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FY 2016-17 Art in Public Places (APP) Annual ReportCity of La Quinta CITY COUNCIL MEETING: December 5, 2017 STAFF REPORT AGENDA TITLE: RECEIVE AND FILE FISCAL YEAR 2016/17 ART IN PUBLIC PLACES ANNUAL REPORT RECOMMENDATION Receive and file the Fiscal Year 2016/17 Art in Public Places Annual Report. EXECUTIVE SUMMARY Per the Municipal Code, the City must expend or commit fees from the Art in Public Places (APP) program within two years of receipt and monies collected must be accounted for in a separate fund. An annual review of administrative expenses is required. There were no administrative expenses for 2016/17. Attachment 1 presents the required analysis; the City has complied with the time limit for expenditure of fees and there are no findings to report. FISCAL IMPACT – None BACKGROUND/ANALYSIS The Municipal Code governs the APP fund. Annually, the City must demonstrate that it has complied with the following: A determination whether or not the fees have been committed for use within two years of collection; fees may be used for: The cost to purchase or create public art and its installation; The cost to purchase or lease art sites; Waterworks, landscaping, lighting and other objects, which are an integral part of the artwork; Frames, mats, pedestals and other objects necessary for proper presentation; Walls, pools, landscaping or other architectural or landscape architectural elements necessary for the proper aesthetic and structural placement; Maintenance and repair; Administrative expenses to implement the APP program; Endowments; and Art replacement. CONSENT CALENDAR ITEM NO. 8 101 Administrative expenses were reasonably assessed to implement this program and that they do not exceed five percent of the total funds in the account on July 1 of any year or $25,000 in any fiscal year. If fees collected are not committed for the aforementioned uses, they are returned to the contributor. Staff analyzed APP fund revenues and expenditures, and no reimbursements are due to contributors. There were no excess administrative costs. During 2016/17, the APP funds were used to purchase the following art pieces: Lawrence Edwards Meyers – Flight of Man Lawrence Edward Meyers – Patent Pending Christine Hausserman – Eclipse ALTERNATIVES As the report is a requirement of the Municipal Code, staff does not recommend an alternative action. Prepared by: Karla Campos, Finance Director Approved by: Frank J. Spevacek, City Manager Attachment: 1. Art in Public Places FY 2016/17 Annual Financial Report 102 City of La Quinta ATTACHMENT 1 Art in Public Places (Fund 270) FY 2016/17 Annual Report Beginning Ending Account Description Fund Balance FY 16/17 Fund Balance Revenues & Other Sources: Developer fees 44,920 Interest income 2,740 Reimbursements Total Sources 47,660$ Expenditures & Other Uses Art Purchases 31,500 Maintenance of Public Art 32,812 Project Administration - Transfers Out for Construction Art Project 0 Total Uses 64,312 Total Available 566,985$ (16,651)$ 550,334$ Two Year Test Using First In First Out Method Summary of Funds Beginning Fund Balance Revenues Collected Expenditures Committed Unspent June 30, 2013 665,689 53,770 253,573 282,627 183,259 June 30, 2014 677,886 99,190 86,993 271,307 418,776 June 30, 2015 682,810 115,356 110,432 253,768 433,966 June 30, 2016 682,810 47,187 163,012 529,000 37,985 June 30, 2017 566,985 47,660 64,312 522,000 28,334 Total Revenue For Last Five Years 315,503$ 614,010$ 1,336,702$ Result : Two Year Spent or Committed Test Met Future commitments for unspent funds are detailed below. Art in Public Places Expenses and Future Commitments Capital Projects and Expenses FY 16/17 Expenses Committed % Complete % funded with fee Sculpture Restorations and Maintenance 29,643 100% 100% Acknowledgement Plaques and Signs 1,850 100% 100% Veterans Day Event Art Piece Updates 1,319 100% 100% Christine Hausserman - Eclipse Art Purchase 3,500 100% 100% Lawrence E. Meyers - Flight of Man Art Purchase 10,000 100% 100% Lawrence E. Meyers - Patent Pending Art Purchase 18,000 100% 100% FY 2017/18 Budget for Art Purchases and Maintenance 122,000 2% 100% Carryovers for Capital Projects - Dune Palms Bridge 200,000 0%1% Shovel Ready Art Projects 200,000 0% TBD Total 64,312 522,000 The Art in Public Places fund is used to account for fees paid in lieu of acquisition, installation, replacement, maintenance and repair of approved art works at approved sites. The fees are refundable if not expended or committed within two years. 103 104