Table of Contents

Reference

About this Document

This document contains reference information and examples that supplement the Cultural Facilities guidelines and application.

Historical Significance

Facilities that are 50 years old or more may have historical significance that must be preserved. If your facility meets the criteria, the Bureau of Historic Preservation (BHP) must approve your project plans before submission of your application. The BHP determination letter must be uploaded as an attachment at the time of submission.

Contact the Division of Historical Resources, Bureau of Historic Preservation Compliance and Review at (850) 245-6333 to request a review.

Requirements for Leased Property

If the facility to be renovated is leased, the owner must be:

There must be at least 10 years remaining on the lease as of July 1 of the award year.

Proposal Budget Terms

Columns

Both income and expenses will have the same categories with one exception.

Expense Categories

Income Categories

Matching Funds

Matching funds (match) are the funds you will use to match the request amount. There are three types of match.

See guidelines for documentation requirements.

Match Summary Charts

Example 1: Singwell Opera (2:1 match)

The Singwell Opera Company is requesting funding from the State of Florida to build a new performance hall. The project will cost $1.5 million. The Company is submitting a request for $500,000. They will match the request with $1 million in the following manner:


item

% of Total Match

$250,000 cash in the bank and restricted to the project

25%

$500,000 documented irrevocable pledges.

50%

$250,000 documented in-kind contributions

25%

Example 2: Goodview Art Museum (2:1 match)

The Goodview Art Museum is adding a new wing to its building. This project will cost $300,000. The Museum is requesting $100,000 from the State. The local match of $200,000 will be comprised of the following:


item

% of Total Match

$75,000 cash in the bank and restricted to the project

37.5%

$115,000 documented irrevocable pledges.

57.5%

$10,000 documented in-kind contributions

5%

Example 3: City of Greenlawns (2:1 match)

The City of Greenlawns is requesting funding from the State of Florida to renovate a small house and establish a museum on property that is owned by the City. The project will cost $300,000. The City is requesting $100,000 from the State and will provide a $200,000 match according to the following:


item

% of Total Match

$175,000 from the City.
The City Commission passed a resolution (Cash-on-Hand) committing $175,000 to the project and making the funds available upon approval of the state grant. A copy of the approved resolution is submitted with the application.

87.5%

$25,000 irrevocable pledge from the Writewell book publishing company. The irrevocable pledge will be paid to the City on June 1, of the award year.

12.5%

Example 4: Pirouette Dance Company (1:1 match)

The Pirouette Dance Company is a small not-for-profit organization. Their most recent audit showed Total Support and Revenue of $130,000. The Company is requesting $16,000 from the State of Florida to renovate a small dance studio. They anticipate that this project will cost $32,000. They are eligible for 1:1 match because their Total Support and Revenue is less than $500,000. The local match of $16,000 will be comprised of the following:


item

% of Total Match

$4,000 cash in the bank and dedicated to the project

25%

$7,600 documented irrevocable pledges

47.5%

$4,400 documented in-kind contributions.

27.5%

Changes in Operation

An example changes in operating chart demonstrating how your operating budget will change after the project is completed.


Changes in Operation Expenses

award year

facility completed

1 yr after completion

Administration

$70,000

$110,000

$115,000

Artistic Personnel

$30,000

$54,000

$58,000

Utilities

$8,000

$15,000

$18,000

Total Expenses

$108,000

$179,000

$191,000

Changes in Operation Income

award year

facility completed

1 yr after completion

Revenue

Ticket Sales

$75,000

$160,000

$170,000

Grants

$20,000

$50,000

$50,000

Total Revenue

$95,000

$210,000

$220,000

Environmentally Friendly/Sustainable Design

The integration of energy efficiency and renewable resources in Florida's cultural facilities will not only foster global well-being, but will also support recognition of art as a motivator for social change.  Cultural facilities that renovate or build with sustainable initiatives help to enhance a community's educational awareness of the importance of enduring environmental practices. 

Good energy management is a good business practice.  Additionally, savings created through energy efficiency can be reallocated directly into an arts and cultural organization's programming agenda.
These are some of the key concepts of environmentally friendly / sustainable design:

For additional information on sustainable design, please consult the following resources:

Optional Support Materials

Support Material could include supplemental budgets, expanded budgets, flyers, brochures, newspaper articles, plans for Sustainable Design, etc.

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 receiving any funds?
The restrictive covenant shall include the following provisions:

  1. 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.
  2. 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.
  3. 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.
  4. The Grantee must maintain the building(s) as a "Cultural Facility."
  5. Other provisions as agreed upon by the Division and the Grantee.

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.

  1. If the violation occurs within five (5) years following the Grant Award, 100% of the grant amount;
  2. If the violation occurs more than five (5) but less than six (6) years following the Grant Award, 80% of the grant amount;
  3. If the violation occurs more than six (6) but less than seven (7) years following the Grant Award, 65% of the grant amount;
  4. If the violation occurs more than seven (7) but less than eight (8) years following the Grant Award, 50% of the grant amount;
  5. If the violation occurs more than eight (8) but less than nine (9) years following the Grant Award, 35% of the grant amount; and
  6. If the violation occurs more than nine (9) but less than ten (10) years following the Grant Award, 20% of the grant amount.

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 receiving any funds?
The Bond Agreement must:

  1. 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;
  2. Be purchased from a surety insurer authorized to do business in the State of Florida as a Surety;
  3. 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:
    1. If the violation occurs within three (3) years following the Grant Award, 100% of the grant amount;
    2. If the violation occurs more than three (3) but less than four (4) years following the Grant Award, 80% of the grant amount;
    3. If the violation occurs more than four (4) but less than five (5) years following the Grant Award, 70% of the grant amount;
    4. If the violation occurs more than five (5) but less than six (6) years following the Grant Award, 60% of the grant amount;
    5. If the violation occurs more than six (6) but less than seven (7) years following the Grant Award, 50% of the grant amount;
    6. 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;
    7. If the violation occurs more than eight (8) but less than nine (9) years following the Grant Award, 30% of the grant amount;
    8. If the violation occurs more than nine (9) but less than ten (10) years following the Grant Award, 20% of the grant amount.
If the violation occurs more than nine (9) but less than ten (10) years following the Grant Award, 20% of the grant amount.

Glossary

"Applicant"
means a county, municipality, or a qualified corporation that is purchasing a building or land, 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 Surety Bond for Cultural Facilities Grant.
"Budget"
means the organization's projected revenue and expenditures for the project for which grant funds are requested.
"Cash Match"
means Cash-on-Hand and irrevocable pledges
"Cash-on-Hand"
means restricted Liquid Assets dedicated to the project.
"Confirmed Matching Funds"
means resources presently available to designate to this proposal (including cash the applicant has on hand, irrevocable pledges, in-kind services, donated services, materials, and other donated assets). Match is considered confirmed by providing copies of most recent bank statements indicating restricted use for the project, signed and dated irrevocable pledges and certified documents for in-kind contributions indicating professional expertise and market cost at time of application.
"Cultural Facility"
means a building where the programming, production, presentation, exhibition of any of the arts and cultural disciplines defined in s. 265.283(7), F.S. are carried out. These disciplines are music, dance, theatre, creative writing, literature, architecture, painting, sculpture, folks arts, photography, crafts, media arts, visual arts, programs of museums, Applicant's mission statement and mission and programming documentation will confirm 85% facility use for cultural programming.
"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 of the award year and the following June 30, 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 and is referenced in the grant award agreement.
"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.myflorida.com/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 Date"
means July 1 of the funding year.
"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 Description,
  • attach an approved Project Budget,
  • attach a Legal Description of the Property,
  • attach the Restrictive Covenant Amortization Schedule,
  • attach the Restrictive Covenant Amortization Schedule, and
  • attach the Surety Bond Amortization Schedule.
  • attach Florida Single Audit Act and Exhibit 1
"Grant Completion Deadline"
means the date by which all grant and matching funds must be paid out.
"Grant Period"
means the time for the expenditure of the grant award as set forth in the Grant Award Agreement. The grant period starts July 1 of the fiscal year in which funds are appropriated by the Legislature for this grant. The grant period is 23 months.
"Historic Structure"
means any building or other above ground fabrication that is at least 50 years old or has architectural significance. Structures may include, but are not limited to, monuments, memorials, bridges, amphitheaters, or other fabrications with intrinsic historical or archaeological value relating to the history, government, and culture of the state.
"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 must also be valid for at least 10 years.
"Lessor"

means the owner of an asset that is leased under an agreement to the lessee. The lessee makes one-time or periodic payments to the lessor in return for the use of the asset. The lease agreement is binding on both the lessor and the lessee, and spells out the rights and obligations of both parties.

The lessor may grant special privileges to the lessee, such as early termination of the lease or renewal on unchanged terms, solely at his or her discretion. The lessor is also known as the landlord in lease agreements that deal with property or real estate.

"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 $1,000,001 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 greater than $1,000,001 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 25% of Matching Funds must be in cash on hand.

"Minority"
means a lawful, permanent resident of Florida who is an African American, an Hispanic American, an Asian American, a Native, 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.
"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 and management of the grant.
"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 Restrictive Covenant Provisions and Amortization Schedule 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. 2. Contains updated information about the recommended project.

Changes in project scope or venue, or increased funding requests are not permitted. Such requests must be submitted as a new application.

"Scope of Work (SOW)"
means the description of work to be performed. The SOW should contain any milestones, reports, deliverables, and end products that are expected to be provided by the performing party. The SOW should also contain a timeline for all deliverables.
"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.
"Total Support and Revenue"
Consists of:
  1. Cash and Cash Equivalents
  2. Accounts Receivable
  3. Investments
  4. Pledges Received,
"Unencumbered Equity"
For the purpose of this program "Unencumbered" means property that is clear of any liens, mortgages, or debts. "Equity" means the difference between what a property cost and what the owner owes against that property. For example the difference between the house cost and the remaining mortgage or loan payments on a house represents the equity in the house
"Unrestricted Use"
means that the building to be renovated, expanded, constructed, or purchased, and the site of such building, will be owned by, or will be under Lease to, the applicant by the date of the application submission, 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.
"Xeriscaping"
means landscaping that minimizes outdoor water use (drought-tolerant plants) while maintaining soil integrity and building aesthetics. Typically includes emphasis on native plantings, mulching, and no or limited drip/subsurface irrigation

Additional Help

For information about the Cultural Facilities Program, contact:

Elsie Rogers, Cultural Facilities Program Administrator
(850) 245-6483
Elsie.Rogers@dos.myflorida.com

Teri Abstein, Cultural Facilities Program Administrator
(850) 245-6299
Teri.Abstein@dos.myflorida.com

For general information about the Division of Cultural Affairs and to access grant information and resources, visit our website at: http://dos.myflorida.com/cultural/