ADMINISTRATIVE REPORT

Date: July 5, 2000
Author/Local: S. Harvey/6001

RTS No. 01605

CC File No. 2005

CS&B: July 27, 2000

TO:	Standing Committee on City Services and Budgets
FROM:	Directors of Community Services, Social Planning and the Office of Cultural Affairs
SUBJECT:	2000 Capital Grant Allocations

RECOMMENDATION

THAT Council approve 8 Capital Grants, totalling $119,380, as listed in Appendix A of the Administrative Report dated July 5, 2000, including conditions on the grants, where noted; with the source of funding to be provided from the 2000 Capital Budget.

GENERAL MANAGER'S COMMENTS

The General Manager of Community Services RECOMMENDS approval.

COUNCIL POLICY

In 1987, City Council adopted "Criteria and Guidelines for Capital Grants". Included in these was the stipulation that the City grant for a project is not to exceed one-third of the total project cost.

The 2000-2002 Capital Plan included provision for a Capital Grant program for social service and cultural projects in facilities which are not owned by the City.

Approval of grants requires eight affirmative votes.

PURPOSE

This report seeks Council's approval of recommended allocations for 2000 Capital grants.

BACKGROUND

For many years, the City has provided support for cultural and social service facilities through a number of mechanisms including: direct provision of facilities like Carnegie and the Vancouver Civic Theatres, capital budget allocations to organizations operating out of City-owned facilities (i.e. Mt. Pleasant Neighbourhood House, Firehall Theatre), and, since 1975, capital grants to organizations located in their own (or leased) premises.

Capital grants to non-profit social service and cultural organizations are for facility purchase, renovation and refurbishment of facilities not owned by the City. By policy, grants cannot exceed one-third of the total project cost -- the balance of the funds must be secured by the non-profit organization through public and private sector fund raising.

This Capital Grant program is an example of one of the ways in which the City works with non-profit organizations to maintain and improve the cultural and social service infrastructure in Vancouver. The program supports the City’s objectives of accessible, community-based services, the development and maintenance of strong communities, and the creation and strengthening of “complete” neighbourhoods. Of particular significance is the cost-sharing nature of these grants which ensures that the projects are developed on a partnership basis, leveraging significant support from senior levels of government and the private sector.

DISCUSSION

Council approved an allocation of $500,000 for Capital Grants in the 2000-2001 Capital Plan. On May 18, 2000 Council approved an allocation of $150,000 in the Capital Budget for this year's Capital Grants.

Capital Grants Process:
City Council adopted criteria and guidelines for Capital Grants in 1987. These were amended in 1994 to reflect recent changes in the program (i.e. grants are only for facilities not owned by the City; only social service and cultural facilities are eligible). Revised criteria and guidelines are attached to this report as Appendix "D".

In May, a preliminary application form along with a copy of the criteria and guidelines, was sent to Community Service and Cultural grants applicants who own or lease spaces, as well as other community groups who had expressed an interest in the Capital Grants program. A total of 21 organizations returned completed preliminary applications. Full application forms were then sent to those who met the basic eligibility criteria. A total of 12 applications, requesting a total of $310,775 were submitted and reviewed by staff fromCommunity Services, Cultural Affairs and Facilities Development. Copies of the front pages of the applications are attached as Appendix "C").

A late preliminary application was received from the Fraser Street Community Crime Prevention Society for a $4,000 grant to assist in upgrading the new Crime Prevention Office space at 41^st and Victoria. This space was provided, fully finished, to the City as a condition of the rezoning of the site. The City subsequently leased it to the Crime Prevention Society. Because this is a City property, it is not eligible for funding from the Capital Grants program. Also, City staff are currently reviewing the City’s involvement in and funding of Crime Prevention Offices and the role of the City in assisting with capital funding is part of this review. Council will be dealing with recommendations arising from this review in September. Staff propose that no applications for capital funding for these offices be dealt with until after the review has been completed

Staff evaluated the balance of the applications first on basis of the basic criteria, and then in terms of the following priorities:

1. Appropriateness, public benefits, effectiveness, quality and potential improvement of services;
2. Financial need;
3. Cost of service;
4. Accessibility for the broad community; and
5. Confirmed financial support from other sources.

The review process culminated in the recommended grant allocations attached as Appendix "A". The rationale for each recommendation is included in this report as Appendix "B".

Accountability and Recognition:
To facilitate the payment of grants, the disbursement procedure established in 1994 will be continued. One-half of the grant will be paid at the start of the project, subject to:

… any conditions attached to the grant recommendations being met;
… confirmation of the receipt of funds necessary to complete the project; and
… receipt of any necessary development approvals.

The remaining half of the grant is paid when the work has been completed, as determined by the Director of Community Services, Social Planning or Director, Office of Cultural Affairs.

To ensure that the funds are used as proposed, all grant recipients will be required to submit a final report within 60 days of completion of the project, outlining project revenues andexpenditures and noting specifically how the City grant was spent. As in previous years, staff are recommending that grant recipients be required to acknowledge the City contribution in any situation where project funding is officially recognized by the organization (i.e. in annual reports, brochures, plaques etc.).

CONCLUSION

Approval of the recommended Capital grants will help to ensure that approximately $1 million worth of renovations, upgrading, and new construction of cultural and social service facilities will happen in 2000.

* * * * *

Appendix “A”
Page 1 of 1

2000 Capital Grant Requests

General Conditions:

… confirmation of the receipt of funds necessary to complete the project; and
… receipt of any necessary development approvals.

Specific Conditions:

1. Subject to confirmation of a signed lease, funding necessary to complete the project and final design and budget to the satisfaction of the Director of Community Services.

2. Subject to confirmation of a signed lease.

3. Subject to the confirmation of funding necessary to complete the project and a Phase 1 upgrade program to the satisfaction of the Director, Office of Cultural Affairs.

Appendix “B”
Page 1 of 3

2000 Capital Grant Recommendations

Grants Recommended:

Bard on the Beach
A grant in the amount of $15,000 is recommended in support of new risers and seating for the Studio Stage. The Douglas Campbell Studio Stage, introduced in 1999, provides an additional smaller venue for Bard on the Beach productions. Permanent risers and seating will provide a safe and comfortable experience for audiences.

Indian Homemaker’s Association of B.C.
A grant of $20,000 is recommended to assist in the renovation of an existing building for a Mothers’ Center. Conditions of funding include securing the balance of the renovation costs, securing a long-term lease on the proposed location and submission of a final design and budget to the satisfaction of the Directors of Community Services and Facilities Development.

Palme’s Performing Society
This new theatre company provides training and performance opportunities for children and youth from Eastern European backgrounds using traditional slavic dramaturgy. They have grown to a group of 50 and have secured a home in the Russian People’s Hall. A grant of $3,700 is recommended in support of stage construction and new signage subject to the confirmation of a signed lease.

South Hill Child Care Society
A grant of $5000 is recommended to assist with the cost of creating an outdoor covered area. Staff do not recommend support of the balance, as the project is now 75% complete and the Capital Grant program does not provide retroactive funding.

St. James Community Square Society
A grant of $10,000 is recommended to assist with the phased upgrade of the building’s fire and life safety systems. St. James Community Square is well used by neighbourhood recreational, community, cultural and social service groups.

The Arts Club Theatre Society
The Granville Island stage of the Arts Club Theatre was renovated in 1979. Much of the equipment is at the end of its life cycle and the building is dated and needs upgrading for audiences’ comfort and safety. The Arts Club has completed an extensive feasibility study and proposed a phased approach to these upgrades but as yet, have not finalized the Phase 1 package of improvements. Staff recommend a grant of $50,000 subject to the confirmation of funding necessary to complete the project and a Phase 1 upgrade program to the satisfaction of the Director, Office of Cultural Affairs.

Appendix “B”
Page 2 of 3

2000 Capital Grant Recommendations

Vancouver Access Artist Run Centre
A grant in the amount of $680 is recommended to support the construction of a new gallery wall in this artist run centre.

West Side Family Place
A grant of $15,000 is recommended for renovations that will enable expansion and improvement of their programs to meet increasing community needs. The recommended grant is $3,000 less than requested because part of the proposed renovation included an expansion of the floor space, a proposal that cannot be supported because of zoning and permitting complications that would arise.

Grants Not Recommended:

Filipino Canadian Support Services Society
No grant is recommended at this time. This is a relatively new organization which has just recently moved into the building which they are hoping to purchase and renovate. The applicant proposes to fund-raise a down payment for the purchase and then to mortgage the remaining costs of the project. However, there is no clear indication or established track record that the organization has the ability to raise the initial amount or the on-going mortgage payments.

Heras Playhouse Society
No grant is recommended. This non-profit society proposed renovations to create four new family daycare spaces in the home of a board member and the family daycare operator. In addition, complete estimates for proposed renovations were not received prior to the grant review. Therefore, staff determined that this project was ineligible for grant funding.

Lubavitch - Central Organization for Jewish Education
No grant is recommended. Staff have concerns about the nature of the proposed services. The focus of this application is on facilities for counseling services. Although the applicant claims that the service is open to all, they also state that the counseling will be provided by the Rabbis. Many religious groups offer counseling as part of their program, and staff are concerned about setting a precedent of the City providing financial assistance to the numerous religious organizations throughout the City who provide services to their community.

Appendix “B”
Page 3 of 3

Vancouver Japanese Language School and Japanese Hall
Notwithstanding the merits of the proposed renovations, staff do not believe that this project is sufficiently developed to support at this time. Therefore, no grant is recommended. Staff recommend that a community child care assessment be conducted to determine the extent of demand for a preschool and child care facility. In addition, Community Care Facilities Licensing staff should be contacted to conduct a preliminary site visit to assess space requirements and/or limitation and architectural drawings should be prepared. The VJLS is encouraged to meet with Community Services and Heritage Planning staff to review renovation and funding options.

Appendix C on file in the City Clerk's Office

Appendix “D”
Page 1 of 2

2000 CAPITAL GRANTS

Guidelines and Criteria

A. ELIGIBILITY

Registered non-profit societies which are based in the City and provide social or cultural services (including childcare) to Vancouver residents are eligible to apply for Capital Grants. Societies must be in good standing with the Registrar of Companies and be financially stable with sound administration and have a proven track record of public service.

The organization shall have an independent, active governing body composed of volunteers. Its main responsibility shall be program and policy development and fund raising. The Board must be responsible for the effectiveness of services and programs provided and the financial accountability of funds received from all sources. Voting members of the Board of Directors of a society receiving funds from the City may not concurrently hold a paid staff position or be remunerated for services to the society. They may be reimbursed for expenses.

The organization must extend its services to the general public in the City of Vancouver, and may not exclude anyone by reason of race, religion, or ethnic background.

B. ALLOWABLE EXPENSES FOR CAPITAL GRANTS

Capital grants are for major capital projects located in the City of Vancouver, involving facility purchase, construction, renovation or expansion. Projects involving City-owned facilities are not eligible for City capital grants. Capital grants may not be used to cover deficits or to pay for furniture, equipment and other depreciable assets, maintenance or work already underway or completed.

C. COST SHARING

The City's contribution to a project shall not exceed one-third of the total cost. Payment of Capital Grants will be contingent on securing other funding.

Appendix “D”
Page 2 of 2

D. PRIORITIES

Capital Grants are discretionary and will only be provided for projects which meet high standards of quality and excellence in the provision of service to the residents of Vancouver.

The following factors will be taken into account in reviewing applications:

1. Appropriateness, benefits, effectiveness and quality of service;
2. Financial need of organization;
3. Cost of service;
4. Community support;
5. Financial and cultural accessibility for the broad community;
6. Other financial support;
7. Financial and managerial expertise.

E. DOCUMENTATION

Any organization interested in applying for a Capital Grant must first complete a Preliminary Application and submit it, by the specified deadline, to the Social Planning Department. Applicants which meet the basic eligibility requirements and whose preliminary proposals may be fundable within the City’s grants budget will then be asked to submit a detailed application, along with the following information:

1. Current fiscal year operating budget – revenue and expenses

2. Most recent audited or signed financial statements

3. Documents to show evidence that other sources of financial support have been, or are likely to be secured.

4. List of current Board members – names, addresses and position held

F. PAYMENT

Capital Grant payment will be based on a pre-authorized budget subject to confirmation of total project financing and all necessary approvals.

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