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Item #05 Approval of Licensing Agreement - Copyrighted Music as Part of City Events AGENDA ITEM COVER SHEET Jeffrey Hayes 407 -905-3180 Meeting Date: April 3, 2007 Item # ~ Reviewed By: Department Director: City Manager: Contact Name: Contact Number: !Ihr,J rJ-r Subject: Licensing agreement allowing the City to utilize copyrighted music as part of City events. Background Summary: The City has been contacted by the American Society of Composers Authors and Publishers (AS CAP) regarding the City's use of copyrighted musical works in its functions. Cities currently are required to gain permission for the right to use certain copyrighted information at public events and through Parks and Recreation programs. This right includes public performances that might be construed as sponsored by the city or the playing music at dances and recreational facilities. All this would be covered under the agreement. ASCAP has worked with the International Municipal Attorneys Association (IMLA) to author a standard contract which grants the City use of the copyrighted materials as defined in the Agreement for a period of one (1) year for fee of $284.00. Issue: Should the City Commission execute a licensing agreement to cover the public performance of AS CAP music along with a licensing fee of $284.00 for a licensing period of one (1) year? Recommendations Staff recommends the City Commission execute a licensing agreement to cover the public performance of ASCAP music along with a licensing fee of $284.00 for a licensing period of one (1) year. Attachments: .. \Aareements\ASCAP. LicenseAareementDocuments032607. pdf Financial Impact: The City will incur a fee $284.00. Type of Item: (please mark with an "x') Public Hearing _ Ordinance First Reading _ Ordinance Second Reading Resolution _ Commission Approval Discussion & Direction For Clerk's Deot Use: _ Consent Agenda _ Public Hearing _ Regular Agenda _ Original Document/Contract Attached for Execution by City Clerk _ Original Document/Contract Held by Department for Execution Reviewed by City Attorney Reviewed by Finance Dept. Reviewed by ( ) N/A N/A N/A LICENSE AGREEMENT - LOCAL GOVERNMENTAL ENTITIES Ag r e erne n t between American Society of Composers, Authors and Publishers ("SOCIETY"), located at 2690 Cumberland Parkway, Suite 490, Atlanta, GA 30339 and City of Ocoee, FL ("LICENSEE"), located at as follows: 150 N Lakeshore Dr Ocoee FL 34761-2223 1. Grant and Term of License (a) ASCAP grants and LICENSEE accepts a license to perform publicly on the "Premises" and at "Events" and "Functions," and not elsewhere or otherwise, non-dramatic renditions of the separate musical compositions in the "ASCAP repertory." The performances licensed under this Agreement may be by means of "Live Entertainment" or "Mechanical Music". For purposes of this Agreement, (i) (ii) "LICENSEE" shall include the named entity and any of its constituent bodies, departments, agencies or leagues. "Mechanical Music" means music which is performed at the Premises by means other than by live musicians who are performing at the Premises, including, but not limited to (A) compact disc, audio record or audio tape players (but not including "jukeboxes"), (B) videotape, videodisc or DVD players; (C) the reception and communication at the premises of radio or television transmissions which originate outside the Premises; and which are not exempt under the Copyright Law; or (D) a music-on-hold telephone system operated by LICENSEE at the Premises. "Live Entertainment" means music that is performed at the Premises by musicians, singers or other performers. "Premises" means buildings, hospitals, airports, zoos, museums, athletic facilities, and recreational facilities, including, but not limited to, community centers, parks, swimming pools, and skating rinks owned or operated by LICENSEE and any site which has been engaged by LICENSEE for use by LICENSEE. "ASCAP repertory" means all copyrighted musical compositions written or published by ASCAP members or members of affiliated foreign performing rights societies, including compositions written or published during the term ofthis Agreement and of which ASCAP has the right to license non-dramatic public performances. "Events" and "Functions" means any activity conducted, sponsored, or presented by or under the auspices of LICENSEE. Except as set forth in paragraph 2.( d) below, "Events" and "Functions" shall include, but are not limited to, aerobics and exercise classes, athletic events, dances and other social events, concerts, festivals, arts and crafts fairs, and parades held under the auspices of or sponsored or promoted by LICENSEE on the Premises. "Special Events" means musical events, concerts, shows, pageants, sporting events, festivals, competitions, and other events of limited duration presented by LICENSEE for which the "Gross Revenue" of such Special Event exceeds $25,000 (as defined in paragraph 4.(d) below). (b) This Agreement shall be for an initial term of one year, commencing January 01, 2007, which shall be considered the effective date of this Agreement, and continuing thereafter for additional terms of one year each. Either party may give notice of termination to the other no later than thirty (30) days prior to the end of the initial or any renewal term. If such notice is given, the agreement shall terminate on the last day of the term in which notice is given. (iii) (iv) (v) (vi) (vii) 2. Limitations On License (a) This license is not assignable or transferable by operation oflaw or otherwise. This license does not authorize LICENSEE to grant to others any right to perform publicly in any manner any of the musical compositions licensed under this agreement, nor does it authorize any public performances at any of the Premises in any manner except as expressly herein provided. (b) This license does not authorize (i) the broadcasting, telecasting or transmission or retransmission by wire, Internet, website or otherwise, of renditions of musical compositions in ASCAP's repertory to persons outside of the Premises, other than by means of a music-on-hold telephone system operated by LICENSEE at the Premises; and (ii) performances by means of background music (such as Muzak) or other services delivered to the Premises. Nothing in this paragraph shall be deemed to limit LICENSEE's right to transmit renditions of musical compositions in the ASCAP repertory to those who attend Events or Functions on the Premises by means of teleconferencing, videoconferencing or similar technology. (c) This license is limited to non-dramatic performances, and does not authorize any dramatic performances. For purposes of this agreement, a dramatic performance shall include, but not be limited to, the following: (i) performance of a "dramatico-musical work" (as hereinafter defined) in its entirety; (ii) performance of one or more musical compositions from a "dramatico-musical work (as hereinafter defined) accompanied by dialogue, pantomime, dance, stage action, or visual representation of the work from which the music is taken; (iii) performance of one or more musical compositions as part of a story or plot, whether accompanied or unaccompanied by dialogue, pantomime, dance, stage action, or visual representation; (iv) performance of a concert version of a "dramatico-musical work" (as hereinafter defined). The term "dramatico-musical work" as used in this Agreement, shall include, but not be limited to, a musical comedy, opera, play with music, revue, or ballet. (d) This license does not authorize performances: (i) at any convention, exposition, trade show, conference, congress, industrial show or similar activity presented by LICENSEE or on the Premises unless it is presented or sponsored solely by and under the auspices of LICENSEE, is presented entirely on LICENSEE'S Premises, and is not open to the general public; (ii) by or at colleges and universities; (iii) at any professional sports event or game played on the Premises; (iv) at any permanently situated theme or amusement park owned or operated by LICENSEE; (v) by any symphony or community orchestra; (vi) by means of a coin operated phonorecord player Gukebox) for which a license is otherwise available from the Jukebox License Office. 3. License Fee (a) In consideration of the license granted herein, LICENSEE agrees to pay ASCAP a license fee which includes the total of the "Base License Fee" and any applicable "Special Events License Fees", all of which shall be calculated in accordance with the Rate Schedule attached to and made part of this Agreement. For purposes of this Agreement, (i) "Base License Fee" means the annual fee due in accordance with Schedule A of the Rate Schedule and based on LICENSEE's population as established in the most recent published U.S. Census data. It does not include any fees due for Special Events. (ii) "Special Events License Fees" mean the amount due in accordance with Schedule B of the Rate Schedule when Special Events are presented by or on behalf of LICENSEE. It does not include any Base License Fees due. (iii) LICENSEES who are legally organized as state municipal and/or county leagues or state associations of municipal and/or county attorneys shall be required to pay only the fee under Schedule C of the Rate Schedule. Such leagues or associations are not subject to Schedule A or Schedule B of the Rate Schedule. Fees paid by such leagues or associations do not cover performances of the municipality, county or other local government entity represented by the league or association. Schedule C fees are not applicable to municipal, county or other local government entities. Unless otherwise limited by law, LICENSEE shall pay a finance charge of 1.5% per month from the due date, or the maximum amount permitted by law, whichever is less, on any required payment that it is not made within thirty days of its due date. 4. Reports and Payments (a) Upon the execution of this Agreement, LICENSEE shall submit: (i) a report stating LICENSEE's population based on the most recent published U.S. Census data. The population set forth in the report shall be used to calculate the Base License Fee under this Agreement; and (ii) a report containing the information set forth in paragraph 4.( d) below for all Special Events that were presented between the effective date ofthis Agreement and the execution of this Agreement. (b) The Base License Fee for the first year of this Agreement and any license fees due for Special Events that were presented between the effective date of this Agreement and the execution of this Agreement shall be payable upon the execution of this Agreement. (c) Base License Fees for subsequent years shall be due and payable within 30 days ofthe renewal date of this Agreement and shall be accompanied by a statement confirming whether any Special Events were presented during the previous calendar year. (d) Ninety days after the conclusion of each Special Event, LICENSEE shall submit to ASCAP payment for such Special Event and a report in printed or computer readable form stating: (i) the date presented; (ii) the name of the attraction(s) appearing; (iii) the "Gross Revenue" of the event. "Gross Revenue" means all monies received by LICENSEE or on LICENSEE'S behalf from the sale oftickets for each Special Event. If there are no monies from the sale of tickets, "Gross Revenue" shall mean contributions from sponsors or other payments received by LICENSEE for each Special Event; (iv) the license fee due for each Special Event. (e) If LICENSEE presents, sponsors or promotes a Special Event that is reportable under Rate Schedule B with another person or entity licensed under an ASCAP License Agreement, LICENSEE shall indicate the name, address, phone number and ASCAP account number of the other person(s) or entity(ies) and the party responsible for payment for such Special Event. If the other party is not licensed by ASCAP, LICENSEE shall pay the license fee due hereunder, notwithstanding any agreement to the contrary between LICENSEE and the other party. (t) LICENSEE agrees to furnish to AS CAP, where available, copies of all programs of musical works performed, which are prepared for distribution to the audience or for the use or information of LICENSEE or any department thereof. The programs shall include all encores to the extent possible. LICENSEE shall be under no obligation to furnish programs when they have not been otherwise prepared. (g) ASCAP shall have the right to examine LICENSEE'S books and records at LICENSEE's place of business during normal business hours to such extent as may be necessary to verify the reports required by paragraph 4.(d) above. ASCAP shall have the right to adjust LICENSEE's Base License Fee based upon the most recently available revised population figures and Population Estimates Program provided by the U.S. Census Department. 5. Breach or Default Upon any breach or default by LICENSEE of any term or condition herein contained, ASCAP may terminate this license by giving LICENSEE thirty days notice to cure such breach or default, and in the event that such breach or default has not been cured within said thirty days, this license shall terminate on the expiration of such thirty-day period without further notice from ASCAP. In the event of such termination, ASCAP shall refund on a pro-rata basis to LICENSEE any unearned license fees paid in advance. 6. Interference in Operations ASCAP shall have the right to terminate this license upon thirty days written notice ifthere is any major interference with, or substantial increase in the cost of, ASCAP's operations as the result of any law in the state, territory, dependency, possession or political subdivision in which LICENSEE is located which is applicable to the licensing of performing rights. In the event of such termination, ASCAP shall refund to LICENSEE on a pro-rata basis any unearned license fees paid in advance. 7. Non-Discrimination LICENSEE recognizes that ASCAP must license all similarly situated users on a non-discriminatory basis. LICENSEE agrees that any modifications to this Agreement by ASCAP, which are required by local, state or federal law for other municipalities, counties and other governmental entities shall not constitute discrimination between similarly situated users. Examples of such modifications are statements of equal employment opportunity or nondiscrimination on the basis of race, creed, color, sex or national origin. 8. Notices AS CAP or LICENSEE may give any notice required by this Agreement by sending it by certified United States Mail, by generally recognized same-day or overnight delivery service or by electronic transmission (i.e., Mailgram, facsimile or similar transmission) to the appropriate person/office as listed herein. Each party agrees to notify the other of any change in contact information, such as change of address, change of person/office responsible, etc. within 30 days of such change. AMERICAN SOCIETY OF COMPOSERS, AUTHORS AND PUBLISHERS LICENSEE City of Ocoee, FL By TITLE By (Fill in capacity in which signed: (a) If corporation, state corporate office held; (b) If partnership, write word "partner" under signature of signing partner; (c) If individual owner, write "individual owner" under signature.) 8221628425 --, ~ LOCAL GOVERNMENT ENTITIES 2007 Rate Schedule and Report Form ASCAP Account Number: rnTIIIIIJ Premise Name: SCHEDULE A: Base License Fee Population Size 1 50,001 75,001 100,001 125,001 150,001 200,001 250,001 300,001 350,001 400,001 450,001 500,001 to 50,000 to 75,000 to 100.000 to 125,000 to 150,000 to 200,000 to 250.000 to 300,000 to 350.000 to 400.000 to 450.000 to 500,000 and over Base License Fee $284.00 $567.00 $681.00 $909.00 $1,136.00 $1,476.00 $1.816.00 $2,158.00 $2,499.00 $2,840.00 $3,180.00 $3,521.00 *** $4,315.00 *** $4,315 plus $500 for each 100,000 of population above 500,000 to a maximum fee of $56,781 SCHEDULE B: Special Events The rate for Special Events shall be 1 % of Gross Revenue. "Special Events" means musical events, concerts, shows, pageants, sporting events, festivals, competitions, and other events of limited duration presented by LICENSEE for which the "Gross Revenue" of such Special Event exceeds $25,000. "Gross Revenue" means all monies received by LICENSEE or on LICENSEE'S behalf from the sale of tickets for each Special Event. If there are no monies from the sale of tickets, "Gross Revenue" shall mean contributions from sponsors or other payments received by LICENSEE for each Special Event. SCHEDULE C: State Municipal and/or Countv Leaaues or State Associations of Attornevs The annual license fee for LICENSEES who are legally organized as state municipal and/or county leagues or state associations of municipal and/or county attorneys shall be $284. License Fee for Year 2008 and Thereafter For each calendar year commencing 2008, all dollar figures set forth in Schedules A, Band C above (except for $500 add-on for populations of 500,001 or more) shall be the license fee for the preceding calendar year, adjusted in accordance with the increase in the Consumer Price Index - All Urban Consumers (CPI-U) between the preceding October and the next preceding October. Any additional license fees due resulting from the CPI adjustment shall be payable upon billing by ASCAP. ASCAP, 2690 Cumberland Parkway, Suite 490, Atlanta GA 30339.39131-800.505-4052770-805.3475 (FAX) Epayment Websites: http://www.ascap.com/gls_web or http://www.ascap.com ..J I 0436628425 -, ~ LOCAL GOVERNMENT ENTITIES ASCAP Account Number: ITIIIITIIJ Premise Name: 2007 Report Form SCHEDULE A: Base License Fee (Due upon execution of Agreement and within 30 days of the Agreement's Renewal Date.) Population Size: [[]],[[]],[[]] (Per current U.S. Census Data) Base License Fee: $ITIIIIID.DJ (Please refer to attached Rate Schedule) SCHEDULE B: SDecial Events* (Report and Payment due 90 days after the conclusion of each Special Event) Event Date Perfonner(s) Gross % Applies Event Fee Is A Program If The Event Is Co-Sponsored (mm/ddJyyyy) Or Group(s) Revenue- To Gross Of Musical (Please Identify The Co-sponsor's Name, Address, (If More than 1 Appearing Of Event Revenue Works Phone Number and ASCAP Account Number) Event Per Day, (Must Exceed Attached? Please Report As $25,000) (Yes/No) Separate Entries) Name:1 Address: x .01 $ o Yes ONo x .01 $ o Yes ONo Phone No.:1 Account Number: Name:1 Address: ITIIIIJI 1 x .01 $ o Yes o No Phone No.:1 Account Number: ITIIIIII. Phone No. :1 Account Number: Name:1 Address: 1 ITIIIIID I *"Special Events" means musical events, concerts, shows, pageants, sporting events, festivals, competitions, and other events of limited duration presented by LICENSEE for which the "Gross Revenue" of such Special Event exceeds $25,000. -'Gross Revenue" means all monies received by LICENSEE or on LICENSEE'S behalf from the sale of tickets for each Special Event. If there are no monies from the sale of tickets, "Gross Revenue" shall mean contributions from sponsors or other payments received by LICENSEE for each Special Event. SCHEDULE C: State MuniciDal and/or County Leaaues or State Associations of Attornevs Report Year: om Annual License Fee: $284.00 (Due within 30 days of Renewal Date.) Total Fees Reported From Any or All of Schedules A, B or C: $=.DJ Contact Person & Title Phone Number: [[]] - [[]] - om Email: I I certify the above information is true and correct. Dated: DJ I OJ I om Signature: ASCAP, 2690 Cumberland Parkway, Suite 490, Atlanta GA 30339-39131-800-505-4052770-805-3475 (FAX) Epayment Websites: http://www.ascap.com/gls_web or http://www.ascap.com Ext: rnm I Website: I Fax Number: [[]] - [[]] - om I -.J American Society of Composers, Authors and Publishers 2690 Cumberland Parkway, Suite 490 Atlanta, GA 30339 INVOICE City of Ocoee, FL 150 N Lakeshore Dr Ocoee, FL 34761-2223 March 26, 2007 Re: City of Ocoee, FL 150 N Lakeshore Dr Ocoee, FL 34761-2223 Billing Period: January 01, 2007 Thru December 31,2007 Annual Rate: $284.00 Amount Due $284.00 The only credit cards AS CAP accepts are MasterCard and VISA Payment Amount: $ Check No: Credit Card No: Expiration Date: VISA Mastercard Name exactly as on Card: Signature: Cardholder acknowledges receipt of good and/or services in the amount of the total shown hearon and agrees to perform the obligations set forth in the Cardholder's Agreement with the Issuer. Please return ALL PAGES of signed License Agreement with your payment. License fees due and payable in advance. Retain bottom portion for your records. City of Ocoee, FL 150 N Lakeshore Dr Ocoee, FL 34761-2223 Billing Period: January 01, 2007 Thru December 31,2007 Annual Rate: $284.00 Amount Due $284.00