The Lorton Arts Foundation has received a nudge forward from the Fairfax County Board of Supervisors, but must prove its financial stability before it receives any matching funds from the county.
At its Monday, July 11 meeting, the Board of Supervisors voted, 9-1, to direct county staff to prepare a consideration item for the Fiscal Year 2006 Carryover Budget Review in September that would provide significant matching county funds to the fledgling non-profit organization, which is in the process of acquiring the lease on property on the site of the former Lorton Correctional Facility.
"In our first few years, it's going to be quite expensive for us, so we've asked the county to partner with us," said Tina Leone, executive director of the foundation.
The one dissenting vote was an important one: Supervisor Sharon Bulova (D-Braddock), the board's budget chairman. She said that she could not vote to approve the item without better evidence that the foundation has a solid business plan.
"I felt that their request for funds … should have come after the board had been provided with a whole lot more information," said Bulova. "We're talking about a significant amount of money."
The consideration item would direct the county to provide a first payment of $500,000 to the LAF in mid-2006, then an annual contribution of $1 million beginning in FY 2007 and continuing for up to four more years. In exchange, the LAF would be required to raise $500,000 by June 31, 2006 to qualify for the first payment, then $1 million by the end of FY 2007 to qualify for additional payments.
Bulova said she is supportive of the foundation's endeavors, but does not believe she can justify the county's investment yet.
"I can see us supplementing private funds, I can see us matching private funds, but I want to be convinced that the group is able to raise significant funds themselves, and would be able to attract strong partners to come to the table to help make this happen," she said.
Currently, County Debt Manager Len Wales is creating a report on the foundation to be presented at the Carryover Review in September.
"It's still a work in progress," said Wales about the report, who added that it would include an assessment of the foundation's performance to date and financial plan.
Leone said that to date, the foundation has raised around $850,000 in cash and in-kind gifts. She said she agrees with the county's approach to providing matching funds to the foundation.
"The county is ensuring that we will meet our fund-raising goals. That’s proper and responsible," she said.
Leone said raising the first installment of $500,000 by mid-2006 would be no problem, based on current pledges from donors. The matching county money would be put toward maintaining the buildings on the former prison property, 300,000 square feet in the Workhouse area, to the higher standards required by their status as historic buildings. While the LAF is requesting $1 million in matching funds from the county for up to five years, Leone said she believes the foundation won't need the money for the entire period.
"Our anticipation is to hopefully be further along before (five years)," she said.
THE FOUNDATION is also working with the county's Economic Development Authority to secure a $27.5 million bond to finance construction costs on the building. Leone said the bonds would hopefully be on the market when the lease on the property is signed in September.
"The bond is to renovate, preserve and transform the buildings into the arts center," said Leone. The arts center, which would include artist residences, studios, gallery space, two restaurants, an events center, a museum, dance studios and a "black box" theater, would provide the primary income for the foundation. The funds from those sources would enable the foundation to pay back the county bond, said Leone.
Bulova said the September Carryover Review would be the time for the foundation to make its case before the board.
"I consider the Lorton area and the arts foundation and all the things that can happen there to be a plus for the entire county," she said. "If they're not there yet, we need to wait before investing something that's not viable.
"There are many other needs in the county, where we don't want to put money into something that isn't going to be working for us."