Loading...
Resolution 2024-33325 RESOLUTION NO: 2024-33325 A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING RESOLUTION NO. 2024-33243, TO APPROVE A ONE-TIME FUNDING IN THE AMOUNT OF $957,151.36,CONSISTING OF GRANT FUNDING IN THE AMOUNT OF $932,151.36 FOR MIAMI BEACH ARTS AND CULTURE ORGANIZATIONS, AND $25,000 FOR POWER ACCESS, INC., FOR THE ANNUAL SOUTH BEACH JAZZ FESTIVAL, TO PROVIDE FINANCIAL ASSISTANCE TO MIAMI BEACH ARTS AND CULTURAL ORGANIZATIONS DUE TO STATE BUDGET CUTS FOR FISCAL YEAR 2025. WHEREAS, the State of Florida Division of Arts and Culture requested a total of $77,343,303 to support cultural organizations through the State's cultural grant program, with $1,941,982 in Cultural and Museum Grants(General Program Support)funding proposed towards Miami Beach organizations; and WHEREAS, during the 2024 Florida Legislative session, the Legislature appropriated a funding amount representing 48% of the original ask, or $26,000,000, towards the General Program Support and $6,000,000 towards Cultural Facilities, with no appropriations towards the Cultural Endowment and Culture Builds Florida Grants; and WHEREAS, the $26,000,000 amount was approved by the Florida Legislature, with $932,151,36 in General Program Support funding earmarked towards Miami Beach organizations but was subsequently vetoed by the Governor DeSantis; and WHEREAS, the Mayor and City Commission approved a dual referral(C4L)to the Finance and Economic Resiliency Committee (FERC)and Public Safety and Neighborhood Quality of Life Committee (PSNQLC) on June 28, 2024, for the Administration to explore and provide input on the possibility of making up the funding shortfall for Miami Beach Arts and Culture organizations; and WHEREAS, on July 26, 2024, the Finance and Economic Resiliency Committee provided a favorable recommendation to the Mayor and City Commission to approve support of$25,000 or 50%of the State Legislature's 48% recommendation,whichever is greater, per listed organization; and WHEREAS, on September 11, 2024, pursuant to FERC's recommendation, the Mayor and City Commission adopted Resolution No.2024-33243, approving a one-time funding in the amount of $492,676.56 to be allocated to Miami Beach Cultural Anchors and Cultural Presenters to supplement the shortfall of the State's Cultural and Museum Grant Program; and WHEREAS, at the September 16, 2024,first FY 2025 Budget Hearing, the Mayor and City Commission discussed the allocated $1,000,000.00 to support the one-time funding request for Miami Beach Cultural Anchors and Presenters in the FY 2025 budget and increasing the one-time financial support of$492,676.56 to $932,151.36 and allocating $25,000 to Power Access, Inc., a Miami Beach cultural organization, among the list of funding recipients, increasing the request to $957,151. 26; and WHEREAS, on September 25, 2024, the Mayor and City Commission adopted the FY 2025 budget which included the requested one-time funding for the Cultural Anchors and Cultural Presenters in an amount of$1,000,000.00 in the Resort Tax Fund; and WHEREAS, on October 30, 2024, the Mayor and City Commission approved $957,151.36 to be allocated to Miami Beach Cultural Anchors and Cultural Presenters to supplement the shortfall of the State's Cultural and Museum Grant Program and Specific Cultural Project Grant. 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 amend Resolution No. 2024-33243, to approve a one-time funding in the amount of $957,151.36, consisting of grant funding in the amount of $932,151.36 for Miami Beach Arts and Culture organizations, and $25,000 for Power Access, Inc., for the annual South Beach Jazz Festival to provide financial assistance to Miami Beach arts and cultural organizations due to state budget cuts for Fiscal Year 2025. / PASSED and ADOPTED this 3O day of 046-1✓ ,2024. ATTEST: NOV------d 1 2 2024 ../ds___....-aex:„..._t___ Rafael . Granado, City Clerk Steven Meiner, Mayor y.� .IRCORP OR�TEDi i', .'. , ., h'_ ,'O• 6`1- APPROVED AS TO FORM & LANGUAGE & OR EXECUTION , ill 01712oz4- CityAttomey : Date Resolutions - C7 V MIAMI BEACH COMMISSION MEMORANDUM TO: Honorable Mayor and Members of the City Commission FROM: Eric Carpenter, City Manager DATE: October 30, 2024 TITLE: A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, AMENDING AND RESTATING RESOLUTION NO. 2024- 33243, TO APPROVE ONE-TIME FUNDING IN THE AMOUNT OF $957,151.36, CONSISTING OF GRANT FUNDING IN THE AMOUNT OF$932,151.36 FOR MIAMI BEACH ARTS AND CULTURE ORGANIZATIONS AND $25,000 FOR SOUTH BEACH JAZZ FESTIVAL, TO PROVIDE FINANCIAL ASSISTANCE TO OFFSET STATE BUDGET CUTS FOR FISCAL YEAR 2025 AT A HIGHER-LEVEL THAN PREVIOUSLY APPROVED PURSUANT TO RESOLUTION NO. 2024-33243 AS DIRECTED BY THE CITY COMMISSION DURING ITS SEPTEMBER 16, 2024 BUDGET MEETING. RECOMMENDATION The Administration recommends the Mayor and City Commission adopt the resolution amending and restating Resolution No. 2024-33243 to approve one-time funding in the amount of $957,151.36, consisting of grant funding in the amount of$932,151.36 for Miami Beach Arts and Culture Organizations and $25,000 for South Beach Jazz Festival, providing financial assistance to offset the State of Florida's Division of Arts and Culture's Cultural and Museum Grants(General Program Support) and the Specific Cultural Projects (Culture Builds Florida) Grant budget cuts. BACKGROUND/HISTORY The City of Miami Beach is home to a significant number of Arts and Culture organizations which contribute significantly to our City's robust appeal to diverse residents and tourists. The City supports various organizations through grants and sponsorship awards. The organizations also rely on funding from the State of Florida, through the state's Cultural and Museum Grant Program and the Specific Cultural Project (Culture Builds Florida) Grant, to meet their operational needs. During the 2025 state budget process, significant funding was withheld from Arts and Culture organizations. On June38, 2024, at the request of Commissigner Tanya K. Bhatt, the Mayor and City .rCommission approved a dual referral (C4 L)to the Finane and Economic Resiliency Committee (FERC) and Public Safety and Neighborhood Quality of Life Committee (PSNQLC) for the Administration to explore and provide input on the possibility of making up the funding shortfall . for Miami Beach Arts and Culture organizations caused by the new State budget cuts. Originally, the State of Florida Division of Arts and Culture requested a total of $77,343,303 to support cultural organizations through the following State's cultural grant program: • Cultural and Museum Grant (General Program Support): $54,436,991 o $1,941,982 of which were earmarked for Miami Beach Cultural Anchors and Presenters • Cultural Endowment: $4,560,000 • Cultural Facilities: $14,095,214 Page 701 of 2497 • • Specific Cultural Project (Culture Builds Florida) Grant: $4,251,098 o $25,000 of which were earmarked for Miami Beach Presenters • During the 2024 Florida Legislative session, the Legislature appropriated a funding amount representing 48% of the original recommendation by the State Division of Arts and Culture, that included $932,151.36 for Miami Beach Cultural Anchors and Presenters awarded from the Cultural and Museum Grant (General Program Support). The Legislature also appropriated $6,000,000 towards Cultural Facilities statewide and did not appropriate funds towards the Cultural Endowment or the Specific Cultural Project (Culture Builds Florida) Grant. All the amounts appropriated by the State Legislature were ultimately vetoed by Governor De Santis. The Miami Beach Cultural Anchors affected by the Cultural and Museum Grant(General Program Support) budget cuts are: Jewish Museum of Florida, The Wolfsonian, The Bass Museum, Holocaust Memorial, Miami Beach Botanical Garden, Miami City Ballet, Miami Design Preservation League, Miami New Drama, New World Symphony, 0, Miami, South Florida Art Center(Oolite Arts), and The Rhythm Foundation. The Miami Beach Cultural Presenters affected by the budget cuts are: FUNDarte, Miami Musical Festival, and The Dance Now! Ensemble. Recommendation by 48%funding Cultural and Museum Grant:Miami Beach Cultural Anchors State Division of Arts and approved by State Culture Legislature The Wolfsonian(The Florida International University Board of 5 150,000.00 $ 72,000.00 Trustees) Jewish Museum of Florida(The Florida International University Board of Trustees) 90,000.00 $ 43,200.00 Friends of the Bass Museum,Inc. S 150,000.00 5 72,000.00 Holocaust Memorial Committee $ 100,000.00 $ 48,000.00 Living Arts Trust,Inc. $ 112,649.00 $ 54,071.52 Miami Beach Garden Conservancy,Inc. 5 90,000.00 $ 43,200.00 Miami City Ballet,Inc. S 150,000.00 S 72,000.00 Miami Design Preservation League,Inc. S 150,000.00 $ 72,000.00 Miami New Drama $ 150,000.00 S 72,000.00 New World Symphony,Inc. S 150,000.00 S 72,000.00 0,Miami,Inc. 5 90,000.00 S 43,200.00 South Florida Art Center,Inc 5 150,000.00 $ 72,000.00 The Rhythm Foundation,Inc. S 150,000.00 S 72,000.00 $ 1,682,649.00 $ 807,67152 48%funding Panel Recommendation approved by State Cultural and Museum Grant:Miami Beach Presenters Legislature Fundarte,Inc $ 90,000.00 $ 43,200.00 Miami Music Festival,Inc S 115,170.00 5 55,281.60 The Dance Nowl Ensemble,Inc. $ 54,163.00 $ 25,998.24 $ 259,333.00 $ 124,479.84 TOTAL $ 1,941,982.00 S 932,15136 One (1) Miami Beach organization, Power Access, Inc. (South Beach Jazz Festival), was expecting $25,000 in funding from the Specific Cultural Project Grant. fA SpecifiE Culture Project:Miami Reach Presinter Panel Recommendation ` Power Access,Inc.(South Beach Jazz Festival) $ 25,000.00 S 25,000.00 On July 9, 2024, the Tourism and Culture Department held a Cultural Anchor Roundtable meeting with the leadership of the Miami Beach cultural institutions to discuss the impact of the unprecedented State budget cuts. The Cultural Anchors shared that budgets cuts significantly impact their programming and/or possible operations. During the July 12, 2024, FERC Budget Workshop, the Committee recommended providing one- time funding for this purpose during FY 2025. Page 702 of 2497 At the July 26, 2024, FERC meeting, the Committee provided a favorable recommendation to provide support to each of the Miami Beach Cultural Anchors and Cultural Presenters listed in the amount of $25,000 or 50%-of the State Legislature's 48% recommendation, whichever was greater. On September 11, 2024, the Mayor and-City Commission approved an amount of$492,676.56 to be allocated to Miami Beach Cultural Anchors and Cultural Presenters to supplement the shortfall of the State's Cultural and Museum Grant Program. ANALYSIS Arts and Culture Economic Impact According to a study by Americans for the Arts published in 2023, the City of Miami Beach witnessed economic benefits from its arts and culture focus in the form of an economic boost of $334.9 million in the previous year. The study looked at 373 diverse communities and regions from all 50 states and Puerto Rico. Economic activity related to the nonprofit arts and culture sector in Miami Beach more than doubled since 2015-the last time the survey was conducted by the nonprofit that is dedicated to advancing the arts throughout the United States. The study reflects that approximately $222.7 million was spent by nonprofit arts and culture organizations in Miami Beach and $112.2 million in event-related spending by audiences. According to the study,this investment supported 5,201 jobs, generated$253 million in household income for Miami Beach residents and delivered $74.1 million in tax revenue for the city, state and federal government. Direct Economic Activity Organizations Audiences Total Expenditures Total Industry Expenditures(FY2022) • °777 694,809 5112,242,435 5334,937,244 Economic Impact of Spending by Arts and Culture Organizations and Their Audiences Total Economic impacts Organizations Audiences Total Impacts (includes three%indirect,and induced impacts) Employment(Jobs) 3,657 1,544 5,201 Personal Income Pail to Residents 5193,306,837, 559,683,099 5252,989,936 Local Tax Revenue(city and county) 58,032,570 54,133.559 512,166,129 State Tax Revenue 56,170,999 53,216.503 59,387,502 Federal Tax Revenue 540,331,539 512,234,527 552,566,066 Event-Related Spending by Arts and Culture Audiences Totaled$112.2 million Local' Nonlocal' All Attendance to Arts and Culture Events Attendees Attendees Attendees Total Attendance to In-Person Events 1,408,151 569,589 1,977,740 Percentage of Total Attendance 71.2% 28.8% 100.0% Average Per Person,Per Event Expenditure 540.91 595.92 555.77 Total Event-Related Expenditures $57,607,458 554,634,977 5112,242,435 • • Nonprofit Arts and Culture Audiences Spend an Average of556.77 Per Person,Per Event Local' Nonfocal' All Category of Event-Related Expenditure Attendees Attendees Attendees , Faris and D4Ak 521 09 528.E .523.33,. ,,. . C Retail Stopping • 53.22 56.70 54.22 Overnight Lodging(one night only) 51.58 539.01 512.38 Local Transportation 55.85 511.28 57.41 - - - Clothing and Accessories 53:31 • 53.89 53.48 - - • Groceries and Suppttes 52.86 53.63 _53.08 Childcare 51.21 50.48 51.00 Other/Miscellaneous 51.79 52.08 51.87 Overall Average Per Person,Per Event 540.91 595.92 S56-77 The findings support proponents of higher spending on arts and culture, who maintain that such investments enhance the quality of life for residents and visitors, while also stimulating the local economy. Miami Beach voters overwhelmingly approved a $159 million General Obligation Bond Page 703 of 2497 for Arts and Culture in 2022 that will fund an unprecedented expansion of city museums, theaters, and public performance venues over the coming decades. Based on the study, Miami Beach attendees at nonprofit culture and art events spent an average of $56 in addition to the cost of admission on a per person, per event basis compared to $38 nationally. More than 28% of Miami Beach attendees traveled from beyond Miami-Dade County and spent more than $95 per person on average. Commission Approval to Increase Funding At the September 16, 2024, first FY 2025 Budget Hearing, the Mayor and City Commission discussed the allocated $1,000,000.00 to support the one-time funding request for Miami Beach Cultural Anchors and Presenters in the FY 2025 budget and increasing the one-time financial support of$492,676.56 to $932,151.36. Additionally, the Mayor and City Commission discussed the inclusion of Power Access, Inc., a Miami Beach cultural organization, among the list of funding recipients. In addition to the veto of the State's Cultural and Museum Grant Program, the State's legislature did not recommended funding towards the Specific Cultural Project Grant, subsequently eliminating the $25,000 expected by Power Access, Inc. Ultimately, the Mayor and City Commission decided to keep the allocated $1,000,000 one-time funding for possible further discussion at the second budget hearing, and include Power Access, Inc. in the list of recipients. On September 25, 2024, the Mayor and City Commission adopted the FY 2025 budget which included the requested one-time funding for the Cultural Anchors and Cultural Presenters in an amount of$1,000,000.00 in the Resort Tax Fund. Between the cuts to the Cultural and Museum Grant, and the Specific Cultural Project Grant, the Miami Beach organizations were collectively expecting to receive a total of$957,151.26 in State funding, as demonstrated below. Page 704 of 2497 Recommendation by State 48%funding Cultural and Museum Grant:Miami Beach Cultural Anchors Division of Arts and approved by State Culture Legislature The Wolfsonian(The Florida International University Board of Trustees) $ 150,000.00 $ 72,000.00 Jewish Museum of Florida(The Florida International University Board of Trustees) $ 90,000.00 $ 43,200.00 Friends of the Bass Museum,Inc. $ 150,000.00 $ 72,000.00 Holocaust Memorial Committee $ 100,000.00 $ 48,000.00 Living Arts Trust,Inc. $ 112,649.00 $ 54,071.52 Miami Beach Garden Conservancy,Inc. $ 90,000.00 $ 43,200.00 Miami City Ballet,Inc. $ 150,000.00 $ 72,000.00 Miami Design Preservation League,Inc. $ 150,000.00 $ 72,000.00 •Miami New Drama $ 150,000.00 $ 72,000.00 New World Symphony,Inc. $ 150,000.00 $ 72,000.00 0,Miami,Inc. $ 90,000.00 $ 43,200.00 South Florida Art Center,Inc. $ 150,000.00 $ 72,000.00 ;The Rhythm Foundation,Inc. $ 150,000.00 $ 72,000.00 $ 1,682,649.00 $ 807,671.52 48%funding Panel Recommendation approved by State !Cultural and Museum Grant:Miami Beach Presenters Legislature Fundarte,Inc. $ 90,000.00 $ 43,200.00 Miami Music Festival,Inc. $ 115,170.00 $ 55,281.60 The Dance Now!Ensemble,Inc. $ 54,163.00 $ 25,998.24 • $ 259,333.00 $ 124,479.84 'Specific Culture Project:Miami Beach Presenter Panel Recommendation Power Access,Inc.(South Beach Jazz Festival) $ 25,000.00 $ 25,000.00 TOTAL $ 1,966,982.00 $ 957,15L36 FISCAL IMPACT STATEMENT The fiscal impact is in an amount of$957,151.36. Does this Ordinance require a Business Impact Estimate? (FOR ORDINANCES ONLY) If applicable, the Business Impact Estimate (BIE) was published on: • See BIE at: https://www.miamibeachfl.gov/city-hall/city-clerk/meetinq-notices! FINANCIAL INFORMATION The FY 2025 budget has $1 Million allocated for the one-time financial assistance for Miami Beach-based Cultural Anc crsrand Presenters in the Resort Tax Fund 160-0380-000349-25-406- 544-00-00-00- - ` t( r CONCLUSION . . The Administration recommends the Mayor and City Commission adopt the resolution amending and restating Resolution No. 2024-33243 to approve one-time funding in the amount of $957,151.36, consisting of grant funding in the amount of$932,151.36 for Miami Beach Arts and Culture Organizations and $25,000 for South Beach Jazz Festival, providing financial assistance to offset the State of Florida's Division of Arts and Culture's Cultural and Museum Grants(General Program Support) and the Specific Cultural Projects (Culture Builds Florida) Grant budget cuts. Page 705 of 2497 Applicable Area Citywide Is this a "Residents Right to Know" item, Is this item related to a G.O. Bond pursuant to City Code Section 2-17? Project? No No Was this Agenda Item initially requested by a lobbyist which, as defined in Code Sec. 2-481, includes a principal engaged in lobbying? No If so, specify the name of lobbyist(s) and principal(s): Department Tourism and Culture Sponsor(s) Commissioner Tanya K. Bhatt Co-sponsor(s) Commissioner Alex Fernandez Condensed Title Amend Reso 2024-33243, Approving One-Time Funding for MB Arts & Culture Organizations. (Bhatt/Fernandez)TC Page 706 of 2497