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EXHIBIT B Compensation & Schedule of Payments (corrected 9/12/09)~a~8-~~° ~3~ EXHIBIT B COMPENSATION AND SCHEDULE OF PAYMENTS (CORRECTED SEPTEMBER 12. 20091 CITY shall pay ARTIST the total sum of Three Hundred and Twenty Seven Thousand Two Hundred Dollars ($327,200.00) for the Work contemplated in this Agreement, which sum shall represent the total compensation to ARTIST for the Project. No amount shall be paid to ARTIST for reimbursable expenses. ARTIST will be paid in accordance with the foregoing specified installments, upon submission of satisfactory invoices and documentation substantiating satisfactory completion of the portion of the Work for which payment is requested, and upon CONTRACT ADMINISTRATOR'S and/or ARCHITECT'S acceptance of said portion of the Work as applicable. Payments to ARTIST shall be made for Work satisfactorily completed in accordance with the progress toward completion of the Projecf based on the below schedule: 1. Seventeen Thousand Nine Hundred and Ninety Six Dollars ($17,996.00) (which is approximately 5% of the fixed fee) - to be paid upon the signing of the contract and the development of the work plan which will include atime-line and Scope of Work. 2. Fifty Three Thousand Nine Hundred and Eighty Eight Dollars ($53,988.00) (which is approximately 16% of the fixed fee) - to be paid upon acceptance by the CONTRACT ADMINISTRATOR and ARCHITECT of all design/development including pre-engineering and permitting (design development), and specifically: testing of materials, digital design; engineering structure and foundation; and construction drawings for fabrication, as further provided in the Scope of Work. 3. Fifty Three Thousand Nine Hundred and Eighty Eight Dollars ($53,988.00) (which is approximately 16% of the fixed) - to be paid upon submission and approval by the CONTRACT ADMINISTRATOR of contrail signing with the fabricators. 4. Eighty Nine Thousand Nine Hundred and Eighty Dollars ($89,980.00) (which is approximately 27% of the fixed fee) - to be paid upon submission to and approval by the CONTRACT ADMINISTRATOR for 50% completion of the fabrication which will include the milling of high density styrofoam molds, casting colored fiberglass, rolling Corten steel, cutting steel to fit the contours of the fiberglass, fabricate fasteners to attach fiberglass to the steel, fabricate fasteners to bolt the steel together and to the concrete slab. 5. Eighty Nine Thousand Nine Hundred and Eighty Dollars ($89,980.00) (which is approximately 27% of the fixed fee) - to be paid upon submission to and approval by the CONTRACT ADMINISTRATOR for 100% completion of the fabrication which will include the milling of high density Styrofoam molds, casting colored fiberglass, rolling Corten steel, cutting steel to fit the contours of the fiberglass, fabricate fasteners to attach fiberglass to the steel, fabricate fasteners to bolt the steel together and to the concrete slab. 6. SiMeen Thousand Two Hundred and Silly Eight Dollars ($16,268.00) (which is approximately 5% of the fixed fee) - be paid for Site visit, Site preparation, shipping materials to Site, and installation of artwork. At CONTRACT ADMINSISTRATOR'S sale option, CONTRACT ADMINISTRATOR may deem that a physical inspection of the artwork is warranted prior to payment 7. Five Thousand Dollars ($5,000.00) (which is approximately 2% of the fixed fee) - to be paid upon submission to and approval by the CONTRACT ADMINISTRATOR of Photo Documentation as outlined in Section 2.4 of this AGREEMENT. Page 1 of 5 Parcher, Robert From: Leyva, Dennis Sent: Monday, November 16, 2009 3:53 PM To: 'Brian Tolle Studio' Cc: Parcher, Robert Subject: Brian Tolle Artist Agreement Payment Schedule Attachments: EXHIBIT B Revised 11 13 09.doc Dear Brian and Nicoleta, Attached is Exhibit B Compensation Schedule with the corrected dollar amount you approved. Thank You, Dennis P.S. Copied on this email is Bob Parcher, City Clerk, City of Miami Beach From: Brian Tolle Studio [mailto:btollestudio@hotmail.mm] Sent: Tuesday, November 10, 2009 4:04 PM To: Leyva, Dennis Subject: RE: payments Hi Dennis, Yes, we are fine with the variant you propose. Thank you. Have a great day, Nicoleta Brian Tolle Studio 705 Driggs Ave #4 Brooklyn, NY 11211 718.387.9639 Subject: RE: payments Date: Tue, 30 Nov 2009 15:59:52 -0500 From: DennisLeyva@miamibeachfl.gov To: btollestudio@hotmail.com Hi Nicoletta, May I suggest the following: Sixth Payment - $16,228 Seventh Payment - $5,000 11/16/2009 Page 2 of 5 Best Regards, Dennis From: Brian Tolle Studio [mailto:btollestudio@hotmail.com] Sent: Tuesday, November 10, 2009 12:56 PM To: Leyva, Dennis Subject: payments Hi Dennis, I hope my a-mail finds you well. Regarding the adjusting of the payment, it would be great if you could divide the amount of $32,720.00 in 2 stages by adjusting the payment # 6 and Payment # 7. We were thinking about subtracting $16,360.00 from 35,992.00, which would make the 6th payment $19,632.00 and subtract $16,360.00 from $17,996.00, which would make the 7th payment $1,636.00. When we thought about this way of splitting the amount of total would be helpful to have a higher amount for the payment #6, fees. Thank you for your cooperation. Best regards, Nicoleta assistant to Brian Tolle Brian Tolle Studio 705 Driggs Ave #4 Brooklyn, NY 11211 718.387.9639 adjustment, we considered that it for the shipping and installation Subject: RE: next steps Date: Fri, 25 Sep 2009 13:55:05 -0400 From: DennisLeyva@miamibeachfl.gov To: btollestudio@hotmail.com Dear Nicoletta, The City will pay for the actual cost of the permit fee and not for the work or services incurred by the Artist or their representative to obtain the permit. Additionally, the Agreement on Page 6, Article 4 Compensation, Sec. 4.3 and 4.4 states that payments are based on submission of invoices and written Project progress reports and documentation. 4.3 ARTIST may submit invoices for compensation no more often than on a monthly basis, but only after the portion of the Work for which the invoice is submitted has been satisfactorily completed and accepted by 11/16/2009 Page 3 of 5 the CONTRACT ADMINISTRATOR and/or ARCHITECT, as applicable. An original invoice plus one copy shall be submitted to both CONTRACT ADMINISTRATOR and ARCHITECT, within fifteen (15) days of the end of the month, except the final invoice which must be received no later than sixty (60) days after completion of all Work by ARTIST. Invoices shall designate the nature and portion of the Work pertormed (percentage of completion). All invoices must be signed off and approved by both CONTRACT ADMINISTRATOR and ARCHITECT as a condition of approval for payment by CITY. A written Project progress report shall accompany each invoice, describing the Work completed during that period. Photographic documentation demonstrating progress of the Work shall also be included with each invoice, if required by the CONTRACT ADMINISTRATOR. 4.4 CITY shall pay ARTIST only for Work satisfactorily performed and accepted by the CONTRACT ADMINISTRATOR and/or ARCHITECT, as applicable, within thirty (30) calendar days of receipt by the CITY of ARTIST's proper invoice. Invoices shall be submitted by ARTIST to the CITY as follows: Furthermore, on page 21, Exhibit B, Compensation and Schedule of Payments states payments are based on submission of permits and copies of the contracts signed by fabricators. Please follow these requirements on all future payment requests. Best, Dennis P.S. Attached is a copy of January 16, 2008, Commission Memo requesting increasing the budget of artwork from $250,000 to $359,920 (including contingency fee). The memo has a line item budget based on the information that Brian provided and it appears the Tine item for handling and storage won't be needed. From: Brian Tolle Studio [mailto:btoliestudio@hotmail.com] Sent: Tuesday, September 22, 2009 5:23 PM To: Leyva, Dennis Subject: RE: next steps Dear Dennis, Thank you for your reply. It seems that adjusting the Payment 6 is a more convenient solution. I want to draw your attention to the Exhibit A -Permits and Approvals where it is specified that the City agrees to pay for any required permit fee (please see below the mentioned section). We estimated our expanses related to the permitting process to be between $5,000.00 and $10,000.00. Considering these, please advise. Thank you. Best regards, Nicoleta assistant to Brian Tolle PERMITS AND APPROVALS: ARTIST shall prepare applications and such documents and design data as may be required to procure approvals from all such governmental authorities that have jurisdiction over the Project. The ARTIST shall participate in meetings, submissions, resubmissions and negotiations with such authorities. The ARTIST shall respond to comments by such authorities in a timely manner to adhere to Project Schedule. ARTIST shall be responsible for formally transmitting and receiving permits to and from the respective jurisdictional authorities. However, the ARTIST shall coordinate permitting and approval re/ated issues with the ARCHITECT, and copy the CONTRACT ADMINISTRATOR on all permit related correspondence. The receipt of all necessary permits is a condition precedent to the fabrication of the Work. The CITY agrees to pay for any required permit fees. As of the effective date of this Agreement, it is anticipated that the following governmental authorities or may have jurisdiction over Project. 11/16/2009 Page 4 of 5 • The City of Miami Beach Building Department . The City of Miami Beach Planning Department . The City of Miami Beach Public Works Department . The City of Miami Beach Historic Preservation Board Notwithstanding the above, the CITYs failure to identify governmental authorities that may have jurisdiction over Project shall not relieve the ARTIST from the responsibility to procure all requisite permits. Brian Tolle Studio 705 Driggs Ave Brooklyn, NY 11211 718.387.9639 Subject: RE: next steps Date: Fri, 18 Sep 2009 16:02:50 -0400 From: DennisLeyva@miamibeachfl.gov To: btollestudio@hotmail.com There are six payments left just tell me how you want the $32,720 adjusted9 From: Brian Tolle Studio [mailto:btollestudio@hotmail.wm] Sent: Friday, September 18, 2009 3:05 PM To: Leyva, Dennis Subject: RE: next steps Definitely can't deduct from one particular payment. Let me mull it over a bit. Thanks Dennis. Brian C. Brian Tolle Studio 705 Driggs Ave Brooklyn, NY 11211 718.387.9639 Subject; RE: next steps Date: Fri, 18 Sep 2009 13:31:39 -0400 From: DennisLeyva@miamibeachfl.gov To: btollestudio@hotmail.com Dear Brian, As per our conversation we need to make a modification to the Artist Agreement, Exhibit B Compensation and Schedule of Payments, which totals $359,920; to reflect the correct amount of $327,200 as stated in Article 4.1 of the Artist Agreement. The dollar amount of the adjustment is $32,720. We can make the adjustment by: • Adjusting Payment 6 by subtracting $32,720 from $35,992, which would make the 6th payment $3,272; or 1 I /16/2009 Page 5 of 5 Divide $32,720 into the 6 remaining payments, which would reduce each payment by approximately $5,453. Best Regards, Dennis From: Brian Tolle Studio [mailto:btollestudio@hotmail.com] Sent: Thursday, September 17, 2009 2:33 PM To: Leyva, Dennis Subject: next steps Hi Dennis, I've looked over the entire contract and understand the discrepancy you point out. First, I'd like to know what your remedy will be. Once I understand what your approach, I may have some suggestions. Thank you, Brian C. Brian Tolle Studio 705 Driggs Ave Brooklyn, NY 11211 718.387.9639 Microsoft brings you a new way to search the web. Trv Bing now I, Bing brings you maps, menus, and reviews organized in one place. ~ it now. Hotmail has ever-growing storage! Dont worry about storage limits. Check it out. Hotmail: Trusted email with Microsoft's powerful SPAM protection! Sign uo now. Hotmail: Trusted email with powerful SPAM protection. 11/16/2009