Grant application information

ECHO Advisory Committee

Volusia ECHO Advisory Board Meeting
January 14, 2004
County Council Chambers
DeLand, FL

I. Call To Order, Introductory Remarks, Roll Call:

Chair Matousek called the January 14, 2004, ECHO Advisory Committee meeting to order at 3:05 PM, welcomed the advisory committee members and the public. Chair Matousek asked staff to take roll.

Chair Matousek welcomed Scott Poertner as a new staff member. Then opened discussion to approve minutes from July 9th, September 10th, and October 13th, asking board members if there were any recommendations or changes to be made.

Gary Libby motioned to move acceptance on July 9th minutes.

Linda Hargreaves seconded the motion, and it was passed unanimously.

Gary Libby moved acceptance of the September 10th minutes.

Linda Hargreaves seconded the motion and asked about the unknown use of (yanks) with the non-compliance line.

Frank Gummey explained that it should read angst, and the motion was passed unanimously with said change.

Gary Libby moved acceptance of the October 13th minutes.

Lorna Jean Hagstrom seconded the motion and directed the attention of the board members to page 3 and asked if the section reading “…changing $600,000 per year for 3 years…” should be changed to read “per 4 years”. The motion was seconded with changes and passed unanimously.

II. Staff Report:

Margaret Hodge informed the board that there was a spreadsheet detailing Grant awards and reimbursements to date, as well as an invitation to the Tuscawilla Park groundbreaking ceremony included in their package.

Attachment

Chair Matousek thanked all members who attended the AAMA dedication and the Rendon park grand opening. Then asked for an update on available funding.

Margaret Hodge reported that estimated funding available to grant this year is $4,091,300, with $100,000 (about 3%) held in reserves. The board is reminded that the Lively Arts Center is slated to receive $600,000 this year (subject to annual approval), leaving the total available to be awarded at $3,491,300.

III. Old Business:

Chair Matousek briefed the board on his presentation to the County Council meeting October 16th regarding the reconsideration of the existing grant to the Lively Arts Center. The County Council approved the LAC as an exceptional project and awarded them $600,000 per year for 4 years. A discussion ensued as to developing an appeals process, with a deadline, over the summer, and fine tuning the ECHO process.

IV. New Business:

Chair Matousek asked Staff to review current applications

Margaret Hodge directed the board’s attention to the Missing Documentation Chart, explaining the documentation and reviewing the applications as an overview. There were 3 applications that staff has deemed ineligible, DBCC (04-11) missing documentation, and two applications that were received late (one from Volusia County (04-21), and one from Pioneer arts Settlement (04-22). Discussion over BCC’s ability to provide us with a restrictive covenant arose, but BCC has provided a way to a grant award. The County must approve the final document, as it relates to applicant 04-11 prior to February 24th, 2004.

Mr. Gummey is asked to review the 501(C)(3) standards.

Gary Libby points out that the original intent of the program was to not fund state agencies, such as DBCC. Regardless of their 501(c)(3) status, the issue of funding a state agency needs to be dealt with as well.

Frank Gummey replies that that matter is a policy matter. DBCC is funded and established by the state of Florida, indicating that it is a state agency. On the other hand, in light of the IRS point of view, they do not view the state of Florida as a 501(c)(3) entity. Only specialty subdivisions such as state Universities and Community Colleges can obtain the 501(c)(3) status.

Gary Libby reminds the board that while drafting the ECHO program, they had meetings with Mrs. Seaman (Growth and Resource Management Director during the creation of the adapting resolution) to determine if the program could be arranged to include the public television station at DBCC. They were told repeatedly no because it is part of a state agency, and it was the intention of the County Council that these tax dollars not go toward funding state institutions. This application is a direct challenge to that issue.

Chair Matousek asks Mr. Gummey if his opinion is that the application is an eligible application, just missing the proper paperwork.

Mr. Gummey believes that issue is up to the discretion of this committee and he is make no determination as to whether or not they are ineligible as being a state agency, as that is a judgement call for the committee.

Chair Matousek suggests that they include DBCC as eligible to consider in anticipation of them receiving the proper 501(c)(3) status in time, allowing the board to review the application now, instead of last minute, if the status is received.

Gary Libby points out that the great issue of funding a state organization is of yet, unanswered. It is a big question, and it is perhaps, a question for the County Council to determine if they want to allow funding of state agencies, which state agencies, etceteras.

Linda Hargreaves asks if there was an applicant in the past that had only held a 501(c)(3) status for only one year, and therefor their application was not reviewed. This was indeed the case, and there were several that had to wait because they did not hold 501(c)(3) status. She feels challenged by the fact that DBCC is getting 501(c)(3) status from the IRS retroactive to meet the standards of the ECHO program.

Gary Libby asks if the current application forbids state agencies from applying in its verbiage directly. The application does not say who can not apply, it says who can.

Chair Matousek asks if it is staff’s position that this applicant is ineligible.

Frank Gummey replies that you could view them as eligible looking at the fact that they should receive their 501(c)(3) status. However, he also points out that by viewing them as a state agency you could deny their application for review. Therefore, he determines that you can not look at the application and find a black and white answer.

Margaret Hodge explains that staffs position as ineligible is due to the missing document. This is black and white with respect to application guidelines. It is up to the committee as to whether or not they wish to look past this and still review the application.

Chair Matousek asks for a representative from DBCC to speak to the board.

Larry Atkinson (DBCC) asks the board when do you become a 501(c)(3) status? Is it when you get the actual paperwork from the IRS or is it when you are acting in accordance with the guidelines of a 501(c)(3) organization? We have never in the past found a need to ask for the certificate from the IRS. Regarding state agency, yes, we are created and get funded by the State, but we are a corporation created by state statute, an independent organization run by a local board of trustees, appointed by the governor with funding from the state. Whether or not that’s the type of State agency you are talking about I don’t know. An attorney needs to address that, in my opinion, it’s not the same.

Gary Libby replies that when the guidelines were written for the ECHO program, the question as to funding state agencies was brought up. The community college was used as the example as the type of state agency that was ineligible for this program. The television station was an easy applicant and could have been an applicant in the cultural arts program with the county, the same with the museum who was turned down. Does the cultural arts program envision community college programs being eligible for their funding as well? My hesitancy, is not only based on our questions here, but if we rule that DBCC is eligible here, there would be no way for the Cultural Arts program to find them ineligible for general program support. Therefore I think it’s a big question that the County Council needs to deal with. Is this program time certain, does it have to be done this year, or can it wait until you get the certificate, I really think you need to have that certificate first. Is it the kind of thing that can wait until your 501(c)(3) status is determined?

Larry Atkinson replies no, it is a multi year project, and in fact, when you see the application you will see that is a complete redevelopment of the west side of our campus. We will be taking down some buildings and building a new building on the front of our campus that would hold the hospitality culinary programs and the Southeast Museum of Photography. If we are turned down this time, and are ruled eligible later, we will be back next year with an altered application and we intend to apply for funding on future portions of the project as well. I understand your position, but I think Mr. Matousek has a point. If you give us until February 24th to clear up some of these issues your talking about, including the 501(c)(3) status. The IRS has committed to giving us the certificate probably dating back to 1957 when we were formed, and also allow us to address the State eligibility issue and allow us to demonstrate to you and the Committee how we are different from State agencies you are talking about. So I ask that you keep us in the process until the 24th, and if we don’t have our paperwork by that time, remove us, if we do, then name your decision then.

Gary Libby moves that we accept the DBCC application and give them until the February date to clear up not only their 501(c)(3) status, but also determine their eligibility under state designation as well. Lorna Jean Hagstrom seconds the motion

Frank Gummey offers the option of saying that we conditionally review the application.

Gary Libby states that he doesn’t want it to appear that the committee does not want to appear that they are eligible given these two major stumbling blocks that need to be overcome.

Linda Hargreaves asks if the deadline date for DBCC can be moved up to a date before the review of the applications. The latest date before then would be the 24th.

Frank Gummey states that the issue of the letter from the IRS is either here or isn’t here. The other issue is not clear to me that anything would happen other than the college will submit some information and opinions to be taken into consideration.

Gary Libby asks that if the college should be determined eligible would it open them up to applying for grants for the television network or any other programs with public interface?

Larry Atkinson says no; in fact the television station itself is a separate 501(c)(3) entity that is eligible under your criteria to apply.

Gary Libby replies that no, as a point of fact they are not eligible.

Margaret Hodge points out that the application does not say who can’t apply. It does not say that you can not apply if you’re a 501(c)(3) and state associated. It is the resolution, which leaves out the state as an eligible applicant. That to my knowledge is what you have that restricts state agencies. Once you have a 501(c)(3) status there is nothing that says, to my knowledge that a state associated 501(c)(3) can not apply. So I do not know where you are going to get a resolution on that issue.

Don Smith states that he has problems supporting the motion in fairness to others because there is a set deadline for submitting the application, and DBCC has not met that deadline.

Motion to Conditionally Approve Application 04-11 (DBCC)
Ms. Hagstrom Yes
Mr. Libby Yes
Mr. Smith No
Mr. Woods Yes
Ms. Hargreaves No
Mr. Matousek Yes

4-2 the motion passed.

Margaret Hodge reviews applications 04-21 and 04-22 which both missed the application deadline by less than 30 minutes. Both applications are complete.

Lorna Jean Hagstrom moves to go forward with application 04-21, in fairness to others, who were not on time and allowed in.

Linda Hargreaves seconds the motion.

Motion to Conditionally Application 04-21 (Pioneer Arts Settlement)
Ms. Hagstrom Yes
Mr. Libby Yes
Mr. Smith No
Mr. Woods Yes
Ms. Hargreaves Yes
Mr. Matousek Yes

5-1 the motion passed.

Lorna Jean Hagstrom moves to go forward with application 04-22.

Gary Libby seconds the motion.

Motion to Conditionally Application 04-21 (Pioneer Arts Settlement)
Ms. Hagstrom Yes
Mr. Libby Yes
Mr. Smith No
Mr. Woods Yes
Ms. Hargreaves Yes
Mr. Matousek Yes

5-1 the motion passed.

Chair Matousek in our third year here, we have established a precedent of being extremely lenient, but our patience is wearing thin. We need to have the applicants prove compliance.

Gary Libby interjects that we can consider the lateness as a defect in the point total as well.

Margaret Hodge continues to go through the application deficiencies, explaining the general deficiencies and problems with the applications. Discussion ensues about some missing documents and the board asks for some missing items to be submitted. Staff was also asked to supply the Board with a new quarterly update before the next meeting.

Gary Libby moved that the board accepts the applications, the motion was seconded and past unanimously.

Chair Matousek adds an item to the agenda informing the board that the Athens Theater ownership will likely be transferred to the Sands Theater. This should not interfere with their application as it stands, but if they are to change hands before the application is reviewed there would only be a simple matter of a few house cleaning issues to get the application up to speed.

Larry Sands briefs the Board on the Sands Theater acquisition of the Athens Theater. It is a simple merger of the boards and properties. The transfer is ready to be made, but has been held off so as not to interfere with this application, and also waiting for a certified audit of the Sands Theater.

Chair Matousek begins a discussion on the scoring process and procedures, asking the committee to keep in mind the vision and purpose of ECHO. If a project does not meet the vision and purpose of ECHO, then we need to step up to the plate. We do not need to score all applications as passing if they do not meet the criteria. The possibility to revisit the scoring sheet and purpose during the summer is brought up and discussed as well. The discussion turned to the meeting between ECHO and Volusia Forever programs.

Don Smith asks if there were meetings discussing that a portion of ECHO funds be set aside for the purchase of land for the trails program.

Chair Matousek replies that the resolution allows for the County too bypass the grant process to appropriate funds. They have not done so to this point, but it is to early to talk about this yet. A discussion continues about the County and their long-term goals. The point being that this is just something that the County was asking about, and not a definite direction that they are heading in.

V. Public Participation

Monso Tatum, Pioneer Arts Settlement. Asks that the scoring reflect why points were taken away, specifically with regards to their application being late. He would like to be able to see how his application scored alone.

VI. Committee Comments

Chair Matousek the grants meeting has been changed to February 25th to allow more time to review the 22 grants, from 8 a.m. to 5 p.m. We will have a break for lunch. 100 percent attendance by the board is anticipated for the meeting. The applications will be available after the meeting to pick up in the breezeway.

VII. Adjournment

Meeting was adjourned at 4:50 p.m.