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HomeMy WebLinkAbout00-44 Resolution No. 00-44 RESOLUTION AUTHORIZING EXECUTION OF A PURCHASE OF SERVICE AGREEMENT WITH THE ELGIN SYMPHONY ORCHESTRA ASSOCIATION BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN, ILLINOIS, that Ed Schock Mayor, and Dolonna Mecum, City Clerk, be and are hereby authorized and directed to execute a Purchase of Service Agreement on behalf of the City of Elgin with the Elgin Symphony Orchestra Association for youth programming and operational support, a copy of which is attached hereto and made a part hereof by reference . s/ Ed Schock Ed Schock, Mayor Presented: February 23 , 2000 Adopted: February 23 , 2. 000 Omnibus Vote : Yeas 6 Nays 0 Attest : s/ Dolonna Mecum Dolonna Mecum, City Clerk PURCHASE OF SERVICE AGREEMENT THIS AGREEMENT is made and entered into thish day ofd a, 2000, by and between the ELGIN SYMPHONY ORCHESTRA ASSOCIATION, a not-for-profit organization, (Hereinafter referred to as the "ESO" ) and the CITY OF ELGIN, Illinois, a municipal corporation, (hereinafter referred to as the "CITY" ) ; and WHEREAS, The City of Elgin, Illinois has determined it to serve a beneficial public purpose to maintain the Elgin Symphony Orchestra as the largest cultural organization in the Fox Valley and as Illinois' s Largest symphony orchestra outside the City of Chicago; and WHEREAS, The City has further determined it to serve a beneficial public purpose to assure that its youth are extended a diverse offering of stimulating activities which provide potential life-long benefit; and WHEREAS, The ESO provides over 10, 000 tickets each session to residents of Elgin, and draws over 17, 000 ticketing patrons into Elgin each season; and WHEREAS, the ESO provides over 10, 000 students each season with stimulating musical experiences . NOW, THEREFORE, in consideration of the mutual promises and covenants contained herein, the sufficiency of which is hereby acknowledged, the parties hereto hereby agree as follows : 1 . The .City shall pay to the ESO the sum of $193, 000 on or before March 1, 2000 . 2 . The ESO shall address all initial inquiries and requests made pursuant to this agreement to the Management Assistant in the City Manager' s office . 3. The ESO shall apply $75, 000 of the aforementioned $193, 000 to Youth Initiatives . In exchange, the ESO shall provide youth programs, including, but not limited to, Arthur Anderson Petite Musique, Elgin Financial Center Foundation Kids Konzerts, In-School Music Program, Apprentice Program, and the Homeschool Subscription series . 4 . The ESO shall apply $30, 000 to office and salary expenses related to their location at 20 DuPage Court, including their box office . - In exchange, ESO shall maintain and operate a box office in the center city area throughout the year. 5 . The ESO shall apply $63, 000 to general operational expenses . 6. The ESO shall apply $25, 000 to the SCORE ! (Student Creating Opera to Reinforce Education) program, designed in conjunction with Hamilton Wings . 7.. The ESO shall. provide a written report detailing he disbursement of $193, 000 . Such report shall be submitted by September 30, 2000 to the Elgin City Council and shall include, but not be limited to, a summery of public performance offering, gross tickets sold, activities offered for youth, attendance numbers for said activities, and a breakdown of $30, 000 in office expenses . 8 . The ESO shall be granted and additional loo discount on Hemmens usage fees, including hall rates, labor and equipment charges, should it hold more than 15 performances in a calendar year at the Hemmens Cultural Center. 9 . The City shall have the right to review all accounting records related to the use of the $193, 000, given 72 hours notice, and at the time agreed upon by both parties . 10 . The ESO shall indemnify and hold City harmless from and against any and all claims for damages, suits, causes of action or any and all other liability which may arise out of or in connection with the performance of this agreement or other operations as a result of any negligent actions by the ESO. 11 . This Agreement shall be in full force and effect from January 1, 2000 through December 31, 2000 . 12 . The terms of this agreement shall be severable. In the event any of the terms or provisions of this agreement are deemed to be avoid or otherwise unenforceable for any reason, the remainder of this agreement shall remain in full force and effect . 13 . This agreement shall not be construed so as to create a joint venture, partnership, employment or other agency relationship between the parties hereto. 14 . This agreement shall be subject to and governed by the laws of the State of Illinois . Venue for the resolution of any disputes or the enforcement of any rights arising out of or in connection with this agreement or its performance shall be in the Circuit Court of Kane County, Illinois . CITY OF ELGIN ELGIN SYMPHONY ORCHESTRA ASSOCIATION / By By v Ed chock Michael Pastreich Executive Director Attest: City Clerk i � C � • TO: Mayor and Members of the City Con FROM: Joyce A. Parker, City Manager 9 SUBJECT: Purchase of Service Agreement with Elgin Symphony Orchestra At the February 9 Committee of the Whole meeting, approval was given to a Purchase of Service Agreement between the City and the Elgin Symphony Orchestra. The Purchase of Service Agreement addresses a contribution $193,000 to the Symphony for youth programming and operational support. A resolution authorizing execution of the Purchase of Service Agreement will appear as an item on the Consent Agenda at the Council's February 23 meeting. • Since the Council's action on February 9, the Symphony has requested that a change be made as it relates to the use of funds in programming and operations. The Symphony wishes to apply $63,000 to general operational expenses rather than $53,000 indicated in Section 5 of the Agreement. The amount applied to Youth programming would be $75,000, rather than $85,000 indicated in Section 3 of the agreement as it was initially presented to the City Council. All other provisions of the Agreement would remain the same. Staff would recommend that the suggested changes be approved. • V Agenda Item No. City of Elgin February 9, 2000 TO: Mayor and Members of the City Council FROM: Joyce A. Parker, City Manager SUBJECT: Elgin Symphony Orchestra Support and Purchase of Service Agreement PURPOSE The purpose of this memorandum is to provide information to the Mayor and members of the City Council to consider a Purchase of Service Agreement with the Elgin Symphony Orchestra (ESO) for youth programming and general operational support . BACKGROUND The 2000 Budget includes $183 , 000 for ESO support , with $145, 000 from the Riverboat Fund designated for ESO support and youth initiatives and $38, 000 from the General Fund Cultural Arts Commission budget . At their January 12 meeting, the Cultural Arts Commission approved the expenditure of $38 , 000 from their General Fund budget to support ESO operations . Subsequent to the budget decision, the Symphony requested an additional $10 , 000 from the City for a total contribution of $193 , 000 . The additional $10, 000 will be programmed for Youth Initiatives . The ESO is the largest orchestra in the state outside of the City of -Chicago. With over 27, 000 ticketed patrons each year to a variety of concerts, the presence of ESO in the community helps establish Elgin as a regional center for the performing arts . ESO estimates that approximately 10, 000 of these patrons are from Elgin, with another 17, 000 being drawn from outside of Elgin. In addition to these programs, ESO, in partnership with the City, has provided a variety of programs to school children in Elgin (i . e . , Petite Musique, Kidz Konzerts, In School Music Program, Apprentice Program, and a new Home School Subscription series) . ESO' s commitment to the Elgin community is apparent through the continued use of the Hemmens Cultural Center as the symphony' s home base and the move of ESO' s executive offices to downtown in August, 1996 . • _ v • ESO PSA February 9, 2000 Page 2 A continued feature of the Symphony' s program is a collaboration with Hamilton Wings to implement a music development program designed for at-risk youth. Begun in 1999, Students Creating Opera to Reinforce Education! (SCORE) provides the opportunity for 60 at -risk students, age 10 to 13 , to work with professional singers, composers, instrumentalists, writers, designers and theatre technicians to create, develop, produce and perform an original opera . The ESO will apply $25, 000 of the City' s contribution to this program. A Purchase of Service Agreement has been drafted for City Council consideration. The agreement is designed to establish the public purpose for City support and provides a mechanism for ESO' s accountability for the use of public funds . ESO has prepared a report to the City detailing the use the use of the $183 , 000 funding in 1999 . Also included in the agreement is a provision granting an additional loo discount for Hemmens usage, if ESO uses the facility more than 15 times in a calendar year. This provision provides an incentive to ESO to continue to utilize the Hemmens as their home base . COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED Elgin Symphony Orchestra and Elgin Cultural Arts Commission k4-4INANCIAL IMPACT Total funding of $193 , 000 is located in the 2000 General Fund and Riverboat Fund budgets . The Cultural Arts Commission has approved the expenditure of $38, 000 of their allocation from the General Fund budget (account number 010-0902-709 . 80-10) . The Riverboat Fund (account number 275-0000-791 . 80-11) contains the remaining $155, 000 for ESO support and youth initiatives . Sufficient dollars exist to fund the PSA with the Elgin Symphony Orchestra. WkVLEGAL IMPACT None . ALTERNATIVES The City Council could approve the agreement as drafted, edit the agreement or decline to provide support to ESO. i • ESO PSA February 9 , 2000 Page 3 RECOMMENDATION It is recommended that the City Council approve the Purchase of Service Agreement, reflecting a City contribution of $193 , 000, with the Elgin Symphony Orchestra as presented. Respectfully submitted, Jo, e A. Parker City Manager od Attachment • •