Centre Wellington councillors held a special meeting on April 9 to take another look at a proposed $50,000 interest-free loan to the Elora Centre for the Arts (ECFTA).
Last month, council deferred the request pending more information being provided by the organization.
Information provided last week by the centre indicates the loan would essentially provide bridge financing for staff to carry out various programs and fundraising events, plus provide for office staff.
An email received by the township from the ECFTA on April 2 states the centre is in early negotiations with “arts-friendly landlords” and a business plan would evolve once the group is able to identify those partners.
Following a strategic planning exercise last year, the decision was made to bring in more experienced staff capable of fundraising and running a charitable arts organization.
In addition, a recent Canadian Revenue Agency audit resulted in the organization having to make a hefty payment to the government.
“This ‘perfect storm’ of events has led to The Centre having major cash flow challenges,” the centre email states.
However, organizers added that in order to prepare for the coming year, it needs to be able to pay its bills and the loan would provide a financial buffer to allow the centre to move ahead.
The submission focussed on how a “rejuvenated” centre would create “a vibrant and sustainable organization that enhances and grows the creative and artistic character of [the] community.”
As to finances, the centre proposed to separate the planning and management of its property and building assets from its artistic programs, with each existing as separate entities, but linked in purpose as an “arts-friendly landlord”.
Whatever the organizational structure, there must be financial arrangements that provide a continuing revenue stream for arts programming.
The “arts-friendly landlord function” would be governed by those with the skills and experience needed to plan and manage community-benefit real estate and shared business services.
It may seek partnerships and cooperative opportunities with compatible developers, investors, public governments, educational institutions, arts organizations, and more.
Its core contributions to the community will be two-fold: 1) provision of high quality rental space and shared services and 2) reinvestment in the artistic life of the community.
Organizers state the centre will need a variety of spaces in which to carry out its programs and community consultations and a strategic review provided a number of potential options for property development and shared business services.
Beginning with the site of the Art Centre, these include: ideas for condominium and rental residential living, artists’ work-live spaces, arts performance spaces (e.g. music, dance, theatre), galleries, teaching and learning centres, condominium style arts-tenant spaces, workshops, existing building renovations, administrative space and more.
While starting with a focus on the present site and building, official say other sites and facilities may be needed and desirable.
In this view, the centre becomes a tenant and arts programming enterprise. Its focus will be on developing, conducting and funding programs for galleries, arts education, entertainment, career enhancement in the arts, special events and more. On its own, and in collaboration with other organizations, its scope may include a variety of visual and performing arts.
Officials say to move forward the organization must focus on two themes:
– building a strong community base of participation and volunteerism;
– offering quality works and appealing to many interests with its galleries, educational courses, and performances.
In essence, officials say, the ECFTA has two basic requirements:
– leveraging value from the assets it now holds in ways that assure long-term revenue streams. These are necessary, but not sufficient, for the overall health of the centre. It will also require that the centre develop other revenue-generating initiatives along with prudent financial management;
– ensuring the centre has a “home”, a place where its activities prosper.
The centre wants to seek the “ideas and energies” of parties interested in helping to build a more vibrant arts community and “a mutually beneficial rejuvenation of the Elora Centre for The Arts.”
