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Fall Festival organizers ask council to narrow indemnity; council accepts report and directs staff to work on language
Summary
Volunteers behind the Newman Fall Festival asked the council to limit liability for incidents caused by city property conditions. The council accepted the festival report and directed staff to work with risk management on revised indemnity language.
Organizers of the Newman Fall Festival told the City Council the festival’s proposed indemnity and hold-harmless language would leave the volunteer-run event exposed to liability for incidents caused by city-maintained property, and asked for an exception where the city is at fault.
Brandon Mello, technology and systems administrator for the festival executive committee, said the draft agreement would make the festival fully responsible “even if they are caused by hazards on city property.” He said the festival is not asking to avoid responsibility but is requesting an explicit exception that would relieve the nonprofit of liability when an incident is caused by the city's negligence or failure to maintain sidewalks, streets or grassy areas.
“We have been involved in lawsuits before over broken or raised sidewalks and holes in the grass, things we did not cause and do not control,” Mello said. He told the council the committee had increased its insurance substantially—adding a $4,000,000 umbrella policy so the festival now carries $5,000,000 per occurrence and $6,000,000 aggregate—and requires alcohol vendors to carry liquor-liability naming the city and the festival. Mello warned that overly broad indemnity language could make the event uninsurable.
City staff, including the city manager and the risk-management contact, told the council they are working with legal counsel and county risk management to craft acceptable language; staff said similar negotiations are underway with county users of city facilities. Sergeant Williams and other staff also gave a brief operational update: the festival’s park activities will close at 10 p.m. each night and insurance adjustments had already been made.
The council voted 5-0 to accept the report on the Newman Fall Festival and directed staff to work with risk management and the festival organizers to revise the indemnity language.
Why it matters: The Fall Festival is one of Newman’s largest volunteer-run events. The council’s direction aims to balance the city’s liability exposure with the practical ability of a volunteer nonprofit to obtain insurance and run the event.
