87-1168 WHITE - C�TV �LERK COUflClI //�� /�� �/
PINK - FINANCE C I TY O F SA I NT PA U L
C4NARV - OEPARTMENT
BLUE - MAVOR File NO. �� ��
Co il Resolution , ;
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Presented By
Referred To Committee: Date
Out of Committee By Date
Whereas , on January 6, 1987 the St . Paul City Council
established a Community Festival Revolving Loan Fund and
Grant Program, administered by the Division of Parks and
Recreation , for the purpose of assisting neighborhood
festivals with expenses , startup costs and insurance
coverage; and
Whereas , the Community Festival Revolving Loan and Grant
Program is funded by a surcharge of $. 25 to be paid as part
of the price of each admission to the Riverfest ; now
therefore , be
Resolved, that the attached rules and regulations be adopted
to provide for a fair and equitable distribution of the
funds .
COUNCILMEIV Requested by Department of:
Yeas DfeW Nays
Nicosia � [n Favor
Rettman
Scheibel �
Sonnen __ Ag81[1Si BY
�ede�.q�t�'ilOp-
Wilson
Adopted by Council: Date
A�'j , L ��� Form Approved by City Attorney
Certified Ya_ ounc.il Sec y BY
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Approve 17avor: Date �AUG Approved by Mayor for Submission to Council
Bv - - — BY
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CITY OF SAINT PAUL
INTERDEPARTMENTAL MEMORANDUM
July 23, 1987
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To: counci�man wilson 'JUL 2 31987
FROM: Robert P. Piram
RE: Community Festival Fund
BILL WILSON
Attached are the rules and regulations for the Community Festival
Fund plus a resolution allowing City Council Members to adopt those
rules and regulations.
By mid August, the Community Festival Fund should be ready to review
applications from community organizations. The fund will have
approximately $57,800.00 available for grants and loans from
Riverfest ticket sales. That is a qreat deal of money.
Division staff working with the Community Festival Fund estimate that
approximatley 15 community groups are currently eligible for a loan
or a grant. Grants and loans are limited to $2,000. 00 per request.
The fund will not need the full �57,800.00 to apt�rove requests from
these communitv groups.
The Division of Parks and Recreation does: : : Our Special Services
, section has a deficit of $470,000.00 because it provided start-up
costs as well as absorbing loses from previous Riverfests. We want
to recover our investment. Therefore, we strongly recommend that:
1. All money not granted or loaned to community groups remain in
the Community Festival Fund for (1) year.
2. After that year, all left-over money would be returned to
Special Services until the Division's initial investment has
been recovered.
The Division is not attempting to take money awa� from needy
community groups, but rather to effectively utilize money that would
otherwise sit unused in a fund. As public servants, we must use our
resources creatively and yet still respond to citizen needs. Our
recommendation will provide an adequate source of fundinq for
communitv festivals and also help the Divison of Parks and Recreation
alleviate it�s Riverfest debt.
If you have additional concerns or questions concerning this problem
please feel free to contact me so we can discuss this issue further.
cc. Mayor Georc�e Latimer
City Council Members
Kathleen Stack
Vic Wittgenstein
Festival.mem
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AGENDA MATERIAL �
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COUNCIL ID�� �� p'� DATE RECEIVED �
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� AGENDA DATE AGENDA ITEM ��
SUBJECT � �
ORIGINATOR CONTACT
RESEARCH STAFF ASSIGNED � � ' DATE SENT TO CLERK ��
COUNCIL ACTION
MASTER FILE �FO AVAILABLE - �
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ORD'IRESOL. �� DATE FILE CLOSED
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DIVISION OF PARRS AND RECREATION
COMMONITY FESTIVAL FUND
BACRGROUND
Developing a feeling of unity and enthusiasm among residents is a means
to breathe new life into a community. The resultant pride can maintain
and improve neighborhoods that might otherwise decline. When this
vitality is communicated to others the result will be increased demand
for housing, new business and increased revenue. These are some of the
conclusions reached by the Department of Planning and Economic
Development in their publication, "St. Paul Tomorrow" which recommends
that neighborhoods adopt a marketing strategy to insure that the
strengths and merits of their communities are made known to the wider
public.
The St. Paul City Council has recognized public festivals as being
vital to the spirit, history and pride of St. Paul's individual
neighborhoods. While the Council is aware that these events reinforce
the unic�ue character of each area, they acknowledge that it has become
increasingly difficult to find an adequate funding source to start up
or to promote these celebrations.
POLICY
The City of Saint Paul has a limited responsibility to assist nonprofit
organizations which provide a public benefit for Saint Paul residents.
The City will therefore appropriate 25 cents per ticket sold at
Riverfest 1987 to initiate a Community Festival Fund. The fund will be
administered by the St. Paul Division of Parks and Recreation and will
be available in mid-August, 1987. The fund will be known as the
Community Festival Fund.
PIIRPOSE
The St. Paul City Council in a Resolution dated January 6, 1987 has
established a fund to provide start up costs in the form of loans or
grants to community groups or organizations desiring to promote a
neighborhood festival.
CONDITIONS FOR ELIGIBILITY
1. Funds will be awarded and contracts made only with community based
non-profit organizations that can be insured. The City shall be
listed as coinsured in the contract.
2. Use of funds must have a public benefit and fit within City
priorities.
3. The submitting organization must provide, at the time of
application:
a. Verification of nonprofit status and copy of organizational by-
laws
b. List of Officers or Directors
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c. Letter verifying organization's a�proval of the �roposal
d. Previous year's budget and financial statement, if applicable
e. Current balance sheet, income and expense statement, if
applicable
f. Proposed budget (expenses and income) for the festival
g. Evidence that insurance can be obtained by the organization
h. Plan for staging the festival event.
4. The financial information must demonstrate that the majority of the
organization's funding is used for public benefit.
5. Organizations receiving funds shall file with the City financial
reports within ninety days showing how the funds were expended and
for what purpose. No additional funds will be awarded until the
organization has filed such reports of previous expenditures.
DEFINITIONS:
Communitv Qroups or orqanizations
a. Must be representative of and be active in the neighborhood
served by the festival event.
b. Must be a nonprofit organization and have a valid plan for
staging the festival event.
c. Must have a set of by-laws.
Festivals:
Are defined as an event of a cultural, social or educational nature
including but not limited to music, dance, food dispensing, parades
or commemorative activities. The event should be open to the
public free of charge, be local in nature and recognize specific
geographic boundaries.
Eliqible Eupenses include:
Insurance coverage
Promotion and publicity costs
Fees and permits expense
Purchase of food or supplies
Entertainment
Training expense for festival coordinators.
Examples not eliqible for funding include:
Staff salaries
Fundraising activities
Contractual payments to promoters.
GENERAL PROCEDIIRES
1. The fund will be established in August, 1987, following Riverfest
1987.
2. In 1987, applications must be submitted (1) month in advance of the
festival and be accompanied by all required materials.
3. In 1988 and subsequent years, applications will be due February 1
with award by March 1 to permit time for review and development of
a contract.
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4. Applicants for funding will be considered on a first come, first
served basis.
5. Both loans and grants will be awarded to eligible organizations
according to the following guidelines:
a. Will be awarded up to a limit of $2, 000 per event.
b. Will be awarded based on need and cannot be used as a
substitute for another available revenue source.
c. Will not be considered for an event of a religious or political
nature.
d. Requests must be submitted for review to the District Council
representing the neighborhood served.
e. Requests, after District Council review and comment, are then
to be forwarded to the City where they will be considered in
the order received.
f. At least two officers from the organization must personally
sign the agreement.
g. A plan for staging the festival event must be submitted.
6. Application forms can be obtained by writing to the following
address or calling 292-7445.
Community Festival Fund
Division of Parks and Recreation
200 City Hall Annex
25 W. 4th Street
St. Paul, MN 55102
Grants
-Will be considered for first-time or one-time events.
-Will be considered to continue an event that has been ongoing
but now for financial reasons might not be held.
-Only one grant per organization.
-Must be able to demonstrate ability to match funds granted.
Loans
-Requests must be accom�anied by an outlined method or plan
for repayment within ninety (90) days after the last date of the
festival.
-Requests that are awarded and promptly repaid will be considered
on a �ear to year basis.
-Organizations with unpaid loans to the city will not be eligible
for funding until loans are repaid
EVALOATION CRITERIA
l. Priorit}� in awarding funding will be given to groups that show need
for assistance in producing a festival for the benefit of the
public and to positively reinforce the unique character of an area.
2. Priority will be given to proposals that present a plan for loan
repayment.
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3. Priority will be given to organizations who demonstrate the ability
to produce an ongoing festival.
4. Priority will be given to organizations that demonstrate
cooperative efforts within a community.
REVIEW
1. Proposals will be reviewed by the Division of Parks and Recreation
for:
a. Eligibility under the guidelines
b. Completeness of information
c. Viability of the festival plan
d. Ability to obtain independent insurance coverage
e. Sound financial information
2. Review will take place between February 1 and March 1, except in
1987 (details will be announced) .
3 . Organizations will be notified if additional information is
required for the review.
AWARDS
1. All grants and loans must be approved by City Council before they
are awarded.
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2. Organizations will be notified by March 15th if their proposal is
accepted or turned down.
3. Contracts will be written between the City and the organization
receiving an award of a grant or loan.
4. A final report will be required within ninty days after the
festival is complete.
EVALUATION:
The Division of Parks and Recreation will prepare an annual report (due
January 1st) for the City Council which reviews the process, evaluates
program effectiveness and recommends improvements.
FOR MORE INFORMATION CONTACT: Community Festival Fund
Division of Parks and Recreation
(612) 292-7445 200 City Hall Annex
25 W. 4th Street
St. Paul, MN 55102
FESTIVAL.787
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DIVIBION OF PARRS AND RECREATION
COMMIINITY FESTIVAL FUND
APPLICATION
Date Check One: Loan Grant
Organization Name
Description of orqanization, brief history
Non-Profit Status 503c Yes No Don't Know
Project Coordinator Name
Address
Phone
day evening
Project Description (purpose and impact on area) : Attach additional
information if needed)
Total Amount Requested From Community Festival Fund:
If this application is a request for a c�rant, how do you plan to match
it? Please be specific. (Attach additional sheets if necessary) .
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If this application is a request for a loan, how do �ou plan to repay
it? Please be specific. (Attach additional sheets if necessary) .
Please attach the followina information to your application:
1. Verification of nonprofit status and copy of organizational by-laws
2. List of Officers or Directors
3. Letter verifying organization's approval of the proposal
4. Previous year's budget and financial statement, if applicable
5. Current balance sheet and income statement, if applicable
6. Proposed budget (expenses and income) for the activity (Estimated
line item budget including revenue and e�enses that will be made
from loan or grant funds.
7. Evidence that insurance can be obtained by the organization
8. Plan for staging the festival event.
District Council
District Council Review - Signature
Date of District Council Review
COMMENTS:
Please send application to:
Community Festival Fund
Division of Parks and Recreation
200 City Hall Annex
25 W. 4th St.
St. Paul, MN