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HomeMy WebLinkAboutStaff Report 4138 City of Palo Alto (ID # 4138) Policy and Services Committee Staff Report Report Type: Meeting Date: 10/8/2013 City of Palo Alto Page 1 Summary Title: Public Art Program for Private Developers Title: Provide Direction Regarding Proposed Public Art Program for Private Developments, Public Art Master Planning Process, and Staffing Plan to Support Public Art Programs From: City Manager Lead Department: Community Services Recommendation Staff recommends that the Policy and Services Committee recommend that Council: 1. Approve a Public Art Program for Private Developments, including adopting an ordinance establishing art requirements and other key provisions (Attachment C), 2. Direct the staff and the Public Arts Commission to engage the public in a Public Art Master Plan process that will guide public arts acquisitions and programming under the Public Art Program, 3. Direct staff to evaluate and bring forward recommendations regarding Public Art staffing, maintenance, project management, capital improvement needs and revenue estimates as part of the FY 2015 Proposed Budget document. 4. Direct staff to return to the Committee in 2014 with recommendations to update the municipal percent for art policy that applies to City capital improvement projects Executive Summary In April 2013, Council directed staff to expand the City’s percent for art policy to include private development in Palo Alto (See Colleagues Memo of April 8, 2013, and Meeting Minutes- Attachment A). The key objectives outlined in the April Council action were: City of Palo Alto Page 2  Reflect the creative and vibrant community that lives, works, and visits here.  Encourage a variety of art experiences to enhance the visual landscape of our city.  Offset the collection maintenance and public art project management costs to the general fund, eventually resulting in a more self-sustaining public art program. Accordingly, staff proposes in this report:  a recommended public art program for private developments, based on the intersection of best practices in other similar cities, informed by discussions with local developers,  a draft ordinance establishing the private development art requirement and other key provisions,  a proposal to increase the capacity of the Public Art program staff in order to successfully manage its growth and support enhanced programs. Staff proposes to return to Policy and Services in 2014 with recommendations to update the policy governing the municipal percent for art program that applies to City capital improvement projects. Background Summary of Research on Public Art Programs for Private Developments Staff researched the growing national trend of including private developments in public art ordinances, with special focus on California cities of comparable size and/or proximal geographic location. Research revealed the following (For full report, see Percent for Art Programs Grid Attachment B):  In California alone, more than 48 cities have a public art policy for private development. Some of those in the Bay Area include Sunnyvale, San Mateo, Alameda, Berkeley, Dublin, Emeryville, Livermore, Walnut Creek, and San Francisco.  Almost all of the cities with private development art programs offer an option for the developer to pay fees to a Public Art Fund in lieu of providing art on site. Fees are used for other Public Art acquisitions and programming. Some cities create incentives to developers to choose the in-lieu fee option, by lowering the dollar amount required. City of Palo Alto Page 3  In most cities, Public Art Commissions exercised review and approval of public art, but building owners retained the ownership and maintenance responsibilities for the artwork. When the property is sold, the artwork is sold along with the property.  Most cities recommend that the developer hire an art consultant to guide the art selection and fabrication process. Some offer these services through Public Art Program staff at a comparable rate.  Many cities require public art for projects with construction cost of between $200,000 and $500,000 and above.  Some cities have exemptions for houses of worship, nonprofits, low income housing or hospitals. However, few projects are given exemptions and some cities such as Walnut Creek and Pasadena offer no exemptions at all.  Most cities refrain from issuing a Certificate of Occupancy until the public art requirement has been fulfilled.  Most cities require the artwork be visible or accessible to the public at least 8 hours a day during the work week.  A majority of cities have a Public Art Master Plan to guide art consultants in choosing artworks in keeping with the chosen priorities of that community, as well as to assist staff in the use of Public Art funds. Staff and Public Art Commissioners have contacted developers in Palo Alto to assess their level of support for an expanded Public Art program. Private developers appear to have a basic level of support. Various developers offered the following suggestions:  Ensure that the City articulates and follows a clearly outlined process  Consider capping art expenditures for large projects  Offer an option to pay fees in lieu of providing art on site  Allow developers to have a voice in what is placed on their property  Draft contracts with artists that allow developers flexibility should conditions at the site change  Emphasize larger and more impactful artwork for off-site art  Consider a broad definition of art that might include artist designed benches, doorways, drain spouts, and other utilitarian elements. Discussion Recommended Elements of a Public Art Program for Private Developments: City of Palo Alto Page 4 Purpose and Goals Public Art is any large scale work sited in public spaces. Public art can be funded and owned by the public sector (like the City of Palo Alto) or the private sector (such as commercial property owners, hospitals and hotels). The Public Art Program for Private Developments is intended to enhance the built environment in Palo Alto and create a sense of place and civic pride, enabling the City to physically reflect its intrinsic creativity and innovative spirit. Adding public art to private development and supporting a broader public art program will enrich the built environment for residents and visitors alike, spawn art projects that can enhance a development project or corporation’s image, and stimulate cultural tourism and economic development. It is expected that the resulting artworks will be visible from public areas, streets and sidewalks, thus enriching the diversity of creative expression in Palo Alto. The Public Art Program for Private Developments will be supported by Municipal Code provision (see draft ordinance, Attachment C), and implementing policies to be drafted to carry out the Council’s programmatic direction. Qualifying Projects The requirement will apply to any new commercial development, addition or reconstruction that is (a) over 10,000 square feet, and (b) has a valuation of $200,000 or more. Architectural drawings and required studies for a project are not counted in the valuation threshold. The requirement will also apply to residential projects of five units or more. Exemptions The following development projects are exempt from the public art requirement:  Houses of worship  Historic preservation sites  Affordable housing projects  Housing of four units or less  PAUSD projects  Repair or reconstruction of structures damaged by flood, fire, wind, earthquake or other calamity  Seismic retrofit projects Clarifications regarding exemptions: City of Palo Alto Page 5  Exempt projects can choose to opt in to the public art program  Stanford property within City limits is not exempt  Hospitals are not exempt Calculation of the Art Requirement Projects meeting the program qualifications will be required to set aside 1% of the estimated Construction Valuation that is submitted at the time of entitlements, as part of the planning entitlement process, with conditions of approval due prior to building permit application. Project costs over $100M (with that number subject to adjustment upward through an inflationary formula) should be assessed at .9%. Requirements for On-Site Art Artwork may be commissioned on site. On-site art should be visible or accessible to the public at least 40 hours per calendar week. If artwork is being commissioned on site, developers will meet with the Public Art Program Manager within 60 days of the developers’ initial consultation with the Planning Dept. (See Flow Chart Attachment D.) This consultation must happen before public hearings with the Architectural Review Board or Planning and Transportation Commission are held, and prior to Planning Director or Council approvals of Planning entitlements. To ensure the best possible coordination and communication, developers choosing to commission artwork on-site are encouraged to contract with one of the City’s public art project managers (City staff or City-recommended consultant) to facilitate the entire process of commissioning public art, including the artist selection, design proposal, contract and financial management, fabrication and installation of the artwork. Typically, fees for public art project management and administration are approximately 20% of the total public art budget. The City will charge 20% of the public art budget for on-site Public Art Project Management. For on-site artwork that the City does not project manage, then 5% of the art budget will be allocated to the Public Art Fund to offset Public Art Administrative costs. All designs for public art must be reviewed by the Public Art Commission prior to fabrication. The developer’s Project Manager for the public art (whether contractor or City staff) must work closely with the City staff to ensure that initial and final reviews by the Public Art Commission are completed in a timely fashion. The artwork locations and information will be submitted with the Architectural Review Board submittal documents, City of Palo Alto Page 6 but the approval of the artwork will fall within the jurisdiction of the Public Art Commission. The artwork must be completely installed and verified by staff prior to issuance of the certificate of occupancy. Developer’s Option to Pay Fees in Lieu of Providing Art On-Site The developer may elect, at his or her option, to pay a fee into the Public Art Fund in lieu of providing on-site art. The fee will be calculated at .95% of the estimated Construction Valuation that is submitted at the time of entitlements, as part of the planning entitlement process, with conditions of approval due prior to building permit application. Projects with a public art allocation under $15,000 are encouraged to submit the funds to the Public Art Fund. Should the developer choose to pay into the ‘in-lieu’ Public Art Fund, the in lieu fees will be transferred to Public Art Fund, which may be aggregated to create larger, more impactful projects such as gateways and high traffic spaces; community based art projects; rotating exhibitions of temporary public art; and other creative place-making events. If the developer chooses the in-lieu option, no initial meeting is required within 60 days of submission of the application. In-lieu payments for art, however, must be received prior to issuance of Building Permits. Criteria for Eligible Art and Artists Staff anticipates that artworks by a diverse pool of local, regional, national and internationally renowned artists will contribute to the cultural fabric of Palo Alto. In order to integrate the art as much as possible into the construction project, it is critical to have the selected artist on board with the project design team as early in the process as possible. The program is best supported by artists with demonstrated past experience in successful public art projects that respond to the site and community. With the assistance of the City’s public art project manager, developers should review proposed artists based upon their proposed art concept, but also on education, exhibition history and previous work. The developer’s Project Manager for the public art (whether contractor or City’s public art project manager) will work with the Public Art program to devise the best method of artist selection for that particular project or site(s) and present the selection methods, budget and all applicable materials to the City’s Public Art Manager for review by the Public Art Commission. Selection methods include open competition, limited competition or direct commission of a specific artist, based on their unique qualifications. City of Palo Alto Page 7 Contracts and payments will be negotiated between the Developer and the artist. Artists’ fees are typically 15-25% of the overall art budget, with the remainder for the cost of fabricating and installing the artwork, as well as project management and administration. Developers are responsible for contractual relationships with selected artists, including provisions relating to artists’ rights. Copies of the contracts, payment schedules and budgets will need to be submitted to the Public Art Manager for review prior to the project presentation to the Public Art Commission. Ownership/Maintenance/Removal The artwork is commissioned by the developer and thus is owned and maintained by the developer. The City will have the right to include the artwork on public art virtual or physical tours, as long as such a tour would not impede normal business. If the property is sold, the ownership of the artwork will be transferred with the property, along with the maintenance responsibilities. If a building owner wishes to sell, de-accession or remove artwork from a site, the owner must notify the City a minimum of 90 days before removing the work. The owner must receive prior approval from the Public Art Commission. The developer will be required to replace the sold or de-accessioned artwork with an alternative work of equivalent or greater value, as determined by the Public Art Commission, in current dollars. In the alternative, at the developer’s election, the developer could choose to pay fees in lieu of replacing on-sight art, at a reasonable rate equivalent to the cost of replacing the art in current dollars, as determined by the Public Art Commission. Eligible Expenses for Public Art Funds The Public Art program is receptive to a broad range of styles and media in the arts. Only original, artist-designed and produced unique artworks are considered. Pre- fabricated or mass produced works are not acceptable. The artist typically may not be an employee or have a current business interest or be a relative of the architect, project manager, anyone on the art selection panel, landscape architect or hold that title him/herself. Eligible expenses include:  Sculpture, painting, new media art, light and sound installation, and other original, site specific artworks  Artist-designed amenities (such as streetscapes, paving treatments, lighting treatments, benches, way-finding, water features, etc.)  If artwork is part of a limited edition series, the series must be no larger than 20.  Structural elements to mount, display or secure the artwork City of Palo Alto Page 8  Professional fees for the artist  Additional labor and contracted services required for the production and installation of the work.  Any required permit or certificate fees related to the artwork  Artist’s operating expenses related to the project  Transportation and installation costs for the artwork  Identification plaque installed on site (required) Ineligible Costs:  Mass produced “art objects”, such as play equipment, fountains or statuary objects.  Reproductions, by mechanical or other means, of original works of art, except in the cases of film, video, photography, printmaking or other media arts.  Decorative, ornamental or functional elements that are designed by the building architect as opposed to an artist commissioned for this purpose.  Landscape architecture or gardening except where these elements are designed by the artist or are integral to the work of art.  Services or utilities required to operate or maintain the artwork over time. The final artwork and identification plaque must be installed and confirmed in accordance to plan, prior to the issuance of the Certificate of Occupancy may be issued. The plaque must include, but is not limited to, name of artwork, name of artist, medium, size, City of Palo Alto and be in compliance with Americans with Disabilities Act regulations. Use of Public Art Funds and Project Management fees The Fund shall be used for City-owned art or to support project and/or collection management efforts of the public art program. The funds may be used for the following types of expenses:  Acquisition and installation of temporary or permanent works of art in public places,  Publicly accessible exhibition of art,  Community based public art events,  Project and collection management expenses associated with the Public Art Program, limited to 20% of Public Art Funds City of Palo Alto Page 9 Outside of the normal budget process, staff will submit accounting annually to the Council to report how the funds were spent and the plans to spend them for the following year. Staff will provide a report evaluating the program to Council within the first two years of the inclusion of private developers in public art requirement. Creating Vision and Buy-In Through a Public Art Master Planning Process Following best practices in Public Art, a comprehensive Public Art Master Plan is needed to guide the vision and implementation of the future of public art in Palo Alto. We wish to engage the community in multiple discussions and design charettes on the vision of art in public places in Palo Alto and the range of projects that are appropriate and desirable for this community, as well as relevant issues like conservation, collection management, trends in the fields of architecture and public art. The Public Art Master Planning process has been very successful in other communities wishing to grow a responsive and successful public art program. By bridging the desires of the residents with inspiring artists, the process enriches and highlights the cultural fabric of a community. The Public Art Master Plan will engage the community in deciding which types of art opportunities are priorities within Palo Alto in the public realm. The resulting Public Art Master Plan will be an important resource for the City, art consultants and private developers. Upon Council approval of the Public Art Program for Private Development, staff will initiate a Public Art Master Plan process, using a consultant, to work with the public to create a long-term vision for public art in Palo Alto. Budgetary Issues According to internal Planning Dept. data, an approximate forecast of future private development projects over the next three years total a conservative estimated valuation of $275,000,000, excluding Tenant Improvement (TI) projects. This figure is based on conservative estimations from the Planning Department, confirmed at the time of application for a Building permit. Staff expects to exempt current projects in the pipeline that have received their final building permits, which will also bring the number down. If many of those projects are realized and meet the public art requirements, they could bring in as much as $2,000,000 for art projects. A modest amount of those funds could be used to offset operational costs. Since ascertaining valuation of future development projects is at best a guestimate at this point in time, staff has compiled a snapshot of the last three years in order to determine a baseline: FY2013 EST. PRIVATE DEVELOPMENT PROJECTS ELIGIBLE FOR PUBLIC ART ORDINANCE City of Palo Alto Page 10 Total Job Value Range 1% Percent for Art Budget Range 20% of 1% Ops Fee Range Est. Commercial Additions: $12,485,000 $124,850 $24,970 Est. New Mixed Use Commercial: $17,325,000 $173,000 $34,600 Est. New Commercial Buildings: Up to $ 154,062,637 Up to $1,500,000 Up to $300,000 Est. Commercial Remodels: $51,750,000 $517,500 $ 103,500 Total Job Value Range 1% Percent for Art Budget Range 20% of 1% Ops Fee Range $235,622,637 $2,356,226 $471,245 _____________________________________________________________________________ FY 2012– EST. PRIVATE DEVELOPMENT PROJECTS ELIGIBLE FOR PUBLIC ART ORDINANCE Total Job Value Range Percent for Art Budget Range Administrative Fee Range Est. Commercial Additions: $32,278,000 $322,780 $64,556 Est. New Mixed Use Commercial: $8,141,750 $ 81,417 $ 16,283 City of Palo Alto Page 11 Est. New Commercial Buildings: $ 88,115,400 $881,154 $176,230 Est. Commercial Remodels: $75,265,500 $752,655 $150,531 Total Job Value Range Percent for Art Budget Range Administrative Fee Range $ 203,800,650 $2,038,006 $ 407,601 FY 2011– EST. PRIVATE DEVELOPMENT PROJECTS ELIGIBLE FOR PUBLIC ART ORDINANCE Total Job Value Range Percent for Art Budget Administrative Fee Est. Commercial Additions: $2,174,627 $21,746 $ 4,349 Est. New Mixed Use Commercial: $9,818,382 $ 98,100 $ 19,600 New Commercial Buildings: $ 0 $0 $0 Commercial Remodels: $21,887,492 $218,866 $43,773 Total Job Value Range Percent for Art Budget Administrative Fee $ 33,880,501 $338,712 $67,722 City of Palo Alto Page 12 As demonstrated above, there has been a huge increase in private development projects between 2011 and 2013, which would have identified approximately $2.5million for public art for that three year period. It is also important to note that the tenant improvement projects, or remodels, are not captured in the future projections below, although they are reflected in the past three years of building permits above. Thus, the $275,000,000 estimate for the next three years is low, allowing for unpredictable economic shifts and the time needed for the public art allocations to accumulate. We estimate that the new ordinance may generate as much as $2,000,000 for public art in the first three years of implementation. Of that amount, we estimate that at least $200,000 could be available to offset operational expenses associated with running the program. Municipal Ordinance and Public Art Projects Palo Alto has a municipal percent for art policy, which requires one percent of City capital improvement projects to be used for public art. In contrast to the resources that can potentially be generated through a private development percent for art program, the current projection of municipal percent for art projects in the next three years includes $150,000 divided between six identified projects. The art budgets for these projects range from $1,000 to $81,000. There are currently other potential projects that could add to the public art budget, but they have not yet earmarked funds for percent for art. In order for the City’s public art program to foster meaningful creative placemaking - integrating the work of creative professionals, arts organizations and artists into our public spaces in collaboration with the community - the City policy should be amended to provide for earlier identification of municipal percent for art projects and pooling of funds from small projects. The staff anticipates returning to Policy and Services with an updated municipal policy in 2014. Resource Impact Building Structural Capacity Like all public art programs, project management demands a lot of staff time- whether CIP construction projects, conservation or maintenance projects. Those demands mixed with the need for expertise in visual arts, working with artists and the community selection process, and the inherent problems associated with public art projects, plus City of Palo Alto Page 13 supporting a commission, require a dedicated leader and manager with a high level of expertise in the field. Currently the Program is staffed by one half-time employee (management specialist) and one program support staff member. The Assistant Director of Community Services/ Director of Arts & Sciences also provides approximately 25% of her time to the program. Due to the demands of the current workload and the additional staffing resources anticipated to support an expanded program, staff plans to evaluate staffing needs and bring forward recommendations as part of the FY2015 budget process based on the analysis of spending on staff, maintenance, project management, capital improvement needs, and in-lieu art program revenue estimates. Approximate Timeline  Fall-Winter 2013 – Ordinance, policy, budget and basic plan approved by City Council.  Spring 2014- Refinement of Documents for Developers, creation of pool of qualified artists and consultants, projects subject to the policy are identified.  Summer 2014 – RFQ for Strategic Cultural Plan and Public Art Master Plan created and released  Fall-Winter 2014 –Planning Process begins  Spring-Summer 2015- Adoption of Public Art Master Plan by PAC, and made available to public, art consultants and developers. Report back to Council on progress to date, proposed changes, and evaluation. Impact Palo Alto, like our neighboring communities, struggles with land use issues, zoning and development. It becomes increasingly difficult for each of us to differentiate our City from another as similar developments move into each community. Finding a balance between our economic development needs and the soul of our community is a creative challenge. Palo Alto wants to preserve its sense of its own history and destiny. By implementing percent for art into our development process now, Palo Alto can ensure that we can preserve our cultural and artistic heritage and create new ways to express ourselves as a community. City of Palo Alto Page 14 In the first five years of passing this ordinance, Palo Alto will be able to engage the community in creating a Public Art Master Plan, and begin to see the first qualifying private projects become implemented and installed. The next five years will see the implementation of significant, landmark artwork and a steady stream of projects incorporated into private development. At this stage, the presence of the private development percent for art program will become visibly apparent and a vibrant sense of place will emerge in its physical and cultural landscape. More frequent temporary public artworks and related events will become part of Palo Alto’s regular cultural programming. By ten to fifteen years from the implementation of the ordinance, public art will be fully integrated into all areas of the City, from creative bike racks and wayfinding to destination artworks. Palo Alto will be known for its innovation, its engaged community, its environmental commitment and its outstanding public art. The long range implications of expanding the public art policy to include private developments will need to be evaluated within 24 months in order to gauge the full impacts to the budget, staffing and maintenance funds. Because it is difficult to determine from the initial permit process how many projects will actually come to fruition or in what timeframe, estimating the total dollar impacts at this time is difficult. It is expected that the dollar amounts will ebb and flow from year to year and need to be managed conservatively. Policy Implications The expansion of art exhibitions into the public realm is consistent with Community Services section policy C-23, “Explore a way to expand the space available in the community for art exhibitions, classes and other cultural activities.” This process is consistent with policy G-2 of the Governance section, “Use advisory bodies and ad hoc committees to assist City Staff and the City Council on policy issues”. Attachments:  Attachment A: Memo and Minutes (PDF)  Attachment B: Pub Art Survey conducted by Walnut Creek 2012-1 (XLS)  Attachment C - Draft Ordinance (PDF)  Attachment D: Process Flow Chart (DOCX) PUBLIC ART SURVEY City Department Funding Parameters Valuation Notes Alameda pop. 74,774 Community Development 0 staff currently Public and private development 1. Commercial, industrial, municipal or residential projects that create 5 or more residential units with building development costs of $250,000 or more 2. Remodels with construction value equal to or more than 50% of replacement cost of building 1% of building development costs, or Program allocation payable in-lieu 1. Public art program on hold 2. Approvals by Public Art Commission Berkeley pop. 113,905 Economic Development 1 FT staff funded by general fund Capital improvement projects (no requirement for private development) Eligible capital projects including any improvement to public property as determined by the City Manager annually 1% of project budget for art plus .5% of project budget for administrative costs excluding land use planning consultants, feasibility studies and various costs, fees and surveys, or Funds payable to in-lieu 1. Approvals by Civic Arts Commission 2. City Council may appropriate general fund money to a project if necessary Beverly Hills pop. 34,358 Community Services 3 FT staff as needed funded by general fund Private development (no requirement for public development) 1. Any new commercial, industrial or mixed use building 2. Reconstruction within any 12 month period where exterior changes exceed $5,000 and total exceeds $500,000 (Renovations exempt if requirement has already been met) 1% of total construction cost between $500,000-$1 million 1.5% of total construction cost over $1 million, or In lieu payment of 90% of the value acceptable 1. Approvals by Fine Art Commission; City Council reviews denials only 2. Admin costs are not tracked 3. Some general fund money may be used for annual maintenance Brea pop. 39,883 Community Services 1 PT staff (15 hrs/wk) funded by general fund Private development (no requirement for public development) 1. Improvements to commercial, industrial or residential structures; or 2. Commercial, industrial or residential projects with 5 dwellings or more with total building valuation of $1.5 million 1% of total building valuation (For projects with multi-level parking structures, the area of one floor will be excluded from the total building valuation) 1. Approvals by Art in Public Places Committee 2. Admin costs are not tracked 3. No other funding from general fund Burbank pop. 104,092 Park, Recreation & Community Services 1 FT + 1 PT staff as needed funded by general fund Public and private development 1. Commercial or industrial projects with building valuation higher than $500,000 2. Multifamily residential projects with building valuation higher than $1.5 million 3. Public capital improvement projects over $500,000 not exempt by legal restrictions or City Council 4. Remodels or additions where building valuation is increased by more than 50% 1% of total project cost for first $15 million, plus (if applicable) .75% of total project cost for portion between $15-25 million, plus (if applicable) .50% of total project cost for portion equal to or in excess of $25 million (if applicable), or Minimum allocation payable to in-lieu 1. Parking garages excluded from TPC calculation 2. Approvals by Arts in Public Places Committee and also City Council for public projects 3. Admin costs are not tracked 4. No other funding from general fund 12/18/2012 Page 1 PUBLIC ART SURVEY City Department Funding Parameters Valuation Notes Carlsbad pop. 106,888 Cultural Arts Office 3 FT staff as needed funded by general fund Capital improvement projects (no requirement for private development) Any CIP project (park, fire station, etc.) that is approved for art by the City Council or City Manager 1% of total project cost 1. No other funding from general fund Chico pop. 86,290 City Manager's Office 1 FT staff @ 25% funded by general fund Public projects (private development projects are encouraged to participate in a voluntary program) Eligible capital projects with a cost of $200,000 or more 1% of total project cost, or Funds payable to in-lieu 1. Approved by a committee and Arts Commission. Members of the committee depend on the project and how it is funded 2. Admin costs are tracked and billed for capital projects 3. Additional general funds for Community Organization Funding program. Artist mini grants of $2,000 for small projects. Budget was $83,000 for 2011-12 Concord pop. 124,055 None Program lost after the "Spirit Poles" Culver City pop. 39,165 Cultural Affairs 1 FT staff as needed funded by enterprise fund (transportation) Public and private development 1. New residential development of more than 4 units over $500,000 2. Commercial, industrial and public building development projects over $500,000 3. Rehabilitations/renovations over $250,000 (improvements by new tenants are subject to requirement if threshold is met) 1% of total building cost, excluding land acquisition and off-site improvement costs, or 1% payable to in-lieu, or 1% donation of artwork to the City 1. Building architecture (or component thereof) can be considered art to fulfill requirement with approval 2. Approvals by Cultural Affairs Commission 3. No other funding from general fund Danville pop. 42,725 None Dublin pop. 46,572 Parks & Community Services 1 FT staff as needed funded by general fund Private development (no requirement for public development) 1. New non-residential development 2. New residential development projects over 20 units (Additions and remodels not included) .5% of building valuation (excluding land), or .5% in-lieu contribution for non- residential buildings more than 50,000 square feet and residential projects over 20 units, or .45% in-lieu contribution for non- residential buildings less than 50,000 square feet 1. Program run in conjunction with Dublin Fine Arts Foundation which commissions pieces with city funds. More than 50 pieces in city collection 2. Some CIP projects receive public art funded by general fund 3. Admin costs are not tracked 12/18/2012 Page 2 PUBLIC ART SURVEY City Department Funding Parameters Valuation Notes Emeryville pop. 10,214 Economic Development & Housing 2 staff as needed funded by general fund Public and private development 1. Public building developments and public projects with building costs over $300,000 2. Private building developments and renovations (including new tenant improvements) with building costs over $300,000 (not including residential units) 1.5% of building development cost for public developments 1% of building development cost for private developments, or In-lieu contribution acceptable 1. Approvals by staff for private development and Public Art Committee and City Council for public projects 2. If artwork is less than program allocation, applicant will pay difference to the Public Art Fund 3. Admin costs are not tracked 4. No other funding from general fund Fairfield pop. 106,126 Community Development North Cordelia Overlay District Any new development within the boundaries Renovations and remodels not included) .0025% of the building permit valuation 1. Developer can purchase or construct art for project or city finds art for use in the area 2. Approved by CDD staff Fresno (County and City) pop. 501,362 Fresno Arts Council (County) / Historic Preservation Public and private development Any new development in county and city (no triggers)1% of total project cost using county valuation. City may offer a 20% deviation of valuation in exchange for public art 1. Fresno Arts Council administers selection with input from city, property owner and panel jurors 2. FAC totally funded by developers. No city/county staff time Fullerton pop. 137,183 None Program lost with Redevelopment Irvine pop. 215,529 None Laguna Beach pop. 23,069 Cultural Arts Department 1 FT staff funded by general fund Public and private development 1. Any new commercial, industrial or residential developments of more than 4 units/lots 2. Remodeling of existing commercial, industrial or residential property, over $225,000 in expenditures (includes new tenant improvements) 3. Parks and public works projects or structures over $225,000 in expenditures 1% of total project valuation or 1.25% of total project valuation in lieu 1. Approved by Arts Commission and City Council. If located in the downtown area, Planning Commission must approve location 2. Admin costs are not tracked 12/18/2012 Page 3 PUBLIC ART SURVEY City Department Funding Parameters Valuation Notes Livermore pop. 82,039 Community Development (2 FT staff as needed funded by general fund) Public and private development 1. City public works construction or remodel projects (does not include pipeline, power line, or landscape renovation projects or mechanical, structural or seismic upgrades) 2. New commercial, industrial and residential development over 4 units including renovations and remodels (does not include repairs due to calamity, seismic retrofits, residential remodeling or commercial alterations) 3. Additions to existing industrial/commercial buildings with contruction area over 25% of the original square footage of the building 1% of original estimated construction cost for public works projects .33% of construction costs for private development 1. Approved by Arts Commission and City Council 2. Urban Mural Art Program, May Grants, and scholarships for high school students are paid with in-lieu funds 3. The public art must remain on the project site for not less than 30 years. If property is redeveloped, the new project shall meet all art requirements or pay in-lieu fee 4. Program sunsets on 10/01/14 unless otherwise extended by City Council Long Beach pop. 465,576 None Program lost with Redevelopment Mountain View pop. 75,235 Community Development 2 FT staff as needed funded by general fund Public projects and Precise Plan areas 1. Public projects of $1 million or more (does not include street overlays, etc) 1% of construction budget for public projects 1. Admin policy for public projects; not ordinance 2. Private projects within Precise Plan areas looked at on a case by case basis 3. Funding for public art from general fund for special circumstances only 4. Admin costs are not tracked Napa pop. 77,867 Community Development 1 FT staff as needed funded by general fund Public and private development 1. Private, new construction or renovation or remodel, including new tenant improvements in any shell building, over $250,000 (tenants of large commercial projects exempt if art requirement has already been met) 2. City projects over $250,000 excluding underground public works projects, utility facilities with exception of buildings, streets, sidewalks or tree planting 1% of construction cost, excluding residential portion of mixed use projects 1. Private projects approved by reviewing body with final design review authority for project 2. City projects approved by Public Art Steering Committee 3. Admin costs are tracked and billed to private projects 4. Arts Council of Napa Valley sponsors Napa ARTwalk, year-long installations of public sculpture on First Street 5. Public Art Master Plan underway 12/18/2012 Page 4 PUBLIC ART SURVEY City Department Funding Parameters Valuation Notes Novato pop. 52,456 Parks, Recreation & Community Services (for public projects) Community Development (for private development) 2 FT staff as needed funded by general fund Public and private development 1. Construction or alteration of a nonresidential building or addition of floor area of an existing building 2. Residential development of 5 or more units (Does not apply to accessory dwelling units and renovations, remodels or additions to existing residences or residential portion of a mixed use project less than 4 units or affordable housing components of residential and nonresidential projects) .33% of the construction cost of the completed development project or .5% of the construction cost in-lieu for nonresidential development or .33% of the construction cost in-lieu for residential development (Developer may pay difference between cost of art installed and the appropriate percentage of the construction cost upon approval) 1. Policy for public projects, no ordinance. Some projects can be exempted 2. DRC reviews private projects; Recreation, Cultural & Community Services Commission reviews public projects 3. Some admin costs billed to private projects but none for public projects 4. Remodels/renovations resulting in an increase of gross square footage not exempt even if art requirement already met Oakland pop. 395,817 Office of Neighborhood Investment, Cultural Arts Division 2 FT staff funded by the public art project account Capital improvement projects (no requirement for private development) Any city capital improvement project or remodel, excluding sewer repairs 1.5% of total project cost excluding property acquisition, demolition and financing costs 1. Approvals by Public Art Advisory Committee and City Council. Cultural Affairs Commission currently on hiatus due to lack of business 2. Admin costs are billed to projects, with a 20% ceiling Orinda pop. 17,932 Parks & Recreation Park dedication fees and matching city funds raised by community 1. No percent for art program 2. Art in Public Places committee runs Artspace program, a long-term on-loan sculptures in Civic Plaza. Currently working on guidelines for a matching funding program 12/18/2012 Page 5 PUBLIC ART SURVEY City Department Funding Parameters Valuation Notes Palm Desert pop. 49,561 Public Art Department 2 FT staff funded by Art in Public Places fund Public and private development 1. All individual residential units over $100,000 2. All other residential development including two or more single family dwellings being built concurrently in the same tract by the same owner or contractor 3. All commercial development 4. All public facilities .25% of total building valuation in excess of $100,000 for individual residential units .25% of total building valuation for all other residential development .50% of total valuation for commercial development excluding land acquisition and off-site improvement costs 1% of total building valuation for public facilities, or Program allocation payable in-lieu 1. If artwork is less than program allocation, applicant will also pay difference to in-lieu fund 2. Approvals by Art in Public Places Commission and City Council 3. Admin costs are billed to the Art in Public Places fund Palo Alto pop. 65,412 Community Services 2 PT staff funded by general fund Municipal projects (no requirement for private development; see note 4) Public buildings, parking garages and lots, transit centers and projects over $200,000, excluding underground projects 1% of project construction costs 1. Approvals by Public Art Commission 2. Public Art Commission also organizing temporary public art program to feature works on loan 3. Admin costs are not tracked 4. Public Art Commission currently working on a plan to assess private development projects over $400,000 Pasadena pop. 138,101 Cultural Affairs 2 FTE's funded by general fund and .75 FTE funded by public art fund Public and private development 1. New construction, renovation (tenant improvements excluded unless renovation results in addition of square footage and is over $500,000), multi-family residential, commercial or mixed-use projects over $500,000 in the Downtown Old Pasadena Redevelopment or Northwest Community Plan areas 2. Industrial development over $500,000 in Northwest Pasadena 3. New commercial, industrial or mixed use projects of 25,000 square feet or more within the City of Pasadena 4. New construction, renovation or remodeling of municipal buildings and structures over $250,000, not including exclusively internal projects not accessible to the public or staff 1% of building valuation for private development 1% of actual construction cost excluding architectural, engineering and admin costs, costs for fees and permits and indirect costs for CIP projects, or Program mandate payable in-lieu acceptable 1. For private projects over $500,000 in Old Pasadena and Downtown Redevelopment Area, 25% of the amount goes to City's Cultural Trust fund and 75% to the on site art project. For all other locations, new private projects 25,000 square feet or larger, 20% of the amount goes to Cultural Trust fund and 80% allocated to public art 2. Approvals by Arts & Culture Commission 3. Admin costs are not tracked 4. No other funding for public art 12/18/2012 Page 6 PUBLIC ART SURVEY City Department Funding Parameters Valuation Notes Pleasant Hill pop. 33,689 None Pleasanton pop. 71,215 Community Services 1 FT staff as needed funded by general fund Donations No percent for art program. Current public art program consists of installation of donations by private citizens Richmond pop. 105,380 Arts & Culture Division 1 FT staff funded by general fund Capital improvement projects (no requirement for private development) Any city capital improvement project with a budget or anticipated costs over $300,000 including any acquisition, rental, construction or remodeling of any building, structure, park, utility, street, sidewalk or parking facility 1.5% of total project cost excluding property acquisition, demolition and financing costs (1% earmarked for artists' fees and costs and .5% for maintenance and conservation) 1. Approvals by PA Advisory Committee, Arts & Culture Commission and City Council 2. Admin costs are not tracked 3. Neighborhood Public Art Program ($65,000 from general fund) was cut this year. Hope to reinstate program next year 4. Currently working on a plan for 1% for private development projects Sacramento pop. 472,178 Convention, Culture & Leisure Department City capital improvement projects (no requirement for private development) Eligible capital projects including construction or remodel of any building, decorative or commemorative structure, parking facility, recreational facility or any portion thereof 2% of total construction cost, excluding soft costs 1. Approvals by Metropolitan Arts Commission and by City Council for projects over $100,000 2. Admin costs are tracked and billed to projects 3. No other funding from general fund San Diego pop. 1,326,179 Commission for Arts & Culture 1FT staff funded by Transit Occupancy Tax Public and private development 1. Private, non-residential projects over $6 million, not including churches, hospitals or schools, or any industrial or commercial development not accessible to the public due to national security or safety reasons 2. CIP projects over $250,000 including construction of any building, park, median, bridge, trail, parking facility or above-grade utility with public access or visibility 1% of building permit valuation for private development, or Payment of .5% in lieu of art 2% of eligible project funds for CIP projects (Only the portion attributed to the commercial or industrial component shall be used to calculate the obligation for mixed-use projects) 1. Council policy for public projects; not ordinance 2. Approvals by Public Art Committee and Commission for Arts and Culture 3. Admin costs are not tracked 4. No other funding from general fund San Jose pop. 967,487 Economic Development CIP projects and some eligible private developments City CIP projects 1% of construction cost, including engineering and design fees, and land if city acquisition for project 2% for former redevelopment districts 1. Public Art subcommittee oversees selection, acquisition, placement and maintenance 2. Update PAMP 2007, Public Art NEXT!, defines proactive goals 12/18/2012 Page 7 PUBLIC ART SURVEY City Department Funding Parameters Valuation Notes San Luis Obispo pop. 45,525 Parks & Recreation 1 FT as needed + 1 PT funded by general fund Public and private development 1. All eligible CIP projects including parks, plazas, creek improvements, flood protection projects, bridges, streets, sidewalks, bikeways, trails, parking facilities or similar public facilities. Does not include utility or underground projects 2. New non-residential development or remodels over $100,000, excluding construction, repair or alterations to meet city mandated seismic rehabilitation or fire lateral replacement or individual tenant improvements 1% of project construction cost not including land acquisition, design, operation or maintenance costs for CIP projects .5% of total construction cost in excess of $100,000 not to exceed $50,000 for non-residential development, or In-lieu payment acceptable 1. Approvals by Cultural Heritage Committee, Planning Commission and/or Park & Recreation Commission or Mass Transportation Committee as appropriate; Architectural Review Commission and City Council San Mateo pop. 98,391 Community Development 1 FT staff as needed funded by multiple funds within CDD Private development (no requirement for public development) Commercial development and multi-family projects over $3 million, including reconstruction projects over 50% of replacement value of existing building based upon construction costs at time of project approval .5% of total building valuation excluding land acquisition and off-site improvement costs, or Program allocation payable in-lieu 1. If artwork is less than program allocation, applicant will also pay difference to Art in Public Places fund 2. Approvals by Civic Arts Committee. City Council also approves public projects from in-lieu funds 3. Admin costs are not tracked San Rafael pop. 58,313 None San Ramon pop. 73,333 Parks & Community Services 2 FT staff as needed funded by general fund Private development (no requirement for public development) Any new office or commercial development No specific dollar amount; proposed art should be commensurate with scope and size of project 1. Condition of approval for permit; no ordinance 2. $30,000 allocated annually to a park project funded by the Beautification Fund (paid by developers) 3. Approvals by Arts Advisory Committee and Parks and Community Services Commission and by City Council for projects over $50,000 12/18/2012 Page 8 PUBLIC ART SURVEY City Department Funding Parameters Valuation Notes Santa Barbara pop. 89,045-city 426,878-county Community Development-city, Parks Department- county 2.8 FT staff supported by city/county Public projects Buildings, parks or parking facilities paid wholly or in part by the county of $100,000 or more 1% of construction project 1. Program hybrid of city and county. County raises money and has Arts Commission; city has Arts Advisory Panel. Both have public art subcommittees for review 2. Private developers encouraged to do public art and often do. All subject to review 3. Former support from redevelopment district projects with large budgets 4. Santa Barbara Beautiful, a private group, funds public art and sponsors long-term outdoor public art exhibits and events Santa Clarita pop. 177,601 None Santa Cruz pop. 60,342 Economic Development 1 FT staff funded by general fund Capital improvement projects (no requirement for private development) Capital projects including construction or remodel of any building, structure, parking facility, park, highway or arterial, road beautification, bridge or pedestrian overpass, beach restoration, sidewalk, bikeway or above-grade utility. Does not include street resurfacing 2% of total eligible construction costs, excluding land acquisition, demolition, soils remediation or hazmat removal and legal costs 1. Approvals by Arts Commission or Economic Development staff, depending on project 2. 15% of allocation set aside for project support and 10% for maintenance 3. Some small projects partially funded by general fund Santa Monica pop. 90,377 Community & Cultural Services Department 1 FT staff funded by general fund Public and private development 1. Commercial development with new gross floor area of 7,500 square feet or more 2. Commercial remodels/tenant improvements of 25,000 square feet or more 3. Residential projects over 4 units 4. Eligible capital project including remodels or renovations of any building, park, sidewalk, street, parking facility, utility or decorative structure 2% of average square foot cost of construction for commercial development 1% of total budget for capital projects, or 1% of average square foot cost of construction in-lieu 1. Approvals by Arts Commission or Public Art Committee if designated by Commission. 2. Admin costs are tracked and billed to projects 3. No other funding from general fund 12/18/2012 Page 9 PUBLIC ART SURVEY City Department Funding Parameters Valuation Notes Sunnyvale pop. 142,287 Department of Library & Community Services 1 FT staff as needed funded by general fund Public and private development 1. Non-residential development or expansion projects 2. Eligible publicly funded projects over $1 million or renovation projects over $100,000, excluding underground or utility projects, streets, sidewalks, landscaping or traffic improvements 1% of construction cost for private development 1% of project valuation for public projects, or In-lieu payment acceptable 1. Approvals by Arts Commission and City Council 2. Admin costs are not tracked 3. No other funding for public art Ventura pop. 107,514 Parks, Recreation, Community Partnerships City capital improvement projects (no requirement for private development) All projects including construction and remodel of buildings, parks sidewalks, streets, parking facility and utility facility 2% of budget placed into public art fund. Art may be sited at project or elsewhere Public Arts Commission oversees program West Hollywood pop. 34,650 Economic Development 2 FT staff as needed + 2 PT (approx 20 hrs/week) funded by general fund Private development (no requirement for public development) New development or alteration/repair that increases total gross floor area and is over $200,000 1% of value of the project, or In-lieu payment acceptable 1. No ordinance but City places public art in public projects voluntarily 2. Approvals by Arts & Cultural Affairs Commission 3. Admin costs are not tracked Walnut Creek pop. 66,584 Arts, Recreation & Community Services 1 FT + 1 PT staff as needed funded by general fund Public and private development All city construction projects more than 15,000 square feet or over $750,000 construction cost Construction or alteration of a nonresidential building over 15,000 square feet 1% of construction cost for city projects .5% of construction cost for nonresidential building between 15,000 and 25,000 square feet, or 1% of construction cost for projects over 25,000 square feet, or In-lieu payment acceptable 1. Approvals by Arts Commission and Design Review Commission 2. Admin costs are not tracked 3. No other funding for public art Other CA Cities with Percent for Art in Private Development not included Above: 12/18/2012 Page 10 PUBLIC ART SURVEY City Department Funding Parameters Valuation Notes Alhambra, Azusa, Baldwin Park, Bellflower,Calab asas, Cathedral City, Cerritos, Claremont, Downey, El Monte, Escondido, Glendale, Inglewood, Laguna Beach, Los Angeles, Lynwood, Manhattan Beach, Monrovia, Norwalk, Palm Springs, Paramount, Petaluma, Pomona, San Francisco, Santa Fe Springs, Santa Rosa, Sierra Madre, South Gate, West Covina, Westlake Village, Whittier 12/18/2012 Page 11 NOT YET APPROVED 131002 sh 0140096 1 ORDINANCE NO. _____ Ordinance of the Council of the City of Palo Alto Amending the Municipal Code to add Chapter 16.61 (Public Art for Private Developments) The Council of the City of Palo Alto does ORDAIN as follows: SECTION 1. The Palo Alto Municipal Code is amended to add Chapter 16.61 “Public Art for Private Developments”. SECTION 2. The Palo Alto Municipal Code is amended to add Section 16.61.010 “Short Title”: 16.61.010 Short Title This Chapter shall be referred to as “Public Art for Private Developments.” SECTION 3. The Palo Alto Municipal Code is amended to add Section 16.61.020 “Findings and Purpose”: 16.61.020 Findings and Purpose The City Council finds and declares that: (a) A robust public art program fosters economic development, creates vital public spaces, and promotes general health and welfare by contributing to a more desirable community in which to live, work and recreate. Well-conceived and executed works of art that are integrated into their sites and accessible to the public enhance the value of development projects, create greater interest in leased space, promote cultural tourism and make a lasting a visible contribution to the intellectual, emotional and creative life of the community at large, thereby helping to mitigate the impacts of development. The experience of public art makes public areas of buildings and grounds more inviting and engaging. (b) To ensure that public art is present and sustained throughout the community, it is necessary to require that private development projects in the City of Palo Alto provide public art on site or, alternatively, contribute to a public art fund so that public art can be established elsewhere in the community. (c) The purpose of this Chapter is to establish a public art requirement for private developments, and authorize the City Manager to establish regulations and guidelines to effectuate the intent of this Chapter. SECTION 4. The Palo Alto Municipal Code is amended to add Section 16.61.030 “Definitions”: NOT YET APPROVED 131002 sh 0140096 2 16.61.030 Definitions For the purposes of this Chapter, the following definitions shall apply: “Affordable Housing Units” means . . . “Art” or “Work of Art” means original artist-designed and produced unique works in any of a variety of styles and forms. “Artist” means a practitioner of the creative arts, generally recognized as such by critics and peers, with a body of work including commissions, exhibitions, sales, publications, and collections. For the purposes of this Chapter, “artist” shall not include: (i) persons primarily working in the professional fields of architecture, engineering, design or landscaping; (ii) an employee or relative of the development project architect, landscape architect, engineer or project manager; (iii) any person with a business interest in a development project or with respect to individuals or entities serving as project architects, landscape architects, engineers or project managers; or (iv) a relative of or anyone with a financial interest with respect to an individual or entity serving on an art selection panel for the development project. “Developer” means a person or entity that is financially and legally responsible for the planning, development and construction of any development project covered by this Chapter. The developer may or may not also be the project owner. “Development Project” means any commercial or residential development described in Section 16.61.40. “Historic Renovation” means a Development Project involving preservation of a historic resource listed in the California Register of Historical Resources or the City’s ______, where such preservation follows the Secretary of the Interior’s Standards for the Treatment of Historic Properties with Guidelines for Preserving, Rehabilitating, Restoring, and Reconstruction Historic Buildings or the Secretary of the Interior’s Standards for Rehabilitation and Guidelines for Rehabilitating Historic Buildings. “Public Art” means any work of art that is visible or accessible to the public for a minimum of 40 hours per week. Public art is generally large-scale and may include sculpture, painting, installations, photography, video, works of light or sound, or any other work or project determined by the Public Art Commission to satisfy the intent of this Chapter, provided, however, that none of the following shall be considered public art for the purposes of satisfying the requirements of this Chapter: (i) Objects that are mass produced of standard design, such as banners, signs, playground equipment, benches, statuary, street or sidewalk barriers, or fountains; NOT YET APPROVED 131002 sh 0140096 3 (ii) Reproduction, by mechanical or other means, of original works of art, except in cases of film, video, photography, printmaking or other derivative works as approved by the Public Art Commission; (iii) Decorative, architectural, or functional elements which are designed by the building architect or landscape architect as opposed to an artist commissioned for this purpose; or (iv) Landscape architecture or gardening, except where these elements are designed by an artist and are an integral part of a work of art. “Public Art Commission” means the Commission established by Chapter 2.18 of the Municipal Code. SECTION 5. The Palo Alto Municipal Code is amended to add Section 16.61.040 “Application”: 16.61.40 Application (a) This Chapter shall apply to all new commercial developments, including new construction, remodels, additions and reconstruction that (i) have a floor area of 10,000 square feet or more, and (ii) have a value of $200,000 or more, exclusive of costs for architecture, design, engineering and required studies; and all new residential projects of five or more units. (b) Notwithstanding subsection (a) above, this Chapter shall not apply to buildings or structures primarily used for religious worship; historic renovations; affordable housing units; developments on properties owned by the Palo Alto Unified School District; municipal facilities; repair or reconstruction of structures damaged by flood, fire, wind, earthquake or other disaster; seismic retrofit projects; and any project exempted by federal or state law. In mixed use projects, those portions of projects excluded from application of this Chapter shall be subtracted from the project for purposes of determination of applicability under subsection (a), above, and from construction valuation under Section 16.61.060. SECTION 6. The Palo Alto Municipal Code is amended to add Section 16.61.050 “Public Art Requirement for Private Developments”: 16.61.050 Public Art Requirement for Private Developments Before a certificate of occupancy is issued for any development project subject to this Chapter, the developer shall participate in the construction or installation of on-site public art under Section 16.61.060, or, at the developer’s option, make a contribution to the Public Art Fund in lieu of providing on-site art, as provided in Section 16.61.110. NOT YET APPROVED 131002 sh 0140096 4 SECTION 7. The Palo Alto Municipal Code is amended to add Section 16.61.060 “On-Site Public Art”: 16.61.60 On-Site Public Art (a) A developer may satisfy the requirements of this Chapter by constructing or installing on-site public art valued at 1% of the first $100 million construction valuation, adjusted as described in subsection (b) below, and .9% of construction valuation for valuation in excess of $100 million. The estimated construction valuation submitted at the time of application for entitlements shall be used to estimate the art contribution, for the purpose of budgeting and planning for on-site art. The arts contribution shall be finally determined based on the construction valuation that applies at the time the building permit is issued. (b) Beginning in FY 2015, the ceiling for 1% valuation as set forth in subsection (a) above shall be adjusted annually to reflect . . . [insert appropriate inflationary escalator] (c) If the actual construction cost or the market value of the on-site public art is greater than the estimated art contribution provided in Subsection 16.61.060(a), the City shall have no obligation to pay the excess amount. If expenditures do not utilize the entire amount provided in 16.61.060(a), the remainder shall be deposited into the Public Art Fund. SECTION 8. The Palo Alto Municipal Code is amended to add Section 16.61.070 “Eligible Expenditures for On-Site Public Art Projects”: 16.61.070 Eligible Expenditures for On-Site Public Art Projects The public art contribution for on-site installation may be expended only on costs associated with the selection, acquisition, purchase, commissioning, design, fabrication, placement, installation or exhibition of the public art, and project management and administrative costs not to exceed 20% of the total budget. Eligible expenditures include: (a) Artist fees; (b) Labor of assistants, materials, and contracted services required for design, fabrication, engineering and installation of the public art; (c) Any required permit or certificate fees and reasonable business and legal costs directly related to the public art; (d) Reasonable art consultant fees, as established in regulations or guidelines approved by the City Manager to implement this Section; NOT YET APPROVED 131002 sh 0140096 5 (e) Communication and other indirect costs, such as insurance, utilities associated with the creation but not the operation of the public art; (f) Transportation of the public art to the site; (g) Preparation of the site specifically required for the public art, such as fabrication of platforms or pedestals; (h) Installation of the public art; (i) Mountings, anchorages, containments or other materials necessary for installation of the public art; (j) Public art project management and administration, in an amount not to exceed 20% of the total art contribution; and (k) A plaque or plaques identifying the public art. SECTION 9. The Palo Alto Municipal Code is amended to add Section 16.61.080 “Ineligible Expenditures for On-Site Public Art Projects”: 16.61.080 Ineligible Expenditures for On-Site Public Art Projects Expenditures that are ineligible to be counted toward the on-site public art contribution include: (a) Labor of assistants, materials, and contracted services not required for design, fabrication, engineering and installation of the public art; (b) Promotional materials or activities for the artist, the public art, the development project, the developer or other parties involved in the development project; (c) Opening, dedication or other costs of events for the public art, artist, developer or development; (d) Services, materials, utilities or other expenses association with the ongoing operation or maintenance of the public art; and (e) Land costs or any other costs associated with the development that are not part of and solely attributable to the public art. SECTION 10. The Palo Alto Municipal Code is amended to add Section 16.61.090 “Process for Planning and Approval of On-Site Public Art”: NOT YET APPROVED 131002 sh 0140096 6 16.61.90 Process for Planning and Approval of On-Site Public Art (a) Application and Planning. Within 60 days of initial application for permitting or other discretionary approval, the developer shall consult with the Public Art Program Manager regarding a plan for meeting the requirements of this Chapter. This consultation must be complete before the development project is calendared for consideration by a public body, including the Architectural Review Board, Planning & Transportation Commission or City Council, and before the Director of Planning and Community Environment issues any approvals with respect to the project. (b) Public Art Commission Review and Approval. The developer must present a plan to comply with this Chapter to the Public Art Commission. The plan should include the process by which the art and artist will be selected, the type of art proposed, a plan to integrate the art into the site, and a proposed budget and schedule of payments. The Public Art Commission shall render a decision whether the proposed public art plan conforms to the requirements and intent of this Chapter within 90 days of submission of a complete application, as determined by the Director of Planning and Community Environment, in consultation with the Public Art Program Manager. The developer shall not enter into contracts or make expenditures until the Public Arts Commission approves the on-site art plan. Before initiating fabrication and installation of the on-site art, the developer shall obtain final approval of the artist and the proposed public art from the Public Art Commission. The Public Art Commission shall render a decision within 60 days of submission of a complete proposal, as determined by the Director of Planning and Community Environment, in consultation with the Public Art Program Manager. No building permit may issue until the Public Art Commission issues the approvals required under this subsection. (c) Inspection and Final Approval. Before a Certificate of Occupancy is issued for the development project, the City shall inspect and confirm that either: (i) public art has been installed as required by the Public Art Commission approvals and to the satisfaction of the Director of Planning and Community Environment, in consultation with the Public Art Program Manager; or (ii) in-lieu contributions have been paid in full. In addition, before a Certificate of Occupancy is issued, the City shall confirm that the developer has executed and recorded a covenant as required by Section 16.61.100(f). SECTION 11. The Palo Alto Municipal Code is amended to add Section 16.61.100 “Additional Requirements for On-Site Public Art”: 16.61.100 Additional Requirements for On-Site Public Art (a) Plaque. The public art shall be identified by a plaque that meets the standards in use by the City at the time of installation of the public art. The plaque must include, but is not limited to, the name of artwork, name of artist, medium, size, and the name of the City of Palo Alto. NOT YET APPROVED 131002 sh 0140096 7 (b) Ownership and Maintenance. All on-site public art shall remain the property of the property owner or the property owner’s successor in interest. The property owner shall retain the obligation to provide all necessary maintenance to preserve the public art in good condition. Immediately upon installation and continuously thereafter, the developer and the property owner shall maintain the public art and shall promptly perform all necessary repairs and maintenance to the satisfaction of the City. The obligation to maintain and preserve the public art includes the obligation to take reasonable steps to protect the public art against destruction, damage or modification. The maintenance obligations of the property owner shall be contained in a covenant that shall be recorded against and run with the property. The City shall have the right to inspect the public art, on reasonable notice, to ensure compliance with this Section 16.61.100(b). Failure to maintain the public art as required by this Section is hereby declared to be a public nuisance. The City may remedy the public nuisance and may pursue additional remedies to obtain compliance with this Section. In addition to all other remedies provided by law, in the event the owner fails to maintain the public art, on reasonable notice the City may perform all necessary repairs and maintenance, or may secure insurance or other needed services, and the costs thereof shall become a lien against the real property. (c) Location and Relocation of Public Art. Except as provided herein, the public art must remain at the development in the location approved by the Public Arts Commission. A property owner may petition the Public Art Commission to relocate the public art within the development project. When and if the development project is sold, the public art must remain at the development and may not be claimed as the property of the seller or removed from the site. If the development is to be demolished, the owner must relocate the public art to another publicly accessible permanent location approved in advance by the Public Art Commission. (d) Removal and Replacement of Public Art. If the owner desires to deaccession, sell or remove the art from the site, the owner shall give prior notice to the City by providing written notice to the Public Art Program Office no later than 90 days before the intended action. The owner must receive prior approval from the Public Art Commission. The developer will be required to replace the sold or de-accessioned artwork with an alternative work of equivalent or greater value, as determined by the Public Art Commission, in current dollars. In the alternative, at the developer’s election, the developer could choose to pay fees in lieu of replacing on-sight art, at a reasonable rate equivalent to the cost of replacing the art in current dollars, as determined by the Public Art Commission. (e) Statutory and Contractual Rights of Artists. The owner is solely responsible for complying with all statutory and contractual rights of the artist, including rights NOT YET APPROVED 131002 sh 0140096 8 under the California Preservation of Works of Art Act, the federal Visual Artists’ Rights Act, and any other applicable law. (f) Covenant; Recordation. The property owner shall record against the property a declaration of covenants, conditions and restrictions, in favor of the City, and in a form approved by the City Attorney. The declaration shall include (i) the owner’s obligation to provide all necessary maintenance of the public art, including preservation and restoration of the public art, in good condition, to the reasonable satisfaction of the City, and to protect the public art against destruction or damage; (ii) the owner’s obligation to ensure that the public art is accessible to the public as required by this Chapter; and (iii) any other terms reasonably necessary to implement this Chapter. SECTION 12. The Palo Alto Municipal Code is amended to add Section 16.61.110 “Developer’s Option to Pay Fees to Public Art Fund In-Lieu of Providing On-Site Art”: 16.61.110 Developer’s Option to Pay Fees to Public Art Fund In-Lieu of Providing On-Site Art In lieu of installation of on-site public art, the developer may elect to make a monetary contribution to the Palo Alto Public Arts Fund. The amount of the contribution shall be .95% of the cost of the public art required by Section 16.61.060. A developer who elects to satisfy the requirements of this Chapter through a contribution to the Fund must complete the payment in-lieu prior to the issuance of any building permit for the development project. SECTION 13. The Palo Alto Municipal Code is amended to add Section 16.61.120 “Public Art Fund”: 16.61.120 Public Art Fund There shall be a fund entitled “Public Art Fund” to account for in lieu contributions made under Section 16.61.110. This fund and the interest thereon shall be maintained by the Chief Financial Officer according to standard governmental accounting requirements. The Public Art Fund shall be reserved for the design, acquisition, commission and installation of new works of art and art experiences in Palo Alto, or for such other equivalent artistic purposes approved by the Public Art Commission. Funds may be used for project management and administration costs associated with acquisition of new works, not to exceed 20% of the project budget, and for the repair, maintenance, conservation and insurance of those works. Art works acquired through the Public Art Fund shall be owned by the City of Palo Alto and generally made accessible to the public. Contracts for public art projects shall be approved according to the procedures in Chapter _______. SECTION 14. The Palo Alto Municipal Code is amended to add Section 16.61.130 “Regulations”: NOT YET APPROVED 131002 sh 0140096 9 16.61.130 Regulations The City Manager, or his or her designee, is authorized to adopt administrative regulations, procedures or guidelines that are consistent with and that further the terms and requirements of this Chapter. SECTION 15. This ordinance shall be effective on the thirty-first day after the date of its adoption and shall immediately apply to all development projects where a building permit has not yet issued. INTRODUCED: PASSED: AYES: NOES: ABSENT: ABSTENTIONS: ATTEST: ____________________________ ____________________________ City Clerk Mayor APPROVED AS TO FORM: APPROVED: ____________________________ ____________________________ City Attorney City Manager ___________________________ Director of Community Services ___________________________ Director of Administrative Services Process for Percent for Art in Private Development that go through Planning Initial Entitlement Meeting with Planning Developer notified of percent for art requirement. An estimated art budget is calculated based on the estimated construction valuation of the project. 1% of that valuation will provide the initial estimate for the art budget. If the art budget is over $15,000 and the Developer chooses to commission art on site: Planning Notifies Public Art of Project and Developer must meet with Public Art Manger prior to initial ARB review. In that meeting, Developer will be given more information on the process, sample contracts and lists of approved art consultants. If Public Art budget is under $15,000 or the Developer chooses the in lieu option: Developer pays into Public Art Trust and receives a letter from the Public Art Office confirming completion of Percent for Art requirement. No further action required until building permit application. Initial Review by Public Art Commission – Developer must present the plan to integrate public art into the development, including the process by which the art will be selected and types of art that may be suitable on site. Gain input from PAC. Final Approval by Public Art Commission of the selected artist and artwork for the site. This must occur prior to application for Building Permit. Building Permit Application must show completion of percent for art requirement by payment to Trust or final approval from PAC. If percent for art value is higher than what was estimated at Entitlement phase, then the difference in funds will be paid to the Trust. When final inspection for the Certificate of Occupancy is completed, staff must confirm that artwork was installed as approved by PAC prior to C of O issuance.