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HomeMy WebLinkAbout2003-06-16 City Council (4)TO: FROM: C ty a ager s eport HON0~BLE CiTY C0UN~iL ...................................... CITY MANAGER DEPARTMENT: PUBLIC WORKS 1 2 DATE: SUBJECT: JUNE 16, 2003 CMR:320:03 APPROVAL OF AN AGREEMENT WITH SANTA CLARA COUNTY VALLEY TRANSPORTATION AUTHORITY FOR THE TRANSIT SHELTER MAINTENANCE AND ADVERTISING PROGRAM AND APPROVAL OF AN AMENDMENT TO THE SIGN ORDINANCE OF THE PALO ALTO MUNICIPAL CODE TO PROVIDE BUS SHELTER ADVERTISING RECOMMENDATION Staff requests that the City,’ Council approve the following recommendations: 1.Approve the City’s participation in the Santa Clara County.’ Valley Transportation Authority’s (VTA) Transit Shelter Advertising Progam; 2.Authorize the Mayor to execute the attached Implementation A~eement (Attachment C) with VTA for the Transit Shelter Advertising Pro~am; 3.Adopt the attached ordinance (Attachment D) amending the Si~o-n Ordinance of the Palo Alto Municipal Code to provide for bus shelter advertising; 4.Rescind the current VTA Ageement dated March 6, 1996; and 5.Approve expansion of the existing Transit Shelter Advertising pro~am to allow for additional Palo Alto shelters. BACKGROUND At the January 28, 2002 Council meeting, Public Works staff identified bus shelter maintenance as an activity; that could be returned to the County for maintenance and as an activity that could possibly generate revenues for the City’ through the VTA’s bus shelter advertisement progam (CMR 128:02) (Attachment F). Council rejected the proposal with a vote of 4-3. DISCUSSION While preparing the budget for Fiscal Years 2003-05, the City Manager provided direction to staff to identify; ways to produce revenue for the City,’ due to the lagging CMR:320:03 Page 1 of 2 economy. Staff reintroduced the plan to return bus shelter maintenance to the VTA. On May 27, 2003, the Finance Committee asked that the issue be brought before the full Council for review without a committee recommendation. RESOURCE IMPACT The City’s participation in VTA’s Transit Shelter Advertising Program would add $50,000 per year to Public Works Department budget from the share of advertising revenue with the County. In the event that Council opts to retain maintenance of the bus shelters, staff has indicated that funds would be necessary for replacement and maintenance of all 30 shelters in the City. Total cost of replacement would be $240,000 with an additional $6,000 per year for glass replacement and miscellaneous supplies. The cost for replacement could be spread over a 10-year period and would require $30,000 to be added to the Public Works Operations operating budget beginning in FY 2003-04. POLICY IMPLICATIONS Adopting the transfer of maintenance of the bus shelters to the VTA would require an amendment to the Municipal Code (Attachment E) related to signage (Section ! 6.20.100) as described in CMR 128:02. ATTACHMENTS Attachment A: Attachment B: Attachment C: Attachment D: Attachment E: Attachment F: Advertisement Locations Photo of New Shelters Agreement with Valley Transportation Agency Current Agreement with Valley Transportation Agency Amended Sign Ordinance to Provide for Bus Shelter Advertising CMR 128:02 (without attachments) PREPARED BY: DEPARTMENT HEAD" ...... MICHAEL JACKSON Deputy Director, PW/Operations GLENN S. ROBERTS Director of Public Works CITY MANAGER APPROVAL" HARRISON Assistant City Manager CMR.~20.0~Page 2 of 2 ATTACHMENT A ATTACHMENT B ATTACHMENT C EVlTLEM~NTATION AGREEMENI" FOR TRANSIT SHELTER ADVERTISING PROGRAM ’This Implementation Agreemen~ ("Agreement") for Transit Shelter Advertising Program is madg this 31st d~y of Octob~, 1995 (hereinaf~ referred to as the "Execution Data"), by and among the Santa Clam County Transit District ("$CCTD"); Patrick Media Oroup, Inc. ("Contrae.tor’9; and the following California ~ounty and cities: the County of Santa Clam and th~ Citi¢~ of San los~, Sunnyvale, Santo Clara, Mountain View, Milpitas, Oi .h’oy, Cutmr~o, and Los Altos (the foregoing county and ~iti~s am heminaR~ sometimes r~ferred to collectively as the "Paxticipafing Entities" and individually as a "Participating Entity" or the "County" and/or a "City", as the case may be.) A. SCCTD and.C0ntractor entered into that certain Transit Sheker AdvcrtisLug Program Agreement dated June 9, 1994 (the "Advertising Agreement"). The Advertising Agreement provides for the consU-uction by Contractor of up to 564 new bus shelte~ a~ b~ stop locations throughout the Cou.uty of Santa Clara, vAth three-fourths (3/4) of-all bus shelters to contain advertising panels. The. Participatiag.Entiti~ are not parties to the Advertising Agreeing. t. As of January 1, 1995, there am approximately 420 exisfi~ SCCTD bus.shelters located in areas covered by. the Advertising A_aze~ment. B. The contemplated distribution of tlm proposed 564 bus shelters and the.. currenz distribution of the existing bus shelters are shown o~1 Exhibit A, attachedhereto and incorporatx~ herein by this reference. C. Subject to the terms and conditions contained ia this Agreement, the ¯ Participating Entities axe willing t6 paz~dcipate in the Transi~ Shelter Advertising Program, as set forth in the Advertising Agr~ment and as amenckxt by this Agreement. (The Traz~t Shelter Advertising Program, as set forth in ~e Advertising Agreement and amended by th~ Agreement, is hereinafter referred to as the "Program’S. NOW,’TI-~REFORE, the p~zti~ agr¢ as follow: 1. Term of A~ Subject to Sections 3 and 10 hereof, this Agreement shah be for a term of fifteen (15) years and shall commence on that.date (hereinafter referred to as the "Effective Date" of ~ Agreement) when all conditions set forth in Section 3 have been satisfied. Contractor and SCCTD shall notify the Participating Entities in writing of the mtisf.aeti0.~ of the conditions set forth in Section3 and of the Effective Date ofth~s Agreement. 2. Sub~eq~. cut l~xeeution. The parties acknowledge that, pursuant to Section 3, this Agreement may become effective even though not all of the county and the cities " covered by the Advertising Agreemem have executed this Agreement, and, furthermore, that such county and/or some of such cities may determine to execute this Agreement subsequent to the Effective Date hereof and subsequent to the commencement of the term ¯ of this Agreement. The parties hereby agree that such county aud/or such cities may execute this Agreement, and thereby become subject to this Agreement, at any time after the Effective Date by means of an amendment hereto so providing, as long as such amendment is signed by all those entities who are parties to this Agreement atthe time. of the amendment. Each party hereby agrees that it will not unreasonably withhold or delay its execution of such amendments and each Participating Entity hereby authorizes its Exeetltive Diree~r, City Manager, or equivalent executive officer, as the ease may be, to execule any such amendment from time to time. 3. Condition to_Effe "v . The effectiveness of this Agreement shall be contingent upon the satisfaction of the following condition: a.The execution of this Agreement no later than October 31, 1995, by a sufficient number of the county and ci.fi~s covered by the Advertising Agreement to result ia the incorporation into the Program of a minimum of one hundred fifty (150) advertising.shelters dmS.ng Phase One of fine Program, as provided in- Section 4 betow. 4,Quanfi_txar~_d Loeati_o~. a. phased Impleme~. AS provided ~ Exhibit B, attached hereto and incorporated herein by this ~eference, the Program shall be implemented in three (3) phases, as follows: (1) Pd~_D_~. In the fia~t year after the Effective Date, a minimum of one hundred fifty (150) advertis~g shelters shall be constructed, subject to the .maximum quantities per city set forth in Ex~bit B. During Phase One, all remaining e×istizg shelters shall, be upgraded to a first*class condition as necessary and maintained in accordance with Section 6hereof. .(2) ~ Subject to Section 4.b.(3) below, ia the second year after the Effective Date,. with regard to areas of jurisdiction of Participating Entities ¯ which have approved the Program by complying with. Section 3. hereof, all remaixfing existing shelters shall be replaced, .and the aggregate maximum number of advertising shelters in each of the Participating Entities shall be as provided ~ Exhibit B. ’ (3) ~. Subject to Section 4.6.(3) below, in the third year after the Effective Date, with regard to areas ofjm’isdicfion of Participating Entities which have approved the Program by complying with Section 3. hereof, up to one ¯l~undred forty (140) additional new shelters shall be constructed, with the maximum amomat of types of shelters for each Entity as provided in Exhibit B. b.Locationof Shelter~. (1) With.regard to each Phase~ Contractor and SCCTD shall meet and agree in advance in writing with each Participating Entity as to the location of the shelters to be constructed during that Phase in such Participating Entity’s area of . jurisdiction. Each Participating Entity, in its sole discretion, may approve or reject any proposed location for a new shelter or for an advertising shelter in its area. (2). Attached hereto as Exhibit C, and incorporated herein by this reference, is the list of approved locations for shelters to be constructed in Phase One. in each Participating Entity’s area of jurisdiction. (3) If Contractor, SCCTD and a Participating Entity cannot agree, as provided in Subsection (1) above, upon the locations for advertising shelters to be constructed in each area in Phase Two, the Program shall not proceed to Phase Two and Phase Three for that Entity. IfContractor, SCC.TD and a Participating Entity agree upon the locations for advertising shelters to be constructed in Phase One and Phase Two but cannot agree upon the location for new shelters and/or advertising shelters to be constructed in each area in Phase Three, then Phase Three shall not proceed for that . Entity: The parties expressly acknowledge and agree that the Program may be expanded from Phase One to Phase Two, or from Phase Two to Phase Three for a particular Participating Entity, upon an accelerated schedule, upon agreement of that Participating Entity, Contractor and SCCTD. Notwithstanding that the Program does not proceed to Phase Two or Three for a particular Entity as set forth above, all shelters in such Entity’s area of jurisdiction shall continue to be maintained by Contractor as set forth herein for the term of this Agreement, Subject to the provisions hereof. c.Post-Installation Change. (i) Change to Non-Advertising or to Advertising~ Notwithstanding Section 4.b, at any time after a new shelter is installed, Contractor, upon written request by the jurisdictional Participating Entity from time to time with sixty (60) days’ prior written notice, shall change an advertising shelter to a non-advertising shelter; or a non-advertising shelter to an advertising shelter. Such Entity’s request for such change shal! not be denied or delayed by Contractor so long as the ratio of advertising shelters to non-advertising shekers in the Participating Entity’s area of jurisdiction does not fall below 2 to 3, respectively, in Phase One and 3 to 1, respectively, in Phases Two and Three. (2) RemQva! alad Relocation of Shelters. Each of the Participating Entities shall have the right, for any reason, to require Contractor from time 3 to time, at Contractor’s sole cost, to remove and relocate within thirty (30) days of written notic~ to Contractor and to a location-determined by the Entity in its sole discretNn, up to five percent (5%) of the shelters annually or a minimum of one shelter in the Participating Entity’s area of jurisdiction. Such right shall be in addition to any right of SCCTD under the Advertising Agreement to require the relocation of shelters; however, the total removal and relocation of shelters pursuant to this subsection and Section VIII F of the Advertising Agreement by SCCTD and the Participating Entity together shall.not exceed, as specified in Section VIII F, a maximum often percent (10%) of the total number of existing shelters per year. d.Shelter-Illumination. At the option of any Participating Entity in its sole discretion, any new non-advertising shelter in the Participating. Entity’s area of jurisdiction may be an illuminated shelter. All factors related to shelter lighting, " including without limitation type of lighting, placement and direction of lighting, and wattage, shall be subject to approval in adv.ance by the applicable department of the Participating Entity where the shelter is located. Contractor shall be solely responsible for the costs of shelJter ligliting, including electricity charges and hookup. Contractor. and the Participating Entities expressly agree that the advertising shelters may be illuminated, subject to all terms and conditions of this Section 4.d., during the hours when bus service is available at the shelter, but may.not be illuminated at other hours without the express written consent of the Participating Entity in whose jurisdiction the shelter is located. e.Maximum Advertising Shelters. Under no circumstances shal! the quantity of advertising ~helters in any city/county exceed the quantities shown on Exhibit D, attached hereto and incorporated herein by this reference, unless agreed to by the individual city/county; provided, however, that the foregoing shall not be deemed to alter the requirements of Section 4.a(1). f.Encroachment Permits. Unless waived in writing by a Participating Entity where a shelter is located, each new or relocated shelter constructed pursuant to this Agreement shall require (i) an encroachment permit issued by the applicable department of the Participating Entity where the shelter is located and (ii) insurance satisfactory to the Participating Entity which shall name the Participating Entity as an additional insured. Contractor shall pay all required encroachment permit fees and shall comply with all conditions set forth by the Participating Entity in the permit consistent with this Agreement. Contractor shall provide all necessary materials to process encroachment permits in an organized, batched manner. Participating Entities hereby agree to a per permit processing fee of not more than $300.00, increased annually by the increase in the Consumer Price Index for the San Francisco-Oakland-San Jose Metropolitan Area for All Urban Consumers. Participating Entities shall issue such permits within thirty (30) days of complete application therefor. 5. Shelter Design. Unless expressly provided otherwise in this Agreement, shelter design shall be as set forth in the Advertising Agreement. Any Participating 4 Entity, at its sole option, may request a non-standard design for any new shelter constructed in its area pursuant to this Agreement, proyided that (i) the Participating Entity requests such non-standard design at the time of the approval of the shelter location pursuant to Section 4.b, and (ii) the Participating Entity reimburses Contractor for any additional expense for the construction, installation and/or maintenance of such non-standard design shelter. With regard to shelters of non-standard design existing in any Participating Entity’s jurisdiction prior to the Effective Date, (a) si~ch shelters may only be replaced by Contractor if Contractor, at Contractor’s cost, replicates the existing non-standard design in the replacement shelter, and (b) no additional expense may be charged by Contractor for the maintenance of such existing non-standard shelters or any replication thereof. 6.Maintenar~ce of Shelters. a.Maintenance Obligation. During the term of this Agreement, Contractor shall maintain all new and existing shelters in the areas of jurisdiction of Participating Entities in a clean, safe, and first-class condition and in accordance with all provisions of this Section 6. b.Minimum.Weekly Maintenance. Contractor shall inspect each new and existing shelter at least once each week and shall perform at least thefollowing maintenance: (1)All trash shall be collected; (2)Shelter shall be cleaned, including without limitation removal of all graffiti, stickers, extraneous posters; litter, dust and dirt; (3) Weeds. and litter shall be removed from a 15-foot radius around each shelter; illuminated shelters. C. (4)Shelter shall be washed if needed; and Defective lights shall be repaired to working order on Repair of Damaged or Vandalized Shelters. (1) Contractor shall repair any vandalism, graffiti or other damage to a shelter within forty-eight (48) hours of the earlier of (i) the observation of such vandalism or damage by Contractor during weekly maintenance, or (ii) telephonic or written notice of such vandalism or damage to Contractor and SCCTD by the Participating Entity where the shelter is located. (2) Notwithstanding the foregoing, if shelter vandalism or damage is of a hazardous nature, or if light sources need repair or repiacement, Contractor shall repair such deficiencies within twenty-four (24) hours. 5 (3) Contractor expressly agrees that, if Contractor fails to meet its obiigations as set forth in Subsections (1) and (2) above, then SCCTD or the ’ Participating Entity where the shelter is located shall have the right to perform such obligations on Contractor’s behalf, without notice to Contractor with regard to those obligations in Subsection (2) and after three (3) days’ telephonic or written notice to Contractor with regard to those obligations in Subsection (1). Contractor shall reimburse SCCTD or such Participating Entity upon demand for the expenses incurred by SCCTD or such Entity ill such performance by SCCTD or such Entity on Contractor’s behalf. d.High-Maintenance Shelters. In addition to the other maintenance responsibilities of Contractor hereunder, Contractor shall,"at its sole cost, at least twice a week inspect and perform the maintenance set forth in subparagraph (b) above, for those shelters des.ignated by a Participating Entity from time to time as a "high-maintenance shelter." A Participating Entity may not designate from time-to-time more than one-third (!/3) of the Shelters in its area ofjurisdiction as "high-maintenance shelters." e.Maintenance Log. Contractor shall submit a montl~y log of shelter inspection and maintenance to SCCTD and, for the shelters in the Participating Entity’s jurisdiction, to each Participating Entity wh6 has requested in writing to receive the monthly log. 7.Advertising A~eement Rights. a.Approvals and Rights. Notwithstanding anything in the Advertising Agreement, SCCTD and Contractor expressly acknowledge and a~ee that the following approvals or rights granted to SCCTD in the Advertising Agreement shall, instead, be approvals and rights granted to each Participating Entity where the shelters are located, and SCCTD shall have no right of participation in such approvals or rights except as set forth below: Section I-B-3 of Advertising Agreement Option to require illumination of shelters, as amended by Section 4.d hereof Section I-D-4 Right to approve removal or relocation of"unsuita61e or economically unfeasible" shelters (to be joint!y exercised with SCCTD) Section III Right to require that an advertising sfielter be changed to a non-advertising shelter, as amended by Section 4.c hereof Section IV-B Right to use available unsold advertising display space. SCCTD. shall provide to each Participating Entity the 6 right of ftrst refusalto utilize anysuch space. If such right is not exercised by a Participating Entity for a particular available space, SCCTD may utilize such space. The granting of the foregoing approvals or rights to the Participating Entities as set forth above shall not affect any conditions or limitations on such approvals or rights set forth in the Advertising Agreement. 8.Advertising Content. a.Replacement Provisions. With regard to the implementation of the Program, this Section 8 replaces Sections VI -B and C of the Advertising Agreement in their entirety. b.Prohibited..Displays. Because of each Participating Entity’s substantial interest in protecting the health and welfare of its citizens, Contractor agrees that the following displays shal! not be allowed on any Program bus shelters: (1) (2) (4) Commercial advertising for tobacco products. Commercial advertising for alcoholic beverages. Any sign depicting physical violence against any person or animal. Any display containing any of the following: (a) Any statements or words describing explicit sexua! acts, sexual organs, or excrement. (b) Any nudity (picture or illustration) showing genitals, pubic hair, perineums, anuses, or anal regions of any person or animal, or any portion of the breast, at or below the areola thereof, of any female person. (c)"Explicit sexual acts", as used in this Subsection (5), means depictions of sexual intercourse, oral copulation, anal intercourse, oral~anal copulation, bestiality, sadism, masochism or excretory functions in conjunction with sexual activity, masturbation or lewd exhibition of the genitals, whether any of the above conduct is depicted or described as being performed among or between members of the same or opposite sex or between humans and animals, or other acts involving any physical contact with a person’s or animal’s genitals, pubic region, pubic hair, perineum, anus, or anal region. 7 (5)Any display specifically prohibited by law or order of any court of competent jurisdiction. " c..Indemnification 0fparticipating Entities. SCCTD hereby agrees to indemnify and hold ham’fless each Participating Entity and its of-ricers, agents and employees from any claim, liability, loss, injury or damage arising out of the rejection of advertising by SCCTD pursuant to Sections VI-A and VI-D through G; inclusive, of the Advertising Agreement. d.No Other Content Restrictions. Except for the express prohibitions set forth in Subsection b above, the Participating Entities shall not impose any other restrictions based on content and nothing herein shall otherwise interfere with the rights of the Contractor in the selection of advertising material for the shelters. 9.Revenue Pass-Through. a.. Pursuant to the Advertising Agreement, Contractorhas agreed to pay SCCTD eighteen percent (18%) of cumulative, net revenues (as defined in the Advertising Agreement) produced by advert, tsing shelters in the Program, subject to a minimum payment of $50 per advertising shelter per month. (Such payments are referred to hereina~er as the "Shared Advertising Revenue".) The Advertising Agreement provides that such payments of Shared Advertising Revenue shall be paid to SCCTD, at various times, by means of a withdrawal from an advance deposit, or by a quarterly payment, Or by an end-of-calendar-year payment. b.SCCTD shall pay each Participating Entity fifty percent (50%) of all Shared Advertising Revenue received by SCCTD for advertising shelters located in each Entity’s respective jurisdiction. SCCTD shall make quarterly payments to each ParticipatingEntity of such revenue, as earned by each Participating Entity for the previous quarter, within thirty (30) days after the beginning Of each calendar quarter. Shared Advertising Revenue shall not include the fee paid by Contractor to Santa Clara County Transit District for administration costs. c.In addition to the fights of each Participating Entity to receive a share of revenue as setforth above, each Participating Entity may, in .its discretion, obtain a proportionate share of one-half of the $750,000 advance revenue payment to be paid by Contractor to SCCTD under the Advertising Agreement. After the $750,000 advance payment has been made by Contractor to SCCTD, SCCTD shall remit to any Participating Entity, within thirty (30) days of written request by such Entity, a portion of $375,000 for that Entity determined by the percentage that the number of advertising shelters in that Ent.ity’sjurisdiction in Phase One bears to the total number of advertising shelters, for all Entities, in Phase One. Such advance portion shall be credited against the 9% share to be paid to such Participating Entity. under this Agreement. Furthermore, if under this Agreement or the Advertising Agreement, SCCTD becomes obligated to return 8 and returns the $750,000 advance revenue payment~ or any portion thereof, to Contractor, then ~ach Participating Entity that had received an advance portion hereunder shall remit such advance portion, or portion thereof, to SCCTD, within_forty-five (45) days of written request by SCCTD. Any such Participating Entity shall also return to SCCTD, within forty-five (45) days of a written.request, any unearned portion of such advance portion if the. Program is terminated in the jurisdiction of that Participating Entity under the terms hereof. d.Contractor and SCCTD shall maintain any and ail ledgers, books of account, invoices, vouchers, and other records or documents evidencing or relating to revenues produced by the advertising shelters in the Program for a minimum period of three (3) years, or for any longer period required by law, from the date of any payment of Shared Advertising Revenue to Participating Entities pursuant to this Agreement. Any documents or records required to be maintained pursuant to this Subsection shall be made available for inspection or audit, at any time during regular business hours, upon written request by any officer or authorized representative of a Participating Entity. Copies of such documents shall be provided for such inspection or audit at a location in Santa Clara County. 10.Termination and Suspension. a.Termination of Advertising A~eementl This Agreement shall terminate automatically if the Advertising Agreement is terminated. WithOut limiting the foregoing, the parties acknowledge that the Advertising Agreement provides that it may be terminated by Contractor at any time if the number of advertising shelters for any reason drops below one hundred fifty (150) shelters. The parties hereto agree that shelters for which advertising has been suspended for whatever reason shall not be considered as reducing the number of advertising shelters in determining such one hundred fifty (150) minimum. b.Suspension and Termination By Participating Entities 0r Contractor. In addition to the termination rights provided to SCCTD and Contractor in the Advertising Agreement, each Participating Entity shall have the right to terminate this Agreement with regard to its area and to suspend and terminate the Program in its area, and Contractor shall have the right to suspend and terminate, as f611ows: (1) Suspension and Terminatiorl Thereafter. In addition to any other termination rights herein, a Participating Entity may suspend the right of Contractor to advertise under the Program in that Entity’s area of jurisdiction, at any time ifa legal challenge is filed with a court of law against its sign laws arising out of or in connection with or reasonably related to the implementation or continuation of the Program, whether or not the Program is specifically mentioned in any such legal challenge, and the Participating Entity determines, in its sole discretion based upon a good faith analysis, that the’ existence of the Program in its area makes defense of its sign laws more difficult. 9 If a Participating Entity decides to suspend the Program as aforesaid, it shall provide- written notice of such decision to SCCTD and Contractor. Contractor shall remove all Program advertising displays in the area of jurisdiction of the Participating Entity within ten (10) working days of Contractor’s receipt of such notice. During the suspension period, all shelters in the suspending Entity’s jurisdiction shall be maintained in accordance with all provisions of this Agreement, and Contractor, SCCTD and the Participating Entity shall equally share in the cost of such maintenance. Furthermore, if advertising under the Program in a Participating Entity’s. jurisdiction is suspended by an order of court during all or a portion of the pendency of such a legal challenge, despite good-faith opposition to the issuance of such an order by the Participating Entity if the Entity is defending thesuit itself or through counsel of its own choosing, then maintenance (including illumination) for all shelters in that jurisdiction shall be performed in accordance with all provisions of this Agreement during such suspension period, and the cost for such maintenance shall be equally shared by Contractor and SCCTD, without repayment of such cost by the affected Participating Entity to either Contractor or SCCTD. If the court action giving rise to the suspension results in any final court action that prohibits enforcement of the sign lawsof the Participating Entity, or any portion thereof as written, then the Participating Entity may terminate this Agreemep.t as to that Participating Entity upon thirty (30) days’ written notice. Otherwise, the suspension period shall end and the Program shall resume in that Participating Entity, including advertising and maintenance by the Contractor, and the term of the Agreement shall be extended by a period of time equal to the length of the suspension period. For purposes of this subsection, the term "final court action’’ shall mean an action that has become final after all appeals have been exhausted or the time to obtain appellate review has expired. Furthermore, if at any time advertising for more than 0he-half (1/2) of the advertising shelters in the Program has been suspended as provided above, the Contractor may, in its sole discretion, suspend the entire Program, including its obligation to provide maintenance for any and all shelters in the Program, and obtain a refund from SCCTD within forty-five (45).days of such suspension of the unearned portion of the advanced revenue share of $750,000, pro-rated on the date that notice of Program suspension is given by Contractor to SCCTD. Upon resumption of the Program, such unearned portion shall be returnedto SCCTD, and the term of the Agreement shall be extended by a period of time equal to the length of the suspension period. Furthermore, if advertising for more than one-half (1/2) of the advertising shelters in the Program has been suspended as provided above for a period of three (3) years or more, the Contractor may~ in its sole discretion, terminate the entire Program effective after thirty (30) day’s written notice is served upon SCCTD and the Participating Entities. In such an instance, Contractor’s duty to indemnify the Participating Entities igursuant to Section-11 hereof with respect to any and all legal challenges to a Participating Entity’s [Entities’] sign laws shall cease as of the date thirty (30) days after the datenotice of termination is given, except for any cgvered claims asserted prior to such termination date in accordance with Section 11 hereof, for which indemnification shall continue. Further, Contractor’s duty to indemnify shall not so terminate and shall continue for any covered claims for personal injury or property damage relating to advertising shelters asserted after the termination date in accordance with Section 11 hereof and for which the date of occurrence of such injury or damage is a date prior to the termination date. (2) A Participating Entity may terminate this Agreement with regard to its area of jurisdiction if SCCTD or Contractor is in default of any of their obligations hereunder or under the Advertising Agreement with regard to the bus shelters in the area of jurisdiction of the.Participating Entity and such default is not cured within thirty (30) days after written notice from the Participating Entity specifying such default. (3) A Participating Entity may terminate this Agreement with regard to its area of jurisdiction if Participating Entities terminate the Agreement as provided above with a result that less than 125 advertising shelters continue to be in the Program. Section IX B of theAdverfising Agreement shall be applicable to any termination of the Advertising Agreement pursuant to or as a result of the foregoing provisions of this Section 10.b. Except in the case of a default by Contractor, Contractor shall, in addition to any rights under Section IX B of the Advertising.Agreement, be entitled to a return of its letter of credit and. the pro-rata portion of the unearned portion of the advance revenue share of $750,000 from SCCTD, and, provided that no claim~ or potential claims affecting such bonds remain outstanding, rescission of its obligation to maintain the performance and payment bonds under the Advertising Agreement c.Rights and Remedies. The Participating Entities shall have all rights and remedies available to them under this Agreement or applicable law; without limiting the foregoing, upon termination of this Agreement, the Participating Entities, shall each have the right, in its sole discretion, which shall not constitute its sole remedy hereunder, to require that all advertising displays be removed from the bus shelters in its area of jurisdiction, at no cost to such Participating Entity. 11. IM~mnification. Contractor shall indemnify, defend, and hold harmless each Participating Entity and its officers, agents and employees from any claim, liability, loss, injury or damage arising out of or in connection with or reasonably related to the implementation or continuation of the Program, whether or not the Program is specifically mentioned in any claim; without limiting the foregoing, Contractor expressly acknowledges that such indemnification includes indemnification for any claim, liability, loss, injury or damage arising out of or in connection with any legal challenge to the implementation or continuation of the Program; provided, however, that the indemnification set forth in this Section 11 shall not include indemnification of any Participating Entity for any claim, liability, loss, injury oi: damage caused solely by the acts or omissions of such Entity’s officers, agents or employees. It is the intent elf the parties to thi~ Agreement to provide the broadest possible indemnification coverage for the Participating Entities. The obligations set forth in this Section 1 ! shall survive any termination of tNs Agreement. If a claim for indemnification (a "Claim") is to be made by a Participating Entity hereunder against Contractor, such Participating Entity shall give written notice (a "Claim Notice") to Contractor as soon as practicable after the Participating Entity becomes aware of any fact, condition or event which, in the reasonable judgment of the Participating Entity, is likely to give.rise to a Claim. If any lawsuit or any enforcement action is Ned against the P .articipating Entity, a Claim Notice with respect thereto shall be given to Contractor as promptly as practicable. After receipt of a Claim Notice, if Contractor acknowledges in writing its obligation under the terms of its indemnity hereunder in connection with such losses or actions, then Contractor shall be entitled, if it so elects, and subject to the last paragraph in this Section 11 (i) to take control of the defense and investigation of such lawsuit or action; (ii) to employ and engage attorneys of its own choice to handle and defend the same at Contractor’s cost, risk and expense; and (iii) to compromise or settle such claim in c6nsultation with the Participating Entity. A Participating Entity shall cooperate in all reasonable respects with the Contractor and its attorneys in the investigation, trial a~xd defense of any Claim or lawsuit.or action-and .- appeal arising therefrom; provided, however, that if the Contractor has assumed the defense of any claim, a Participating Entity may, at its own cost, participate in the investigation, trial and defense of any lawsuit or action and any appeal arising therefrom. The Parties shall cooperate with each other in any notifications to insurers. For any challenge tO the validity of a Participating Entity’s sign laws, a Participating Entity, at its sole cost and expense; may elect to retain counsel of its own choosing or defend such claim or lawsuit itself, with no right of indemnification from Contractor for the costs or expenses of such counsel or defense. Furthermore, each Participating Entity, whether or not it so elects to choose its own counsel or defend such claim or lawsuit itself, shall have the sole discretion to approve any compromise or settlement of a claim or lawsuit, or portion thereof, to the. extent such compromis.e or .settlement, or portion thereof, is related to the Participating Entity’s sign laws; such sole discretion shall not include discretion over any monetary settlement. The Participating Entity shall consult with Contractor prior to any such compromise or settlement. If the Participating Entity has so assumed the defense of any claim, Contractor may, at its own cost, participate in the investigation, trial and defense of any lawsuit or action and any appeal arising therefrom. 12. Waiver of Statutory. Damages. Contractor, on behalf.of itself, its successors and assigns, hereby waives and relinquishes any and all Statutory rights to, compensation related to the removal or relocatioi~ of any of the shelters in the Program, including, but not limited to, those established in Business and Professions Code sections 12 5412 ~ Such waiver shall not affect or diminish any rights to compensation expressly set forth in this Agreement or in the Advertising Agreement. 13.Integration; Amendment or Implementation of Advertising Agreement. a.To the extent of its express provisions, this Agreement amends the Advertising Agreement as such Adve.rtising Agreement and the Program applies to the Participating Entities and supersedes all prior negotiations between the parties with regard to the implementation of the Advertising Agreement. Notwithstanding the foregoing, and except as amended hereby, the Advertising Agreement, and each provision thereof, shall remain in full force and effect. b.Contractor and SCCTD expressly agree that (i) they shall not amend the Advertising Agreement to materially alter any provision of the Program, without the prior written approval of the Participating Entities, which approval may be given or withheld by any of such entitiesin its sole discretion, and (ii) they shall not implement the Advertising Agreement in any area unless and until the governmental body in such area (whether a county or a city) has become a party to this Agreement, as provided in Section.2 hereof. 14. Nondiscrimination. Contractor and SCCTD shall not discriminate, in any way, against any person on the basis of age, sex, race, color, creed or national origin in connection with or related to the performance of this Agreement or the performance of the Advertising-Agreement. 15.Conflict of Interest: Prohibition of..Gifts. a.Contractor shall at all times avoid conflict of interest or appearance of conflict of interest in the performance of this Agreement. Contractor shall disclose any conflict of interest, or.potential conflict of interest, which exists or arises at any time during the term of this Agreement. Any Participating Entity shall have the right to treat any violation of this Subsection as a material breach of the Agreement, and shall have the right to terminate the Agreement. and/or pursue any and all legal or equitable remedies for said breach of this Agreement. b.(1) Contractor shall not at any time offer any officer or employee of a Participating Entity any gift that is prohibited by the laws of such Participating Entity. (2) The offer or giving of any such prohibited gift shall constitute a material breach of this Agreement. In addition to any other remedies the Participating Entity whose laws have been violated may have in law or equity, such Entity may terminate this Agreement for such breach as provided in Subsection a. above. 16. Notices. All’notices and other commtmications required or permitted to be given’ under this Agreement shall be i.n writing and shall be personally served or t-nailed, postage prepaid and return receipt requested, addressed to the respective parties as follows: to Contractor:Patrick Media Group, Inc. ! 601 Maritime Street Oakland, CA 94607 Attn: David McWalters, Real Estate Manager to SCCTD:Santa Clara County Transit District 3331 North First Street, Bldg. C-2 San Jose, CA 95134-1906 At-m: Peter M. Cipolla, General Manager to Participating Entities: As provided on Exhibit E attached hereto and incorporated herein by this r~ference. or to such other address as any party may designate by notice in accordance with this Section 16. .. Notices shall be deemed effective on the date of delivery. 17.Choice of Law: Venue. a. The parties agree that the law governing this Agreement shall be that of the State of California. b.In the event that suit shall be brought by any party hereunder, the parties agree that trial of such action shall be exclusively vested in a state court in the County of Santa Clara or, where appropriate, in the United States District Court for the Northern District of California, San Jose, California. 18. E~;ecution by Counterpart. This Agreement may be executed in any number of counterparts, each of which shall for all purposes be deemed to be an original and all of which shall together constitute, one and the same instrument. 19.Areas of Authority.. a.Notwithstanding anything else in this Agreement, the parties expressly agree that .any shelters located on State thoroughfares within a City’s legal boundaries shall be considered shelters in that City’s area of jurisdiction for all purposes of this Agreement. 14 b.For purposes of Sections 4.b (location of shelters). 4.c. (post installation changes), 4.d. (shelter illumination), 5. (shelter design), 6. (maintenance of shelters), 7. (advertising agreement rights), and 8. (advertising content) (collectively, the "Joint Authority Provisions"), the parties expressly agree that (I) a City’s area of jurisdiction shall include County bus shelter sites on County roadways within such City’s legal boundaries.and sites in County unincorporated pockets that are totally surrounded " by such City, and (ii) such City (A) shall have joint authority with the County of Santa Clara with regard to any Participating Entity approvals and/or rights allowed under the Joint Authority Provisions and (B) shall have full independent authority, with or without County concurrence, to enforce any .and all requirements of the Joint Authority Provisions." 20.Third Party.. Beneficiary. Rights a.Contractor and SCCTD expressly acknowledge and agree that, to the extent of Contractor’s obligations under the following provisions of the Advertising Agreement, each Participating Entity shall be a third-party beneficiary of such obligations with regard to shelters in such Entity’s area of jurisdiction and shall have all rights and remedies available at law to enforce such obligations: . b. For purposes of this Section 20, shelters within a City’s area of jurisdiction shall include, without limitation, shelters located on State and/or County thoroughfares within such City’s legal boundaries and shelters located in County unincorporated pockets that are totally surrounded by such City. 2.1. Administrative Authority_. Any approval, request or other act required or permitted to be " given by SCCTD or a Participating Entity under this Agreement, except for that approval required by Section 3.a. hereof, may be given on behalf of SCCTD or the Participating Entity by the Executive Director, City Manager, or equivalent executive officer, as the case may be, of SCCTD or the Participating Entity. IN WITNESS WHEREOF, the parties have signed this Agreement as of the date first set forth above. PATRICK MEDIA GROUP, INC. By: William G. Hooper Regional President "SCCTD" Approved as to Form: Legal . SANTA CLARA COUNTY Peter M. Cipolla General Manager 16 "ParticiPating Entities" COUNTY OF SANTA CLARA ATTEST: ~hyll~erez ,d:¢p Clerk of the Board of Supervisors By: Mict~ael MI ’Honda, Cl£airperson Santo Clara Co.unty I]CI 3 Board of Stipe’rVisprs APPROVED AS TO FORM AND LEGALITY: Kathy Kretchmer Deputy County Counsel Approved as to Form:CITY OF SAN JOSE Deputy City Attorney By: Name: Title: CITY OF SUNNYVALE By: Name: Thomas F. Lewcock Title: City Manager "Participating Entities" COUNTY OF SANT~ CLARA ATTEST: By: Michael M. Honda, Chairperson Santa Clara County Board of Supervisors Phyllis Perez Clerk of the Board of Supervisors APPROVED AS TO FORM AND LEGALITY: Kathy Kretehmer Deputy County Counsel Approved as to form:CITY OF SAN JOSE Nkm S. Gtayson Assistant to the City Manager CITY OF SUNNYVALE By: Name: Thomas F. Lewcock Title: City Manager "Participating Entities" ¯ COUNTY OF SANTA CLARA ATTEST: By.: Michael M. Honda, Chairperson Santa Clara County Board of Supervisors Phyllis Perez Clerk of the Board of Supervisors APPROVED AS TO FORM AND LEGALITY: Kathy Kretchmer Deputy County Counsel Approved as to form:CITY OF SAN JOSE Sr. Deputy City Attorney By: Regina V. K. Williams City Manager CITY OF SUNNY~VALE B Name:F. Lewcock Title: City Manager 17 CITY OF GILP~OY CITY OF CAMPBELL By: Name: Title: CITY OF CUPERTINO L~\’: Name: Title: CITY OF MORGAN HILL By: Name: Title: CITY OF LOS ALTOS By:\ Name: \\Title: 18 Approved as to form: City Attorney Approved as to form: City Attorney CITY OF CUPERTINO: Mayor City Clerk CITY OF LOS ALTOS: Mayor City Clerk CITY OF CUPERTINO By: Name: Title: APPROVED AS TO FORM:CITY OF LOS ALTOS Legal Counsel By: Name: Title: DIANNE {’~ ~’-~*,, CITY MANAGER CITY OF SANTA CLARA ATTEST: JU~CCIGNONE, ~fty Clerk By: .Mayor APPROVED AS TO FORM: --//~.~a m~D~V~mm,~Assistant City Attorney ~ty M~hager Address:1500 Warburton Avenue Santa Clara,-.CA 95050 Telephone: .(408) 984-3000 Implementation Agreement For Transit Shelter Advertising Program APPROVED AS TO CONTENT: Public Works Dh~ctor CITY OF SANTA CLARA By: Name: Title: CITY OF MOUNTAIN VIEW, a municipal corporation By: City Manager FINANCIAL APPROVAL: ~¢rviees Director By: Tide: CITY OF MILPITAS By.-. Name: Title: CITY OF GILROY By: N=ne: Title: CITY OF SANTA CLARA. By: Name: Title: APPROVED AS TO CONTENT:CITY OF MOUNTAIN VIEW, a municipal corporation Public Works Director By: City Manager FINANCIAL APPROVAL: By: Title: Finance and Administrative Services Director APPROVE TO F RM: ’ DA~E~EN~,/dity ~ttorney GAlL BLALOCK, City Clerk CITY OF MILPITAS ~ame: LAWRENCE Title: City Manager CITY OF GILROY By: N .m’ne: Title: 18 Exhibit A EXISTING AND PROPOSED TRANSIT SHELTERS PARTICIPATING JURISDICTION EST. TOTAL EXISTING SHELTERS San Jose Sunnyvale Santa Clara Mountain View Milpitas County Gilroy Cupertino Los Altos Other (Light RaiI,Cal-,, Train, Fed, College) Additional Available Shelters for Phase 3 TOTAL 180 31 26 18 18 39 10 11 5 44 EST. TOTAL NEW SHELTERS (PHASES 1, 2,& 3) 243 42 35 25 25 53 14 15 7 54 51~ 382t 564 ATTACHMENT D BUS SHELTER MAINTENANCE AGREEMENT The Bus S~elter Maintenance Agreement is made effective March !, 1996, by and between the City of Pa!o Alto ("City") and the Santa Clara County Transit District ("District"). RECITALS: A. The Transit District owns bus shelters at selected bus stops located within the City of Palo Alto; and B. The City and District have mutually agreed that these bus shelters should be retained for the convenience of transit riders; and -o C. The City has agreed to assume maintenance responsibility for the existing District-owned shelters within its jurisdiction; AGREEMENT: NOW, THEREFORE, for valuable consideration, District and City agree as follows: i. Beginning on March i, 1996, City agrees that it will be solely responsible for all maintenance and repair of the ~shelters covered by this Agreement. 2. City agrees that it will maintain the referenced shelters in a reasonably clean and safe condition; collect trash, empty trash cans and remove weeds and litter around each shelter. 3. City agrees that it will repair any vandalism, graffiti, broken or damaged glass or other damage to a shelter. 4. City will inspect each shelter at regular intervals to assure that the shelters are being maintained and repaired. 5. City wil! be solely responsible for any claim, liability, loss, injury or damage arising out of or in connection with the bus shelter maintenance and repair obligations of City set forth herein. 6. City wil! pro~-ide to District a telephone number that can be reached during normal business hours, Monday through Friday from 7:00 a.m. to 5:00 p.m. for the reporting of maintenance needs or concerns in regard to the shelters specified herein. For emergencies after normal hours, weekends, and holidays, the District shal! contact the City of Palo Alto Communications at 960903 lac 0031338 (415) 329-2413 for hazards or damage to the shelters which could imperil, harm and injure users of the shelters. Non-emergency calls shall be held by the District until the next business day. 7. During the term of this Agreement, City agrees not to remove or re!ocate any of the shelters specified herein without the prior written approval of District. 8. In performing its maintenance duties hereunder, City will not remove, and shall preserve, any identifying or informational notices or materials placed on or within any of the shelters by District for its patrons. 9. To the extent inconsistent herewith, this Agreement shall supersede the provisions of any permit or agreement between City and District relating to the subject matter hereof. !0. This Agreement shall continue in effect as long as mutually agreed upon by both parties. CITY By:Fleming lity Manager DISTRI Peter~ M. Cip0!la General Manager APPROVED AS TO FORM: Senior Asst. City Attorney APPROVED AS TO FORM: Kevi~ Allmand Senior Assistant Counsel 960903 I&c 0031338 2 ATTACHMENT E ORDINANCE NO. ORDINANCE OF THE COUNCIL OF THE CITY OF PALO ALTO ~ENDING CHAPTER 16.20 (SIGN ORDINANCE) OF THE PALO ALTO MUNICIPAL CODE TO PROVIDE FOR BUS SHELTER ADVERTISING The Council of the City of Palo Alto does ORDAIN as fol!ows: SECTION !. Findings and Declarations. finds and dec!ares as follows: The City Council (a) The Santa Clara County Transit District ("District") owns and formerly maintained bus shelters within the City of Pa!o Alto; and (b) in 1995 the District entered into an agreement with Patrick Media ("Patrick"), whereby Patrick agreed to upgrade and maintain a~_ bus~ " .......... ~helters w~th~ the District, in exchange for the right to display advertising in a limited number of the shelters (the "program"); and (c)in 1996 the City chose not to permit advertising on those bus shelters, and the District thereafter allowed the City to agree to repair and maintain <hose shelters at its own expense; and (d) The City has now decided to participate in the program to eliminate bus shelter maintenance expense; and (e)Participation in the program will require an amendment to Chapter 16.20 (Sign Ordinance) of the Pa!o Alto Municipal Code; and (f) The City Council has considered the matter and finds that participanion in the program, including amendment of the Sign Ordinance, is in the public interest; // / / // 030611 sra 0052871 SECTION 2. Section 16.20.100 of the Palo Alto Municipal Code is hereby amended to read as follows: 16.20.100 Prohibited locations. :-.~.!i signs requirements: shall comply with the following location (a) Public property. No sign shall be placed on any public property, including but not limited to any city building, sidewalk, crosswalk, curb, street lamp post, hydrant, tree, shrub, tree stake or guard, railroad trestle, electric light or power or telephone or telegraph wire pole or wire appurtenance thereof or upon any fixture of the fire alarm system or upon any lighting system, street sign or traffic sign. (!) Nothing in this section shall apply to the installation of terrazzo sidewalks or sidewalks of similar construction, sidewalks permanently colored by an admixture in the materia! of which the sidewalks is constructed and for which :he department of public works has granted a written permit. ~_) Nothing in th~_s section shall apply to the painting of house numbers on curbs pursuant to Chapter 16.36. (3) Application may be made for an encroachment n~rm~t pursuant to Chapter .... 79 :=4o for the ........... {nsta]]ation o~ a metal plague commemora:ing an ~istorica], cul~ura_ or arn!sEmc event, ~....ion r ..___~=<o oersonaiitv The deoartment of oubiic works may grant such an encroachment permiu only upon the approval of the ci:v counct!. (4) Appiicarion may be made for =~ encroachment permit pursuant to Chapter 12.12 for a portable sign to be placed on public property. The deparumen: of oub!ic works may grant such an encroachment oermit only uoon the approval of the .~u!de±:nessign,_oursuan: to ~n~p~_er ~6_ 48 and pursuant to the ~" ~ _._~:~_~ec:ura! review boardfor Oorrable signs adooZed by the --~ {~. ’5)Apm!ication mav be made,~.~~u~=u~nu to ection ~ 6. 20 . 050,:for a t=~mpo~_=~2 .....sign on _.oubi~_,~ _property if the s~gn_ co~.emorates or ~=~or an ZESEO==~m,cultural:~=azes to a season ~ ’ ’ or arElsElc evenE. 030611 sm 0052871 (6) Any sign found posted on public property contrary to the provisions of this section may be removed bv the division of inspectional services or the police department. (b)Fire escapes. No sign shall be erected in such a manner that any portion of the sign or its support is attached to or will interfere with the free use of any fire escape, exit or standpipe, or obstruct any required stairway, door ventilator or window. (c) Marquees. No sign shall be placed upon the roof or on the face of any marquee ~xcep~ on a theater. (d) Traffic. No sign shall be erected in such a manner <hat it will or reasonably may be expected to interfere with, obstruct, confuse or mislead traffic. (e)intersections. No sign over three feet in height shall be erected a< the intersection of any street improved for v:n±cu±ar traffic, within a triangular area formed by the curb ±lnes, =n@ their projection and a line connecting them at points thirty-five feet from the intersection of the projected curb t..e Orovqsions oflines, unless the sign in como!iance with ~h this chamter, has a clearance of at least ten feet above curb grade and no part of whose means of support has a single or combined horizontal cross-section exceeding eighu inches. (f) Residential districts. No sign ~ha!! be .... c+-~ in any residential dl ~trqct except as provided below: .~ne~ and other organi_~2ons. T~ resident~a~ d{stricts churches and other oerm~tted or condiriona! uses in the disurict may erect signs on the premises identifying the premises or announcing activities thereon. {2) Tdent{Svqng signs Tn aft] ~{~=ntqafi districts exce~ R-l, R-E and R-2,signs may be erected identifying the property or building on which the sign is situated. (3) Speciai purpose signs.Special sl~ns may be erec~e~ in residentia~ dis÷~’-*- in ~~ n~- with the <.~-~. .¯.. m.~.~=sions of Section 16 20 160 (4) Size and height. Except as otherwise Section ~6._90.160, wal! ~igns _..q~ residential -~exceed of one foo< f sign~_~=:~ not an area sGuare o 030611 sm 0052871 for each forty square feet of wall area except that regardless of the size of the building face, (i) any such sign or combination of signs may have an area of at least six square feet and (2) no such sign or co~ination of signs shall have an area greater than one hundred fifty square feet. Freestanding signs shall mee< the requirements of Table 1i. No projecting signs or roof signs shal! be erected. (5) Lighting of signs. No sign in a residential district shal! be constructed in such a way that any light bulb, !igh< filament, neon tubing or similar material is visible from the front of the sign or from beyond the property line. (6) PC planned community districts.Unless otherwise provided in the ordinance approving the PC development, signs hereafter erected in PC districtsshall be governed by the rules applicable to residential districtsas set forth in this subsection. (7) Signs on landscaped freeways. Notwithstanding anything elsewhere contained in this chapter, no sign shall be erected on any property adjacent to a section of landscaped freeway, expressway or any other landscaped limited access street or highway in such a way as to be viewed by persons traveling on such landscaped freeway, expressway or any o:her landscaped limited access street or highway excep: when such sign is used exclusively: (A) To advertise the sale or lease of the property upon which the sign is situated; or (B) To designate the name of the owner or occupant of the premises upon which the sign is situated, or to identify such premises. ~KCTTON 3 Section 16 20 160 of :he Code is hereby amended to read as follows: 16.20.160 Special purpose signs. (a) Permi: required. Signs for the smeciai purposes set forth in this subsec:ion (a) shall be permitted as ~rovided ~ Tab!e i, referred :o herein, can be found at the end of this chapter. 030611 sm 0052871 herein upon obtaining design review and a permit as set forth in Section 16.20.020. (!) Directory signs, in al! districts where group occupancies in office buildings are permitted, directory signs may be erected displaying the names of the occupants of a building who are engaged in a particular profession, business or the like. Such signs shal! be situated at least two feet inside the property line and shall not exceed eight feet in height. Such signs may have an area of four square feet, plus one and one-half square feet per name, in no event to exceed seventy- five square feet. (2) Construction project signs. Signs may be erected in conjunction with construction projects and used for the purpose of publicizing the future occupants of the building or the arch!~ ~s, ~engineer~ and construction organizations participating in the project, in residentia! districts, no such sign shall exceed twelve square feet in area and no freestanding sign shal! exceed five feet in height, in other districts no ~ign shall exceed t:.e area for the applicable frontage set forth in Table 1~ and no freestanding sign shal! exceed eight {e=~ in height. All such signs shal! be removed before a final release on ~.e construction is given by the building officia!. (3 Directional signs. Directional signs may be erected for the purpose of facilitating or controlling the efficient or safe movement of pedestrians or vehicles on private property. Such s2gns shal! not be used for advertising purposes and particularly shall not include the name of any person, firm, company, organization or any product or service except as approved to designate directions to different businesses on the same site. Such signs shall be located on the properny to which they mertain, shal! not exceed an area of six square feet nor a height of three feet and shall be located at least twenty feet within the nearest property line, except that directional signs of not more than three square feet in area may be located not less than ten feet within any front property line. Such signs shall not be permitted in R-E, R-I, or ~-? districts. (~) Subdivision si@ns ~n,, merson or firm ozzer2ng tea estate rot sale in an =pp:o ~@ ~ubdivision ma,! erect not more than two signs indicating the !ocation of the subdivision. No such sign shal! exceed forty square feet in area. Such signs may state the name of the subdivider or subdivision or both.No such o~n hall¯~:.~..s be erected on or situated within one hundred~ ....of anv~occuoied, residential 030611 sm 0052871 ~ property. No such sign shall be illuminated. The permit for any such sign sha!l be issued for a period of six months. At the end of such period additiona! extensions of ninety days each may be granted by the building official for good cause shown. Upon expiration of the permit or any extension thereof the sign shal! be removed by the applicant. (5) Off-site advertising by art organizations. Nonprofit organizations having tax exempt status which are located within the city and which have been established solely for the purpose of supporting the performing and cultural arts in the city and other jurisdictions shall be permitted to utilize walls for off-site murals which may incorporate wording to name, designate, or identify the organization and/or the arts. The application shall be made jointly by the nonprofit organization and the property owner who owns the property where the mural is to be located. Said application shall be subject to review by both the visual arts jury in accordance with the provisions of Chapter 2.26 and the architectura! review board in accordance with the provisions of Chapter 16.48. Additionally, the fol!owing provisions shall ampiv: (A) The provisions of Section ~ 6 20 ~30 shall be applicable to said murals except ~na< no parn of a mural shall be counted as part of the all ’ " ~ ’.. owas_~= sl,sn area the o{{-site !ocarion. ..... s must be painted ’~__=K= may be usedbu~idinm wall; no pennants or the 1~’- (C) The property owner shall give his/her consent to erect, maintain, and remove the mural. (D) The mural must be properly maintained by the nonprofit organization. (E) The visual arts jurv shall establish a maximum :xme period for the existence o~ a murk=. (F) The property owner shall be responsible for removing the mural an the complenion of the authorized time¯~ -~ ’ ~"~ ~=thesham! ....v=nt an =g~ement thatperiod; however, ~ou~:~ s:= ~-- nonprofit organization shall pay for and remove the mural. (G) No organization shall be permitted to have more than two off-site advertising murals at any one time. 030611 srn 0052871 6 (H) Murals which are erected on city property or with clry moneys shall be regulated solely by the mrovisions of Section 16.20.100 and Chapter 2.26. (b No oermir required. Signs for the special murmoses set forth in this subsection b] shall be mermit~ed as provided herein without design review or a permit being required. (!) For sale or lease signs, in all dis:ricts signs may be erected on real estate, advertising such real estate for sale or lease, in R-I, R-E, and R-2 districts such signs shal~= not exceed an area of six square feet. in all other districts such signs shall meet with the requirements set forth (2) Po~ ~-’~’~ " ~~_.~±~=_~ signs.:o±_~icai signs may be erected in conformir_y wi~h this chamfer including Section ~6 90 !00 w~ch ~roh~b~ts signs on ~ub!~ ~rooer~v.~n addi:ion,an election sign must be comp!e<ely removed no later than six days following the day of =he election to which it relates.Any eiecrion sign not removed within si~ days shall be considered abandoned and shall be removed by the building division. (3) Window signs. A place of business which sells goods or services to consumers may insrai! and maintain signs on the interior face of a window of the premises or in a position inside such place of business, o~herwise viewabie through a window of the premises, subject to the following conditions: (A) No more than :wenty percent of the to~ai_ window space on a ,~=~, ma.v be covered bv~ window signs at any tmme. 030611 sm 0052871 7 (B A sign affixed to the interior face of a window and a sign inside a place of business, any point on which is within three feet of any point on the interior face of a window, through which window said sign may be viewed from outside such place of business, shal! be deemed to be a window sign for the purposes of the window coverage limitation of this section. The full area of any window sign shall be used when window coverage is calculated for purposes of this section. (C) Merchandise on display, which does not constitute a sign (as defined in Section 16.20.010), shall be exempt from the window coverage limitation of this section. SECTION 4. The application fee for an encroachment permit issued pursuant to Section 16.20.160 (a) (6) of <he Palo Alto Municipal Code shal! be $300.00, increased annually by the increase in the consumer Price Index for the San Francisco- Oakland-San Jose Metropolitan area for al! Urban Consumers. The Municipal Fee Schedule is hereby amended <o provide for such fee. exempt Quality Act ("CEQA") Facilities) and 15302 CEQA Guidelines. SECTION 5. The Council finds that this projec~ is from the provisions of the California Environmental pursuant to Sections 15301 (Existing (Replacement or Reconstruction) of the 030611 sm0052871 SECTION 6. This ordinance shall be effective thirty-first day after the date of its adoption. INTRODUCED: PASSED: AYES: NOES: ABSENT: ABSTENTIONS: on City Clerk APPROVED AS TO FORM: Mayor APPROVED: Ci:y Attorney CiEy ManaGer Director of Planning and Director of the 030611 sm 0052871 9 ATTACHMENT F City of Palo Alto City Manager’s Report TO:HONOIL~BLE CITY COUNCIL FROM:CITY MANAGER DEPARTMENT: PUBLIC WORKS 1 DATE: SUB3ECT: JANUARY 28, 2002 CMR: 128:02 AGREEMENT WITH SANTA CLARA COUNTY VALLEY TRANSPORTATION AUTHORITY FOR THE TRANSIT SHELTER MAINTEN.~CE AN~ ADVERTISING PROG1L~M RECOMMENDATION Staff requests that the City Council approve the following recommendations of the Policy and Services Committee from its November 12, 2001 meeting: Approve the Cib;’s participation in the Santa Cl~a County Valley Transportation Authorib"s (VTA) Transit Shelter Advertising Pro~am; 2.Authorize the Mayor to execute the attached Implementation Aueement (Attachment C) with VTA for the Transit Shelter Advertising Pro~am; Adopt the attached ordinance (Attachment E) amending the Sigma Ordinance of the Palo Alto Municipal Code to provide for bus shelter advertising; and 4.Rescind the current VTA Ageement dated March 1, 1996 (Attachment D). Since the Council meeting on November 12, 2001, VTA staff contacted Public Works and advised that one additional authorization would be required. The current Transit Shelter ageement identifies a ma~mum number of shelters allowed in the prouam. Adding the Palo Alto shelters into the progam will require a modification to the e~sting contract to increase the number of shelters allowed by the contract. Staff therefore reconmaends that the Ci~, Council approve the following additional recommendation. Approve expansion of the existing Transit Shelter Advertising prouam to allow for the additional Palo Alto shelters. DISCUSSION At the Policy and Sera4ces meeting on November 14, 2001, the Committee members raised the following questions regarding the proposed prouam. CMR:128:02 Page 1 of 3 _~s the shelter invento~y accurate? Staff has verified that the 30 shelters (Attachment A) are those currently maintained by the City and.is a complete list of a!l City maintained shelters. There may be additional shelters within Palo Alto Cits.~ limits but they are privately maintained and were not installed by VTA. What is the process for requesting a new shelter and what is the likelihood of the success of that request? Staff would request a new shelter from VTA. The implementation of the prouam in Palo Alto would replace the e~sting thirty shelters and allow for an expansion of an additional ten shelters. The approval process can take an?~vhere from one to six months. VTA’s criteria for installing a new shelter includes level of ridership, communi~" enhancement (proximiD. to schools, hospitals, shopping areas, communiD,~ or senior centers, and other similar facilities), the surroundingland-use (commercial/industrial versus residential); and site constraints (sidewalk area, accessibilit?, for ADA, etc). The Ci~~ does retain final approval with regard to location. Can the Ciu’ request a~,z ad shelter versus a non-ad shelter? The contract with Clear Channel requires a 3:1 ratio of ad to non-ad shelters be maintained. However, the determination of locations for advertisement shelters and non- advertisement shelters involves a collaborative effort with the City retaining the final approval. Fz,~rther clar~ the legal weight of local ordinances, i.e. Ci® sign ordinance; and direct staff to evaluate local sign ordinance and amend to specif2." areas where advertising is nor appropriate such as residential, residential arrerials, and neighborhood commercial. The proposed municipal code amendment authorizes a limited exemption to the City’s general ban on advertising in public places. The amendment v,-ould permit bus shelter advertising in locations approved by the Cita~. In general, advertising or other speech bans on punic property are acceptable unless the property is a "traditional" public forum like a park. A so-called "limited" punic forum is created when the government opens public property to some speech activities. Thus. the Cir. is effectively opening bus shelters to some speech activities. To understand the potential effects of the PAMC amendment, it has to be read both in the context of the ageement with VTA and First Amendment law. In general, we would remain concerned that VTA’s power to control the content of advertising could be challenged, in effect eliminating a layer of protection the aueement provides. In addition, the law will generally not allow distinctions in content that favor commercial messages over non-commercial messages. Accordingly, it is conceivable that non-advertising messages, like political or religious speech, could be required as a result of opening bus shelters as a limited public forum. CNLR:128:02 Page 2 of 3 Attachment A: Attachment B: .Attachment C: .Attachment D: Attachment E: PREPA_RED BY: DEPARTMENT t-~AD: Advertisement Locations Photo of New Shelters Ageement with Valley Transportation Agency Current A~eement with Valley Transportation Agency Amended Sign Ordinance to Provide for Bus Shetter Advertising , PAUL D.OKNSELL Superintendent Public Works Operauons GLEiN~z S. ROBERTS Director of Public Works L,aX SO Assistant Cib; Manager CM2K:128:02 Page 5 ors