2000 'Other' Grant Requests - November 15, 2000

ADMINISTRATIVE REPORT

Author/Local: Jennifer Beresford/ 7789
Date: November 15, 2000
RTS No: 1636
File No.: 2201
CS&B: December 7, 2000

TO: Standing Committee on City Services and Budgets

FROM: General Manager Corporate Services / Director of Finance

SUBJECT: 2000 ‘Other’ Grant Requests

RECOMMENDATION

A. THAT a grant of $48,577 to the Vancouver City Planning Commission be approved; source of funds to be the 2000 ‘OTHER’ Grants Budget.

B. That a grant of $100,000 to the Vancouver Symphony Society to offset the rent payable under the lease with Civic Theatres for the period of January 1, 2000 to December 31, 2000 be approved; source of funds to be the 2000 Cultural Grant -Theatre Rent budget.

CONSIDERATION

C. THAT a grant of $3,500 (1999 funding level) be approved to the Chinese Benevolent Association of Vancouver; source of funds to be 2000 ‘OTHER’ Grant budget.

COUNCIL POLICY

Applications for grants under the ‘Other’ Grants category are to be submitted to the City before March 31 of the current budget year, and the requests are generally submitted to Council in a single report.

On October 24, 1989, as part of the rescue package for the Vancouver Symphony Society, Council approved the lease of office space in the Orpheum basement to the Society at a rent of $100,000 per year, to be offset by a grant of $100,000.

Approval of grants requires eight affirmative votes of Council.

PURPOSE

This report presents three requests for funding under the ‘Other’ Grants category and one request under the Cultural Grant - Theatre Rent category.

BACKGROUND

Council established the ‘Other’ Grants budget to provide funding for grant requests which do not meet the criteria for Community Services, Cultural, Day-care or Environmental grants. The ‘Other’ Grant category provides funding for the annual recurring and miscellaneous categories as well as for several specific programs, including Vancouver Art Stabilization Fund, the Sister City Societies and the Community Policing Offices.

The 2000 ceiling for ‘Other’ Grants was set by Council at $447,800. To date, $354,769 of this allocation has been distributed as grants or reserved for on-going grant programs such as the Vancouver City Planning Commission. The current unallocated balance is $93,031.

As part of the Budget Management plan approved by Council on April 20, 2000 to balance the 2000 budget, a reduction of $50,000 or 0.5% was proportionately applied across the major grant categories. The 'Other' Grants budget share of this adjustment is $2,200.

‘OTHER’ GRANT REQUESTS-
ANNUAL RECURRING AND MISCELLANEOUS CATEGORIES

In order to maintain some equity in the treatment of grant programs, it is recommended that, should Council wish to continue funding for the organizations represented in this report in 2000, approval be limited, where possible, to not more than the 1999 funding levels.

Vancouver City Planning Commission Recommended $48,577

Requested $48,577
1999 funding $47,162

Funding for the Vancouver City Planning Commission (VCPC) is provided by way of an annual grant from Council. The grant is based on an annual budget prepared by the Commission and is supported by annual financial statements. The funding contract requires the City to compensate the Commission for a prior year’s loss or to reduce the grant amount by the prior year’s surplus.

The VCPC 1999 expenditures exceeded revenue by $1,503. This deficit arose mainly because of unforseen GST charges on the compensation of the new Executive Coordinator. This shortfall was covered by reallocating funds from a prior year GST rebate.

The VCPC has submitted an operating grant request (Appendix A on file in the City Clerk's Office) totalling $48,577. This represents the first increase in the Commission’s budget in six years and is primarily attributable to the increased costs of compensating the Executive Coordinator.

Chinese Benevolent Association of Vancouver Recommended $3,500

Requested $6,000
1999 funding $3,500

The City has provided financial assistance to the Chinese Benevolent Association of Vancouver for a number of years. The grants, ranging from $1,500 to $3,500, have been used to cover the cost of events sponsored by the Association. This is the only such organization that receives a grant to support its operations. In 1999, a grant of $3,500 was approved. The Association completed the 1999 fiscal year in a deficit position of $7,435.

The Association has submitted a 2000 grant request of $6,000 to the City. The grant will be used to offset costs related to the annual Chinese New Year Parade and the Canada Day celebration. Financial Statements of the Chinese Benevolent Association of Vancouver are attached (Appendix B on file in the City Clerk's Office).

The Director of Finance submits this request for CONSIDERATION but recommends that the 2000 funding level be held at not more than 1999 approved levels.

SPCA - Vancouver Regional Branch Recommended $ 0

Requested $27,340
1999 funding $ 0

The Vancouver Regional branch of the British Columbia Society for the Prevention of Cruelty to Animals has submitted a 2000 grant request of $27,340 to the City to assist in maintaining the services to the residents of Vancouver. SPCA did not submit a request for a grant in 1999. Legacies have shown a steady increase in recent years, $348,000 in 1998 and $860,000 in 1999 contributing to an accumulated equity balance at the end of 1999 of $2,696,000. These funds are unrestricted and can be used for operating purpose. At the end of 1999 cash balance was close to $1,900,000 with a surplus of $1,207,000. The City has provided financial support to the SPCA in the past and continues to acknowledge the service provided by SPCA to our community. However, having reviewed the 1999 Financial Statements of the SPCA and in view of the strong cash position, additional City funding is not warranted at this time. In the future should SPCA request additional funding, their proposal will be considered in conjunction with an assessment of their financial position. The 1999 annual report including the financial statements of the SPCA are attached (Appendix C on file in the City Clerk's Office).

The Director of Finance does not recommend a grant to SPCA.

CULTURAL GRANT - THEATRE RENT CATEGORY

On October 24, 1989, Council approved a rescue package to assist the Vancouver Symphony Society to avoid bankruptcy. Part of that rescue package was a contract to lease the basement of the Orpheum Theatre at an annual rent of $100,000, to be offset by a grant of $100,000 from the City. This arrangement allows the Symphony Society to use the City contribution as leverage in its fund raising efforts. The lease has been renewed annually, subject to the approval of the grant from the City.

The Director of Finance RECOMMENDS that this lease be renewed for the period of January 1, 2000 to December 31, 2000 inclusive, and the rent for the period be set at $100,000. It is further recommended that a grant of $100,000 be approved to cover the lease cost; the source of funds to be the 2000 Cultural Grant - Theatre Rent budget.

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