VII.4. Revised Hopkins Center for the Arts Budget and Approve Loan Forgiveness; Harkess (CR2016-088) 1
September 6, 2016 Council Report 2016-088
REVISE HOPKINS CENTER FOR THE ARTS BUDGET
AND APPROVE LOAN FORGIVENESS
Proposed Action
Staff recommends approval of the following motions:
Move that the Hopkins Center for the Arts 2016 budget be modified increasing expenditures
from $903,667 to $946,714.
Move that the $300,000 loan between the Economic Development Fund and the Hopkins Center
for the Arts be forgiven.
Overview
Due to recent retirements at the Hopkins Center for the Arts and as a result of a recently
completed organizational study the HCA staff has been reorganized. The change in staffing
results in an increase in the salary line item of $33,547. In addition other line items were
reviewed resulting in a cumulative increase of $9,500. This is due to reductions in uniforms,
moving to increased frequency in cleaning services, reduction in heating fuel costs and increased
electricity costs. The total budget increase is $43,047 and will be taken into consideration with
annual modifications in the Financial Management Plan currently under review.
In the 1998 the Hopkins Center for the Arts (HCA) received a $300,000 loan from the Economic
Development Fund among other financing to help build the facility. The only debt remaining is
this loan. In reviewing the financial status of both the Arts Center and Economic Development
(ED) Fund it has been determined that due to the ED Fund’s receipt of over $964,700 of excess
Tax Increment for the years 2012-present, that $300,000 of those funds could be used to forgive
the HCA loan. The Director of Planning & Development concurs with this plan. This will result
in an increase to the Arts Center’s bottom line and while it will not eliminate the negative
position it makes progress in getting the Arts Center towards a more positive position.
Supporting Documents
2016 Budget – Original & Modified
______________________________________
Christine M. Harkess, CPA, CGFM
Finance Director
Financial Impact: $ 43,047 Budgeted: Y/N N Source: _________
Related Documents (CIP, ERP, etc.): ___________ Notes: __________________
DEPARTMENT - ART CENTER FUND 250
REVENUE AND EXPENDITURE SUMMARY
12/31/2015 APPROVED MODIFIED
Actual Actual Actual Budget Budget Budget Percent
CODE 2013 2014 2015 2015 2016 2016 Change
REVENUES
300 Current Ad Valorum Taxes $ - $ - $ 83,587 $ 85,000 $ 140,000 $ 140,000 64.71%
344 State Grants 62,964 41,998 37,337 58,000 35,967 35,967 -37.99%
380 Rental 116,272 103,187 103,776 113,000 115,000 115,000 1.77%
383 Leases 253,550 258,321 254,715 262,901 270,721 270,721 2.97%
403 Art Sales 6,385 5,176 11,051 3,500 5,000 5,000 42.86%
404 Memberships 7,599 4,914 8,000 8,000 8,000 8,000
41X Facility Fees 21,267 21,284 20,469 22,000 19,200 19,200 -12.73%
433 Admissions 141,917 82,657 122,875 124,000 85,000 85,000 -31.45%
435 Concessions 359 450 367 500 300 300 -40.00%
440 Contributions (business/indiv gifts) 1,000 459 1,163 1,000 1,000 1,000
441 Sponsorships 2,992 616 4,207 5,000 5,000 5,000
442 Donations 2,827 750 1,811 2,300 2,000 2,000 -13.04%
443 Private Foundation Grants 666 2,222 36,016 5,000 3,000 3,000 -40.00%
445 Fundraising 10,450 9,059 5,100 10,000 10,000 10,000
449 Other Miscellaneous 23 - - - - -
490 Transfer in from Economic Develop. 61,000 61,000 - - - -
490 Transfer in from Cable fund 86,920 86,920 86,920 86,920 86,920 86,920
REVENUE TOTAL $ 776,191 $6 7 9 , 2 2 3 $ 777,393 $ 787,121 $ 787,108 $ 787,108 0.00%
EXPENDITURES
Salaries and Employee Benefits
500 Regular Employees $ 186,675 $2 2 4 , 6 8 9 $ 221,068 $ 218,442 $ 228,800 $ 263,347 20.56%
501 Overtime-Regular Employees 577 266 917 1,600 1,600 600 -62.50%
503 Part-Time Employees 90,547 62,668 78,838 75,087 65,000 65,000 -13.43%
524 SL Converted/LTD 1,470 1,778 1,744 1,922 1,919 1,919 -0.16%
525 P.E.R.A. Contribution 19,036 18,376 19,994 22,135 22,155 22,155 0.09%
526 F.I.C.A. Contribution 21,360 19,853 21,347 22,577 22,598 22,598 0.09%
527 Employee Benefit Plan 37,490 42,634 45,496 47,006 47,691 47,691 1.46%
531 Workers Compensation 4,277 3,341 4,217 4,309 3,700 3,700 -14.13%
535 Paid Leave Accrual 168 2,628 2,798 3,052 3,047 3,047 -0.16%
TOTAL 361,634 376,232 396,418 396,130 396,510 430,057 8.56%
Materials, Supplies and Services
540 Office Supplies 5,766 4,176 4,401 3,500 3,600 3,600 2.86%
541 Uniforms/Clothing 843 232 839 1,000 2,000 1,000
542 General Supplies 9,302 10,214 10,633 9,500 17,383 17,383 82.98%
543 Equipment & Vehicle Parts - 477 - 500 500 500
544 Structural Supplies 5,927 2,143 4,383 6,000 5,000 5,000 -16.67%
545 Parts and supplies 69 110 2,000 4,500 2,000 2,000 -55.56%
550 Minor Equipment 502 - 4,773 600 500 500 -16.67%
554 Art & Merchandise Products for Resale 4,451 3,995 8,509 2,700 3,700 3,700
555 Other Supplies 1,502 2,184 402 500 300 300 -40.00%
560 Postage 4,144 7,379 3,335 7,900 5,800 5,800 -26.58%
563 Maint. & Repair- Equipment/vehicle 455 295 - 500 500 500
565 Maint. & Repair- Structures 15,553 9,604 12,264 12,000 12,000 12,000
568 Printing 2,035 5,268 6,208 4,000 7,100 7,100 77.50%
580 Audit 800 800 800 800 800 800
581 Advertising and Publication 62,388 78,803 48,378 63,200 65,220 65,220 3.20%
582 Expert & Professional Services 118,504 108,859 100,702 113,500 106,500 121,000 6.61%
583 Other Contractual Services 58,030 46,716 48,884 53,900 54,600 54,600 1.30%
584 Telephone- Local 2,052 2,267 5,423 3,150 2,200 2,200 -30.16%
588 Legal Services - - 290 200 - - -100.00%
602 Heating Fuel - Gas 15,871 14,920 10,157 26,000 26,000 20,000 -23.08%
604 Electricity 49,666 52,414 52,079 52,000 52,000 54,000 3.85%
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DEPARTMENT - ART CENTER FUND 250
REVENUE AND EXPENDITURE SUMMARY
12/31/2015 APPROVED MODIFIED
Actual Actual Actual Budget Budget Budget Percent
CODE 2013 2014 2015 2015 2016 2016 Change
EXPENDITURES (cont.)
Materials, Supplies and Services (cont.)
611 Equipment rental 11,121 6,118 3,931 10,000 8,500 8,500 -15.00%
612 Lease 4,886 5,111 2,042 5,700 5,000 5,000 -12.28%
624 Equipment Charges 665 697 777 847 992 992 17.12%
625 Fundraising expenses - 9 - - - -
630 Training 260 - - 600 200 200 -66.67%
633 Dues and Memberships 190 195 254 200 200 200
635 Travel/Mileage 8 - - 150 - - -100.00%
637 Meals and Lodging 11,636 6,843 6,961 10,350 7,850 7,850 -24.15%
639 Subscriptions and Publications - 55 - - - -
652 General Liability 4,119 4,389 4,004 4,391 4,432 4,432 0.93%
653 Property Insurance 3,697 4,970 11,031 12,034 5,069 5,069 -57.88%
654 Volunteer Insurance 483 - 363 425 411 411 -3.29%
TOTAL 394,929 379,243 353,821 410,647 400,357 409,857 -0.19%
Capital Outlay
720 Buildings & Structures - - - 18,600 41,200 41,200 121.51%
730 Improvemetns other than Buildings - - - 152,010 44,100 44,100 -70.99%
750 Office Equipment & Furninishing - - - 2,000 17,800 17,800 790.00%
790 Other Equipment - - 10,169 22,700 3,700 3,700 -83.70%
TOTAL - - 10,169 195,310 106,800 106,800 -45.32%
PROGRAM TOTA L $ 756,563 $7 5 5 , 4 7 5 $ 760,408 $ 1,002,087 $9 0 3 , 6 6 7 $ 946,714 -5.53%
NET SOURCE (USE) OF EQUITY
OR FUND BALANCE $19,628 $(76,252)$16,985 $(214,966) $(116,559) $(159,606) -25.75%
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