Capital Grant
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GRANT AGREEMENT
This Grant Agreement is entered into this _ day of December, 2001, by and between
the CITY OF SALINA, KANSAS, a Kansas municipal corporation, (the "City") and the
HISTORIC FOX THEATRE OF SALINA FOUNDATION, INC., a Kansas not-for-profit
corporation, (the "Foundation").
Recitals
A. On March 20, 2000, the Board of City Commissioners adopted Resolution
Number 00-5578 expressing strong support of the restoration and re-use plans for the Historic
Fox Theatre located in downtown Salina (the "Project") developed by the Foundation.
B. On June 19,2000, the Board of City Commissioners adopted Resolution Number
00-5610 expressing the intent of the City to provide a capital grant for the Project, subject,
however, to an expiration date of December 31, 2001 (the "Resolution of Intent").
C. The Resolution of futent set forth the finding of the Board of City Commissioners
that "completion of the Project will serve the public purposes of adding significantly to Salina's
economic vitality, downtown revitalization, historic preservation, entertainment opportunities,
and overall quality of life."
D. The Resolution of Intent also expressed the intent of the City to make a capital
grant to the Foundation in the amount of $750,000 (to be paid over two calendar years) on the
conditions that (1) the Foundation document the receipt or commitment of other funding totaling
$2,150,000 and (2) the City be allowed to use the Fox Theatre without charge for community arts
and cultural activities and charitable, not-for-profit uses on four mutually agreed upon dates each
year.
E. The City has been advised that the Foundation has met and surpassed the goal of
obtaining the receipt or commitment of other funding totaling $2,150,000.
THE PARTIES, therefore, agree and covenant as follows:
1. Grant. Subject to the terms and conditions of this Grant Agreement, the City
agrees to make a capital grant to the Foundation in the total amount of $750,000 (the "Grant"),
payable in two equal installments of $375,000 each. The first such installment shall be paid by
December 31, 2001. The second and final installment shall be paid on or before January 3 I,
2002.
2. J Documentation of Other Funding. The Foundation agrees to provide the City
with documentation of the receipt or commitment of other funding for the Project totaling
$2,150,000 no later than December 21,2001.
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3. Use of Grant Funds. The Foundation shall use the Grant to pay actual capital
costs incurred in completion of the Project. The Foundation shall account to the City in order to
verify use of the Grant for the stated purpose of the Grant.
4. Contracting Authoritv. The Foundation shall be the contracting authority for the
purposes of entering into and administering any contracts necessary to complete the Project.
5. Administration. Administration of this Grant Agreement and any matters
pertaining to its implementation shall be under the direction of the City Manager.
6. City Use of Fox Theatre. Following completion of the Project, the City will be
allowed use of the Fox Theatre without charge for four mutually agreed upon dates each calendar
year. It is anticipated by the City that two of the four dates will be for community arts and
cultural activities as recommended by the Arts and Humanities Commission and that the
remaining two dates will be allocated by the City for charitable, not-for-profit uses.
7. Indemnification. The Foundation shall indemnify, defend, and hold harmless the
City and its officers, agents, and employees from all liabilities, claims, suits, judgments, damages
and expenses (including reasonable attorneys' fees) arising from or in any way related to making
the Grant.
8. Non-assi~able. This Grant Agreement, including any of the rights or obligations
hereunder, shall not be assignable by either the City or the Foundation.
9. Binding effect. This Grant Agreement shall be binding upon the parties and their
successors.
EXECUTED by the duly authorized officers of the parties the day and year first above
written.
CITY OF SALINA, KANSAS
by:
Kristin M. Seaton, Mayor
ATTEST:
Lieu Ann Nicola, City Clerk
HISTORIC FOX THEATRE OF SALINA
FOUNDATION, INC.
by:
James M. Ravenkamp, President
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