HomeMy WebLinkAboutC2013-045 - 2/12/2013 - ApprovedLEASE WITH SOUTH TEXAS INSTITUTE FOR THE ARTS D /B /A ART MUSEUM OF
SOUTH TEXAS FOR THE ANTONIO E. GARCIA ARTS & EDUCATION CENTER
THE STATE OF TEXAS §
COUNTY OF NUECES §
WHEREAS, THE CITY OF CORPUS CHRISTI, TEXAS ( "City ") is the owner
of real property located along Agnes Street as described and shown on
the attached Exhibit A and
All improvements located or which may be constructed
on the above described lots "Improvements ", collectively
"Facilities "; and
WHEREAS, the South Texas Institute for the Arts d /b /a Art
Museum of South Texas (the "Lessee ") desires to lease the Facilities
to continue its programming efforts at the Antonio E. Garcia Arts
& Education Center to benefit the citizens of the City of Corpus
Christi;
NOW, THEREFORE, In consideration of the foregoing and the
mutual promises herein contained, the City and Lessee agree
as follows:
I. USE
The City does hereby lease, let, and demise to Lessee the
Facilities, and all Improvements located or to be located thereon for
the consideration, and such other consideration as provided
by this Lease, of one dollar ($1.00) per year due and
payable o n January 1, 2013 and payable on that same date each
succeeding year of the Lease, the receipt of which is hereby
acknowledged.
II. TERM
The term of this Lease shall be effective sixty -one (61) days
after final Council approval and continue for ten (10) years, subject
to the provisions concerning termination as stated herein. Thereafter,
this Lease shall continue on a month -to -month extension on the same terms
and conditions subject to thirty (30) days notice of termination by either
party. When the term takes effect, the Facilities shall be deemed
continuously leased as of September 5, 2012, under the terms and
conditions of the previous lease agreement.
2013 -045
2/I2/13
Ord. 029740
3o. TX Institute for the Arts
iNnFXEC
III. PURPOSE
Lessee shall operate the Facilities exclusively for the following
purposes, and uses incidental thereto: To further the primary objective
of the Act as outlined in 24 CFR 570.200 (a) (2) and to serve as a depository
of cultural materials and a cultural art center to promote the education,
inspiration and aesthetic enrichment of the local and regional culture
of all people with emphasis on enriching the low and moderate income
residents at all times in accordance with Housing and Urban Development's
(HUD) Community Development Block Grant (CDBG) regulations and all local,
state, and federal requirements and laws.
IV. FURNISHING BUILDING (FACILITIES)
It is understood that Lessee will be responsible for furnishing and
equipping the Facilities and that City has no obligation to furnish nor
insure any equipment or furnishings for the Lessee. All personal property
furnished by Lessee or donated by others on behalf of Lessee will remain
the property of Lessee unless specifically donated to City. Lessee shall
be responsible to insure its equipment and furnishings at the Facilities.
It is understood that Community Development Block Grant funding or
other funds may occasionally become available to allow for additional
improvements at the Facilities. City staff shall coordinate with Lessee
prior to construction of any improvements to provide for minimal
disruption to Lessee.
V. MAINTENANCE
During each year for the term of this Lease, Lessee will maintain,
at its sole expense, the exterior and interior of the Facilities and any
other improvements on the property, including without limitation all
fixtures connected therewith, all personal property thereon, exterior
walks and driveways, and all lawn, vegetation and landscaping, not to
exceed Lessee's annual maintenance budget of Five Thousand Dollars
($5,000.00). Maintenance shall be of such quality as to maintain the
Facilities in a first -class condition. However, Lessee is not responsible
for any ground conditions related to use prior to the effective date of
this agreement.
City shall be responsible for all other maintenance and repairs to
the Facilities, subject to availability of City funds through the annual
City budget process. However, this provision regarding City maintenance
of the Facilities is subject to revision by the City at any time.
Lessee shall obtain, at its own expense, all utility services,
garbage collection, janitorial services, and similar services.
- 2 -
VI. INFORMATION, RECORDS, REPORTS AND DOCUMENTATION.
Upon request from City Director of Parks and Recreation, Lessee shall.
provide City Director or designee with access to documents or other
records of Lessee to confirm that Facilities are being used for the
purposes intended under Article III Purpose.
VII. INDEMNIFICATION
Lessee agrees that it will indemnify and hold City harmless of,
from, and against all claims, demands, actions, damages, losses, costs,
liabilities, expenses, and judgments, recovered from or asserted against
City on account of .injury or damage to persons or property to the extent
any such damage or injury may be incident to, arise out of, or be caused,
either proximately or remotely, wholly or in part, by an act or omission,
negligence or misconduct on the part of City, its officers, employees,
or agents, ( "Indemnitees ") and on the part of Lessee or any of its agents,
servants, employees, contractors, patrons, guests, licensees, or
invitees, entering upon the Facilities pursuant to this Lease Agreement
with the express or implied invitation or permission of Lessee, or when
any such .injury or damage is the result of a proximate or remote violation
by Indemnitees, Lessee, or any of its agents, servants, employees,
contractors, patrons, guests, licensees, or invitees of any law,
ordinance, or governmental order of any kind, or when any such injury
or damage may in any other way arise from or out of the Improvements being
constructed at the Facilities herein or out of the use or occupancy of
the Improvements to the Facilities or the Facilities themselves by
Indemnitees, Lessee, its agents, servants, employees, contractors,
patrons, guests, licensees, or invitees, including without limitation,
any damages or costs which may occur as a result of: the design of the
Improvements to the Facilities, the bidding process, actual construction .
of the Improvements to the Facilities, administration of the construction
contracts by the City or its designee, failure of the Improvements to
the Facilities prior to completion and acceptance of the Improvements
by City and Lessee jointly, failure of the Improvements of the Facilities
to work as designed, failure of the Contractor or manufacturer to honor
its warranties or failure to maintain the Improvements to the Facilities
or the Facilities themselves.
These terms of indemnification shall be effective whether such
injury or damage may result from the sole negligence, contributory
negligence, or concurrent negligence of Indemnitees; but not if such
damage or injury may result from gross negligence or willful misconduct
of Indemnitees.
- 3 -
Lessee covenants and agrees that, in case City shall be made a party
to any litigation against Lessee or in any litigation commenced by any
party, other than Lessee relating to this Lease Agreement, Lessee shall
and will pay all costs and expenses, including reasonable attorney Is fees
and court costs incurred by or imposed upon City by virtue of such
litigation.
VIII. COMPLIANCE WITH LAWS
Lessee agrees that, in operation of the Facilities and all programs
offered by Lessee at the Facilities, it will promptly comply with and
fulfill all laws, ordinances, regulations and codes of Federal, State,
County, City and other governmental agencies applicable to the Facilities
and all programs offered by Lessee at the Facilities, and all ordinances
or regulations imposed by the City for the correction, prevention and
abatement of nuisances or code violations in or connected with the
Facilities during the term of this Lease, at Lessee's sole expense and
cost.
M01 �I VMD7N
Either party may terminate this Lease as of the last day of
any month upon thirty (30) days prior written notice, so long as all
provisions of this Lease providing responsibilities in the event of
termination are complied with.
X. PARKING
As additional consideration for the Lease, Lessee shall make the parking
lots available on the Property available for general public use.
XI. NON- - DISCRIMINATION
Lessee shall not discriminate nor permit discrimination against any
person or group of person, as to employment and in the provision of .
services, activities, and programs, on the grounds of race, religion,
national origin, sex, physical or mental disability, or age, or in any
manner prohibited by law.
XII. BREACH OF LEASE
No assent, express or implied, by the City to any breach of any of
Lessee's covenants, agreements, conditions or terms hereof shall be
deemed or taken to be a waiver of anti succeeding breach of any covenant,
agreement, condition or term hereof.
XIII. RIGHT TO ENTER AND INSPECT
- 4 -
The City reserves the right to enter the Facilities at any
reasonable time during the term of this Lease for the purpose of
inspecting the same in order to determine whether the terms and conditions
of this Lease are being observed and carried out, including but not
.limited to, both exterior and interior maintenance.
XIV. INSURANCE
City shall maintain property insurance on the Facilities. The City's
property insurance program provides coverage against perils
including; fire, flood, collapse, windstorm and associated elements
including wind driven rain and hail. In addition, the City's
property insurance program provides coverage from named storms.
Lessee shall acquire and maintain insurance as described on the attached
Exhibit B.
XV. DEFAULTS
Upon thirty days prior written notice to Lessee, the City may, at
its option, in addition to any other remedy or right hereunder or by law,
terminate this Lease upon occurrence of any of the following conditions
( "Defaults "), provided that Lessee has not cured the Default prior to
termination:
1) Failure to operate the Facilities for the purposes set forth in
Paragraph III except during the periods necessary for repairs or
renovation approved by the City in writing or except as otherwise
contemplated by this Lease.
2) Failure to maintain Facilities and grounds.
3) Failure to abate any nuisance specified in writing by the City
within a reasonable time specified in writing by the City.
4) Failure to comply with any term of this Lease.
5) Failure to have in effect policies of general liability insurance,
workers' compensation insurance, and property insurance as
required by the City Manager.
6) Dissolution of Lessee as a nonprofit corporation.
7) Abandonment of the Facilities for thirty (30) days.
8) Failure of Lessee to correct any other breach in the performance
- 5 -
or observance of any other covenant or condition of this Lease.
Upon termination of this Lease as herein above provided, or pursuant
to statute, or by summary proceedings or otherwise, the City may enter
forthwith and resume possession either by summary proceedings, or by
action at law or in equity or by force or otherwise, as the City may
determine, without being liable in trespass or for any damages. The
foregoing rights and remedies given to the City are, and shall, be deemed
to be, cumulative of any other rights of the City under law, and the
exercise of one shall not be deemed to be an election, and the failure
of the City at any time to exercise any right or remedy shall not be deemed
to operate as a waiver of its right to exercise such right or remedy at
any other or future time.
XVI. MODIFICATION
Modifications to this Lease shall not be effective unless signed
by a duly authorized representative of all parties hereto.
Modifications which do not change the essential scope and purpose of the
Lease may be approved on behalf of the City by the City Manager.
XVII. PUBLICATION
Lessee agrees to pay the costs of newspaper publication of this.
Lease and related ordinance as required by the City Charter.
XVIII. TERMINATION NOTICE
Lessee acknowledges and understands that if it is unable to carry
out the terms of this Lease, this Lease is null and void. Lessee agrees
to execute a Termination Agreement setting out the reasons for the
termination, and in the case of partial termination, the portion of the
Lease to be terminated. Either party may terminate this Lease as of the
last day of any month upon thirty (30) days prior written notice
containing the same information as required in the above described
Termination Agreement to the other party. Notice shall be deemed to have
been given upon deposit in U. S. Certified Mail properly stamped and
addressed for delivery to:
City of Corpus Christi
P. 0. Box 977
Corpus Christi, Texas 78469 -9277
Attn: Director of Parks and Recreation
South Texas Institute for the Arts
1902 N. Shoreline Blvd.
Corpus Christi, Texas 78401
- 6 -
Attn: Director
XIX. TAXES
Lessee shall pay any ad valorem taxes associated with the Facilities
which may be levied during the term of this Lease or any extension hereof.
Lessee shall not voluntarily create, cause, or allow to be created, any
debts, liens, mortgages, charges, or other encumbrances against the
Facilities. Lessee shall from time to time, duly pay and discharge or
cause to be discharged or to be paid, when the same becomes due, all taxes,
assessments, and other government charges which are lawfully imposed upon
the Facilities and which, if unpaid, may by law, become a lien or
encumbrance upon such Facilities and thereby impair or otherwise
adversely affect the holding of such Facilities for the use set out in
this Lease.
XX. GENERAL PROVISIONS
A. No Liability In no event shall the City be liable for any
contracts made by or entered into by Lessee with any other person, firm,
corporation, association, or governmental body.
B. Nonassignment Lessee shall not assign, mortgage, pledge, or
transfer this Agreement or any interest in the Facilities without prior
written consent of the City.
C. Nonexclusive Services Nothing herein shall be construed as
prohibiting Lessee from entering into contracts with additional parties
for the performance of services similar or identical to those enumerated .
herein, and nothing herein shall be construed as prohibiting Lessee from
receiving compensation therefore from such additional parties, provided
that all other terms of this Lease are fulfilled.
D. Hours of Operation Facilities shall be operated so as to be
open for use by the general public during all normal hours of operation.
E. Jurisdiction and Validity If for any reason any section,
paragraph, subdivision, clause, phrase, or provision of this Lease shall be
held invalid or unconstitutional by final judgment o f a court o f
competent jurisdiction, it shall not affect any other section,
paragraph, subdivision, clause, phrase, work or provision thereof be given full
force and effect for its purpose. The laws of the State of Texas shall apply
to any dispute arising hereunder. Venue shall lie in Corpus Christi, Nueces
County, Texas, where this Lease was entered into and shall be performed.
SIGNED, this day of 2012.
- 7 -
ATTEST: CITY O CORPUS CHR TI
Armando Chapa " Ronald L.
City Secretary City Mana
SOUTH TEXAS INSTITUTE FOR THE ARTS
V-
n
I ��
os ph Schenk, Director
�y `��wI�1`1.11�iMwy`M
- 8 -
ANTONIO E. GARCIA EDUCATION CENTER - LEASE TRACT
STATE OF TEXAS
COUM Y OF NUECES
$SING a tract.of land tositaiulag 1.37 Acres (59 ,574 Siq.FT.) of land - oot of a
portion of let 14, Block A, vawnvlew Annex-ap trwrded. in Volume 67, I?tjge
16; Lots 2.4 aqd a po tton 5,131OC E 5i LWnvlow'A- iditloYa. as r 6rded
In Volume A, Page 13; utt a portion of aloek % Home pl as
recorded in Volume A Page 14 of the Nfap R ;clads offte.m Co."ty, T"MS.
This 1.37 Acre tract being .more particularly described- by t;ttiates and I►aunds
as ifiollo�vs;
BEGRUM0 at a Found. 518a IrnttRW with Plesdc Cap stamped "City of Corpus awsti,
Texas" at the north st pOmer *Mt 1 5, block 4, Lawn*w Ate, as reaor&d in voltuxte
67, Pap $6 of ft lap Records of Nucoea County, Tons;
TI MME S88°WOVW along the mortb boundary floe ofsaid tot 15, a distance of 137.1x'
to si Pound 518" bolt Rod wJib Plaatto swap stantptd "CityofCorpuk C1>riati, Tme,,beiug
the.soutitwest comer afthis tract;
THENCE- N&OD`tI - W alog the easterly 4&-of-way iino offtIftenifi.Strset a distance
066 to a Found 518" Iron Rod with Plastic Cap stamped "City ofCoipus Chfie i, TTexaa ",
being an angle point of this t rw,
TiEIII NCE NOV06'50'W connin g tdaurg the anstedy glut of -way line ofr10 teenth street
a distueme of 128,19' to a Frnrnt1 Drill Hole in aonamte at the begh%dng of a ai oular ettrve to
. the .
T along said curve Wing a Radius of 10.00', as An Ungdi of 16.95', and
a Card ofN39W35 "E a distance of 14.99 to a Found e0H Nail on the southody
side of Agues Street;
THENCE X88°00'00 9 along the southerly side of Agnes Street a distance of 283.3 to a
Found Dill Halle, being.an angle point Oftbis tract;
THENCE S67 Wntiituia al a the soutiteily side 4Agies SUoit a diatauca of
7M to 4 Set•518 " Rod with Mastic �a1f stamped "City pf COrptzs C.hn "4 T- exam ", being
the !teal ud corm of fide we,
THENCE 842 ° 0;1'00 "13 along the castetly side a T wide Alley as shown on plat of the
HoZAe Plate AdMon fig noorded in Volume A, Page 14 of tie Map Fads of
Ntieces County, Texas, a distance of 202. IV to-a Set 518" hen ,llad 'wide Plastio Cap
sta.rnped "City of Conpeta Cbriiati, Texas", teeing flit - southeast corner of this tract;
Tl N10E S88 0DW" W t3uc U94 said Homo plats Addition and Lot 14, a mview Amex, a
distanc o of 1,47.33' to The POINT AND PI ACE AFIWaXTMOnd containing 1:37
Acres of land.
Bea*o arse with reference to North BQUa "Lira of LOU 2 -5, Stork 5,, L W
Addition as recorded in Vnlum A. Fags 13 affhe Map R oords QfNueces Cbtmtyjexas.
� nfT+sxut
Covnty of Nueces
i, RUsseil 04%,& Registet ed l'rMmiml Land Surve3w for the CRY ofCoW Christi, hereby
:. cc 01� that the foregoing field notes were prq *rcd by me ftm - a land swe3rtnado co the gowed
w3dor nor dixaetion.
Th tt 7 clay of January, 2009.
Ruasell ]D. Ochs +f3F T�
Staff of pms License No. 5,241
.. .. . ..- -.1- - .., ... . r .. .. .... .. . _. ......... -., . . . . . 17 . . . . -, .
t)+s
L . 1553 ,
.SrAit GF Tv.AS C
CQtam CF tvu
e. F7L MML 8. OCM, . - ROOMMiM PROS L96 39RVM1pft FOR
THE M OF'COWM OMR KMMr IIF31EWO '#l4T' TM AIAP WAS
V" PRMAMD PAM AM ACTLi t F= WRYLY W= 09 R-M- #tom 'na
MY XNi]titMOM 7195 7M �anr OF � . 201
s C �r
•r.Y+W RM}IG. .g^L.Fl •.ri 0 6'.J.r .••
ter•. •S
x.`41
w
7 IT,
IWv2,MqM
i�l•1k���RC•L��
IMOV [ 4 {,,A i f
� MW—,Tmm
yy
r AW or AM J-1. SOM. j
33
AW
- t CH 71 W : dWS.Ar ALL'
3 . 33r tJGknd pTfi�MS?�
ANIOW E aWM ARM MXC4WW CEWW
&M E)?. rxrr OF aowo ri
MW A MCr aF LOJ GYJNr21mAW ftSPV W. t7: (t J7 A Qtlr Zr :�
4 f4. &=K A Li117iR4 W WO" UL $7. dk iM 2 -, s- ARC A G]F !ter
bILGb[ !!� Lti1111. W A� ' f. PC: F�: Il A !°� • SJl CK . t
K1Y 74 f1F Ff:F AMP RMdRD5 OIF ' 'u E�JLAflTl. 1DCkc
i E
hAhN VW lET3"
tide• ! f�'S .3 s'. RG{I
4RJY.2 i. '
cnL a,. 14a tc , FIN .{
RFRfA.0 i. ¢ H.fl.PS.^...7.
t Now �
J
{EMIR Lm
L! LT fl
L awlo rf AFtNFX
DL. n7. M. $a
99
rM�
f 6 im 20
Sodl+a• to Feet
t 7rr of COAMS 'CAF. Mus
Dew tft.wt of Domm' sff*es
fey awo vt-&Vwt
C*WAW p R. COW air s3WT SHEET 1 F
7 T+`1 R 1 51
Aft J%DASAWCT fLAft
EXHIBIT B
INSURANCE REQUIREMENTS
I. LESSEE "S LIABILITY INSURANCE
A. Lessee shall not commence business under this agreement until all insurance required herein has been obtained and
approved by the City's Risk Manager or designee.
B. Lessee small furnish to the Risk Manager or designee two (2) copies of Certificates of Insurance, with applicable policy
endorsements showing the following minim coverage by an insurance company(s) acceptable to the Risk Manager or
designee. The City must be named as an additional insured for the General Liability and Business Automobile
Liability policies, and a waiver of subrogation is required on all applicable policies.
TYPE OF INSURANCE
MINIMUM INSURANCE COVERAGE
30 -Day Notice of Cancellation required on all certificates or by
Bodily injury and Property Damage
policy endorsement(s)
Per Occurrence 1 aggregate
$500,000 Per Occurrence
Commercial General Liability including:
$1,000,000 Aggregate
I. Broad Form
2. Premises - Operations
3. Products /Completed Operations Hazard
4. Contractual Liability
5. Broad Form Property Damage
6. Independent Contractors
BUSINESS AUTOMOBILE LIABILITY
$500,000 Combined Single Limit
1. Owned
2. Hired & Non -owned
WORKERS' COMPENSATION
( If Lessee has paid employees.)
WHICH COMPLIES WITH THE TEXAS WORKERS'
COMPENSATION ACT AND PARAGRAPH II OF THIS
EXHIBIT.
EMPLOYER'S LIABILITY
$500,0001$500,000 / $500,000
Fine Arts Floater For Any Visiting Art Collection
To cover replacement value of Exhibit
Property Insurance Coverage
To cover permanent collections.
C. In the event of accidents of any kind related to this project, Lessee shall furnish the Risk Manager with copies of all
reports of such accidents within ten (10) days of the accident.
II. ADDITIONAL REQUIREMENTS
A. If Lessee has paid employees, Lessee must obtain workers' compensation coverage through a licensed
insurance company in accordance with Texas law. The contract for coverage must be written on a. policy and
endorsements approved by the Texas Department of Insurance. The coverage provided must be in amounts
sufficient to assure that all workers' compensation obligations incurred will be promptly met.
B. Lessee's financial integrity is of interest to the City; therefore, subject to Lessee's right to maintain reasonable
- 10 -
deductibles in such amounts as are approved by the City, Lessee shall obtain and maintain in full force and
effect for the duration of this Contract, and any extension hereof, at Lessee's sole expense, insurance
coverage written on an occurrence basis, by companies authorized and admitted to do business In the State of
Texas and with an A.M. Best's rating of no less than A- VII.
C. The City shall be entitled, upon request and without expense, to receive copies of the policies, declarations
page and all endorsements thereto as they apply to the limits required by the City, and may require the
deletion, revision, or modification of particular policy terms, conditions, limitations or exclusions (except
where policy provisions are established by law or regulation binding upon either of the parties hereto or the
underwriter of any such policies). Lessee shall be required to comply with any such requests and shall submit
a copy of the replacement certificate of insurance to City at the address provided below within 10 days of the
requested change. Lessee shall pay any costs incurred resulting from said changes. All notices under this
Article shall be given to City at the following address:
City of Corpus Christi
Attn: Risk Management
P.O. Box 9277
Corpus Christi, TX 78469 -9277
(361) 826 -4555- Fax #
D. Lessee agrees that with respect to the above required insurance, all insurance policies are to contain or
be endorsed to contain the following required provisions:
• Name the City and its officers, officials, employees, volunteers, and elected representatives as additional
insured by endorsement, as respects operations and activities of, or on behalf of, the named insured
performed under contract with the City, with the exception of the workers' compensation policy
+ Provide for an endorsement that the "other insurance" clause shall not apply to the City of Corpus Christi
where the City is an additional insured shown on the policy;
• Workers' compensation and employers' liability policies will provide a waiver of subrogation in favor of the
City; and
• Provide thirty (30) calendar days advance written notice directly to City of any suspension, cancellation,
non - renewal or material change in coverage, and not less than ten (10) calendar days advance written notice
for nonpayment of premium.
E. Within five (5) calendar days of a suspension, cancellation, or non - renewal of coverage, Lessee shall
provide a replacement Certificate of Insurance .and applicable endorsements to City. City shall have the
option to suspend Lessee's performance should there be a lapse in coverage at any time during this contract.
Failure to provide and to maintain the required insurance shall constitute a material breach of this contract.
F. In addition to any other remedies the City may have upon Lessee's failure to provide and maintain any
insurance or policy endorsements to the extent and within the time herein required, the City shall have the
right to order Lessee to discontinue sales hereunder, until Lessee demonstrates compliance with the
requirements hereof.
G. Nothing herein contained shall be construed as limiting in any way the extent to which Lessee may be held
responsible for payments of damages to persons or property resulting from Lessee's or its subcontractor's
performance of the work covered' under this agreement.
H. It is agreed that Lessee's insurance shall be deemed primary and non- contributory with respect to any
insurance or self insurance carried by the City of Corpus Christi for liability arising out of operations under
this agreement.
I. It is understood and agreed that the insurance required is in addition to and separate from any other obligation
contained in this agreement.
11 .-