2010-27505 Reso1 2010-27505
RESOLUTION NO. '~
A RESOLUTION OF-THE MAYOR AND THE CITY COMMISSION OF
THE CITY OF MIAMI BEACH, FLORIDA, APPROPRIATING $536,495,
FROM FY 2010/11 GENERAL FUND ACCOUNT NO. 011.0930; SAID
APPROPRIATION TO BE PROVIDED TO AND UTILIZED BY THE
FRIENDS OF THE BASS MUSEUM, INC., FOR THE PURPOSE OF
CONTINUING TO PROVIDE CERTAIN SERVICES FOR THE
MANAGEMENT AND OPERATION OF THE BASS MUSEUM- OF ART
FOR FISCAL YEAR (FY) 2010-11; AND FURTHER AUTHORIZING
THE CITY MANAGER TO EXECUTE A NEW LETTER AGREEMENT
WITH THE FRIENDS OF THE BASS MUSEUM, INC. MEMORIALIZING
THE PARTIES' RESPECTIVE OBLIGATIONS WITH REGARD TO THE
AFORESTATED MANAGEMENT AND OPERATION OF THE BASS
MUSEUM.
WHEREAS, th`e Bass Museum (Museum) was established from its inception as a
strong public/private partnership through a contractual agreement entered into in 1963
between the City and John and Johanna Bass, whereby the City accepted the gift of the
art collection of John and Johanna Bass (the Bass Collection), in exchange for making
the Bass Collection open and available to the public in a building maintained by the City
(the 1963 Agreement land all subsequent amendments thereto is hereinafter referred to
as the "1963 Bass Agreement"); and
WHEREAS, the 1963 Bass Agreement, requires the City to maintain the Bass
Collection in perpetuity; provide for the .exhibition of the Collection; keep it open and
available to the public; and provide basic funding for the maintenance and exhibition of
the Collection; and
WHEREAS, the' City fulfills this obligation by funding the operational elements of
the Bass Museum and (maintaining the building, which is a City asset; and
WHEREAS, the 1963 Bass Agreement further stipulates that the Bass Museum
shall be overseen by a Board of Trustees, .who has the .responsibility for Museum
policies and procedures, as well as day-to-day management through the staff it
employs; and
WHEREAS, a third entity exists to promote and further the mission of the Bass
Museum, the Friends of the, Bass Museum, Inc., which is a 501(c)3 was established in
1978 as the membership and fundraising arm of the Museum; and
WHEREAS, since 2008, the Administration has been working closely with the
Bass Board of Trustees (Bass Board) and the Friends of Bass Museum, Inc.(Friends) to
streamline the current governance model, standardize employment practices, and
empower the Museum to fully realize its potential as the City's prominent art institution;
and ~
WHEREAS, 'during this time, the City approved Resolution Nos. 2009-27089 and
2009-27216, whereby the City agreed to appropriate and transfer budgeted operating
funds for the Museum., in consideration of the Friends agreement to undertake certain
management and operational responsibility (on behalf of the City) for the Museum; and
I
WHEREAS, on March 10, 2010, the City Commission adopted Resolution No.
2010-27349 which approved an Amended and Restated Bass Museum Agreement
between the City and Dennis Alan Richard (as successor in interest to John and
Johanna Bass); the (Amended and Restated Agreement was intended to replace and
supersede the 1963 Bass Agreement, and is attached as Exhibit "A" hereto; and
WHEREAS, the City and Friends have agreed to execute another Letter
Agreement for Fiscal~Year (FY) 2010/11, whereby the Friends will to continue to provide
those certain oversight and management responsibilities relative to the Bass Museum,
through FY 2010/11.
NOW, THEREFORE, BE IT DULY RESOLVED BY THE MAYOR AND CITY
COMMISSION OF THE CITY OF MIAMI BEACH FLORIDA that the Mayor and City
Commission hereby appropriate $536,495, from FY 2010/11, General Fund Account No.
011.0930; said appropriation to be provided to and utilized by the Friends of the Bass
Museum, Inc., for the purpose of continuing to provide. certain services for the
management and operation of the Bass Museum of Art for Fiscal Year (FY) 2010-11;
and further authorizing the City Manager to execute a new letter agreement with the
Friends of the Bass Museum, Inc. memorializing the parties' respective obligations with
regard to the aforestated management and operation of the Bass Museum.
PASSED and
ATTESTED BY:
~~ ~P~
CITY CLERK
T: WGENDA~20101September
ED this 20th day of September, 2010.
A
Museum Reso.doc.RTF
APPROVED AS TO
FORM & LANGUAGE
~ FO~t EXECUTION
~t~t~
~~~
City me Date
COMMISSION ITEM SUMMARY
Condensed Title: I
A Resolution approving' the allocation of $536,495 from FY 2010/11 General Fund account 011.0930 to the Friends of
the Bass Museum for the purpose of funding operating expenses at the Museum through September 30, 2011; and
further authorizing the City Manager to execute a Letter Agreement with the Friends of the Bass Museum in the
amount of $536,495.
Ke Intended Outcome Su orted:
Increase community rating of cultural activities.
Su ortin Data Surve ~s, Environmental Scan, etc.
The 2009 Community Satisfaction Survey shows that 73.3 %~of residents and 58.7 % of businesses feel the City has
the "right amount"~ of cultural events available. The same survey shows that residents attend museums on average
6.85 times per near. However, 29.3% of residents also feel the Citv has "too few" museums.
Issue: ~
Should the Ci Commis'sion ado t the resolution?
Item Summa /Recommendation:
The Bass Museum was,esfablished from its inception as a strong public/private partnership through a contractual
agreement entered into 45 years ago when the City accepted the gift of the art collection of John and Johanna Bass.
This agreement stipulates that the City will maintain the collection in perpetuity, keep it open to the public, and provide
basic funding for the maintenance and exhibition of the collection. The agreement further stipulates that the Bass
Museum, as an operating entity, should be overseen by a Board of Trustees. In addition to the City and the Board of
Trustees, a third entity has existed to promote and further the mission of the Bass Museum of Art: The Friends of the
Bass Museum, Inc. This`private and separate 501 (c)3 organization was established in 1978 as the membership and
fundraising arm of the Museum. For the past several years there has been discussion at the Trustee Board regarding
a change to the governance structure of the Bass Museum; the need for this change was also identified through a
strategic planning process and peer review.
At the June 3, 2009, City Commission Meeting, Resolution No. 2049-27089 was approved, which authorized the
transfer of $137,000 to the Friends of the Bass Museum. Transferring the budget allocations for certain line items
began the process of transitioning much of the day-to-day administration and oversight of the Museum to the Friends
pending a larger re-vamp of the governing structure of the Museum. This concept was also discussed at the May 5,
2009 Finance and Citywide Projects Committee. The Finance Committee approved the transfer of those operating line
item balances and recommended that the Administration come back, as part of the City budget process, for any future
allocations. Accordingly, `at the September 24, 2009 City Commission Meeting, Resolution No. 2009-27216 was
approved, authorizing the transfer of $512,000 to the Friends of the Bass Museum, to fund certain operating expenses
for Fiscal Year 2009-10. Concurrently, the City and Dennis Richards (as successor in interest to John and Johanna
Bass) began discussing changes to the existing Agreement to address the governance issues.
On March 10, 2010, the City Commission adopted Resolution No. 2010-27349 amending the agreement between the
City and Dennis Richard.
The City is now finalizinga separate management agreement with the Bass Museum, Inc., the new entity that will
assume the day-to-day management and operation of the Museum on behalf of the City. However, there are still some
outstanding items that need to be finalized. Therefore, similar to the September 2009 action, the Administration is
seeking authorization to allocate $536,495 to the Friends of the Bass for salary expenses related to the Museum's
Assistant Director, curatorial services, security guard, and a building supervisor (these funds are available as a result
of vacancies in these ositions , as well as transferrin funds for o eratin ex enses as a roved in 2009.
Adviso -Board Recommendation:
The Finance and Cit ide Projects Committee endorsed this conce tat the Ma 5, 2009 meetin .
Financiallnformation:I
Source of ) Amount Account Approved.
Funds: { ~ $ 536,495 FY 2010/11 General Fund
011.0930
`2
Q PI Total $ 536,495
Financial Impact Summary:
Ci Clerk's Off_ ice Le islative Trackin
Max Sklar, ext. 6116 ~
Si n-Offs: (
De artment Director Assis a' t' Ci Mana er _' ' a er
MAS ~ HMF JMG
T.\AGENDA\2010\September 20\Bass Budget Summ.d
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AGENDA ITE~II C?~-
DATE ~-o~U-/!~
m MIAMIBEACH
City of Miami Beach, 1700 Convention Center Drive, Miami Beach, Florida 33139, www.miamibeachfl.gov
COMMISSION MEMORANDUM
TO: Mayor Matti Merrera Bowerand Members of the City Commission
FROM: Jorge M. Gonzalez, City Manager
DATE: September 20, 2010
SUBJECT A RESOLUTION OF THE MAYOR AND THE CITY COMMISSION OF THE CITY OF
MIAMI BEACH, FLORIDA, APPROVING AN ALLOCATION, IN THE AMOUNT OF
$536,495, FROM FY 2010/11 GENERAL FUND ACCOUNT NO. 011.0930; SAID
ALLOCATION TO BE PROVIDED AND UTILIZED BY THE FRIENDS OF THE BASS
MUSEUM, INC., FOR THE PURPOSE OF CONTINUING TO FUND AND PROVIDE
CERTAIN OPERATING EXPENSES AT THE BASS MUSEUM OF ART, THROUGH
SEPTEMBER 30, 2011; AND FURTHER AUTHORIZING THE CITY MANAGER TO
EXECUTE A~ NEW LETTER AGREEMENT WITH THE FRIENDS OF THE BASS
MUSEUM, INC. MEMORIALIZINGTHEPARTlES' RESPECTIVE OBLIGATIONSWITH
REGARD TOI CERTAIN MANAGEMENT AND OPERATION RESPONSIBILITIES OF
THE BASS Mi SEUM THROUGH SEPTEMBER 30, 2011.
ADMINISTRATION RECOMMENDATION
Adopt the Resolution.
FUNDING
Funding is available in theFY 2010/11 General Fund, Bass Museum of Art Budget.
ANALYSIS
The Bass Museum was E
contractual agreement er
John and Johanna Bas
perpetuity... provide for tl
provide basic funding-for
by funding the operation
The agreementfurther sti
Board of Trustees with
managementthroughthe
is a City employee with fi
In addition to the City and
mission of the Bass Muse
501(c)3 organization was
The President of the Frier
advisoryto the Trustees, a
which include all special e~
developmentand marketir
the current Museum staff
employees, with substanti
To remedy this situation,
streamline the current ao
~tablished from its inception as a strong public/private partnership through a
:ered into 45 years ago when the. City accepted the gift of the art collection of
. This agreement stipulates that the City will "maintain the collection in
exhibition of the collection, keep it open and available to the public," and
~e maintenance and exhibition of the collection. The City fulfills this obligation
elements of the Museum, and maintaining the building, which is a City asset.
ulated that the Bass Museum, as an operating entity, should be overseen by a
~sponsibitity for Museum policies and procedures, as well as day-to-day
staff it employed. The Museum's Executive Director/Chief Curator, for example,
II benefits, but is hired by, and answers to, the Board of Trustees.
the Board of Trustees, a third entity has existed to promote and further the
am of Art: The Friends of the Bass Museum, Inc. This private and separate
established in1978 as the membership and fundraising arm of the Museum.
~s chairs the Board of Trustees. The Friends' Board of Directors serves as
Ivocates and raises funds for the Museum, and sponsors Museum programs,
hibitionsand educational programs. The Museum's membership, education,
~ efforts are realized by employees of the Friends of the Bass Museum. Thus
consists of City employees (both classified and unclassified) and Friends
~I differences in benefits and pay scales.
Administration began working with the Museum's staff and Boards to
ance model and to standardize employment practices. The need for a
Bass Museum of Art
FY 2010/11 Budget AI
September 20, 2010
Page 2 of 3
modification of the Mus
Process and Peer Revie
both the Administration
without having actual C
better allocated if the Mu
this end two recently-vas
filled as employees of the
of the Bass over time, wl
pension). Additional sav
ocation
eum's governance structure was also identified through a Strategic Planning
w. While the City remains fully committed to the Bass Museum and its success,
end the Museum felt that the City can continue to fulfill its contractual obligations
ty employees working at the Museum, while funding for the Museum may be
seum is able to function independent of certain City processes and contracts. To
sated City positions at the Bass, the Assistant Director and Curator, have been
'~ Friends. The objective is to transition all Bass Museum positions to the Friends
itch will allow for significant savings to the City in salaries and benefits (especially
ngs in certain operational line items have also been identified.
At the June 3, 2009, City Commission Meeting, Resolution No. 2009-27089 was approved, which
authorized the transfer of $137,000 to the Friends of the Bass Museum. In addition to providing them with
direct oversight and ma ~ agement of these operational issues, this also allows the Friends to pursue
potential savings by using non-City contracts for services such as carpet cleaning or for the purchase of
office supplies, for example. Transferring the budget allocations for certain line items this action also
began the process of transitioning much of the day-to-day administration and oversight to the Friends.
This is an important step in moving towards increased simplification of the Museum's governance
structure, which has been considered essential for the future well-being of the institution and was included
in the Museum's own five-year strategic plan, completed in March 2007.
This concept was also discussed at the May 5, 2009 Finance and Citywide Projects Committee.
The Finance Committee approved the transfer of those operating line item balances and
recommended that the Administration come back, as part of the City budget process, for any future
allocations. Accordingly, at the September 24, 2009 City Commission Meeting, Resolution No. 2009-
27216was approved, authorizing the transfer of $512,000 to the Friends of the Bass Museum, to
fund certain operating expenses for Fiscal Year 2009-10.
Concurrent with the above, in August 2009, the Administration, the testamentary representative of
the Bass Family, and representatives of the Friends commenced discussions to begin the process
of developing a new govirnance model for the Museum, which includes an overhaul of the existing
by laws of the Friends, culminating m reconstituting that 501(C)3 as the Bass Museum of Art, Inc.
(which entity will replace the Friends as the new governing entity for the Museum).
Additionally, on March 10,
agreement between the Ci~
Bass). This new Agreeme
and the Friends of the Bas
of actual stakeholders (as
virtue of their contractual)
retained membership on
membership of the Board,
Trustees. The day-to-day
Collection would be han
agreement with the City.
The City is now finalizing a
there are still some outs
September 2009 action, the
the Bass for salary expense
guard, and a building super
Additionally, the Administra~
2009. The allocation is brol
010, the City Commission adopted Resolution No. 2010-27349 amending the
y and Dennis Alan Richard (as Successor in Interest to John and Johanna
nt, among other things, replaced both the existing Bass Board of Trustees
s Museum, Inc., with the Bass Museum of Art, Inc., a 501(c)3, composed
opposed to the current Board of Trustees, who maintain their seats by
y designated positions under the 1963 Agreement). The City Manager
the new governing board, with voting power equivalent to 20% of the
comparable to the City Manager's representation on the current Board of
responsibility to ensure the City's contractual obligations to maintain the
Bled by this new governing body through a separate management
:parate management agreement with the Bass Museum, Inc. However,
nding items that need to be negotiated. Therefore, similar to the
ministration is seeking authorization to allocate $536,495 to the Friends of
related to the Museum's Assistant Director, curatorial services, security
.or. These funds are available as a result of vacancies in these positions.
n recommends transferring funds for operating expenses as approved in
n out as follows:
Bass Museum of Art
FY 2010/11 Budget Allocation
September 20, 2010
Page 3 of 3
• Salaries: $191,768
• Professional Services: $ 93,343
• Electricity: $108,000
• Sanitation: $ 900
• Rent/Building/Equipment (art storage): $113,184
• Contract Maintenance: $ 8,800
• Office Supplies: I $ 7,000 .
• Repairs and Maintenance: $ 1,000
• Other Operating Expenses: $ 10,000
• Dues: ~ $ 2 500
TOTAL $536,495
Similar to the previous allocation, the Administration also recommends entering into a letter agreement
with the Friends delineating the responsibilities the Friends would be required to meet in exchange for the
funding. These obligations would be very similar to functions currently carried out jointly between the City
and Friends.
CONCLUSION
The Administration recommends approving the transfer of currently-budgeted operating funds from the
City to Friends of the Bass Museum, Inc.
JMG/HMF/mas ,~
I
T:\AGENDA\2010\September 20\BI ss Budget Memo.doc