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HomeMy WebLinkAboutStaff Report 14427 City of Palo Alto (ID # 14427) City Council Staff Report Meeting Date: 6/13/2022 Report Type: Consent Calendar City of Palo Alto Page 1 Title: Approval of Contract Amendments to Extend Three Public-Private Partnership Agreements Between the City of Palo Alto and TheatreWorks, Palo Alto Players, and West Bay Opera for the use of the Lucie Stern Community Theatre for an Additional Year From: City Manager Lead Department: Community Services Recommendation Staff recommends that the City Council approve and authorize the City Manager to execute three amendments to extend the public-private partnership agreements between the City of Palo Alto and TheatreWorks, Palo Alto Players, and West Bay Opera for cooperative use of the Lucie Stern Community Theatre for an additional year (July 1, 2022 – June 30, 2023). Background The Lucie Stern Community Theatre is used by three local companies: TheatreWorks, Palo Alto Players, and West Bay Opera, collectively producing approximately 15 productions each year. These partnerships provide the companies with an artistic home, an essential component of their ongoing existence, offering stability through the up and downs of the economy during times when cutbacks in government, foundation and corporate funding for the arts are the national norm. In return, the companies collectively provide culturally enriching theatrical experiences for more than 45,000 audience members annually. TheatreWorks was founded by San Francisco Bay Area native Robert Kelley in 1970 as a theatre arts workshop for teenage and college students. Chartered by the City to produce work that would reflect the concerns of the community during an unsettled period in American life, the company produced thirteen wholly original works for the stage in its first three years. When the Mountain View Center for the Performing Arts opened in 1991, the company began producing five main stage productions there each season, along with three productions each season at the Lucie Stern Theatre. Palo Alto Players became the Peninsula’s first theatre company in 1931 when a group of 100 residents gathered together to create a theatre dedicated to the Palo Alto community. Initially, productions were held at a makeshift performance space in the Palo Alto Community House adjacent to the train station (now MacArthur Park Restaurant). Soon after, Lucie Stern invited City of Palo Alto Page 2 the Players to be the resident theatre company at the Community Theatre. In 1974, the Palo Alto Players dissolved their ties with the Parks and Recreation Department, becoming an independent company. Since that time, the City of Palo Alto has continued to support the Palo Alto Players with performance, rehearsal and shop space. West Bay Opera was founded by Henry Holt in 1955. Originally called the Little Opera Guild, the company began presenting fully staged operatic performances. Under the leadership of Mr. Holt, who was succeeded by his wife, Maria Holt, and then by the present director, José Luis Moscovich, West Bay Opera has grown steadily. Discussion Theatre Works, Palo Alto Players and West Bay Opera’s usage of the Lucie Stern Community Theatre are covered by public-private partnership agreements, which have been in place for decades. Given the long history of these partnerships and the cultural benefits of providing the Palo Alto community with a diverse range of artistic events, staff recommends that the City Council approve a one-year extension of the existing public-private partnership, with additional measures in place to ensure public safety at live events. The existing agreement names TheatreWorks Silicon Valley, Palo Alto Players, and West Bay Opera as Resident Theatre Companies of the Community Theatre, allowing them use of the Lucie Stern Community Theatre auditorium and ancillary spaces, including rehearsal hall, costume shop, scene shop and dressing rooms, for a term of three years (FY2018 – FY2021) (Staff Report #9684). Council approved an amendment to extend the agreement for one additional Fiscal Year, through FY2022 on June 14, 2021. (Staff Report #12257). The Resident Theatre Companies do not pay rent for use of the Community Theatre. Pre- pandemic revenue from use of the theatre by the three Resident Theatre Companies, derived from a $2.00 fee (in lieu of rent) for each ticket sold, plus, as of FY2020, a “Stern Theatre Improvement Fee” of $2.00 for each ticket sold, averaged $58,000 per year over a 5-year period. The Stern Theatre Improvement fee is collected to offset the costs of building maintenance, enhancements, improvements, repairs and new equipment and furnishings for the theatre facility. Live theater performances were not allowed or were limited in audience size during most of the pandemic and as a result, the lack of ticket sales resulted in a loss of revenue to the City from these fees. This amendment extends the existing agreement for one additional fiscal year, through FY2023. It also clarifies the terms in Section 24 of Article A of the agreement (“Responsibilities of the Contractor”) related to the Resident Theatre Companies use of space at the Lucie Stern Community Center free of charge for up to ten (10) hours per year. The current requirement provided a range of three (3) to ten (10) free hours depending on the room size while this amendment provides a maximum of ten (10) hours regardless of room size. This amendment City of Palo Alto Page 3 also clarifies that the Theatre Companies may have to pay for a City facility attendant during regularly unstaffed hours. The clarification in this amendment will help reduce any confusion regarding the Theatre Companies use of Lucie Stern Community Center. Stakeholder Engagement These agreements have been coordinated with all contracting parties including the amended clarifying language on specific terms of use. Resource Impact No additional City resources are required to enact the recommendations in this report, and it is anticipated that this partnership will lead to enhanced programs over the life of the agreement. Policy Implications This partnership would be categorized as a public/private partnership under the City’s Public- Private Partnership Policy (Policy 1-25: Public/Private Partnerships). Staff notes that the City Auditor is currently finalizing an audit of the City’s nonprofit partnership agreements. The recommendations of that audit may lead to policy changes that could be reflected in future partnership agreements. These partnerships are also consistent with the City’s Comprehensive Plan Policy C-1.5, which states, “Work with Stanford University and other educational institutions, private, nonprofit, faith-based, public community service organizations and neighborhood associations, with the goal of enhancing the quality of life for Palo Alto’s student and residential communities. Increase opportunities for shared use among groups in the community at different times through public private partnerships and by developing programs, facilities and community services that ensure safe, non-discriminatory access to community services. “ Environmental Review Approval of the amendments attached is not a Project within the meaning of the California Environmental Quality Act. Attachments: • Attachment A: TheaterWorks Silicon Valley - Theater Amendment 2 • Attachment B: West Bay Opera - Theater Amendment 2 • Attachment C: Palo Alto Players - Theater Amendment 2 City of Palo Alto TheatreWorks Silicon Valley Form Vers.: Aug. 5, 2019 Amendment No. 2 Page 1 of 3 AMENDMENT NO. 2 TO CONTRACT BETWEEN THE CITY OF PALO ALTO AND THEATREWORKS SILICON VALLEY This Amendment No. 2 (this “Amendment”) to the Agreement For Performing Arts Services Between the City of Palo Alto and TheatreWorks Silicon Valley (the “Contract” as defined below) is entered into as of June 7, 2022 by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and TheatreWorks Silicon Valley, a California nonprofit public benefit corporation, located at 350 Twin Dolphin Drive, Suite 127, Redwood City, CA 94065 (“CONTRACTOR”). CITY and CONTRACTOR are referred to collectively as the “Parties” in this Amendment. R E C I T A L S A. The Contract (as defined below) was entered into by and between the Parties hereto for the provision of theatrical productions and use of City facilities, as detailed therein. B. The Parties now wish to amend the Contract to extend the term of contract by twelve months, from the original end date of June 30, 2021 through June 30, 2023, for the continued provision of services described in the Contract. NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Amendment, the Parties agree: SECTION 1. Definitions. The following definitions shall apply to this Amendment: a. Contract. The term “Contract” shall mean the Contract titled “Agreement for Performing Arts Services Between the City of Palo Alto and TheatreWorks Silicon Valley,” between CONSULTANT and CITY, dated November 10, 2018, as amended by: i. Amendment No. 1, dated June 8, 2021. b. Other Terms. Capitalized terms used and not defined in this Amendment shall have the meanings assigned to such terms in the Contract. SECTION 2. Section 10 of the Contract is hereby amended to read as below. Subsections 10a. through 10d. shall remain as written in the Contract. 10. Term, Termination & Breach. This Agreement shall commence as of November 10, 2018 and shall terminate on June 30, 2023 (the “Term”). The Term of this Agreement may DocuSign Envelope ID: 32481DEF-37B2-400D-BB6A-0C87B274A11C City of Palo Alto TheatreWorks Silicon Valley Form Vers.: Aug. 5, 2019 Amendment No. 2 Page 2 of 3 be amended by mutual written agreement of the Parties to this Agreement pursuant to Section 16 (“Amendment”). SECTION 3. Section 24 of Exhibit A (“Responsibilities of the Contractor”) is hereby amended to read as below: 24. Contractor may be entitled, based on availability and at the discretion of the City, to a maximum of 10 hours of single room usage at the Lucie Stern Community Center to use each fiscal year on a gratis basis. Single room usage that takes place outside of Lucie Stern Community Center hours of operation may be subject to charges associated with a facilities attendant. The 10 hours will not be applicable to Saturday afternoon/evening venue usage, exclusive usage bookings, and is not permissible to use at any rental sites other than the Lucie Stern Community Center. Contractor may schedule no more than 12 calendar months in advance. Contractor may rent spaces at the non-profit rates per the Municipal Fee Schedule if their request does not fall within the 10 hour parameters. SECTION 4. Legal Effect. Except as modified by this Amendment, all other provisions of the Contract, including any exhibits thereto, shall remain in full force and effect. SECTION 5. Incorporation of Recitals. The recitals set forth above are terms of this Amendment and are fully incorporated herein by this reference. (SIGNATURE BLOCK FOLLOWS ON THE NEXT PAGE.) DocuSign Envelope ID: 32481DEF-37B2-400D-BB6A-0C87B274A11C City of Palo Alto TheatreWorks Silicon Valley Form Vers.: Aug. 5, 2019 Amendment No. 2 Page 3 of 3 SIGNATURES OF THE PARTIES IN WITNESS WHEREOF, the Parties have by their duly authorized representatives executed this Amendment effective as of the date first above written. CITY OF PALO ALTO City Manager APPROVED AS TO FORM: City Attorney or designee THEATREWORKS SILICON VALLEY Officer 1 By: Name: Title: Officer 2 By: Name: Title: DocuSign Envelope ID: 32481DEF-37B2-400D-BB6A-0C87B274A11C Board Chair Holly Ward Executive Director Phil Santora City of Palo Alto West Bay Opera Form Vers.: Aug. 5, 2019 Amendment No. 2 Page 1 of 2 AMENDMENT NO. 2 TO CONTRACT BETWEEN THE CITY OF PALO ALTO AND WEST BAY OPERA This Amendment No. 2 (this “Amendment”) to the Agreement For Performing Arts Services Between the City of Palo Alto and West Bay Opera (the “Contract” as defined below) is entered into as of June 7, 2022 by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and WEST BAY OPERA, a California nonprofit public benefit corporation, located at 221 Lambert Ave, Palo Alto, CA 94306 (“CONTRACTOR”). CITY and CONTRACTOR are referred to collectively as the “Parties” in this Amendment. R E C I T A L S A. The Contract (as defined below) was entered into by and between the Parties hereto for the provision of theatrical productions and use of City facilities, as detailed therein. B. The Parties now wish to amend the Contract to extend the term of contract by twelve months, from the original end date of June 30, 2022 through June 30, 2023, for the continued provision of services described in the Contract. NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Amendment, the Parties agree: SECTION 1. Definitions. The following definitions shall apply to this Amendment: a. Contract. The term “Contract” shall mean the Contract titled “Agreement for Performing Arts Services Between the City of Palo Alto and West Bay Opera,” between CONSULTANT and CITY, dated November 10, 2018, as amended by: i. Amendment No. 1, dated June 8, 2021. b. Other Terms. Capitalized terms used and not defined in this Amendment shall have the meanings assigned to such terms in the Contract. SECTION 2. Section 10 of the Contract is hereby amended to read as below. Subsections 10a. through 10d. shall remain as written in the Contract. 10. Term, Termination & Breach. This Agreement shall commence as of November 10, 2018 and shall terminate on June 30, 2023 (the “Term”). The Term of this Agreement may be amended by mutual written agreement of the Parties to this Agreement pursuant to Section 16 (“Amendment”). DocuSign Envelope ID: 5C8AE554-16E0-4458-8182-0D72D475F77B City of Palo Alto West Bay Opera Form Vers.: Aug. 5, 2019 Amendment No. 2 Page 2 of 2 SECTION 3. Section 24 of Exhibit A (“Responsibilities of the Contractor”) is hereby amended to read as below: 24. Contractor may be entitled, based on availability and at the discretion of the City, to a maximum of 10 hours of single room usage at the Lucie Stern Community Center to use each fiscal year on a gratis basis. Single room usage that takes place outside of Lucie Stern Community Center hours of operation may be subject to charges associated with a facilities attendant. The 10 hours will not be applicable to Saturday afternoon/evening venue usage, exclusive usage bookings, and is not permissible to use at any rental sites other than the Lucie Stern Community Center. Contractor may schedule no more than 12 calendar months in advance. Contractor may rent spaces at the non-profit rates per the Municipal Fee Schedule if their request does not fall within the 10 hour parameters. SECTION 4. Legal Effect. Except as modified by this Amendment, all other provisions of the Contract, including any exhibits thereto, shall remain in full force and effect. SECTION 5. Incorporation of Recitals. The recitals set forth above are terms of this Amendment and are fully incorporated herein by this reference. SIGNATURES OF THE PARTIES IN WITNESS WHEREOF, the Parties have by their duly authorized representatives executed this Amendment effective as of the date first above written. CITY OF PALO ALTO City Manager APPROVED AS TO FORM: City Attorney or designee WEST BAY OPERA Officer 1 By: Name: Title: Officer 2 By: Name: Title: DocuSign Envelope ID: 5C8AE554-16E0-4458-8182-0D72D475F77B Jose Luis Moscovich General Director Dr. Robert Schwartz City of Palo Alto Palo Alto Players Form Vers.: Aug. 5, 2019 Amendment No. 2 Page 1 of 3 AMENDMENT NO. 2 TO CONTRACT BETWEEN THE CITY OF PALO ALTO AND PALO ALTO PLAYERS This Amendment No. 2 (this “Amendment”) to the Agreement For Performing Arts Services Between the City of Palo Alto and Palo Alto Players (the “Contract” as defined below) is entered into as of June 7, 2022 by and between the CITY OF PALO ALTO, a California chartered municipal corporation (“CITY”), and Palo Alto Players, a California nonprofit public benefit corporation, located at 1305 Middlefield Road #1, Palo Alto, CA 94301 (“CONTRACTOR”). CITY and CONTRACTOR are referred to collectively as the “Parties” in this Amendment. R E C I T A L S A. The Contract (as defined below) was entered into by and between the Parties hereto for the provision of theatrical productions and use of City facilities, as detailed therein. B. The Parties now wish to amend the Contract to extend the term of contract by twelve months, from the current end date of June 30, 2022 through June 30, 2023, for the continued provision of services described in the Contract. NOW, THEREFORE, in consideration of the covenants, terms, conditions, and provisions of this Amendment, the Parties agree: SECTION 1. Definitions. The following definitions shall apply to this Amendment: a. Contract. The term “Contract” shall mean the Contract titled “Agreement for Performing Arts Services Between the City of Palo Alto and Palo Alto Players,” between CONSULTANT and CITY, dated November 10, 2018, as amended by: i. Amendment No. 1, dated June 8, 2021. b. Other Terms. Capitalized terms used and not defined in this Amendment shall have the meanings assigned to such terms in the Contract. SECTION 2. Section 10 of the Contract is hereby amended to read as below. Subsections 10a. through 10d. shall remain as written in the Contract. 10. Term, Termination & Breach. This Agreement shall commence as of November 10, 2018 and shall terminate on June 30, 2023 (the “Term”). The Term of this Agreement may be amended by mutual written agreement of the Parties to this Agreement pursuant to Section 16 (“Amendment”). City of Palo Alto Palo Alto Players Form Vers.: Aug. 5, 2019 Amendment No. 2 Page 2 of 3 SECTION 3. Section 24 of Exhibit A (“Responsibilities of the Contractor”) is hereby amended to read as below: 24. Contractor may be entitled, based on availability and at the discretion of the City, to a maximum of 10 hours of single room usage at the Lucie Stern Community Center to use each fiscal year on a gratis basis. Single room usage that takes place outside of Lucie Stern Community Center hours of operation may be subject to charges associated with a facilities attendant. The 10 hours will not be applicable to Saturday afternoon/evening venue usage, exclusive usage bookings, and is not permissible to use at any rental sites other than the Lucie Stern Community Center. Contractor may schedule no more than 12 calendar months in advance. Contractor may rent spaces at the non-profit rates per the Municipal Fee Schedule if their request does not fall within the 10 hour parameters. SECTION 4. Legal Effect. Except as modified by this Amendment, all other provisions of the Contract, including any exhibits thereto, shall remain in full force and effect. SECTION 5. Incorporation of Recitals. The recitals set forth above are terms of this Amendment and are fully incorporated herein by this reference. (SIGNATURE BLOCK FOLLOWS ON THE NEXT PAGE.) City of Palo Alto Palo Alto Players Form Vers.: Aug. 5, 2019 Amendment No. 2 Page 3 of 3 SIGNATURES OF THE PARTIES IN WITNESS WHEREOF, the Parties have by their duly authorized representatives executed this Amendment effective as of the date first above written. CITY OF PALO ALTO City Manager APPROVED AS TO FORM: City Attorney or designee PALO ALTO PLAYERS Officer 1 By: Name: Title: Officer 2 By: Name: Title: