Item 12_25-1922 Draft Ordinance Amending Chapter 7-2 Final — original pdf

Backup

City of Austin File ID: xx-xxxx Council Meeting Backup: Date ORDINANCE NO. AN ORDINANCE AMENDING CITY CODE CHAPTER 7-2 RELATING TO THE CITY’S ART IN PUBLIC PLACES PROGRAM. BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF AUSTIN: PART 1. City Code Section 7-2-1 (Definitions) is amended to alphabetize the list, revise existing definitions, and add new definitions to read: In this chapter: (1) ART means a unique work of art or an artistically designed art feature that enhances the aesthetics of a building, bridge, streetscape, park, or other project for which funds are appropriated as described in this chapter and includes a mural, sculpture, garden, water feature, or other feature that appeals to the senses or the intellect. (2) [CONSTRUCTION] CAPITAL PROJECT COST means the cost of a project to the City as determined in accordance with Section 7-2-6 ([Construction] Capital Project Cost Calculation). (3) CULTURAL DISTRICTS means districts primarily focused on preserving, promoting, or celebrating the cultural heritage, arts, and creative expression of a community. (4) DENSITY BONUS PROGRAM means a program that provides modifications to Title 25 (Land Development) and other regulatory-related benefits in exchange for community benefits. (5) GUIDELINES means the established process for how the City implements the Art in Public Places program, including but not limited to the selection, purchase, commission, placement, maintenance, and repairs of works of art generated. (6) (7) PLANNED UNIT DEVELOPMENT (PUD) means a development that combines two or more zoning uses on a property. PRIVATE DEVELOPMENT means land or property development or redevelopment undertaken on private property. 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 4/20/2026 9:55 AM Page 1 of 10 COA Law Department 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 City of Austin File ID: xx-xxxx Council Meeting Backup: Date (8) PRIVATE PROPERTY means property or assets owned by individuals, businesses, or organizations that are not controlled by a governmental or public entity. (9) PROGRAM MANAGER means the individual designated in Section 7-2-2 (Art In Public Places Program Manager). (10) PROJECT means a capital project funded in whole or in part by the City: (a) to construct or remodel a building, decorative or commemorative structure, or parking facility; (b) to acquire parkland or to develop a park; (c) for a street improvement project, other than street repair or reconstruction; (d) for creation of or an improvement to a streetscape; (e) for a bridge [including the incorporation of an artistic feature into the structural design]; (f) for a water or wastewater treatment facility; (g) to deliver a public building utilizing alternative delivery models, including for the use of a public facilities corporation; or (h)[(g)] that is an appropriate project for art as recommended by the Art in Public Places Committee [Panel] and Arts Commission and approved by the [city] council. (11) PUBLIC ART FUND means a fund established by the City which shall account for funds appropriated through non-bond funds, City transfers, private donations, and other contributions identified in the guidelines. (12) PUBLIC FACILITIES CORPORATION is a public purpose entity created by the City under the Texas Public Facilities Corporation Act (Chapter 303, Texas Local Government Code), to assist the City in financing, refinancing, or providing public facilities. [(3) CONSTRUCTION COST means the cost of a project to the City as determined in accordance with Section 7-2-4 (Construction Cost Calculation).] 4/20/2026 9:55 AM Page 2 of 10 COA Law Department 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 City of Austin File ID: xx-xxxx Council Meeting Backup: Date (13)[(4)] STREETSCAPE means an improvement to a public right-of-way, including a sidewalk, tree, light fixture, sign, and furniture. PART 2. City Code Section 7-2-2 (Art in Public Places Administrator) is amended to read: §7-2-2 Art in Public Places Program Manager [Administrator]. The director of Austin Arts, Culture, Music, and Entertainment, or other department or office designated by the city manager [the Economic Growth and Redevelopment Services Office] shall designate [an] a program manager [art in public places administrator] to perform the functions described in this chapter. PART 3. City Code Section 7-2-3 (Art in Public Places Panel) is amended to read: §7-2-3 Art in Public Places Committee [Panel] The Arts Commission shall appoint an Art in Public Places Committee [Panel] to perform the functions described in this chapter. PART 4. City Code Section 7-2-4 (Construction Cost Calculation) is moved to Section 7-2-6 and Section 7-2-5 is renumbered to Section 7-2-4 and is amended to read: §7-2-4 [Construction Cost Calculation (A) In this section: (1) DEBT ISSUANCE COST means the cost to the City to issue bonds for a project. (2) DEMOLITION COST means the cost to remove a building or other existing structure from a project site. (3) EQUIPMENT COST means the cost of equipment or furnishings that are portable or of standard manufacture and used in a project. The term excludes equipment or furnishings: (a) that are custom designed; or (b) that create a new use for a project. (4) PERMIT AND FEE COST means the cost of the permits and fees associated with a project. 4/20/2026 9:55 AM Page 3 of 10 COA Law Department 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 109 110 111 112 113 114 115 116 117 118 City of Austin File ID: xx-xxxx Council Meeting Backup: Date (5) REAL PROPERTY ACQUISITION COST means the cost to acquire land, including an existing building or structure, for a project, including appraisal and negotiation costs. (B) Except as provided in Subsections (C) and (D), construction cost is the cost of a project to the City after deducting: (1) debt issuance cost; (2) demolition cost; (3) equipment cost; (4) permit and fee cost; and (5) real property acquisition cost. (C) (D) In calculating the construction cost of a project to acquire or develop parkland, the real property acquisition cost is not deducted. If the source of funding or the law governing a project does not permit an expenditure for art, the affected funds are excluded from the calculation of construction cost.] FUNDING FOR ART. (A) Except as otherwise provided in this section, the council shall appropriate an amount equal to at least two percent of the [construction] capital project cost [of a project] to select, acquire, and display art. The appropriation shall be a separate item in the project budget. This limitation does not apply if the council determines, after receiving a recommendation from the Arts Commission, that the project merits or requires a greater or lesser appropriation. (1) Capital projects, in coordination with Austin Arts, Culture, Music, and Entertainment, seeking an exception from the two percent appropriation must first obtain approval from the city manager or designee prior to Arts Commission and council approval. (2) Capital projects utilizing alternate delivery models, including the use by a public facilities corporation, shall appropriate an amount equal to at least two percent of the total capital project cost per Subsection (A). (2) Subsection (A)(2) does not apply to affordable housing projects. 4/20/2026 9:55 AM Page 4 of 10 COA Law Department 119 120 121 122 123 124 125 126 127 128 129 130 131 132 133 134 135 136 137 138 139 140 141 142 143 144 145 146 147 148 149 150 151 152 City of Austin File ID: xx-xxxx Council Meeting Backup: Date (B) The program manager may work with City departments to develop specific requirements and processes for appropriations to the Public Art Fund in the guidelines. [Subsection (A) does not apply to a project with a construction cost of less than $100,000.] (C) Private developments, including but not limited to planned unit developments (PUDs), density bonus programs, cultural districts, and other private developments, are encouraged to appropriate an amount equal to at least two percent of the capital project cost. Appropriations from private developments shall be transferred to the public art fund and may be used to support the Art in Public Places program, including but not limited to art maintenance, repairs, restorations, programming, community engagement, and related activities. [An appropriation under this section may not exceed $300,000 for a water and wastewater treatment facility.] (D) If there are no legal restrictions and the council determines that a project is inappropriate for a display of art, the council shall transfer the appropriation to the Public Art Fund for use at other appropriate public sites in the amount [of money] required by this section. [This does not authorize the transfer of money from one project to another if a legal restriction on the source of money prohibits the transfer.] (E) Unused project appropriations without legal restrictions may be pooled and used at the discretion of the program manager to supplement the Art in Public Places program (e.g. supplement existing projects, support the Art in Public Places collection, support Art in Public Places staffing, develop and implement programming, community engagement, art maintenance, and repairs). (F) If there are no legal restrictions, up to five percent of the two percent allocation may be used for structural repairs and improvements of any existing public art projects. PART 5. City Code Section 7-2-6 (Budget Estimates) is renumbered to Section 7-2-5 and amended to read: §7-2-5 [6] Art Budget [Estimates] A City department director or designee [head] who prepares a budget, authorization request, or appropriation request for a project shall: (1) consult with the program manager [art in public places administrator]; [and] 4/20/2026 9:55 AM Page 5 of 10 COA Law Department 153 154 155 156 157 158 159 160 161 162 163 164 165 166 167 168 169 170 171 172 173 174 175 176 177 178 179 180 181 City of Austin File ID: xx-xxxx Council Meeting Backup: Date (2) (3) include in the budget or request the funding for art required by Section 7-2-4 [5] (Funding For Art); and include council-approved budget adjustments to ensure two percent of [construction] capital project costs are appropriated for public art. PART 6. City Code Section 7-2-4 ([Construction] Capital Project Cost Calculation) is moved to Section 7-2-6 and is amended to read: §7-2-6  [CONSTRUCTION] CAPITAL PROJECT COST CALCULATION. (A) In this section: (1) DEBT ISSUANCE COST means the cost to the City to issue bonds for a project. (2) DEMOLITION COST means the cost to remove a building or other existing structure from a project site. (3) EQUIPMENT COST means the cost of equipment or furnishings that are portable or of standard manufacture and used in a project. The term excludes equipment or furnishings: (a) that are custom designed; or (b) that create a new use for a project. (4) PERMIT AND FEE COST means the cost of the permits and inspection fees associated with a project. (5) REAL PROPERTY ACQUISITION COST means the cost to acquire land, including an existing building or structure, for a project, including appraisal and negotiation costs. (6) ARCHITECTURAL COST means the cost of professional services provided by a licensed architect. (7) ENGINEERING COST means the cost of professional services provided by a licensed engineer. (8) ADMINISTRATIVE COST means the cost associated with indirect costs for a project, including interest during construction, advertising and legal fees, planning costs, and project management costs. 4/20/2026 9:55 AM Page 6 of 10 COA Law Department 182 183 184 185 186 187 188 189 190 191 192 193 194 195 196 197 198 199 200 201 202 203 204 205 206 207 208 209 210 City of Austin File ID: xx-xxxx Council Meeting Backup: Date (B) Except as provided in Subsections (C) and (D), [construction] capital project cost is the cost of a project to the City after deducting: (1) debt issuance cost; (2) demolition cost; (3) equipment cost; (4) permit and fee cost; [and] (5) real property acquisition cost; (6) architectural cost; (7) engineering cost; and (8) administrative cost. (C) (D) In calculating the [construction] cost of a project to acquire or develop dedicated parkland, the real property acquisition cost is not deducted. If the source of funding or the law governing a project does not permit an expenditure for art, the affected funds are excluded from the calculation of [construction] capital project cost. PART 7. City Code Section 7-2-7 (Project Review and Art Recommendations) is amended to read: (A) Subject to the limitation of Subsection (B), the Art in Public Places Committee [Panel] shall, with the advice of the program manager [art in public places administrator], review a project and make recommendations to the Arts Commission regarding appropriations for art and placement of the art. (B) The Art in Public Places Committee [Panel] may not recommend proposed art that requires extraordinary operation or maintenance expenses without the prior approval of the director of the department responsible for the art after installation. (C) The Arts Commission shall review the recommendations of the Art in Public Places Committee [Panel] and make recommendations to the city manager or the council, as appropriate. 4/20/2026 9:55 AM Page 7 of 10 COA Law Department 211 212 213 214 215 216 217 218 219 220 221 222 223 224 225 226 227 228 229 230 231 232 233 234 235 236 237 238 City of Austin File ID: xx-xxxx Council Meeting Backup: Date (D) The guidelines may further detail the roles and responsibilities for the Art in Public Places Committee, Sponsor Department, and program manager. PART 8. City Code Section 7-2-8 (Guidelines) is amended to read: (A) The City [Arts Commission] shall establish guidelines for the implementation of this chapter to ensure alignment with City policies, administrative procedures, and fiscal practices, in consultation with the Arts Commission and [. The commission shall consult with] the Art in Public Places Committee [Panel and the art in public places administrator before establishing the guidelines]. (B) The guidelines shall include methods to: (1) determine whether a project is inappropriate for the display of art; (2) integrate art into a project; (3) identify suitable art objects for a project; (4) competitively select art; (5) select and commission artists; (6) (7) encourage the preservation of works of art with [ethnic] cultural heritage significance [arts and crafts]; facilitate the preservation of art objects and artifacts that may be displaced by a project; (8) define eligible and ineligible expenditures for the two percent allocation; and (9) [(8)] administer this chapter. PART 9. City Code Section 7-2-9 (Art Placement) is amended to read: The art funded by this chapter shall be an integral part of the project or be placed in, at, or near the project. To the extent there are no legal restrictions, if art funded by this chapter cannot be an integral part of the project, it can be placed in the following areas, if it improves the public visibility and engagement: (1) in the nearby vicinity of the project; or 4/20/2026 9:55 AM Page 8 of 10 COA Law Department 239 240 241 242 243 244 245 246 247 248 249 250 251 252 253 254 255 256 257 258 259 260 261 262 263 264 265 266 267 City of Austin File ID: xx-xxxx Council Meeting Backup: Date (2) in any publicly accessible or visible areas or properties owned by the City. City-owned property includes sites secured through long-term easements or controlled by local government corporations, including but not limited to the Austin Housing Finance Corporation, Austin Public Facility Corporation, and the Austin Housing Public Facility Corporation. PART 10. City Code Section 7-2-10 (Art Maintenance) is amended to read: §7-2-10 Art Maintenance and Repairs. (A) The City department at which art is displayed is responsible for routine maintenance of the art and shall comply with any applicable contractual requirements and obtain the approval of the program manager before performing art maintenance. (B) Any repair of the artwork shall be considered an expense of the Public Art Fund and managed by Austin Arts Music, Culture, and Entertainment. [The responsible City department shall obtain the approval of the art in public places administrator before performing art maintenance.] (C) The program manager may work with City departments to develop specific maintenance requirements in the guidelines or for specific works of art. [The responsible City department shall perform art maintenance in accordance with the City's contractual obligations relating to the art, if any.] PART 11. City Code Section 7-2-11 (Fee Waivers) is amended to read: The City waives the following fees[, as set by the City's annual fee ordinance,] for a City-sponsored art project approved under this chapter [are waived]: (1) Temporary Use of Right-of-Way Fee; (2) Excavation Fee; (3) Special Events Fee; (4) License Agreement Fee; (5) Site Plan Review Fee; (6) Site Exemption Review Fee; (7) General Permit Fee; 4/20/2026 9:55 AM Page 9 of 10 COA Law Department City of Austin File ID: xx-xxxx Council Meeting Backup: Date (8) Building Permit Fee; (9) Electrical Permit Fee; (10) Plumbing Permit Fee; (11) Historic Review for Building Permit Fee; (12) Tree Permit Fee; and, (13) any other development-related fees required for review, permitting, inspection, or final approval of the artwork , including fees for reactivation, revisions, maintenance, and reissuance. PART 12. City Code Section 7-2-12 (Title to Art) is amended to read: Title to art required by this chapter shall vest in the City. The City is the owner of the works of art commissioned, accessioned, acquired, or donated into the Art in Public Places collection. Art in Public Places are the stewards of the collection. PART 13. This ordinance takes effect on __________________, 2026. PASSED AND APPROVED , 2026 § § § _______________________________ Kirk Watson Mayor APPROVED: ___________________ Deborah Thomas City Attorney ATTEST: ________________________ Erika Brady City Clerk 268 269 270 271 272 273 274 275 276 277 278 279 280 281 282 283 284 285 286 287 288 289 290 291 292 293 294 295 4/20/2026 9:55 AM Page 10 of 10 COA Law Department