in such manner as not to interfere with the operation of the Museum for the benefit of the public during normal opening hours. 7. Personal Property of STIA. STIA shall provide, or otherwise acquire, any necessary furnishings and special equipment in the Building, including but not limited to display lighting, which furnishings and equipment are to be used in functions, programs, and events at the Museum. Said furnishings and special equipment shall be maintained by or under the authorization and direction of STIA. STIA shall have the dght to remove from the Museum, or to authorize and direct the removal of, all personal property not belonging to or under the custody, care, or control of the City unless such the personal property is attached to the Museum in such manner that the removal of same would damage the Building, in which latter event said attached personal property shall become the property of the City at the time of expiration or other termination of this Lease without further process of law. All personal property of any nature, regardless of ownership which is or may be placed in the Museum temporarily or permanently and which is not maintained by the City, shall be maintained by or under the authorization and direction of STIA in a manner satisfactory to the City. No property owned by or under the care, custody, or control of the City shall be sold or otherwise disposed of by or under the authorization or direction of STIA. 8. Alterations to the Building. STIA shall not make or allow any structural alterations to the Museum; construct or allow any additions to the Museum or additional buildings (collectively, "Improvements") on City property without the prior written approval of the City Council. Construction of Improvements STIA desires to construct certain Improvements which are described on the attached Exhibit. Before constructing the Improvements, STIA shall have the plans and specifications for the Improvements prepared by state-licensed architects or engineers. STIA shall submit a copy of the plans and specifications to the City Manager for review and approval. If not approved by the City Manager, the City Manager shall furnish his wdtten objections to STIA along with the requested changes that will make the plans and specifications acceptable. STIA shall require the contractors who are awarded contracts for construction of the Improvements to furnish the following bonds by surety companies authorized to do business in Texas: Payment Bond - A payment bond in the amount of One Hundred Percent (100%) of the contract shall be furnished for the protection of all persons, firms and corporations who may furnish materials or perform labor. The payment bond shall be made with City as an Obligee. Performance Bond - A performance bond in the amount of One Hundred Percent (100%) of the Contract shall be furnished covering the faithful performance of the contract. The performance bond shall be made with City as an Obligee. STIA shall include in all construction agreements for the Improvements, the following provisions: Contractor does hereby agree to waive all claims, release, indemnify, defend and hold harmless City and all of its officials, officers, agents and employees, in both their public and private capacities, from and against any and all liability, claims, losses, damages, suits, demands or causes of action including all expenses of litigation and/or settlement, court costs and attorney fees which may arise by reason of injury to or death of any person or for loss of, damage to, or loss of use of any property occasioned by error, omission, or negligent act of Contractor, its officers, agents, employees, subcontractors, invitees or any other person, arising out of or in connection with the performance of this agreement, and Contractor shall at his or her own cost and expense defend and protect the City of Corpus Christi from any and all such claims and demands. In any and all claims against any party indemnified hereunder by any employee of Contractor, any subcontractor, anyone directly or indirectly employed by any of them or anyone for whose acts any of them may be liable, the indemnification obligation herein provided shall not be limited in any way by any limitation on the amount or type of damages, compensation or benefits payable by or for Contractor or any subcontractor under workman's compensation or other employee benefit acts. STIA shall also require the contractors, in all STIA construction agreements for the Improvements to furnish insurance in the amounts specified in the attached Exhibit and include in all construction agreements for the Improvements the following language: Prior to commencement of any activity on City of Corpus Christi's property, provided in the Art Museum of South Texas Lease Agreement entered into on __ day of ,2004, between the South Texas Institute for the Arts and the City of Corpus Christi, or this contract, Contractor shall purchase and maintain during the term of this contract, at its own expense, hereinafter stipulated minimum insurance with companies duly authorized to do business in the State of Texas. Contractor shall not allow any subcontractor to commence work until all similar insurance of the subcontractor has been obtained. All insurance policies provided under this Agreement shall be written on an "occurrence" basis. It is agreed by all parties to this Agreement that the insurance required under this Agreement shall: Be written with the City of Corpus Christi and STIA as an additional insured on applicable policies and that the policy phrase "other insurance" shall not apply to the City of Corpus Chdsti where the City of Corpus Christi is an additional insured shown on the policy. Provide for thirty (30) days notice of cancellation to the City of Corpus Christi, for nonpayment of premium, material change or any other cause. Be written through companies duly authorized to transact that class of insurance in the State of Texas. Waive subrogation rights for loss or damage so that insurers have no right to recovery or subrogation against the City of Corpus Christi, it being the intention that the required insurance policies shall protect all parties to the Agreement and be primary coverage for all losses covered by the policies, Provide a Certificate of Insurance evidencing the required coverages to: George K Noe City Manager City of Corpus Christi Post Office Box 9277 Corpus Christi, Texas 78469-9277 Donna James Risk and Safety Manager City of Corpus Christi Post Office Box 9277 Corpus Christi, Texas 78469-9277 STIA: agrees that all work to be performed by it or its contractors, including all workmanship and materials, shall be of first-class quality and shall be performed in full compliance and in accordance with all federal, state and local laws, ordinances, codes and regulations, and the such work shall be subject to City inspection during the performance thereof and after it is completed. However, the City shall have no duty to inspect. STIA shall discharge all obligations to contractors, subcontractors, matedalmen, workmen and/or other persons for all work performed and for materials furnished for or on account of STIA as such obligations mature. STIA expressly agrees that it will neither give nor grant, nor purport to give or grant any mechanic's or materialmen's lien upon the CITY's property or upon any Improvements thereupon in the process of construction or repair, nor allow any condition to exist or situation to develop whereby any party should be entitled, as a matter of law, to a mechanic's or materialmen's lien against the City's property or Improvements thereon, and STIA shall discharge that a,~,-sucd~lien within thirty (:]0) days after notice of filing thereof. All plans and specifications referred to above and all construction upon the City's property shall comply with all applicable federal, state or municipal laws, ordinances, rules, regulations and requirements. During the progress of all work, City's duly authorized representative may enter upon the premises and make such inspections as may be reasonably necessary for the purpose of satisfying CITY that the work or construction meets the requirements or standards. STIA shall conduct its operations under this Agreement in an orderly and proper manner, considering the nature of the operation, so as not to unreasonably annoy, disturb, or endanger others. Before any work on City property begins, STIA shall present the City Director of Engineering, the City Risk Manager, and the City Manager with evidence of Contractor's insurance coverages, and City building and construction permits. II. Cost of Improvements The complete cost of developing all necessary plans and specifications and the cost of construction of the Improvements by STIA shall be borne solely by STIA and be at no expense to City whatsoever. STIA shall pay all taxes, special assessments, or levies, if any, assessed during the term against or relating to the Improvements, including ad valorem taxes pursuant to the Texas Property Tax Code, until ownership of the Improvements is transferred to the City at the end of the term of this Agreement. III. Ownership of ImDrovements Upon completion of the Improvements, STIA shall donate the Improvements to City. All alterations and Improvements on or in City's property at the commencement of the term, or those that may be installed or erected during the term, shall become part of City's property upon completion of the Improvements by STIA and written acceptance by City Manager. Any warranties given to the STIA regarding the Improvements shall be transferred and assigned to City at the same time as the Improvements are transferred to the City. IV. In~lress and Egress STIA shall have the right to obtain ingress and egress to and from the area designated for construction of the Improvements in by means of all existing roadways or accessways, to be used in common with others having dghts of passage thereon. V. Dama~le or Destruction In the event of damage or destruction to the Improvements, City shall have no obligation to repair or rebuild the Improvements or any fixtures, equipment or other personal property installed by STIA. However, if said damage or destruction occurs prior to City's acceptance of the Improvements, any insurance proceeds from any casualty loss shall be applied to the repair or rebuilding of the Improvements, which will be the extent of STIA's obligation for repair. 9. Signs. Extedor signs may be installed, subject to prior wdtten approval of the City Manager. Subject to zoning regulations, STIA shall be entitled to install lettering on the side of the Museum building showing the name of the facility to create visibility to traffic from North beach and along Ocean Drive. The Museum shall also be entitled to drape from the side of the Museum temporary signs in the form of large banners announcing exhibits without having to procure the prior approval of the City Manager provided that such banners are in compliance with zoning requirements and can be removed if objected to by the City Manager after installation. Nothing in this paragraph shall be construed to require the City Manager to approve art work placed on the Museum walls or sculptures placed on the Museum grounds, whether part of a temporary exhibit or a permanent exhibit. 10. City Use of the Building. The Building may be used by the City for meetings and similar functions provided such meetings and similar functions do not conflict with prior commitments made by STIA under and in accordance with the Lease. City shall not be required to make any payment therefor to STIA other than reimbursement for any extra costs for security personnel, overtime to staff employees, and other out of pocket expenses incurred by STIA in making the Building available. The City agrees to enter into a facility use contract of the type utilized by the Museum for outside groups. In addition, qualified City officials or employees shall have the right to enter, examine, and inspect all portions of the Museum at all reasonable times. As used in the preceding sentence, the term "qualified City officials or employees" shall mean the Mayor and other members of the City Council and the City Manager. 11. Third Party Use of the Museum. STIA shall have the right to authorize individuals, groups of individuals, or organizations ("Third Parties") to use portions of the Museum for a purpose or purposes for which STIA is herein authorized to use the Museum, including the use of portions of the Museum for office purposes. All of said use by Third Parties shall be subject to and in accordance with the spirit and terms of this Lease and shall be under the direction and supervision of STIA. STIA shall not enter into any written contract or agreement with a third party for use of the Museum, including a concession contract or agreement, regarding the operation or use of the Museum for longer than ninety (90) days without the prior wdtten consent of the City Manager. For all purposes incident to the obligations, covenants and agreements of STIA contained in this contract, use of the Museum by Third Parties under the authorization, supervision, and direction of STIA shall be deemed to be the use of the Museum by STIA. 12. Compliance with Laws. STIA will comply, and will require all Third Parties using the Museum in accordance with Section 11. hereof to comply, with all local, state, and federal rules, ordinances, laws, regulations, and with the provisions of the City Charter in the operation and management of the Museum and in all exhibits, functions, programs, and events held, conducted, or presented in the Museum. 13. Insurance. A. STIA shall carry with an insurance company or companies satisfactory to the City Manager a comprehensive general liability insurance policy covering bodily injury and property damage in reasonable amounts as approved by the City Manager. Said policy shall name the City as additional insured. B. STIA shall also adequately insure all property, including artwork as STIA deems advisable but excluding the Building, for which it is custodian or trustee so as to protect itself from claims which might arise from the loss of, damage to, or destruction of said property. C. STIA shall also provide workers' compensation insurance which complies with state law. A copy of the Certificate(s) of Insurance, for the coverages required by 13 A. and B. shall be provided to the City's Risk Management Department, prior to the execution of this Lease. The Policy(les) shall provide that the Director of Convention Facilities be given at least thirty (30) days written notice of cancellation, material change, or intent to not renew any insurance coverages required hereunder. Upon the City Manager's written request, the lessee shall provide copies of all insurance policies to the City Attorney within 10 working days after the written request therefor. 14. Indemnity. STIA hereby covenants and agrees to assume all risks of whatsoever kind or character incident to or arising out of the use and occupancy or management and operation of the Museum by STIA under this Lease and does hereby covenant and agree to defend, indemn~, and hold harmless the City, its agents, officers, and employees ("lndemnitees"), from and against any and all suits, claims for damages, or injuries to persons or property, whether real or asserted, arising out of both bodily injury accidents and property damage accidents to the public, invitees, or guests or resulting, directly or indirectly, from the use and occupancy of the Museum by or under the authorization of STIA. This indemnification and hold harmless agreement shall hold without regard to the City, the City Council, and its agents and employees being in any manner legally at fault due to negligence or sole negligence, whether such negligence be contractual, comparative or concurrent, simple or gross or any other degree or type of negligence. Except as expressly stated below for the benefit of the City, nothing in this paragraph is intended to limit or restrict in any way any rights, benefits, protections, or limitations STIA may be entitled to under the Charitable Immunity and Liability Act of 1987 (Chapter 84, Civil Practice and Remedies Code of Texas, V.T.C.A.), as the same may be amended. STIA and City agree that upon any claim or allegation of liability by a third party adsing from or in connection with the use, occupancy, or management and operation of the Museum, each party shall assert all defenses, either statutory or otherwise, providing for limitations or exemptions from liability. Only upon a finding or judgment of liability against the City shall STIA agree not to assert against the City any immunity or exemption and hereby expressly waives any such dght to plead such immunity or exemption as against the City in such event. 15. Fidelity Bonds. STIA covenants that during this Lease it shall procure and maintain in effect individual fidelity bonds to indemnify the City against loss resulting from misfeasance or nonfeasance of each officer, member and/or employee of STIA who receives, handles and/or disburses money in any form and in any manner for or on behalf of the City as to term and conditions, amounts of coverage, and company from which purchases. A copy of such coverage shall be submitted to the City's Risk Management Department prior to the execution of this Lease. 16. Recordkeeping. STIA will maintain, in a manner recommended by a CPA acceptable to the City, adequate books and records showing its receipts and disbursements. In addition, STIA agrees to have an annual audit and report thereof of such books and records by an auditor who is independent of the management or board of STIA but who may be a member of STIA, and to furnish the City Director of Finance with a copy of the report of such audit each year, certified as to truth and accuracy by the auditor making same, within 30 days after said audit is complete. Such audit report shall include, but not be limited to, a balance sheet and a complete statement of receipts and disbursements for the preceding fiscal year. 17 Entrance Fees. STIA may collect or authorize the collection of reasonable admission, attendance, or tuition charges for attendance at and/or participation in programs, exhibits, events, and functions conducted by or under the authorization of STIA in the Museum, and may make reasonable charges to individuals, groups of individuals or organizations for their use of the Museum. Also, STIA may collect or authorize the collection of reasonable charges for any items sold at the Museum in connection with activities therein. The admissions, dues, rentals, and other charges referred to in this Section 17. shall be deemed to be reasonable so long as they are within the range of charges made by other similar Museums located in Texas for similar purposes and apply to all individuals or groups without discrimination. A schedule of such charges shall be approved by STIA, available to the public on request. Such funds as may be realized by STIA from charges made in accordance with this section shall be used by STIA in the operation, development, and management of the Museum and its resources. 18. Assignments. This Lease shall be binding upon the successors and assigns of the parties hereto, but no assignment by STIA shall be valid without the prior written approval of the CH Council. 19. Termination. In case of any breach by STIA, or by any Third Parties of any of the obligations, covenants, or agreements contained in this Lease, the City Council may terminate this Lease at any time after it shall have given the Chairman of STIA written notice of the breach and a period to cure same and of its intent to terminate. However, City Council may terminate this Lease immediately upon a finding by it of the termination of the corporate existence, or the bankruptcy or the insolvency of STIA. STIA covenants that upon the termination of this Lease for any reason, including the expiration of the term hereof, (i) STIA, its officers, agents, servants, and employees shall vacate the Museum within ten (10) working days; (ii) STIA shall cause all Third Parties to quit and vacate the premises of the Museumwithin the same ten (10) day period; and (iii) STIA shall remove or cause to be removed from the Museum all personal property not belonging to or under the care, custody, and control of the City, excepting such personal propert7 as may have become a part of the Museum in accordance with Section 7 hereof. STIA hereby expressly waives any right to contest or in any way defend against the right of the City, upon such termination or expiration of this Lease, to require STIA to comply with the covenant and agreement in the preceding sentence hereof. 20. Supersedes prior agreements. This Lease contains all of the provisions agreed upon by the parties hereto and displaces all previous verbal or oral agreements. 21. Gift. This Lease shall be construed as a contract concerning a gift to the City of Corpus Christi, and all of the real property improvements shall be the property of the City except where herein specifically excluded. Executed in duplicate originals on the 2004. day of A'i-I'EST: CITY OF CORPUS CHRISTI Armando Chapa City Secretary By: George K. Noe City Manager APPROVED AS TO LEGAL FORM THIS day of By: Assistant City Attorney for City Attorney SOUTH TEXAS INSTITUTE FOR THE ARTS By: Name: Title: EXHIBIT INSURANCE REQUIREMENTS CONTRACTOR'S LIABILITY INSURANCE A. Contractor must not commence work under this agreement until all insurance required herein has been obtained and such insurance has been approved by the City. Contractor must not allow any subcontractor to commence work until all similar insurance required of the subcontractor has been so obtained. B. Contractor must fumish to the City's Risk Manager, two (2) copies of Certificates of Insurance, showing the following minimum coverage by insurance company(s) acceptable to the City's Risk Manager. The City must be named as an additional insured for the General Liability policy and a blanket waiver of subrogation is required on all applicable policies TYPE OF INSURANCE 30-day written notice of cancellation, non-renewal, material change or termination and a 10 day written notlca of cancellation for non-payment of premium is required on all certificates MINIMUM INSURANCE COVERAGE Bodily Injury and Property Damage Per occurrence aggregate Commercial General Liability including: 1. Commercial Form 2 Premises- Operations 3 Products/Completed Operations Hazard 4 Contractual Iliability 5. Broad Form Property Damage 6. Independent Contractors 7. Personal Injury AUTOMOBILE LIABILITY~WNED NON-OWNED OR RENTED WORKERS' COMPENSATION EMPLOYERS' LIABILITY BUILDERS RISK INSURANCE 1. All Risks of Physical Loss form $1,000,000 COMBINED SINGLE LIMIT $1,000,000 COMBINED SINGLE LIMIT WHICH COMPLIES WITH THE TEXAS WORKERS' COMPENSATION ACT AND PARAGRAPH II OF THIS EXHIBIT $500,000 / $500,000 / $500,000 Completed value for duration of this project In the event of accidents of any kind, Contractor must fumish the Risk Manager with copies of all reports of such accidents within 10 days of any accident. South Texas Institute of the Arts Improvements Agreement ins. req. 7-30-04 ep Risk Mgmt. ADDITIONAL REQUIREMENTS Contractor must obtain workers' compensation coverage through a licensed insurance company in accordance with Texas law. The contract tot coverage must be wdtten on a policy and endorsements approved by the Texas Depart~ent of Insurance. The coverage provided must be in an amount sufficient to assure that all workers' compensation obligations incurred by Contractor will be promptly met. Certificate of Insurance: The City of Corpus Christi must be named as an additional Insured on the General Liability coverage and a blanket waiver of subrogation is required on all applicable policies. If your insurance company uses the standard ACORD form, the cancellation clause (bottom dght) must be amended by adding the wording "changed or" between 'be" and "canceled", and deleting the words, "endeavor to", and deleting the wording after ~left". The name of the project must be listed under "Description of Operations". At a minimum, a 30-day written notice to the City's Risk Manager of matedal change, cancellation, non-renewal or termination and a 10 day written notice of cancellation for non-payment of premium is required. If the Certificate of Insurance does not show on its face the existence of the coverage required by items 1 B (1)-(7), an authorized representative of the insurance company must include a letter specifically stating whether items 1.B. (1)-(7) are included or excluded, South Texas Institute for the Arts Improvements Agreement ins. req. 7-30-04 ep Risk Mgm! SITE PLAN