97-20 Resolution No. 97-20
RESOLUTION
AUTHORIZING EXECUTION OF A SERVICE AGREEMENT WITH THE
ELGIN SYMPHONY ORCHESTRA ASSOCIATION
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF ELGIN,
ILLINOIS, that Kevin Kelly, Mayor, and Dolonna Mecum, City
Clerk, be and are hereby authorized and directed to execute a
Service Agreement on behalf of the City of Elgin with the
Elgin Symphony Orchestra Association for youth programming and
general operational support, a copy of which is attached
hereto and made a part hereof by reference.
s/ Kevin Kelly
Kevin Kelly, Mayor
Presented: January 22, 1997
Adopted: January 22 , 1997
Vote: Yeas 6 Nays 0
Attest:
sl Dolonna Mecum -
Dolonna Mecum, City Clerk
SERVICE AGREEMENT
THIS AGREEMENT is made and entered into on this t, �, day of
1997,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")
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' largest symphony orchestra outside the City of Chicago;
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 Elgin Symphony Orchestra sells 10,000 tickets each season to
residents of Elgin, and further draws 15,000 ticketed patrons into Elgin each season; and
WHEREAS, the ESO provides 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$150,000 on or before January 31,
1997.
2. The ESO shall address all initial inquiries and requests made pursuant to this
agreement to City's New Century Partnership Director.
3. The ESO shall apply $75,000 of the aforementioned $150,000 to Youth
Initiatives.
4. The ESO shall apply $30,000 to office and salary expenses related to their new
location at 20 DuPage Court; including their new box office.
D. The ESO shall-apply the additional 535,000 to general operational expenses.
6. The ESO shall provide a written report detailing the disbursement of 5150,000.
This report shall be received by September 30; 1997 to the Elgin City Council
and shall include but not be limited to a summary of-public performance
offerings, gross tickets sold, activities offered for youth, attendance numbers for
said activities, and a breakdown of$30,000 in office expenses.
7. The City shall have the right to review all accounting records related to the use
of the $150,000, given 72 hour notice, and at a time agreed upon by both
parties.
8. 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 result of any negligent actions by the ESO.
9. This Agreement shall be in full force and in effect from January 1, 1997
through December 31, 1997.
IN WITNESS WHEREOF, the parties hereto have executed this agreement on the date
and year written above.
CITY OF ELGIN,
a municipal corporation
B
Y
Kevin Kelly
Mayor
Attest:
City Clerk
ELGIN SYMPHONY ORCHESTRA
ASSOCIATION,
a not-for-profit corporation
BY
Michael Pastreich
Executive Director
,, ;i
Clt Of Elgin Agenda Item No. r
January 15, 1997
TO: Mayor and Members of City Council
FROM: Robert 0. Malm, Interim 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 City Council to consider a Purchase
of Service Agreement with the Elgin Symphony Orchestra (ESO)
for youth programming and general operational support.
BACKGROUND
The 1997 Budget includes $150,000 for ESO support, with
$115, 000 from the Riverboat Fund designated for ESO support
and ' youth initiatives and $35, 000 from the General Fund
Cultural Arts Commission budget. On January 13, 1997, the
Cultural Arts Commission voted to recommend the expenditure
of $35, 000 from their General Fund budget to support ESO
operations .
ESO is the largest orchestra in the state, outside of the
City of Chicago. With over 20, 000 tickets sold 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 15, 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 .
A Purchase of Service agreement has been drafted by the ESO
Executive Director and City staff 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 .
NEEL-
Elgin Symphony Orchestra
January 16 , 1997
Page 2
COMMUNITY GROUPS/INTERESTED PERSONS CONTACTED
The proposed agreement was drafted in conjunction with the
ESO Executive Director, Michael Pastreich.
FINANCIAL IMPACT
Total funding of $150 , 000 is in the 1997 General Fund and
Riverboat Fund budgets . The Cultural Arts Commission has
recommended using $35, 000 of their allocation from the
General Fund budget (Acct. No . 010-1902-709 . 80-10) . The
Riverboat Fund (Acct. No. 275-0000-791 . 80-10) contains the
remaining $115 , 000 for ESO support and youth initiatives .
LEGAL IMPACT
None.
ALTERNATIVES
The City Council could approve the agreement as drafted, edit
the agreement or decline to provide support to ESO.
RECOMMENDATION
It is recommended that the City Council approve the Purchase
of Service Agreement with the Elgin Symphony Orchestra.
Respectfully submitted,
Eric S. Stuckey
Budget Director/Public
mat ion Officer
G�
Rob rt 0. Malm
Interim City Manager
Attachments
l
Elgin Symphony Orchestra
• 20 DuPage Court, Elgin, IL 60120-6424 • Phone (847) 888 - 0404 Fax (847) 888 - 0400
Robert Hanlon - Alutic Director Michael Pattreich - Executive Director John T. Snow - President
December 13, 1996
Honorable Kevin Kelly
Mayor
City of Elgin
150 Dexter Court
Elgin, IL 60120
Dear Kevin,
The Elgin Symphony is grateful for the City of Elgin's support.
As you know, the Elgin Symphony is now the largest orchestra in the state, outside the city of
Chicago. As we have grown, we have received significant recognition throughout the state. In 1989,
we were named "Orchestra of the Year" by the Illinois Council of Orchestras; in 1993, we received the
City of Elgin's "Elgin Image Award"; in 1995, Marcene Linstrom, our then Executive Director, received
the Illinois Council of Orchestra's "Manager of the Year" Award; and this year we were named for the _
fist time as one of the State of Illinois's "39 Established Regional Arts Institutions" (we were one of only
3 orchestras).
Each year, over 20,000 tickets are sold to our Classic, Pops, Holiday, and Family concerts, with
s!1% of mir natronc coming from within Elgin. anr► <n% hPino r1raum into Flain .from ciirrrntndinq
communities. In addition to these community members, we serve over 10,000 school children through
our Petite Musique, Kidz Konzerts, In-School Music Program, Apprentice Program, and new Home
School Subscription Series. As we continue to study our activities, our primary question is how we can
'best serve Elgin, and our community.
As you and I have discussed, the Elgin Symphony's slowest period for cash-flow is in January
and February; the time just before we start the next season's subscription campaign. The Elgin
Symphony would be appreciative if you could arrange for the S 150,000 budgeted for the Elgin Symphony
during'the 1997 calendar year to be paid during the month of January.
We at the Elgin Symphony are grateful for all you have done, and continue to do, for us. —
Sincerely, _-
Michael Pastreich
Executive Directo-r
cc: Jim Nowicki
Eric Stuckey
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