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• ORDINANCE NO. 16,225 •
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AN ORDINANCE GRANTING A FRANCHISE TO
PLACE ADVERTISING BENCHES ON PUBLIC
TRANSIT ROUTES IN THE CITY OF LITTLE
ROCK, ARKANSAS; DECLARING AN
EMERGENCY; AND FOR OTHER PURPOSES.
WHF.RF.AS, the City of Little Rock owns the right -of -way in
which bus benches and shelters are located for use by the
Central Arkansas Transit Authority; and
WHEREAS, the current franchise for the use of City
right -of -ways for the purpose of placing bus benches expired on
May 1, 1992; and
WHEREAS, after a competitive bid process the City has
selected a firm to receive this franchise for a period of five
years, with an option to renew for an additional five years if
the franchisee proves acceptable to the City.
NOW, THEREFORE, BE IT ORDAINED BY THE BOARD OF DIRECTORS OF
THE CITY OF LITTLE ROCK, ARKANSAS:
SECTION 1. The City Manager is authorized to enter into a
franchise agreement with Benches, Etc., Inc. for the placement
of bus benches and shelters in a form substantially the same as
that as attached Exhibit "A ".
SECTION 2. EMERGENCY CLAUSE. The ability of a City to
control the advertising, placement, and maintenance of bus
benches and shelters along City transit routes is necessary to
preserve the health safety and welfare of the City; this
franchise has already expired and it is necessary to get a new
franchise in place as soon as possible. An emergency is
therefore declared to exist and this ordinance shall be in full
force and effect from and after the date of its execution.
PASSED: June 2, 1992
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APPROVED AS TO FORK:
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i • � 404
THIS FRANCHISE AGREEMENT made and entered into this the
day of , 1992, by and between the CITY OF LITTLE
ROCK, hereinafter referred to as "City" and
, hereinafter referred to as "Licensee ".
WITNESSETH:
WHEREAS, Licensee agrees to enter into an agreement with
the City for the placement of rest benches and shelters within
the public right -of -way along the designated public transit
routes of the City of Little Rock; and
AREAS, the Licensee agrees to the contractual arrangement
with the City by entering into an agreement with the City
regarding the placement and maintenance of rest benches and
shelters within the public right -of -way along the designated
public transit routes within the City; and
WHEREAS, the City believes that it will continue to be in
the best interest of the citizens of the City of Little Rock to
provide rest benches and shelters along public transit routes
throughout the City, and also believes that the agreement with
Licensee for the placement and maintenance of such rest benches
and shelters within the City limits should be granted.
NOW, THEREFORE and in consideration of the premises and the
mutual covenants and agreements hereinafter set forth, the City
and the Licensee agree as follows:
1. For and in consideration of such franchise,
the Licensee agrees to pay to the City of
Little Rock the sum of and
Dollars per year for each bench
placed upon any bus route in the City of
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Little Rock, said fee being payable in
advance annually within thirty (30) days from
approval.
3. The Licensee shall provide annually to the
City, on or about September 1 of each year, a
complete inventory showing the location of
each bench and shelter within the City
limits. Prior to the placement of any
additional benches or shelters along
designated public transit routes by the
Licensee within the City, the Licensee shall
submit to the City a list of the additional
sites proposed for the placement of benches
or shelters along designated public transit
routes and shall obtain the approval of such
sites by the City prior to placing any
additional benches or shelters within the
City limits. Such approval is not to be
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the effective date or anniversary date of
this ordinance.
2.
The City does hereby grant unto Licensee,
subject to the conditions stated herein, the
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sole and exclusive privilege and right to
place rest benches and shelters along
designated public transit routes within the
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City. All benches and shelters placed within
the City limits pursuant to this agreement
shall be durable and attractive in
appearance. Sale or assignment of this
franchise shall be subject to the City's
approval.
3. The Licensee shall provide annually to the
City, on or about September 1 of each year, a
complete inventory showing the location of
each bench and shelter within the City
limits. Prior to the placement of any
additional benches or shelters along
designated public transit routes by the
Licensee within the City, the Licensee shall
submit to the City a list of the additional
sites proposed for the placement of benches
or shelters along designated public transit
routes and shall obtain the approval of such
sites by the City prior to placing any
additional benches or shelters within the
City limits. Such approval is not to be
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construed to be, nor will it be, approval by
the City of the fitness of such site for a
bench or shelter with regard to the
suitability, security or safety of the
location for any such use, nor as such
placement relates to any visual or physical
impairment or obstruction of pedestrians,
joggers, runners or the occupants or
operators of vehicles, motorcycles, bicycles
or any other form of transportation or
conveyance. Licensee agrees to promptly
remove or relocate any bench or shelter upon
instruction from the City to do so.
4. The Licensee shall have the exclusive right
and privilege to place advertisements upon
the benches and shelters or to rent, license
or sell the right to use said benches and
shelters for advertising purposes. Provided,
however, that the City reserves the right to
disapprove of any advertisement in any
location based upon the reasonable discretion
of the City; and upon notice of any
disapproval, Licensee shall remove such
advertisement immediately.
5. The Licensee shall regularly inspect and
shall at all times maintain the benches and
shelters -- as well as the area immediately
under and surrounding the benches and
shelters reasonably necessary for the use of
such benches and shelters by the public -- in
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a good and neat condition, and shall promptly
remedy any defects in maintenance or
condition.
6. The Licensee agrees to indemnify and save
harmless the City against and from any and
all claims, of whatsoever nature, by or on
behalf of any person or persons,
partnerships, corporations, or other entities
arising from Licensee's conduct of the
business contemplated herein (including but
not limited to the placement of advertising
or the failure or refusal to place any
advertising on the benches and shelters) or
from any accident in or about the bench or
shelter sites, and will further indemnify and
save the City harmless against and from any
and all claims arising from any breach or
default on the part of the Licensee in the
performance of any covenant or agreement on
the part of the Licensee to be performed
pursuant to the terms of this agreement, or
arising from any act or negligence of the
Licensee, or any of its agents, contractors,
servants, employees or licensees, and from
and against all costs, counsel fees, expenses
and liabilities incurred incident to any such
claim or action brought thereon; and in case
any action or proceeding be brought against
the City by reason of any such claim, the
Licensee, upon notice from the City,
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covenants to resist or defend, at Licensee's
expense, such action or proceeding by counsel
reasonably satisfactory to the City. This
obligation shall not be limited by the limits
of coverage of any policy of insurance.
7. The Licensee shall keep and maintain in full
force and effect during the term of this
agreement, comprehensive general liability
insurance with combined liability limits for
bodily injury, personal injury, property
damage and contractual obligations (with
particular reference to this agreement) of
$1,000,000.00 for each occurrence with an
aggregate of $1,000,000.00 and shall name the
City as an additional named insured.
Insurance shall be issued by an insurer whose
business reputation, financial stability and
claims payment reputation is satisfactory as
determined by such insurer's rating by Bests
Rating Service. The Bests Rating Service
shall not be less than an "A" rating. All
insurance coverages of the Licensee, whether
required or not, shall contain a waiver of
Subrogation clause, waiving subrogation
against the City of Little Rock. Unless
otherwise agreed, the form and type of
insurance shall conform to the following
minimum requirements:
Required insurance shall be documented in the
Certificates of Insurance which provide that
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the City of Little Rock shall be notified at
least thirty (30) days in advance of
cancellation, nonrenewal or adverse change or
restriction in coverage. The City of Little
Rock shall be named on each Certificate as an
Additional Insured and this Agreement shall
be listed. If required by the City, the
Licensee shall furnish copies of the
Licensee's insurance policies, forms,
endorsements, jackets and other items forming
a part of, or relating to such policies.
Certificates shall be on the °Certificate of
Insurance" forms, acceptable to the City. Any
wording in a Certificate which would make
notification of cancellation, adverse change
or restriction in coverage to the City an
option shall be deleted or crossed out by the
insurance carrier or the insurance carrier's
agent or employee. The Licensee shall replace
any cancelled, adversely changed, restricted
or non- renewed policies with new policies
reasonably acceptable to the City and shall
file with the City Certificates of Insurance
under the new policies prior to the effective
date of such cancellation, adverse change or
restriction. If any policy is not timely
replaced, in a manner acceptable to the City,
the Licensee shall, upon instructions of the
City, cease all operation under this
Agreement until directed by the City, in
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writing, to resume operations. The Licensee
required coverage shall be considered
primary, and all other insurance shall be
considered as excess, over and above the
Licensee's coverage. The Licensee's policies
of coverage will be considered primary as
related to all provisions of this Agreement.
8. The Licensee shall have the right to contract
with other parties for the construction,
placement and maintenance of said benches and
shelters and for the solicitation of
advertisement thereon.
9. If the Licensee receives a written notice
from the City to perform any particular act
or obligation under this agreement, the
Licensee shall do so within fifteen days.
Provided, however, upon receipt of written or
oral notice from the City that any bench or
shelter is unsafe, defective or in need of
repair, the Licensee shall immediately post a
prominent notice of warning on such bench or
shelter and shall repair such bench or
shelter within such reasonable period as the
City Manager may direct. Failure to so act in
a timely fashion shall constitute breach of
contract and shall be cause for the City to
cancel this agreement without liability to
the City. However, while the City may inspect
any benches subject to this Agreement,
nothing contained in this agreement shall
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obligate the City to perform any type of
inspections of such benches or shelters
regarding safety, maintenance, location or
condition. Such inspections are the sole
responsibility of the Licensee.
10. This agreement shall be in full force and
effect for a term of five years from the date
hereof. Provided, however, the Licensee shall
have the option to extend the term of this
agreement for an additional five years if the
City finds that the Licensee or its assignee
has satisfactorily performed its obligations
under this agreement. If Licensee exercises
its option to extend this agreement at the
end of its initial five year term, the City
reserves the right to increase the amount of
the liability insurance maintained by the
Licensee if the risk factors considered by
the City, in its sole discretions, require an
increase in insurance coverage, provided that
Licensee shall not be required upon the
exercise of its option to extend this
agreement to maintain more than $2,000,000 in
liability coverage. If the City requires
Licensee to increase its liability coverage,
it shall advise Licensee in writing of the
criteria on which the City based its
decision. Thereafter, on each anniversary
date of the insurance policy during the five
year extension period, the City reserves the
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right to increase the amount of the liability
insurance maintained by Licensee if the
criteria utilized by the City at the end of
the initial five year term in determining
whether the liability insurance coverage
maintained by Licensee should be increased
requires an increase in coverage, provided
that any increase shall not exceed $1,000,000
a year, and the aggregate coverage during the
extension period shall not exceed $4,000,000.
If the City requires Licensee to increase the
amount of its liability insurance coverage,
Licensee shall obtain such increased coverage
within ninety (90) days after receiving
notice from the City to increase the
coverage.
11. If any paragraph, sentence, clause, or
provision of this agreement is held invalid,
then such invalidity shall not affect the
other provisions of this agreement which can
be given effect without the invalid
provisions, and to this end the provisions of
this agreement are declared severable.
12. This agreement may be cancelled by either
party thirty (30) days after written notice
of such cancellation, return receipt
requested, has been deposited in the U.S.
mail.
13. This agreement shall be governed by all laws,
state, county or federal, applicable to the
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City of Little Rock, Arkansas and
particularly shall assure that licensee shall
not violate laws for equal opportunity
employment.
14. This agreement represents the entire and
integrated agreement between the City and
Licensee and supersedes all prior
negotiations, representations or agreements
either written or oral between the parties
hereto relating to the subject matter hereof.
This agreement may be amended only by written
instrument signed on behalf of both the City
and Licensee by the respective authorized
representatives of the City and Licensee.
IN WITNESS WHEREOF, the City of Little Rock has caused
these presents to be executed by its City Manager and attested
by the City Clerk.
CITY OF LITTLE ROCK, ARKANSAS
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