I don't think it really counts as either graffiti or public art. It *looks* more like graffiti, and not even very good graffiti at that (some graffiti is gorgeous and would absolutely be considered public art if the artist had the permission of the property owner to put it up). But since it's not permanent and since it may have been done with permission, I wouldn't put it in the graffiti category.

But I also wouldn't call it public art, not by a long shot. There's nothing really artistic about it. I'd just call it public decoration, kind of along the same lines as twinkle lights and potted plants, or those fire hydrants painted to look like people or animals.

Sarah