SUPPORTS ITEM NO. 4  
                                                      CS&B COMMITTEE AGENDA
                                                      JULY 27, 1995        



                              ADMINISTRATIVE REPORT


                                                       Date:  July 18, 1995


     TO:       Standing Committee on City Services and Budgets

     FROM:     Director of Cultural Affairs and
               Comptroller of Budgets & Research

     SUBJECT:  Grants Equal to Theatre Rent:  1995/96 Season



     RECOMMENDATION

          A.   THAT Council approve the new process outlined in this report
               to provide for  seasonally based (Fall/Spring) Grants  Equal
               to Theatre Rent.

          B.   THAT Council approve  revised base level  uses of the  Civic
               Theatres to 12 organizations as detailed in Table 1.

          C.   THAT Council approve rental  grants totalling $539,895 to 10
               organizations for uses  of the Civic Theatres  in Fall 1995,
               as listed in Table 2;  sources of funds to be $516,400  from
               the 1995 Cultural  Grant Equal to  Theatre Rent budget,  and
               $23,495 from Contingency Reserve.

          D.   THAT Council approve, in principle, and  subject to the 1996
               Operating  Budget Review  process,  rental grants  totalling
               $947,175  to 12 organizations for uses of the Civic Theatres
               in Spring 1996, as listed in Table 2.


     GENERAL MANAGER'S COMMENTS

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





     COUNCIL POLICY

     In 1979, and  again in 1983, City Council affirmed  the principle that
     Grants Equal to  Theatre Rent are  provided to cultural  organizations
     that use the Civic  Theatres regularly, and have been  assigned annual
     "base  level  uses"  of  the  theatres,  independent  of  rental  rate
     increases.    Adjustments  to the  Grants  Equal  to  Rent budget  are
     normally made after the new rates are approved by Council.

     Approval of grant recommendations requires eight affirmative votes.



     PURPOSE

     On  June 23,  1994, after hearing  of the  difficulties caused  by the
     calendar year timing of  Grants Equal to Rent, Council  directed staff
     to report  back in 1995 on changing the rental grants program from the
     current  calendar year  (Spring/Fall)  basis, to  a performing  season
     (Fall/Spring) basis.

     This report recommends a process for providing seasonal rental grants,
     including  new base  level allocations,  based on  consul-tations with
     affected  groups,  and makes  grant  recommendations  for the  1995/96
     season.


     SUMMARY

     Base Levels

     In view of the recommended move to seasonally based rental grants, and
     of shifts in applicants' uses of the Civic Theatres since base  levels
     were  last adjusted, this report recommends changes in the annual base
     levels  assigned to eligible applicants, and approval  of one use to a
     new applicant,  Music  in the  Morning.   These  recommendations  will
     reallocate  19 uses and  reduce the total  number of  eligible uses by
     four, as detailed in Table 1, following.




                                     TABLE 1
                     Recommended Adjustments to Base Levels


                          Current  Recomm. Change  Guidelines

     VANCOUVER PLAYHOUSE:

     Fest. Concert Soc.      39      34      -5    morning perf.
     Friends of Cham. Mus.    5       7      +2
     Van. Dance Centre`       7       -      -7
     Van. Play. Theat.      240     240       -    200 perf./40 reh.
     Van. Recital Soc.      __5       7      +2    (note Orpheum 
                                                     uses)
     Subtotal               296     288      -8



     ORPHEUM/QET:

     Academy of Music         4       4       -
     Ballet B.C.              8      10      +2    7 perf./3 reh.
     Coastal Jazz & Blues     1       1       -
     Music in the Morning     -       1      +1    morning perf.
     "Messiah"                -       2      +2    (1995: Bach
                                                    Choir)
     Van. Bach Choir         10      11      +1    5 perf./6 reh.
     Van. Chamber Choir       7       7       -    4 perf./3 reh.
     Van. Opera`             41      49      +8    28 perf./21 reh.
     Van. Recital Society     2       3      +1    (note Van. Pl.
                                                    uses)
     Van. Symphony          119     108     -11    95 perf./13 reh.

     Subtotal               192     196      +4

     TOTAL USES             488     484      -4


     It should be noted that  the base level represents the maximum  number

     of uses assigned to each organization.  The actual allocation is often
     below  the  base  level,  due  to  the  programming  schedule  of  the
     organizations.


     Grant Recommendations

     As detailed in Appendices A and B, 12 applicants have requested rental
     grants  totalling  $1,528,950.    The  Director  of  Cultural  Affairs
     recommends  grants  totalling $1,487,070  to  these 12  organizations,
     calculated  at the new rental  rates considered by  Council last week,
     and representing  467 out of a total  484 eligible uses, as summarized
     in Table 2, following.


                                     TABLE 2

                  1995/96 Grants Equal to Rent Recommendations

                                                                   New
                                 Fall     Spring                        Base
                                 1995      1996       $ Total   Uses   Level

       Academy of Music          6,800     18,700      25,500   (  4)   (  4)
       Ballet B.C.              23,800     34,000      57,800   ( 10)   ( 10)
       Coastal Jazz                  -      6,800       6,800   (  1)   (  1)
       Festival Concert         13,090     18,700      31,790   ( 34)   ( 34)
       Frds. of Cham. Music      3,750      9,375      13,125   (  7)   (  7)
       Music in the Morning          -      1,875       1,875   (  1)   (  1)
       Van. Bach. Choir*        34,000     19,700      53,700  (10+2)   ( 11)
       Van. Chamber Choir       18,350     17,000      35,350   (  7)   (  7)
       Van. Opera               85,000    164,225     249,225   ( 49)   ( 49)
       Van. Playhouse          126,655    257,125     383,780   (232)   (240)
       Van. Recital Society     17,350     19,225      36,575   (  9)   ( 10)
       Van. Symphony           211,100    380,450     591,550   (101)   (108)

       TOTAL                  $539,895   $947,175  $1,487,070   (467)   (484)

       *Includes two performances of the "Messiah"


     The recommendations  in Table  2 include  new base  level uses to  the
     following organizations:

     Ballet B.C.                   $10,200 (2 uses)
     Friends of Chamber Music      $ 3,750 (2 uses)
     Music in the Morning          $ 1,875 (1 use)
     Vancouver Bach Choir          $ 2,700 (2 uses) 
     Vancouver Opera               $51,000 (8 uses)
     Vancouver Recital Society     $13,600 (2 uses)

     Total                         $83,125 (17 uses)








     FINANCIAL IMPLICATIONS

     Because of the proposed adjustment in the timing of rental grants, the
     financial  discussion in this report includes all  of 1995, as well as
     Spring 1996.  For calendar year  1995, Council approved a Grants Equal
     to  Rent  budget of  $1,409,645.   For  Spring 1995,  Council approved

     rental grants totalling $893,245 (including $20,020 over base levels),
     leaving a balance of $516,400.

     Grants  recommended in  this  report for  Fall  1995 will  require  an
     increase of $4,375 in the total 1995 Grants Equal to Rent budget prior
     to an adjustment for Civic Theatre rate increases. Assuming the rental
     rates proposed by the  Director of Civic Theatres have  been approved,
     additional  increases in the budget will be required, as summarized in
     Table 3, following:

                                     TABLE 3
                                 Budget Summary

                             Grants     Grants
                Currently    Recomm.    Recomm.
                 Approved    Before      After      Rate
                  Budget   Rate Incr.  Rate Incr.   Incr.

     Fall 1995   $516,400  $  520,775  $  539,895  $19,120
     Spring 1996        0  $  915,850  $  947,175  $31,325

     Total       $516,400  $1,436,625  $1,487,070  $50,445


     Council should  note that  although the total  base level of  uses has
     been  reduced  by  four, this  reduction  will  not  translate into  a
     corresponding decrease in the funds required for the grant budget.  In
     fact,  the  recommended funding  level of  $1,487,070 for  the 1995/96
     season (September 1995 to August 1996), is a $77,525 or 5.6%  increase
     over the  1995 financial  year grant  ceiling of $1,409,645.   Of  the
     $77,525 increase, $51,045 or  3.6% is due to the  recommended increase
     in the  rental rates, which  will be reflected  in an increase  to the
     Civic  Theatre revenue, and  the remaining $26,480 is  due to the one-
     time restructuring of the base level of uses.

     The actual  impact to the 1996  Operating Budget is not  known at this
     time, as it  will be  influenced by rental  grant applicants'  program
     schedules  in  the  1996 Fall  Season,  as  well  as  the rental  rate
     increases for the  1996/97 theatre  season as applicable  to the  1996
     Fall Season.





     BACKGROUND

     The calendar  year timing of Grants Equal to Rent has created a number
     of difficulties for  both grant  recipients and the  City. As  Council
     noted with  the VSO last  year, one problem has  been that applicants'
     seasonal uses  have  not always  corresponded  to their  base  levels.
     Moreover,  approval of  applicants' grants for  the Spring  season has
     been retroactive.   The change  to Fall/Spring grants,as  described in
     this report,  will give applicants a  more accurate base level  and an
     indication  of the City's level  of support prior  to their performing
     season.

     Another  difficulty has  been  caused by  the  fact that  rental  rate
     increases,  approved  mid-year,  have  often  been  greater  than  any
     increase approved for the  Grants Equal to Rent budget earlier  in the
     year.   In  past  years, staff  tried  to  ensure that  rental  grants
     approved for a  given financial year, in terms  of total dollars, were
     within  the  budget  ceiling.   However,  there  were  occasions  when
     additional  funds  were  recommended  and  approved  from  Contingency
     Reserve to  provide funding to  close the  gap. The shift  to seasonal
     Grants Equal to Rent should address this problem.


     DISCUSSION

     Process

     The proposed new process  for reviewing and approving Grants  Equal to
     Rent will involve  one main report in July  to make recommendations on
     the  coming Fall/Spring  season,  and a  second  report early  in  the
     following year.  The second report is intended to establish the budget
     allocation for the  then-current year, and will be part  of the report
     dealing with grant ceilings in  the Cultural Grant category.  For  the
     1996 financial year, it is anticipated that the report would recommend
     a  funding ceiling of $1,487,070 for 1996, with any further changes to
     be made when the 1996/97 rental rates are adjusted.


     Base Levels

     This report recommends adjustments  in current base level  uses (Table
     1) to ensure  that the  levels assigned to  applicants are  compatible
     with  their performing  seasons and  reflect  their recent  pattern of
     Civic  Theatre uses,  within their  recognized mandates.    A periodic
     review of base levels will be conducted in the future.
     Council  will note that the base level recommendations for a number of
     groups  are more clearly defined than they  were in the past.  Because
     the costs  of different types  of uses vary  significantly (rehearsals
     versus  performances, for example),  clearer guidelines regarding type
     of  use are needed to bring assigned  base levels more closely in line
     with  the budget  ceiling.   Since  a review  of applicants'  past few
     seasons  indicates that  a  rigid  definition  of  types  of  uses  is
     impossible  in  many cases,  staff  are  recommending guidelines  that
     distinguish between  uses that  vary significantly  in cost.  Where no
     cost  increases are  involved,  however, this  report recommends  some
     flexibility  in applying  base  levels  (for  example, by  applying  a
     performance  use to cover a less expensive rehearsal use, but not vice
     versa).

     Noting the Vancouver Arts  Initiative's recommendation that the Grants
     Equal  to Rent program  be expanded to  include additional applicants,
     staff  also  reviewed  the   activities  of  several  non-profit  arts
     organizations that have been  frequent users of the Civic  Theatres in
     the past  five or more  years.   A major consideration  was whether  a
     group was still able  to take advantage of the  Vancouver Foundation's
     Baxter  Grant  program, which  is available,  on  a limited  basis, to
     occasional users of the theatres.

     This report  recommends that Council  approve rental grant  support to
     two of these  groups: (1) Music in the Morning,  which presents annual
     events in the  Civic Theatres  and is  no longer  eligible for  Baxter
     grants, and (2)  the Vancouver Cantata Singers  for their presentation
     of the "Messiah" every three years, as detailed later in this report.


     Requests and Recommendations

     A detailed  discussion of applicants'  base levels and  grant requests
     for  1995/96,   together  with  the  Director   of  Cultural  Affairs'
     recommendations for rental grants for the  first part of the year,  is
     provided in Appendix B.


     CONCLUSION

     The  proposal to change the rental grants program from a calendar-year
     to a seasonal basis has been welcomed by rental grant recipients.  The
     new  timing will give  them an  indication of  support prior  to their

     seasons, and limit  any discrepancies between  seasonal uses and  base
     levels.    Provided  the main  Grants  Equal  to  Rent report  can  be
     scheduled after  Civic  Theatre rates  are  adjusted for  the  season,
     rental grants will no longer have to be adjusted half  way through the
     year, thereby simplifying the process for all concerned.


                                *   *   *   *   *
                                                                 APPENDIX B


                       DISCUSSION OF GRANT RECOMMENDATIONS



     Academy of Music

     The Academy rents the Orpheum four times a year to present its student
     orchestral  concerts; its current base  level covers these  uses.  The
     Academy has asked for  a grant of $25,500 towards one use in Fall 1995
     and three uses in Spring 1996, which are recommended.


     Ballet B.C.

     At present, Ballet B.C.  has a base level  of eight uses of  the Queen
     Elizabeth Theatre: six performances and two rehearsals. It has applied
     for a base level of 14 uses: ten for the company's own productions and
     four  for some of  its presentations of  other companies in  the Dance
     Alive! series.   In Spring 1995 the company benefitted from a grant of
     $42,250  to cover its presentation  of "The Nutcracker"  with the VSO,
     which accompanied the  performance.   The grant was  within the  VSO's
     base levels, and support  for it was largely based on the fact that it
     assisted both Ballet B.C. and the VSO.

     In  the context  of the  current demand  on the  Grants Equal  to Rent
     budget,  the  Director of  Cultural  Affairs is  not  recommending the
     allocation  of base  level uses  for Dance  Alive! presentations  as a
     priority.  He notes that,  if the budget allows in the  future, it may
     be  desirable  to allocate  base level  uses  for events  that involve
     partnerships between rental grant recipients, such as that between the
     Ballet and VSO earlier this year.

     The Director does recommend  an increase Ballet B.C.'s base  levels to
     ten  uses: seven  performances and  three set-ups/  rehearsals, and  a
     grant of $57,800 to cover these uses for 1995/96.


     Coastal Jazz and Blues Society

     The  Society, which organizes  Vancouver's Jazz  Festival, has  a base
     level of  one for its annual  opening night concert at  the Orpheum or
     Queen Elizabeth Theatre.  No change in the base level is required.   A
     grant of $6,800 to cover its 1996 concert in June is recommended.


     Festival Concert Society

     The Society  presents diverse,  inexpensive  Sunday morning  concerts,
     convenient  for  families  and  seniors, at  the  Vancouver  Playhouse
     Theatre.  Since it  is reducing its season, a  corresponding reduction
     in its base levels, from 39 to 34 morning concerts, is recommended.  A
     grant of  $31,790, to cover the Society's rental uses in Fall 1995 and
     Spring 1996 is also recommended.

     Friends of Chamber Music

     Friends of Chamber  Music presents a series of ten evening concerts at
     the Playhouse, and has  a base level  of five. This  base level was  a
     result  of historical circumstances and financial need at the time the
     level was set.  The Society has now asked  for an increase in its base
     level to seven uses. Having reviewed the Society's current  activities
     and financial  needs, the Director of Cultural Affairs is recommending
     an increase  in  its base  level  to seven.    Within that  level,  he
     recommends a grant of $13,125 for the 1995/96 season.


     The "Messiah"

     For  a long  time,  three of  Vancouver's senior  choirs  have had  an
     agreement under  which each presents two performances  of "Messiah" at
     the Orpheum every three years during the Christmas season.  Two of the
     groups, the  Vancouver Bach  Choir and  Vancouver Chamber  Choir, have
     been  funded through  the rental  grants program  for many  years, and
     receive additional  assistance when they  do  "Messiah",  usually over
     their base levels.  The third, the Vancouver Cantata Singers, does not
     use the  Civic  Theatres on  an annual  basis, and  therefore has  not
     received a rental grant for its "Messiah" performances.

     To address  this situation, the Director of  Cultural Affairs proposes
     that a  "rotating" base  level of  two uses  be assigned  to whichever
     choir is presenting the "Messiah"  at the Orpheum in a given  year, in
     accordance with the  arrangement among  Vancouver's choirs.   For  the
     coming  season, the Director recommends that the $13,600 grant for the
     "Messiah" be approved in the allocation to the Bach Choir. 

     Music in the Morning

     The  Society  primarily presents  morning  concerts  at the  Vancouver
     Academy of  Music and several  other venues.   In recent years  it has
     also  organized concerts in the Civic Theatres, which were funded five
     times  by the Baxter Fund.  The Society  is now no longer eligible for
     Baxter grants, but wishes to continue to  present at least one concert
     a  year in  the  Civic Theatres.    The Director  of Cultural  Affairs
     recommends that Council assign a base level of one morning  use of the
     Orpheum or  evening use of the Vancouver Playhouse to the Society, and
     approve a grant of $1,875 for a  concert at the Playhouse on June  30,
     1996.


     Vancouver Bach Choir

     The Bach Choir has applied  for a base level of five  performances and
     six  rehearsals at  the Orpheum  Theatres, one  more than  its present
     level of ten  uses.  The size of the choir and orchestra with over 250
     people  on  stage,  make  it  difficult  for  the  group  to  rehearse
     elsewhere.

     The  Director of  Cultural  Affairs recommends  approval  of this  new
     level.  For 1995/96 he  recommends a grant of $53,700 representing  12
     uses, one  over the base level, but  including two performances of the
     "Messiah".  As indicated in the Summary, and explained earlier in this
     report,  the Director is proposing that up  to two base level uses for
     "Messiah"  be  set  aside  for  whichever  of  the  senior  choirs  is
     performing it in a given year.


     Vancouver Chamber Choir

     The  Chamber Choir's home season includes  performances in the Orpheum
     and in  smaller venues throughout  the city.   It has a  base level of

     seven uses  (four performances  and three set-ups/  rehearsals), which
     reflects  its current  pattern  of uses.  For  1995/96 the  choir  has
     applied for a grant of $36,430, which includes an extra rehearsal use.
     The Director of  Cultural Affairs' recommended  grant of $35,360  does
     not include this additional use.


     Vancouver Dance Centre

     The  City  began to  provide the  Vancouver  Dance Centre  with rental
     grants in 1990,  after the Centre had developed a  dance series in the
     Vancouver Playhouse with  assistance from  the Baxter Fund.   At  that
     time Council  assigned the Dance  Centre a base  level of seven  uses.
     Since  the Centre  discontinued this  activity three  years ago,  this
     report recommends cancelation of its base level uses.

     Vancouver Opera

     In  recent years  the VOA  has expanded  its  activities in  the Civic
     Theatres  well beyond its current  base level of  41 uses. Recognizing
     this fact, Council, on a one-time basis, approved three uses over base
     level totalling $19,500 for Spring 1995.

     The VOA  is  requesting a  new  base level  of  53 uses:  25  set-ups/
     rehearsals  and  28 performances  in  the Queen  Elizabeth  Theatre or
     Orpheum.  However,  to cover its 1995/96 season it  would need a grant
     of  $269,625  for 50  uses  of  the QET/Orpheum  and  18  uses of  the
     Vancouver Playhouse, where  it will  be presenting one  of its  operas
     next year.

     The Director of Cultural Affairs recommends a base level of 49 uses of
     the QET/Orpheum: 21  set-ups/rehearsals and 28 performances.   For the
     1995/96 season he recommends a grant of $249,225, the equivalent of 49
     uses  of the QET,  to be  applied to  23 performances  at the  QET, 18
     performances at the Playhouse  (costing just under 5 uses  of the QET)
     and  21  set-ups/ rehearsals.    Staff  are proposing  flexibility  in
     applying  uses for  the  VOA in  view  of the  organization's  current
     development phase.


     Vancouver Playhouse Theatre Company

     The  Company is the main user of  the Playhouse Theatre and produces a
     season of six  plays.  Its base  level of 240 uses  is appropriate for
     its current level  of use, allowing  for 200 performances and  40 set-
     ups/rehearsals.    For  1995/96   the  Director  of  Cultural  Affairs
     recommends  approval  of  the  Company's grant  request  of  $383,780,
     representing 195 performances and 37 set-ups/rehearsals.


     Vancouver Recital Society

     The Society has  a base level of five uses of  the Playhouse, where it
     has a  highly regarded concert  series, and  two uses of  the Orpheum,
     where it presents individual concerts, for a total of seven base level
     uses.  Like the Opera, the Recital Society has expanded its activities
     since its base levels were established.

     The  Society  has requested,  and  the  Director of  Cultural  Affairs
     recommends, a new base level of ten: seven Playhouse and three Orpheum
     uses.  The Director also recommends that Council approve on a one-time
     basis, the Society's  request for five uses of  the Playhouse and four
     uses  of the Orpheum totalling  $36,575; this is  within the Society's
     total number of new base levels.

     Vancouver Symphony Orchestra

     The  Symphony, whose base level has been  119 uses of the Orpheum, has
     asked for  a new level of  108 uses comprising 95  performances and 13
     rehearsals  or auditions.  The Director of Cultural Affairs recommends
     a base level of 108 uses, subject to the annual  budget level approved
     by Council, and on  the understanding that this level  can accommodate
     uses in which the Symphony accompanies other  rental grant applicants,
     such as Ballet B.C.  This does not include sold services.

     For  1995/96 the  VSO has  requested, and  the Director  recommends, a
     grant  of  $591,550 to  cover 89  performances  and 12  rehearsals and
     auditions at the Orpheum.

     The VSO  has also requested an  additional grant of $4,875  to cover a
     school concert  that was  omitted from its  Spring 1995 request.   The
     Director   of  Cultural   Affairs   does  not   recommend  retroactive
     consideration  of rental  grants for  a period  that has  already been
     dealt  with  by  Council, and  is,  therefore,  not  recommending that
     Council approve a grant for the VSO school concert in Spring 1995.



                                *   *   *   *   *