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Arts and Culture Funding Operating SupportCity of Dubuque .marts & Cultural. airs Advisory Commission June 30, 2008 The Honorable Mayor and City Council City of Dubuque 50 W. 13t" Street Dubuque, IA 52001 Re: Arts and Culture Funding Program for Operating Support FY 2009 Funding Requests and Commission Recommendations Dear Mayor and City Council Members: Introduction The Arts and Cultural Affairs Advisory Commission has reviewed twelve funding requests from Dubuque arts and culture organizations requesting $296,783 in funds from the FY 2009 Arts and Culture Funding Program for Operating Support. This memo transmits the Commission's funding recommendations and requests that the Council approve the recommendations and associated funding agreements. Background In March 2005, the City Council approved a $200,000 budget decision package providing resources for the Arts and Cultural Affairs Advisory Commission to make recommendations to City Council for the best investment in the community for arts and culture. In May 2005, the City Council approved the Commission's recommendation to establish an Arts and Culture Funding Program for Operating Support. The Commission recommended that operating support be provided to high-quality, established 501(c)(3) arts and culture organizations located in the City of Dubuque that primarily serve Dubuque residents with year-round arts and culture events, programs and services, and can, demonstrate a record of programmatic and administrative stability. Arts and culture advocates worked for many years to educate the community about why our arts and culture organizations need City funding and why this financial investment is good for Dubuque. The Commission believes it is important to sustain and insure long-term viability for existing arts and culture organizations and to create a welcoming environment for new organizations. The Commission reviewed funding requests for FY 2006, FY 2007, and FY 2008 and recommended that the council award funding to 12 organizations for FY 2006 totaling $200,000 and 9 organizations for FY 2007 totaling $200,000, and 11 organizations in FY 2008 totaling $200,000. The fourth round of competition (FY 2009) for the operating support program was announced in March, 2008. Arts and culture organizations were notified of the funding competition by direct mail, media releases, and posting on the. City's web site. Staff also conducted two application workshops in March to provide an overview of the program and answer questions Discussion The Commission received funding requests from twelve different Dubuque Arts and Culture organizations. Based on the maximum funding levels initially established for the program, (6% of organization's previous year's operating expenses or $50,000, whichever is less) the funding requests totaled $296,783. Total funding available in the FY 2009 budget is $200,000. Budget constraints have limited the Commission's ability to fully fund the eligible organizations. The Commission was aware that due to a static budgeted amount for the Arts and Culture Operating Support Program coupled with an increasing number of eligible applicant organizations and the increased operating budgets of those organizations, it was highly unlikely that organizations would be funded at the maximum funding formulas. The program guidelines stated "It is .likely that qualified organizations will not be funded at this level; actual awards will be based on the number of eligible applicants and the degree to which applicant meets selection criteria." The Commission also established a point value for the various rating criteria to assist with ranking the funding requests. Selection criteria for the program are: 1. Dubuque arts and culture organizations whose mission is primarily arts and culture and the degree to which their programs and services support that mission and the city's cultural arts goals. (40 points possible) 2. Organization's demonstrated management abilities (financial position or condition, fiscal responsibility, and management.) (25 points possible) 3. Organization's demonstrated artistic or cultural excellence and leadership (20 points possible.) 4. Impact of organization on broader Dubuque Community (15 points possible) The Commission reviewed a number of possible funding formulas including reducing the cap and the percentage levels of funding. After extensive discussion, the consensus of the Commission is to recommend to City Council the following: a) Reduce the maximum funding cap from $50,000 to $40,000, or 6% of an organization's operating expenditures. Reduction of the funding cap will directly impact the Dubuque County Historical Society this year but may impact other larger arts organization in future years. b) Commission is recommending that organizations be funded at the following percentage of operating expenditures based on their score: > 85 points: 4.5% of organization's operating expenditures 80-85 points: 3.0% of organization's operating expenditures < 80 points: 2% of organization's operating expenditures Recommended funding levels are: Organization Dubuque Symphony Orchestra Dubuque Museum of Art Dubuque Arts Council Grand Opera House Bell Tower Productions Dubuque County Historical Soc Fly-By-Night Productions Colts Drum & Bugle Corps Dubuque Co Fine Arts Society Northeast Iowa School of Music Dubuque Arboretum Four Mounds Foundation Score Funding 95.71 38, 334 94.0. 23,452 93.5 4,916 92.57 32,837 91.83 14,020 89.29 40,000 86.43 1,227 81.86 26,582 81.33 1,562 75.43 4,545 70.29 2,233 63.67 10.,292 Total $200,000 A spreadsheet is attached which details the recommended funding levels as well as the operating support funding provided to the organizations in FY 2008. Action The Council is requested to approve the twelve FY 2009 Arts and Culture Operating Support funding requests and authorize the City Manager to sign the funding agreements. The Commission is extremely appreciative of the City Council's support of arts and cultural organizations and is looking forward to working together to support the artistic and cultural development of the City. Sincerely, Amy Weber Chairperson Arts and Cultural Affairs Advisory Commission Encl. Cc: Grant Applicants fy 2009 worksheet Operating Support Funding Requests Allocation Worksheet 4.85% with $40,000 max 2.42% for Four Mounds & Colts 2009 Funding Allocations ° or ra Ings a ove or $40,000 max 3.0% for ratings under 85 & New Final above 80 Funding fy 08 allocation most recent 6%150,000 score 2.0% for ratings under 80 Figures with 6% Max Figures expenditures Dubuque Symphony Orchestra $38,433.92 821,279 49,277 95.71 $36,957.56 $38,223.00 $38,334.00 Dubuque Museum of Art $25,024.64 490,592 29,436 94.00 $22,076.64 $23,342.00 $23,452.00 Dubuque Arts Council $5,066.60 81,928 4,916 93.50 $3,686.76 $4,916.00 $4,916.00 Grand Opera House $25,871.06 699,149 41,949 92.57 $31,461.71 $32,727.00 $32,837.00 Bell Tower Productions $14,213.12 280,964 16,858 91.83 $12,643.38 $13,909.00 $14,020.00 Dubuque County Historical $40,000.00 4,866,879 50,000 89.29 $40,000.00 $40,000.00 $40,000.00 Fly-By-Night Productions $1,406.11 20,452 1,227 86.43 $920.34 $1,227.00 $1,227.00 Colts Drum & Bugle $19,978.24 882,367 50,000 81.86 $26,471.01 $26,471.00 $26,582.00 Dubuque Fine Arts Society $2,250.40 48,393 2,904 81.33 $1,451.79 $1,452.00 $1,562.00 Northeast Iowa School of Music $11,486.98 221,751 13,305 75.43 $4,435.02 $4,435.00 $4,545.00 Dubuque Arboretum $0.00 106,117 6,367 70.29 $2,122.34 $2,122.00 $2,233.00 Four Mounds Foundation $16,268.92 509,087 30,545 63.67 $10,181.74 $10,181.00 $10,292.00 $200,000.00 9,028.96 296,783 $200,000.00 Leftover funds are distributed to all eligible organizations