CITY COUNCIL STAFF REPORT

DATE: November 12, 2020 NEW BUSINESS

SUBJECT: CONSIDERATION AND DIRECTION ON PLACEMENT OF THE FOREVER SCULPTURE ON MUSEUM WAY BETWEEN MUSEUM DRIVE AND BELARDO ROAD ADJACENT TO THE DOWNTOWN PARK

FROM: David H. Ready, City Manager

BY: Marcus L. Fuller, Assistant City Manager

SUMMARY

PS Resorts, a City tourism organization, has requested the City Council's consideration to authorize placement of the Forever Marilyn sculpture within Museum Way between Museum Drive and Belardo Road adjacent to the Downtown Park.

RECOMMENDATION:

Provide direction to staff on the following:

1. Placement of the Forever Marilyn sculpture created by the artist Seward Johnson within Museum Way between Museum Drive and Belardo Road adjacent to the Downtown Park;

2. Authorize the City Manager to execute a three-year License Agreement with PS Resorts in a form approved by the City Attorney authorizing the placement of the Forever Marilyn sculpture within Museum Way;

3. Authorize the City Engineer to proceed with the process of vacating the public's vehicular access rights on a portion of Museum Way between Museum Drive and Belardo Road.

BUSINESS PRINCIPAL DISCLOSURE:

PS Resorts is a California mutual benefit corporation. Mutual benefit corporations, like other not-for-profit organizations, are created for social welfare purposes within. the meaning of Internal Revenue Code section 501 (c)(4). They have no "owners" in the sense that for-profit corporations do. A search of the Secretary of State of California shows that, as of January 22, 2020, Aftab Dada was the Chief Executive Officer of PS City Council Staff Report November 12, 2020 - Page 2 Placement of Forever Marilyn Sculpture

Resorts, Robert Hunt is the Secretary, and Steven Boswell is the Chief Financial Officer. Tamara Stevens is listed as the Executive Administrator.

BACKGROUND

In May of 2012, the City of Palm Springs and PS Resorts entered into a "Destination Palm Springs Agreement." PS Resorts was established as a mutual benefit corporation, consisting of representatives from each of the resort hotels within the City who charge "resort fees" to guests staying at their hotels. The stated corporate purpose of PS Resorts is to "create, foster, and enhance events, attractions and activities that would attract visitors to Palm Springs, and otherwise promote Palm Springs as a premier destination."

The PS Resorts agreement provides for revenue directly generated by PS Resorts members (resort hotels) solely for the purposes of developing and facilitating events and attractions that directly relate to the City's tourism efforts, including special events and parades, conventions, and other activities that are intended to generate more visitors to Palm Springs to increase hotel room occupancy rates, thereby increasing business for the City's retailers, restaurants and bars.

One of the major accomplishments of PS Resorts was its ability to acquire on loan the Forever Marilyn sculpture from the Sculpture Foundation (now incorporated as The Seward Johnson Atelier, Inc.).

The Forever Marilyn statue is a 26-foot tall sculpture weighing 34,000 pounds manufactured of painted stainless steel and aluminum representing a super-sized tribute to 's iconic scene from Billy Wilder's 1955 comedy, The Seven Year Itch, with the figure capturing the instant a blast of air from a New York City subway grate raises her white dress. 1 The sculpture was originally displayed in , as shown in the photo below.

1 Description taken from Wikipedia.org 2 City Council Staff Report November 12, 2020 - Page 3 Placement of Forever Marilyn Sculpture

In May 2012, PS Resorts had acquired the sculpture on loan from the Sculpture Foundation and it was placed prominently at the corner of Palm Canyon Way and Tahquitz Canyon Way, shown in the photo below.

The temporary placement' was intended to generate activity and interest in downtown Palm Springs, given the scheduled demolition of the former Desert Fash ion Plaza and the recently approved new hotel and commercial/retail development - Downtown Palm 3 City Council Staff Report November 12, 2020 - Page 4 Placement of Forever Marilyn Sculpture

Springs. Based on the constant line of people taking photos, and the media impressions generated by the sculpture, the temporary placement of it was a successful effort to increase tourism and promote Palm Springs as a premier tourist destination.

In May 2014, the sculpture was removed due to the planned construction of the Downtown Palm Springs project that occurred from 2014 through 2016. Forever Marilyn has been on display in other areas of the country. However, PS Resorts remained in contact with The Seward Johnson Atelier, Inc. with its intention to acquire the sculpture for display in Palm Springs.

In planning the design of the new Downtown Park, the City envisioned a place for Forever Marilyn along the east side of the park on the west side of Belardo Road, shown below.

Construction of the Downtown Park continues and a space for the Forever Marilyn sculpture has been reserved as shown; however, PS Resorts strongly believes that placement of the sculpture in this location is not ideal as it does not provide the appropriate backdrop that the sculpture had in the position displayed at Palm Canyon Drive and Tahquitz Canyon Way with the mountains in the background, as represented in the other photo shown below. 4 City Council Staff Report November 12, 2020 - Page 5 Placement of Forever Marilyn Sculpture

STAFF ANALYSIS:

PS Resorts is working to finalize an acquisition of the Forever Marilyn sculpture from The Sculpture Foundation. However, before moving forward they are looking for direction from City Council on their request to place the sculpture on Museum Way as a public tourism exhibition intended to complement the Downtown Park as well as the Palm Springs Art Museum. PS Resorts has provided a letter outlining its request, included as Attachment 1.

Finding a prominent location for a display of the Forever Marilyn sculpture has been a goal of both Staff and PS Resorts. An optimal location must provide: (1) a safe environment for the public to queue for photos; (2) high visibility; and (3) provide a dynamic backdrop for pictures - which in turn highlight Palm Springs as a tourist destination as those pictures are shared on social media many times over. 5 City Council Staff Report November 12, 2020 - Page 6 Placement of Forever Marilyn Sculpture

A range of options considered by Staff and PS Resorts included the following:

• A location within the Downtown Park (on public property): The sculpture could be positioned at the northwest corner of Museum Way / Belardo Road within the Downtown Park with a backdrop of the park itself and the mountain in the background, however, the sculpture introduces an element within the park itself that may not be considered complementary to the existing design elements of the park. Also, queueing for photos may represent a safety hazard with traffic passing on adjacent streets. Finally, this location is not as highly visible as other locations considered.

• The southwest corner of Belardo Road I Museum Way (on private property): The sculpture could be positioned at the southwest corner of Museum Way / Belardo Road on private property currently owned by Grit Development. An option was considered with extension of the existing walkway deck to allow for placement of the sculpture at this location, subject to future negotiations with the City and Grit Development. However, the positioning of the sculpture was less ideal, and queueing for photos may represent a safety hazard with traffic passing on adjacent streets. Finally, this location is not as highly visible as other locations considered.

• Frances Stevens Park (on public property): The sculpture could be displayed within Frances Stevens Park; however, the sculpture would compete with the existing public artwork acquired by the City in 2000 - Rainmaker- the 25-foot high sculpture and water feature constructed at the northeast corner of Palm Canyon Drive and Alejo Road (removal of the fountain would likely be required). Moreover, placement of the statue on this site would not allow for orientation with the mountain background for photos.

• On Museum Way adjacent to the Downtown Park (on public property): This location has been identified by PS Resorts as its preferred location and meets the requirements for high visibility (via direct view from Palm Canyon Drive along Museum Way to the Palm Springs Art Museum), and by deploying the bollards on either end of Museum Way between Museum Drive and Belardo Road (adjacent to the Downtown Park) - thereby restricting vehicles - the entire segment of Museum Way may be provided to pedestrians for queuing and photos in a safe manner. The location and position of the sculpture will also provide an ideal photo orientation by having both the mountains and the iconic Palm Springs Art Museum in the background.

Staff recommends the City Council provide direction to Staff, and to the extent the City Council supports placing Forever Marilyn on Museum Way, to authorize Staff to coordinate preparation and execution of a legally sufficient License Agreement with PS Resorts for its placement up to three years. Additionally, placing the sculpture on the public street will require the City Council to formally vacate vehicular public access rights on Museum Way through a street vacation process - requiring a future Public Hearing. Through that process, easements would be reserved for public pedestrian

6 City Council Staff Report November 12, 2020 - Page 7 Placement of Forever Marilyn Sculpture access and public utilities, but the legal access rights for vehicles would be eliminated until restored by the City Council.

ENVIRONMENTAL IMPACT:

Placement of the Forever Marilyn sculpture on Museum Way may be considered a "project" pursuant to CEQA. Section 21084 of the California Public Resources Code requires Guidelines for Implementation of CEQA. The Guidelines are required to include a list of classes of projects which have been determined not to have a significant effect on the environment and which are exempt from the provisions of CEQA. In response to that mandate, the Secretary for Resources identified classes of projects that do not have a significant effect on the environment and are declared to be categorically exempt from the requirement for the preparation of environmental documents. In accordance with Section 15301 "Existing Facilities," Class 1 projects consist of the operation, repair, maintenance, permitting, leasing, licensing, or minor alteration of existing public structures, facilities, mechanical equipment or topographical features involving negligible or no expansion of use beyond that existing at the time of the lead agency's determination. Therefore, in accordance with Section 15301 (c), Staff determined that placing the Forever Marilyn sculpture on Museum Way is considered categorically exempt from CEQA.

FISCAL IMPACT:

PS Resorts is negotiating a lease/purchase option for the Forever Marilyn statue utilizing their organization's funds. Placement of the statue is believed to have a positive impact on the City's local economy as a tourist attraction. Staff notes very high levels of pedestrian interest in Forever Marilyn during the 2012-14 time period in which the statue was placed on the Tahquitz corner site downtown. Moreover, social media pictures of visitors with the statue - and Palm Springs signage in the background - seemed to have a "viral" promotional impact of our City as a tourism destination.

Marcus Fuller, PE, PLS, MPA Assistant City Manager

Attachments: 1. PS Resorts Letter

7 ATTACHMENT 1

8 • RESORTS

October 29, 2020 Aftab Dada CHAIRMAN OF Mayor Geoff Kors THE BOARD Mayor Pro-Tern Christy Holstege Councilmember Lisa Middleton Councilmember Dennis Woods Celeste Brackley Councilmember Grace Garner VICE CHAIRMAN City Manager Dr. David Ready Assistant City Manager Marcus Fuller City Clerk Anthony Mejia Robert Hunt SECRETARY Palm Springs City Hall 3200 East Tahquitz Canyon Way Palm Springs, CA 92262 Steven Boswell TREASURER

Re: Forever Marilyn

Dear Mayor Kors, Mayor Pro-Tern Holstege, Councilmembers Middleton, Woods and Garner, City Manager Dr. David Ready, Assistant City Manager Marcus Fuller and City Clerk Anthony Mejia:

We are pleased to announce that the Board of Directors of PS Resorts unanimously supports returning the Forever Marilyn statue to Palm Springs and having the statue installed on Museum Way.

We request the statue location be on Museum Way, west of Belardo and south of the new Downtown Park. This location has superb visibility from Palm Canyon Drive. Additionally, the site will make the popular Forever Marilyn statue a viable contribution toward establishing Museum Way as a visitor and pedestrian-friendly Downtown "Art Walk". These benefits will marvelously compliment the objectives of the adjacent Downtown Park and Palm Springs Art Museum.

Currently, PS Resorts is negotiating purchase terms with the Sculpture Foundation, the owner of the Forever Marilyn statue. We are negotiating lease/option terms whereby PS Resorts may lease Marilyn for two years with the option to buy. We have also negotiated a price of $1 million for an outright purchase. The outright purchase is the most favorable choice for PS Resorts and the City of Palm Springs.

We are hopeful that the City will unanimously support PS Resorts and share our enthusiasm as we complete our negotiations with the Sculpture Foundation to bring Forever Marilyn back to Palm Springs where she belongs.

P.O. Box 4607 • Palm Springs, CA 92263 • 760-779-6990 • www1'S-RESORTS.com 9 • RESORTS

Thank y u for your dedication to complete our Downtown and thank you for your tireless fforts to boost Palm Springs as a safe destination in this COVID crisis. Aftab Dada CHAIRMAN OF Your eonsideration of this request is most appreciated. THE BOARD

Celeste Brackley ~ftab aa, Hilton Palm Springs, PS Resorts Chairman VICE CHAIRMAN ste Brackley, ACE Hotel & Swim Club, PS Resorts Vice-Chairman Rob rt Hunt, Alcazar Palm Springs, PS Resorts Secretary Robert Hunt Steven Boswell, Palm Mountain Resort & Spa, PS Resorts Treasurer SECRETARY Matt Shough, Avalon Palm Springs, Ingleside Inn & Melvyn's Alicia Araujo, Caliente Tropics Kurt Englund, Colony Palms Steven Boswell Shannon Anderson, Hilton Palm Springs TREASURER Autumn Griffith, Holiday House & Sparrow's Lodge Jim Pulver, Hyatt Suites Palm Springs La Dona Canevaro, Hyatt Suites Palm Springs Peggy Trott, Kimpton, the Rowan Palm Springs Peter Lenton, L'Horizon Resort & Spa Matt Huss, Margaritaville Palm Springs Alison Wickerham, Marquis Villas Brandon Mccurley, Parker Palm Springs Paul Patino, The Saguaro Palm Springs Greg Grossman, V Palm Springs Phillip Conner, Villa Royale Eric Hill, Hotel Zoso Harold Matzner, Chairman Palm Springs International Film Festival & Spencer's Restaurant Michael Braun, Grit Development Scott White, Greater Palm Springs Convention & Visitors Bureau Jerry Keller, Lulu's Palm Springs Bruce Hoban, Vacation Rental Owners & Neighbors of Palm Springs Keith McCormick, McCormick's Palm Springs Collectors Car Auctions Rob Hampton, Palm Springs Convention Center Lynnie Green, Renaissance Palm Springs Tim Ellis, Ellis Hospitality Services Doug Watson, College of the Desert Palm Springs Campus

P.O. Box 4607 • Palm Springs, CA 92263 • 760-779-6990 • www'PS-RESORTS.com 10