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HomeMy WebLinkAboutCSD-06-074 - Artery Gallery - Proposal for Renewal of Lease ) ~ Community Services ~ Report To: Date of Meeting: Submitted By: Prepared By: Ward(s) Involved: Date of Report: Report No.: Subject: Finance and Corporate Services Committee June 12, 2006 Keith Baulk, Acting General Manager, Community Services Cheryl York, Arts/Culture Co-ordinator - Ext 3381 Ward 1 May 22,2006 CSD-06-074 ARTERY GALLERY - PROPOSAL FOR RENEWAL OF LEASE RECOMMENDATION: That Council approve a four-month extension, September 1, 2006 - January 1, 2007, of the lease agreement with the University of Waterloo Fine Arts Department and Dean of Arts Office for operation of the Artery Gallery at 158 King Street West; and, That the agreement be amended to allow for month-to-month tenancy of the property thereafter; and, That changes to the agreement are subject to the satisfaction of the City Solicitor; and, That the Mayor and Clerk be authorized to execute the amended agreement, subject to the satisfaction of the City Solicitor. BACKGROUND: In March 2004 (CSD-04-056) the City of Kitchener entered a partnership with the University of Waterloo Fine Arts Department and Dean of Arts Office to support the development of a student-run gallery at 158 King Street West. Through a tenancy agreement, the University has been responsible for the property's utilities bills (heat, hydro, water) at a rate of $2,750 for the period September 1, 2005 to August 31, 2006. The Artery Gallery has operated an active program of exhibitions and lectures throughout its tenancy, bringing energy and audiences to Kitchener's core. The University of Waterloo Fine Arts Department offers credits for students completing volunteer duties in the Gallery, enhancing the educational component at the site. CSD-06-074 Paae 2 REPORT: The term of the current agreement extends from September 1, 2005 to August 31, 2006, with a termination clause in which either party is required to provide 60 days notice. The City recently received a proposal from the University of Waterloo regarding an extension of the current lease agreement. The proposed change covers the period September 1,2006 to December 31,2006. From January 1, 2007, the agreement would proceed on a month-to-month basis. The University would continue its insurance coverage of two million dollars comprehensive general liability and pay utilities costs of $2,750 per annum. Staff presented the proposal to the Asset Management Steering Committee on February 21, 2006 and to the Corporate Management Team on March 21, 2006. At both meetings, an extension to the existing agreement, as detailed above, was recommended. University of Waterloo representatives have indicated that they will program the gallery space until either the City asks them to vacate the premises, or until they find an alternative location. They are actively searching for longer term solutions to provide for ongoing operation. The gallery space has been an innovative and positive development of the Fine Arts Department, and a model for cultural activity in the downtown core. FINANCIAL IMPLICATIONS: There is no bottom line impact of this arrangement to the City as it is based on cost recovery. The first payment will be for a four-month period, followed by monthly payments thereafter. COMMUNICATIONS: The Artery Gallery operation, a pioneering art endeavour in the Downtown, builds relationships within the arts community while it links the University of Waterloo and the broader community. . Such programming responds to the recommendations and furthers the principles of Culture Plan II, as well as the "core function" of the City Centre District stated in the Downtown Strategic Plan (2005 - 2007). Cheryl York, Arts Culture Co-ordinator KB