SUPPORTS ITEM NO. 4  
                                                      CS&B COMMITTEE AGENDA
                                                      JUNE 27, 1996        


                              ADMINISTRATIVE REPORT


                                                        Date: June 10, 1996


     TO:       Standing Committee on City Services and Budgets

     FROM:     Director of Finance

     SUBJECT:  1996 Grant Requests - Major Facilities



     RECOMMENDATION

        A.  THAT an operating grant of $276,000 be approved to the
            Vancouver Maritime Museum Society; source of funds to be the
            1996 'Other  Grants budget.

        B.  THAT an operating grant of $460,600 be approved to the Pacific
            Space Centre Society; source of funds to be the 1996 'Other 
            Grants budget.

        C.  THAT an operating grant of $655,900 be approved to the
            Vancouver Museum Association; source of funds to be the 1996
            'Other  Grants budget.


     GENERAL MANAGER'S COMMENTS

        The General Manager of Corporate Services RECOMMENDS approval of
        A, B and C.


     COUNCIL POLICY

     In accordance with the terms of the operating agreements with the
     Vancouver Maritime Museum Society, the Pacific Space Centre Society
     and the Vancouver Museum Association, Council has approve annual
     operating grants to the organisations to support their operations. 
     These grants are escalated each year by the negotiated wage increase
     in the CUPE 15 Collective Agreements. Any request for support above
     the base level is considered separately.

     Approval of grants require eight affirmative votes of Council.



     BACKGROUND

     In August 1987, Council agreed to the dissolution of the Vancouver
     Museums and Planetarium Association into three distinct organisations:
     the Vancouver Maritime Museum Society, the Pacific Space Centre
     Society and the Vancouver Museum Association.  This was done on the
     understanding that the cost to the City would not increase as the
     result of the change.

     The three organisations have settled their respective collective
     agreements with CUPE 15.  The terms of their 1994/1996 contracts will
     form the basis for the adjustments to their 1996 operating grants.


     DISCUSSION

     In accordance with the terms of the operating agreements with the
     Vancouver Maritime Museum Society, Pacific Space Centre Society and
     Vancouver Museum Association, each organisation have submitted their
     1996 grant request to the City.  The grant requests are based on the
     1995 funding level, and adjusted by the increases in the 1994/1996
     CUPE 15 collective agreement.


                               1996 Grant   1995 Grant   Difference
                                    $            $            $
     Van Maritime Museum Soc      276,000      266,900     9,100
     Pacific Space Centre Soc     460,600      445,600    15,000
     Vancouver Museum Assn.       655,900      636,800    19,100

                                1,392,500    1,349,300    43,200


     As previously approved by Council, the grant to the Vancouver Museum
     Association will be paid to the Association until the Vancouver Museum
     Commission is formed and assumes the operating responsibilities for
     the Museum.  At that time, all future grant payments will be directed
     to the Vancouver Museum Commission instead of the Association, and any
     further increase in funding to the Vancouver Museum Commission will be
     the subject of a separate report to Council.

     As in past years, these grants have been reviewed for financial
     compliance with the institutions' operating lease agreements.  They
     have not, however, been reviewed with respect to cultural objectives,
     as recommended in the Vancouver Museum Review staff report.  At
     Council's direction, a review of the City's relationships to these
     major institutions is currently under-way.  Any proposed changes to
     the operating grant review process will be included in the consequent
     report to Council.





     Accordingly, the Director of Finance recommends that an operating
     grant of $276,000 be approved to the Vancouver Maritime Museum
     Society; an operating grant of $460,600 be approved to the Pacific
     Space Centre Society; and an operating grant of 655,900 be approved to
     the Vancouver Museum Association.  The source of funds for the grants
     is 1996 'Other  grants budget.


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