Table of Contents
- Purpose of Program
- Basic Eligibility
- Applicant Review Calendar
- Request Amount
- Single Phase or Multiphase Projects
- Changes in Project Scope or Venue
- Funding Cap with Time Limits
- Project Extensions
- Application Requirements
- Review Criteria & Scoring
- Review Process
- Encumbrances and Expenditures
- Grant Administration
- Grant Compliance Policy
- Grant Forms
- Disbursement of Grant Funds
- Grant Award Agreement
- Grant Amendment Requests
- Crediting the Division
- Florida Single Audit Act
- Interest on Surplus Funds
- Accounting System
- Restrictive Covenant and Surety Bonds
- Public Records Retention Period
- How to Apply
- 1. Surety Bond For Cultural Facilities Grant
- 2. Restrictive Covenant Provisions and Amortization Schedule
We're glad that you're considering applying for a grant from the Division of Cultural Affairs. You are currently reading the Cultural Facilities Program guidelines; they are incorporated by reference into Rule 1T-1.039, Florida Administrative Code, and detail policies and requirements for the application, receipt, and administration of Cultural Facilities grants.
The Cultural Facilities Program of the Division of Cultural Affairs, Florida Department of State, is one of only a handful of such state programs nationwide. Since the Florida Legislature established the program in 1988, the program has undergone many changes in policy, guidelines, requirements, and application format. All of these changes have been made in an effort to refine the program and to provide accountability, as well as to be responsive to the requirements of the Legislature and to the needs of the applicants.
Purpose of the Program
The purpose of the Cultural Facilities Program is to coordinate and guide the State of Florida's support and funding of renovation, new construction, or acquisition of cultural facilities.
A Cultural Facility is a building which shall be used primarily for the programming, production, presentation, exhibition or any combination of the above functions of any of the arts and cultural disciplines defined in s. 265.283(7), F.S. These disciplines include, but are not limited to music, dance, theatre, creative writing, literature, architecture, painting, sculpture, folk arts, photography, crafts, media arts, visual arts, programs of museums, and other such allied, major art forms.
All applicants must meet the following basic Legal and Program eligibility requirements at the time of application:
All applicant organizations must:
be a public entity governed by either a municipality or county OR
- * be a nonprofit, tax-exempt Florida corporation according to these definitions
Incorporated as an active nonprofit Florida corporation, pursuant to Chapter 617, Florida Statutes; Division staff will verify that the applicant was in "active" status with the Division of Corporations at the time of application.
Designated as a tax-exempt organization as defined in Section 501(c)(3) or 501(c)(4), of the Internal Revenue Code of 1954; and,
Allowed to receive contributions pursuant to the provisions of s. 170 of the Internal Revenue Code of 1954.
Applicants that are not public entities must provide the organization's IRS determination letter documenting not-for-profit, tax-exempt status with each application.
The IRS determination letter should be submitted by the application deadline. The Division will notify the applicant if the IRS determination letter is not received by the application deadline. The Division must receive the IRS determination letter within 10 calendar days of notification and if it does not, the application will be disqualified.
For more information on corporate status, visit http://www.sunbiz.org or call the Division of Corporations, profit and nonprofit information line at (850) 245-6054.
For more information about tax exempt status, see Exemption Requirements - Section 501(c)(3) Organizations on the Internal Revenue Service website (http://www.irs.gov).
* Own or have an executed lease for the undisturbed use of the land or buildings or both. In the cases where either the land or buildings or both are leased by the applicant, the owners must also meet the criteria in numbers 1 and 2 above.
Exception: Land or buildings or both owned by the State of Florida and leased to an eligible applicant. For the purposes of this program, the applicant must not be a political subdivision of the state.
Retain ownership of all improvements made under the grant. Exception: Unless land or buildings or both owned by the State of Florida and leased to an eligible applicant.
- * An organization operating budget showing Total Revenue and Support for the last completed fiscal year.
- * An 8.5" x 11" reduction of current architectural plans.
- * Support letters or a list of local officials lending support to this project.
* Include documentation with the Support Materials Packet
- The Cultural Facilities Program does not fund project planning, such as feasibility studies and architectural drawings, or operational support.
- Applicants for projects that are intended to preserve an historic structure should apply to the historic preservation grants-in-aid program administered by the Division of Historical Resources, Bureau of Historic Preservation. For additional information, please contact the Bureau of Historic Preservation at 850/245-6333.
- A project funded by the Legislature outside of the review of the Florida Council on Arts and Culture or Secretary of State shall not be eligible to receive grant support for its project from the Division of Cultural Affairs within the same fiscal year in which legislative funding is appropriated.
Applicant Review Calendar
|June 15, 2012||NEW APPLICATION DEADLINE. The application form must be completed using the Division's on-line grant application and submitted online by 11:59 pm ET on June 15, 2012.|
|July-August, 2012||Division of Cultural Affairs reviews new applications and releases eligible ones to the application review panels for review and scoring.|
|October 2012||Application review Committee meets** to evaluate and rank new applications. The resulting list, ranked in numerical order by average score, will be submitted to the Secretary of State for approval.|
|March-April 2013||List considered for funding by the Legislature.|
|June-July 2013||Grant Award documents mailed; funds available after July 1st.|
* All dates adjusted annually to reflect the subsequent fiscal years.
** Specific time and location TBD. Eligible applicants will be notified in writing of the time and location of application review meeting.
Project Support Period
The grant award period will begin on July 1, 2013, or upon full execution of the Grant Award Agreement, whichever is later, and will end on April 1, 2015. State grant funding may be spent only on project expenses incurred during this grant period and listed on the Project Budget.
The maximum grant amount that may be requested is $500,000. There is no minimum amount. The Division will not accept two (2) or more Cultural Facilities applications under a single application deadline, for the same facility, project, site, or phase. City or county governments may submit Cultural Facilities applications for their divisions or departments that are separate and distinct budgetary units, provided the applications do not address the same facility, project, site, or phase.
Organizations with a Total Support and Revenue of less than $500,000 must have at least 1 dollar of match ($1) for every dollar requested from the state or a 1:1 match.
Organizations with a Total Support and Revenue of $500,000 or more must have at least 2 dollars ($2) of match for every dollar requested from the state or a 2:1 match.
Exception: Organizations in a REDI designated area may request a 1:1 match regardless of Total Support and Revenue. See the REDI eligibility information below.
|Total Support and Revenue||Match for REDI Organization||Match for Non REDI Organizations|
|$500,000 or more||1:1||2:1|
|less than $500,000||1:1||1:1|
See Matching Funds Statement and Match Summary Chart for additional information.
Rural Economic Development Initiative (REDI) Exception
REDI recognizes those rural or economically distressed counties or communities designated pursuant to Sections 288.0656 and 288.06561, Florida Statutes, as REDI qualified. The REDI program is administered by the Florida Department of Economic Opportunity.
REDI match is $1 local for every $1 state.
Applicants that seek a REDI waiver must submit a letter from the county government acknowledging the application and requesting a REDI waiver on behalf of the applicant. This letter must be submitted with the application package.
For more information about REDI, including a list of eligible counties and communities, see the official REDI website at http://www.florida-redi.com page.
Single-Phase or Multiphase Projects
Single-phase projects may be completed (i.e., grant and match paid out) within 21 months after grant funds are available. Example: If grant funds are available on July 1, 2013, then grant and match must be encumbered (i.e., construction contracts signed for the expenditure of grant and match) by June 30, 2014, and expended (i.e., paid out) by April 1, 2015.
Multiphase projects are those for which funding will be requested for different phases of the same project over a period not to exceed 5 consecutive state fiscal years. Multiphase projects must have activity in each year for which funding is requested. Although matching funds may be expended in advance, state funds may only be expended on activity occurring after a Grant Award Agreement is fully executed.
Numbering the Phases
The phase number of your project is determined by the number of applications that you will submit to the Division of Cultural Affairs in order to complete the project. If you submit 3 applications over a 5-year period, then you have a 3-phase project. The first application is for phase 1, the second application for phase 2, and the third application for phase 3.
The Division's phase numbering may not coincide with your organization's numbering. For example, you may have a 3-phase project planned. However, you make the first funding request to the Division for your phase 2, with the intent of submitting another application for phase 3 the following year. The Division considers this to be a 2-phase project with the first application for funding as phase 1 and the second application for phase 2.
For multiphase projects, applicants should describe all construction or renovation work to be done (i.e., additional phases), beyond the construction or renovation described in the initial proposal. A description of all construction or renovation phases is important (but not required) for a clear understanding of the entire project. Applications that are not identified as multiphase construction or renovation projects will be considered single-phase projects.
Regardless of whether this application is for a single-phase project or part of a multiphase project, the Division will not accept two (2) or more Cultural Facilities applications under a single application deadline, for the same facility, project, site, or phase. City or county governments may submit Cultural Facilities applications for their divisions or departments that are separate and distinct budgetary units, provided the applications do not address the same facility, project, site, or phase. A distinct budgetary unit (department, division, or section) means an entity within the functional whole that is separate and apart, and can be distinguished from other city or county budgetary units. Document the budgetary unit by including a copy of the unit's operating budget in the Support Material packet.
All other eligibility criteria continue to apply, regardless of whether an application is for a single-phase or a multiphase project.
Changes in Project Scope or Venue
No changes in project scope or venue will be permitted. Organizations wishing to change the scope or venue of their project must submit a new application, in accordance with application guidelines, for a subsequent application cycle.
Changes in scope or venue will nullify multiphase designation.
Funding Cap with Time Limits
No project, whether it is a single-phase or multiphase project, may receive more than $1.5 million during a 5 consecutive state fiscal year period. "Receive" means measured from July 1 through June 30 of the fiscal year in which grant funds were awarded.
Grant period extensions for single-phase and multiphase projects may be requested by the organization. An extension of the completion date must be requested at least 30 days prior to the end of the grant period.
Extensions may not exceed 120 days for any single-phase project or 120 days for any phase of a multiphase project unless the Grantee can clearly demonstrate extenuating circumstances. An extenuating circumstance is one that is beyond the control of the Grantee, and one that prevents timely completion of the project such as a natural disaster, death or serious illness of the individual responsible for the completion of the project, litigation related to the project, or failure of the contractor or architect to provide the services for which they were hired. An extenuating circumstance does not include failure to read or understand the administrative requirements of a grant, or failure to raise sufficient matching funds.
Multiphase projects remain subject to the original overall time limitation (i.e. 5 consecutive state fiscal years), regardless of the number of approved grant extensions. A Grant Amendment Request (GAR) form (see Grant Forms) should be used when requesting an extension.
Accessibility and Non-Discrimination
The Florida Council on Arts and Culture and the Division of Cultural Affairs are committed to making the arts and culture accessible to everyone, including:
- persons with disabilities
- older adults
- culturally and economically underserved populations
Organizations seeking state support for the renovation, acquisition, or new construction of a cultural facility that will not be open and accessible to all members of the public, regardless of sex, race, color, national origin, religion, disability, age, or marital status are not eligible for this publicly funded grant.
Grant funds may not be spent on the following:
- General Operating Expenses (GOE). Administrative costs for running the organization (including but not limited to salaries, travel, personnel, office supplies, mortgage or rent, operating overhead or indirect costs, etc.).
- Costs associated with representation, proposal, or grant application preparation.
- Costs incurred or obligated before July 1, 2013 or after April 1, 2015.
- Costs for lobbying or attempting to influence federal, state or local legislation, the judicial branch, or any state agency.
- Costs for planning, which include those for preliminary and schematic drawings, and design development documents necessary to carry out the project.
- Costs for bad debts, contingencies, fines and penalties, interest, and other financial costs.
- Costs for travel, private entertainment, food, beverages, plaques, awards, or scholarships.
- Projects that are restricted to private or exclusive participation, including restriction of access to programs on the basis of sex, race, creed, national origin, disability, age, or marital status.
- Re-granting, contributions, and donations.
- Reimbursement of costs that are paid prior to the execution of the Grant Award Agreement or after April 1, 2015.
Review Criteria & Scoring
Each eligible application will be evaluated on four competitive criteria.
|Scope of Work||Scope of Work: Project Narrative and Phases||up to 15 points|
|Project Budget and Matching Funds||Proposal Budget Detail: Expenses
Proposal Budget Detail: Income
Matching Funds Statement
|up to 25 points|
|Need for Project||Need for Project and Operating Forecast Detail
||up to 30 points|
|Project Impact||Project Impact||up to 30 points|
The total possible number of points is 100. The Application Review Committee's evaluation will be based on the information contained in the application and required attachments. The Committee members' individual ratings will be averaged to determine a final score for each application.
Applications must receive a minimum average score of 75 or higher to be recommended for funding to the Council on Arts and Culture. Applications receiving an average score of 75 or higher will be recommended to the Secretary of State for approval and will be forwarded to the Florida Legislature for funding consideration.
Assigning Individual Committee Members to Read Applications
The Committee will be divided into 2 or 3 groups, depending on the number of applications received. Each group will be assigned to review and score 12-15 applications. Group membership of Committees will be determined using a random numbers table. Applications will be assigned without regard to geographic area, organization size, or discipline.
At the Application Review Meeting:
All applicants are encouraged, but not required, to attend the application review meeting. Telephone participation procedures are described below. Following the Division's determination of each organization's eligibility, the Division will e-mail each eligible organization the time, date, and location of the meeting.
At the meeting, the Florida Council on Arts and Culture (Council) will serve as a single Committee. Each group of Committee members assigned to review specific applications will be responsible for discussing and scoring them. Any Committee member, regardless of specific application review assignment, may ask questions of the applicants or offer information that may impact the review of the application under consideration. Two special provisions:
- At no time will any Committee member lobby or serve as an advocate for any application or organization; and
- All Committee members must comply with Section 112.312(8), Florida Statutes, Conflict of Interest; and Section 112.3143, Florida Statutes, Voting Conflicts for all applications
Application Review Committee Procedure
- The Committee Chair will announce the application number and organization name.
The organization's representative may provide new information about the project since the application was submitted, if applicable.
The members that reviewed and scored each application will discuss each application, providing observations about strengths and weaknesses of the application or project, and will seek clarification from the applicant in any areas of uncertainty.
These observations must be written on the Committee member's evaluation sheet.
However, any Committee member, regardless of specific application assignment, may ask questions about the new information or project. Evaluation sheets will be retained as part of the Division's application file.
The applicant will be permitted time to answer, explain, clarify, or respond to any question or observation made by any Committee member.
Any person who wishes to comment on an application may do so following the applicant's comments.
1-5 will be repeated for each application for each group of Committee members until all applications have been reviewed.
The Chair will then ask for comments from any person who wishes to comment on any application.
After discussion is concluded and everyone has been heard, the Chair will ask Committee members to score their applications. The scoring will be conducted in the order of the application review. Division staff will calculate and announce the average Committee score for each application.
The Chair will ask for a motion to accept all scores.
The Chair will ask for general comments from the Committee or the public prior to the conclusion of the meeting.
When the Committee accepts all scores, a list will be created, ranked in order of total average score. The ranked list will include all proposed projects with recommended funding levels for each project. The Chair will submit a report to the Florida Council on Arts and Culture that will include the recommended ranked list, scores, and comments, including rollovers, if applicable.
Attendance at the public meeting of the Application Review Committee can prove helpful to applicants who plan to submit future applications to a funding agency. Persons with disabilities who plan to participate in the meeting must request special accommodations at least 72 hours prior to the meeting by contacting the Division at 850.245.6470, TTY 850.488.5779 (text telephone), or FAX: 850.487.0426.
Telephone Participation Procedures
Committee meetings are a public process (usually conducted by teleconference) and anyone can participate by attending in person or by calling in via a toll-free number. Participation instructions will be e-mailed to applicants and posted on the Division's website. Applicants do not need to inform the Division that they will participate in the Committee meeting via teleconference. Although the Division strongly encourages applicants to participate in the grant Committee meeting, it is not required. Participating in the Committee process can be very helpful for those that intend to apply for future grants.
Florida Council on Arts and Culture Review and Recommendation
The Committee Chair will submit the recommended funding list, ranked in order of total average score, to the Florida Council on Arts and Culture. The Council may amend the Committee's recommendations based on new or existing information about the applicant or panel proceedings; including, but not limited to:
- score calculation errors by the Division
- applicant noncompliance with administrative requirements of previous grants from the Department of State
- bankruptcy or other fiscal concerns
- changes in the applicant's staff that would impair implementation of the proposed grant activity.
The Council may also amend typographical errors in the Committee's recommendations. Applications with a tied average score will be ranked by application number order (lowest to highest).
The Council will review the results of the Committee meeting and submit the recommended funding list to the Secretary of State for review and approval.
Secretary of State Review and Approval
The Secretary of State may approve or amend the recommendations of the Council as described under the Council Review and Recommendation section above. The Secretary of State will provide the Legislature with an approved list, ranked in order of total average score, with funding recommendations for all projects that received a total average score of 75 and above.
Encumbrances and Expenditures
Definition: For the purpose of this program, to "Encumber" means to execute a contract with an architect or contractor for the expenditure of all State dollars and required match.
- Required matching funds may be encumbered before the Grant Award Agreement is executed.
- State dollars may not be encumbered before the Grant Award Agreement is fully executed.
- Grant recipients must encumber all State dollars and required match before June 30, 2014.
- All State dollars and required match must be paid out (not merely encumbered) by April 1, 2015.
- State dollars may not be used to reimburse the grantee for any proposal expenditures that occurred before the Grant Award Agreement was fully executed.
Section 265.701(3), Florida Statutes, provides for a rollover period of only one grant cycle.
For Applications on the 2012-2013 Rollover List
Should the 2012 Legislature not fund the 2012-2013 Cultural Facilities Program Rollover list, or if they only appropriate limited funding and your organization's application is not funded, you will need to submit an entirely new application by the June 15, 2012 application deadline. See the 2013-2014 Cultural Facilities Application Instructions on how to submit a new application.
For New Applicants in 2012Should the 2013 Legislature not fund the 2013-2014 Cultural Facilities Program, or if they only appropriate limited funding and your organization's application is not included, you will have an opportunity to have your application "rollover" into the next grant cycle. Partial funding does not qualify an application for rollover status. You will receive notice in writing if such is the case, and be instructed to submit a Rollover Application. The Rollover Application includes:
- Scope of Work (Project Narrative) as recommended by the Council and approved by the Secretary of State,
- Project Budgets, and
- Matching Funds Statement.
For the Rollover Application, you will also have the opportunity to update your contact information. A specific deadline will be established and posted on the Division's website. You will have the opportunity to provide updated information pertinent to the application since its original submission.
When you submit the Rollover Application, Division staff will:
- verify Basic Eligibility: Legal Requirements, and
- verify that the Project Narrative in the Rollover application has not changed from the Project Narrative in the original application that was recommended by the Council and approved by the Secretary of State.
Why We Ask You to Resubmit Application InformationAs a rollover, your application:
- is guaranteed a place on the next recommended funding list,
- will not be re-scored, but will be ranked by original score on a list that includes new applications,
- will be recommended for the amount of funding that was originally requested.
The single list ranked in order by average score, highest to lowest, will be submitted to the next session of the Legislature.
Rollover application recommendations will be identified as such on the ranked list.
Removal from the Rollover ListAn organization will be removed from the rollover list for the following:
- Failing to submit the updated information by the rollover deadline announced on the Division's website;
- Failing to maintain basic eligibility, required match, or undisturbed use of the building or land or both;
- Changes in Scope of Work (Project Narrative). The project that was recommended for funding by the Florida Council on Arts and Culture and approved by the Secretary of State must not change.
If any of the above occurs, the applicant organization will be removed from the rollover list. Changes in the Scope of Work (Project Narrative) or increased funding requests will require an organization to submit a new application, in accordance with the current application guidelines. The new application will be placed with other new incoming applications in open competition, and will no longer be guaranteed a place on the rollover list.
Grant Compliance Policy
Any applicant that has not submitted required reports or satisfied other administrative requirements for previous Division of Cultural Affairs grants or grants from any other Office of Cultural, Historical, and Information Programs (OCHIP) Division will be in noncompliance and subject to the OCHIP Grants Compliance Procedure. These procedures are incorporated by reference and available from the Division of Cultural Affairs. (OCHIP Divisions include the Division of Cultural Affairs, the Division of Historical Resources, and the Division of Library and Information Services.)
Grant compliance issues must be resolved before grantees can:
- be issued award agreements for new grants, or
- receive payments on existing grants.
The Council will be advised of each applicant's compliance history (up to 6 years prior to review). The Council may decline to recommend funding an otherwise eligible application if the applicant is included on the Department's Noncompliant Grantees List at the time of review by the Council.
The following forms must be used in the administration of Cultural Facilities Program grants and are hereby incorporated by reference and available on the Division's Web site: www.florida-arts.org.
- Grant Application (Form CA2E039), effective 6/2012
- Grant Report Form (Form CA2E048), effective 6/2012
- State Funds Expenditure Log (Form CA2E119), effective 6/0212
- Grant Amendment Request (Form CA2E047), effective 6/2012
- Grant Award Agreement (Form CA2E038), effective 6/2012
- Request for Warrant (Form CA2E001), effective 6/2012
Grant recipients will enter into a contractual Grant Award Agreement with the Department of State that specifies the organization's reporting responsibilities. The organization must comply with all requirements set forth in the Grant Award Agreement, which include but are not limited to:
- Submission of Grant Reports, and
- State Funds Expenditure Log
State Funds Expenditure Log
A State Funds Expenditure Log (Log) must be submitted with each Grant Report. This form is a spreadsheet that details how state funds were spent. The Log must list all project expenditures that were paid using state funds. Documentation of expenditures must include check numbers, payees, dates of payment, and check amounts. Only expenditures using state funds should be reported on the State Funds Expenditure Log. The total of state funds used should equal the Grant Amount.
Disbursement of Grant Funds
Before grant funds are disbursed, Grantees must comply with the requirements described in section 4 of the Grant Award Agreement. These requirements are:
- Sign and return (postmark) the Grant Award Agreement;
- Submit a Project Narrative as Attachment A;
- Submit a Project Budget as Attachment B;
- Submit a legal description of the property as Attachment C;
- Submit a Grant Completion Schedule as Attachment D;
- Execute a contract or contracts with an architect and/or contractor that obligate(s) at least the amount of grant funds and required match and provide a copy of the signed contract to the Division;
- Submit a copy of the recorded Restrictive Covenant or proof of purchase of a Surety Bond;
- Maintain not-for-profit eligibility, as a public entity or a tax-exempt Florida corporation, for the duration of the Restrictive Covenant or Surety Bond;
- Complete a Division of Historical Resources, Bureau of Historic Preservation review, if required; and
- Meet the matching funds requirements as described in these guidelines.
All grant payments are requested by submitting a Request for Warrant (CA2E001, eff. 6/2012, incorporated by reference and available on the Division's website at http://www.florida-arts.org). For planning purposes, Grantees are encouraged to review upcoming expenses at least six (6) months in advance. To request:
- Initial Grant Payment. Grantees may request up to 25% of the Grant Amount. In order to be eligible to request up to 25% of the Grant Amount, the Grant must comply with all items in the Disbursement of Grant Funds section above except for the execution of a contract with a contractor or architect that obligates all grant and matching funds.
- Grant Payments Beyond the Initial Grant Payment. To request grant payments beyond the Initial Grant Payment, the Grantee must submit:
- A Request for Warrant.
- A Schedule of Expenses using Cultural Facilities Report Form (CA2EO48, eff. 6/2012, incorporated by reference and available on the Division's website at www.florida-arts.org). The Schedule of Expenses must include actual project expenses paid to date including expenses charged to both match and state grant funds. The Grantee should spend its own money, in the form of match, at approximately the same rate (dollar for dollar), that it requests release of grant funds from the Division.
- A State Funds Expenditure Log. If grant funds have been paid out, a State Funds Expenditure Log (CA2E119, eff. 6/2012, incorporated by reference and available on the Division's website) must be submitted with each payment request and all reports. The Expenditure Log must list all project expenditures that were paid using state funds. Documentation of expenditures must include check numbers, payees, dates of payment, and check amounts.
- Grant Payments as Reimbursements. Grantees will be reimbursed with grant funds only for those expenses that are detailed in the Project Budget (Attachment B). To request reimbursement, the Grantee must submit a Request for Warrant; a Schedule of Expenses; and a State Funds Expenditure Log. For reimbursements, the Log should show actual grant expenditures for which the reimbursement is being requested.
All grant expenditures must be directly related to the purpose of the grant and included in the Proposal Budget.
Grant Award Agreement
The Grant Award Agreement is the contract between the Grantee and the Division. It includes the requirements for the administration of the grant. Applicants must sign and return this agreement to the Division. The Division will send applicants a fully executed copy of the Grant Award Agreement for their files.
Grant Amendment Requests
- Grant period extensions. Extensions must be submitted and approved prior to the end of the grant period.
- The addition of a state grant expense line item, where none existed in the approved budget.
Not allowable for:
- Changes in the Project Narrative, or
- A change in the project venue.
The Division will review amendment requests. Changes must be approved in writing prior to their implementation. If changes are implemented without the Division's written approval, the organization will be in noncompliance, and the Grant Amount will be subject to reduction and partial or complete refund to the State of Florida, in accordance with the Grant Award Agreement.
Crediting the Division
Grantees are required to credit the State of Florida for funding in accordance with Section 286.25, Florida Statutes.
Any nongovernmental organization which sponsors a program financed partially by state funds or funds obtained from a state agency shall, in publicizing, advertising, or describing the sponsorship of the program, state "Sponsored in part by the Department of State, Division of Cultural Affairs, the Florida Council on Arts and Culture, and the State of Florida."
The sponsorship statement (with or without the Division logo) should be included on posters, brochures, catalogs, press releases, websites, flyers, etc.
The DCA logo can be downloaded from the Division's web site at http://www.florida-arts.org/grants/getlogo.htm.
Florida Single Audit Act
Each nonstate entity that expends $500,000 or more in state awards during the grant recipient's fiscal year is required to have a state single audit or project specific audit for that fiscal year. A state award is defined as state financial assistance from any source provided to the recipient to carry out a state project. The audit shall include a schedule of receipts and expenditures for the entire award expended. The audit shall be submitted within nine (9) calendar months following the end of the organization's fiscal year.
For additional details on the Florida Single Audit Act, visit http://www.myflorida.com/audgen/pages/flsaa.htm.
Interest on Surplus Funds
The Grantee must temporarily invest any or all grant funds received but not expended, in an interest bearing account pursuant to Section 216.181(16)(b), Florida Statutes. Interest earned on such investments should be returned to the Division quarterly, except that interest accrued less than $100 within any quarter may be held until the next quarter when the accrued interest totals more than $100. All interest accrued and not paid to the Division, regardless of amount, must be submitted with the Grantee's Final Report at the end of the Grant Period.
The Grantee must maintain an accounting system that provides a complete record of the use of all grant and matching funds. Two suggestions:
- Establish an accounting system that records project expenses by using the same expense categories as those in the original application.
- Open a separate interest-bearing bank account to assist in the audit process and determination of interest due on idle grant funds.
Restrictive Covenant and Surety Bond
Grantees must sign a Restrictive Covenant or purchase a Surety Bond. In 2005, the Florida Legislature enacted the following law that requires all program grantees to sign a Restrictive Covenant or purchase a Surety Bond:
Any contract administered under this section shall require the recordation of a restrictive covenant by the grantee and property owner or the purchase of a bond as prescribed by rule to ensure that the facility continues to be used as a Cultural Facility for a period of 10 years following the Grant Award. If the facility ceases to be used as a Cultural Facility during the 10 years following the Grant Award, the grant funds shall be repaid to the department according to an amortization schedule set forth in rule. (Section 265.701(4), Florida Statutes)
For a copy of the forms for Restrictive Covenants and Bond information, please see Appendices 1 and 2 at the end of these Guidelines.
Public Records Retention Period
Grantees must maintain complete and accurate grant records. These records must be readily available on request for a period of at least five years following the approval of the final grant report. If there is an audit or litigation related to the grant, all grant records should be maintained for at least five years from the end of the audit or litigation.
How to Apply
All applications must be made through OASIS (Online Arts Services and Information System).
For complete application instructions including an application preview, see the 2013-2014 Cultural Facilities Application Instructions.
For technical information about using our on-line system to submit grant applications, please call the Division's technical staff at (850) 245-6488.
For information about the Cultural Facilities Program, contact:
Don Blancett, Cultural Facilities Program Administrator
For general information about the Division of Cultural Affairs and to access grant information and resources, visit our website at: http://www.florida-arts.org
"Applicant" means a county, municipality, or a qualified corporation that owns or has the unrestricted use of the building to be renovated, expanded, or constructed, and the property on which it is located.
"Bond" means is purchased by the Grantee from an insurer authorized to do business in Florida as a surety and is memorialized as a contract. The bond must be purchased prior to the release of grant funds and guarantee that the facility, described in the Grant Award Agreement be used as a Cultural Facility for ten (10) years following the execution date of the Grant Award Agreement. In the event of violation, the surety must reimburse the Division's grant funds pursuant to the amortization schedule in Appendix 2.
"Budget" means the organization's projected revenue and expenditures for the project or phase for which grant funds are requested.
"Cash Match" means Cash-on-Hand plus cash already expended on the project.
"Cash-on-Hand" means Liquid Assets.
"Cultural Facility" means a building which shall be used primarily for the programming, production, presentation, exhibition or any combination of the above functions of any of the arts and cultural disciplines defined in s. 265.283(7), F.S. These disciplines include, but are not limited to music, dance, theatre, creative writing, literature, architecture, painting, sculpture, folks arts, photography, crafts, media arts, visual arts, programs of museums, and other such allied, major art forms.
"Encumber" means to execute a contract with an architect or contractor for the expenditure of all State dollars and required match.
"Encumbrance Period" means the period between July 1, 2013 and June 30, 2014, during which state dollars must be obligated to pay for project expenses. To encumber means to have a signed contract with an architect or contractor for the expenditure of all grant and matching funds.
"Expenditure Date" means the date by which all state and match dollars must be spent or paid out. The Expenditure Date deadline is April 1, 2015.
"Florida Single Audit" means an audit of a nonstate entity's financial statements that complies with the Florida Single Audit Act (FSAA). Such audits must be conducted in accordance with the auditing standards as stated in the rules of the Auditor General. (Rules of the Auditor General may be found at: www.state.fl.us/audgen/)
"Fiscal Stability" encompasses the annual financial results of operations, available resources, and the organization's plan to resolve any deficit problems. A concern for fiscal stability would be indicated by multi-year operating deficits and declining fund balances. (Note: The fiscal impact that a proposed facility project would have on projected operations will be considered under the Need for Project and Operating Forecast Detail section.)
"Furniture and Equipment" means items that are not affixed to the building despite being required for the operation of the building. (Examples: tables, chairs, computers which are used for administrative purposes, equipment that is leased, desks and other office equipment which are used for administrative purposes, refrigerators, rugs, planters, books, portable audio-visual equipment, etc.).
"General Operating Expenses (GOE)" means those administrative costs for running the organization (including but not limited to salaries, travel, personnel, office supplies, mortgage or rent, operating overhead or indirect costs, etc.).
"Grantee" means an Applicant that has received a Cultural Facilities Grant Award.
"Grant Amount" means the monetary sum awarded by the Florida Legislature in any fiscal year.
"Grant Award" mean the date on which the Grant Award Agreement is fully executed.
"Grant Award Agreement" means the document by which the Grantee enters into a contract with the State of Florida for the management of grant funds. To be eligible to execute the Grant Award Agreement, a Grantee must:
- have ownership or Unrestricted Use of the Cultural Facility,
- record a Restrictive Covenant or purchase a Surety Bond,
- attach an approved Project Narrative (Attachment A),
- attach an approved Project Budget (Attachment B),
- attach a Legal Description of the Property (Attachment C),
- attach an approved Grant Completion Schedule (Attachment D),
- attach the Restrictive Covenant Amortization Schedule (Appendix 1), and
- attach the Surety Bond Amortization Schedule (Appendix 2).
"Grant Completion Deadline" means the date by which all grant and matching funds must be paid out. The deadline date is April 1, 2014.
"Grant Period" means the time for the expenditure of the grant award as set forth in the Grant Award Agreement.
"In-Kind Contribution" means the documented fair market value of non-cash contributions provided by the grantee or third parties which consist of real property or the value of goods and services that directly benefit and are specifically identifiable to the project.
"Lease" means a contract that conveys unrestricted use of real property for a specific period of time. The minimum period of time must be at least 10 years from the date the Grant Award Agreement is fully executed. Only leases in which the lessee is a public entity governed by either a municipality or county, or a not-for-profit entity are eligible for a Cultural Facilities grant. Provisional leases or management agreements that expire before July 2023 do not qualify.
"Liquid Assets" means accounts or securities that can be easily converted to cash at little or no loss of value. These include but are not limited to cash, money in bank accounts, money market mutual funds, stocks, bonds, and US Treasury bills.
"Matching" means dollars provided by the applicant that are designated solely for the project according to the following:
1. Eligible applicant organizations that have Total Support and Revenue of less than $500,000 for their last completed fiscal year must provide at least one dollar of match for every one dollar requested from the state.
2. Eligible applicant organizations that have Total Support and Revenue of $500,000 or more for their last completed fiscal year must provide at least two dollars of match for every one dollar requested from the state.
For all applicant organizations, regardless their Total Support and Revenue, at least 50% of Matching Funds must be in cash.
"Minority" means a lawful, permanent resident of Florida who is an African American, an Hispanic American, an Asian American, a Native American, or an American Woman [s. 288.703(4), Florida Statutes]. At least 51% of the organization must be owned or governed and operated by the identified minority person(s) or persons with disabilities.
"Multiphase Project" means a project that consists of several stages or segments. Projects for which funding will be requested for two or more stages or segments over a period not to exceed 5 consecutive years will be considered MULTIPHASE PROJECTS.
"New Application" means an application that has not previously been recommended for funding, or an application for which funding has been recommended, but requires a change in project scope or venue.
"New Construction" for the purpose of this program, means constructing a Cultural Facility on property where no building previously existed.
"On-line System" A method or program for the electronic submission of a grant application.
"Planning" means the preliminary development of architectural, engineering, and other technical services necessary to carry out the project.
"Project" means the acquisition or renovation of existing buildings, or the construction of new buildings to be used for cultural activities (see Cultural Facility).
"Renovation" means the act or process of giving a property a state of increased utility or returning a property to a state of utility through repair, addition, or alteration that makes possible a more efficient use.
"Restrictive Covenant" means a document, signed by the Grantee, the property owner, and the land owner; and filed with the Clerk of the Circuit Court in the county where the property is located, ensuring that the facility will be used as a Cultural Facility for ten (10) years following the date the Grant Award Agreement is fully executed. See Appendix 1 for an example of the Restrictive Covenants.
"Rollover Update" means:
1. An application that was recommended for funding by the Secretary of State, but was not funded by the Legislature; and
2. Contains updated information about the recommended project or phase.
Changes in project scope or venue, or increased funding requests are not permitted. Such requests must be submitted as a new application (see definition of New Application).
"Surety Bond" for the purposes of this program means a contract among at least three parties:
1. The obligee - the party who is the recipient of an obligation (the State of Florida),
2. The principal - the primary party who will be performing the contractual obligation (Grantee), and
3. The surety - who assures the obligee that the principal can perform the task.
"Unrestricted Use" means that the building to be renovated, expanded, or constructed, and the site of such building, will be owned by, or will be under Lease to, the applicant by the date of the application deadline, and that the use of the site and building will be unencumbered by covenants, easements, or other conditions contrary to the purpose of the project.
"Venue" means the specific site named in the application.
1. Restrictive Covenant Provisions and Amortization Schedule
- If the Grantee chooses to record a Restrictive Covenant, the Grantee, and the property owner(s) (if the land or buildings or both are leased by the grantee), shall execute and file a Restrictive Covenant with the Clerk of the Circuit Court in the county where the property is located, prior to the date that the agreement is executed.
The restrictive covenant shall include the following provisions:
That the restrictive covenant shall run with title to the building(s) and the associated land and improvements funded by the grant, shall encumber them, and shall be binding upon the Grantee (and the owner(s), if different person(s), and the successors in interest, for (10) ten years from the Grant Award.
The owner(s) of the improvements made to the building(s) and associated land, funded in whole or in part by grant funds, must also execute the restrictive covenant. Exception: Land or buildings or both owned by the State of Florida and leased to an eligible applicant. For the purposes of this program, the applicant must not be a political subdivision of the state.
The Grantee (and owners, if different persons) shall permit the Division to inspect the Cultural Facility and associated land at all reasonable times to determine whether the Grantee is in compliance with the Grant Award Agreement and the Restrictive Covenant.
- The Grantee must maintain the building(s) as a "Cultural Facility." For the purposes of this program, a "Cultural Facility" is defined as a building which shall be used primarily for the programming, production, presentation, exhibition or any combination of the foregoing for any of the cultural disciplines listed in Section 265.283(7), Florida Statutes. These disciplines include, but are not limited to music, dance, theatre, creative writing, literature, architecture, painting, sculpture, folks arts, photography, crafts, media arts, visual arts, programs of museums, and other such allied, major art forms.
- The Restrictive Covenant shall also contain the following amortization schedule for repayment of grant funds, should the Grantee or owners or their successors in interest violate the Restrictive Covenant.
If the violation occurs within five (5) years following the Grant Award, 100% of the grant amount;
If the violation occurs more than five (5) but less than six (6) years following the Grant Award, 80% of the grant amount;
If the violation occurs more than six (6) but less than seven (7) years following the Grant Award, 65% of the grant amount;
If the violation occurs more than seven (7) but less than eight (8) years following the Grant Award, 50% of the grant amount;
If the violation occurs more than eight (8) but less than nine (9) years following the Grant Award, 35% of the grant amount; and
If the violation occurs more than nine (9) but less than ten (10) years following the Grant Award, 20% of the grant amount.
Other provisions as agreed upon by the Division and the Grantee.
2. Surety Bond For Cultural Facilities Grant
Any Grantee entering into a Grant Award Agreement with the Division for the acquisition, renovation, or construction of a Cultural Facility that chooses not to record a Restrictive Covenant must purchase a 10-year Surety Bond.
- A certified copy of the Bond Agreement must be provided to the Division prior to the execution of the Grant Award Agreement.
The Bond Agreement must:
- Provide that the facility described in Attachment A: Scope of Work, incorporated by reference in the Grant Award Agreement, will be used as a "Cultural Facility" for (10) ten years following the Grant Award; A Cultural Facility means a building which shall be used primarily for the programming, production, presentation, exhibition or any combination of the above functions of any of the arts and cultural disciplines defined in s. 265.283(7), F.S. These disciplines include, but are not limited to music, dance, theatre, creative writing, literature, architecture, painting, sculpture, folks arts, photography, crafts, media arts, visual arts, programs of museums, and other such allied, major art forms.
- Be purchased from a surety insurer authorized to do business in the Florida as a Surety;
Provide that there will be a violation of the Bond Agreement if the facility ceases to be used as a "Cultural Facility" as required by Section 265.701(4), F.S., within 10 years following the Grant Award, and that the surety insurer must immediately repay funds to the Division, pursuant to the following amortization schedule:
- If the violation occurs within three (3) years following the Grant Award, 100% of the grant amount;
- If the violation occurs more than three (3) but less than four (4) years following the Grant Award, 80% of the grant amount;
- If the violation occurs more than four (4) but less than five (5) years following the Grant Award, 70% of the grant amount;
- If the violation occurs more than five (5) but less than six (6) years following the Grant Award, 60% of the grant amount;
- If the violation occurs more than six (6) but less than seven (7) years following the Grant Award, 50% of the grant amount;
- If the violation occurs more than seven (7) but less than eight (8) years following the execution of the Grant Award Agreement, 40% of the grant amount;
- If the violation occurs more than eight (8) but less than nine (9) years following the Grant Award, 30% of the grant amount;