Keep An Eye On GHAF...

Remember the Greater Hollywood Arts Foundation (GHAF)-- that not-for-profit corporation the City of Hollywood arranged to have created to raise private funds for the ArtsPark? In September 2005, the City gave GHAF a payment of $240,000, with the promise of an additional $120,000 in 2006.

In return for the initial $240,000, GHAF was charged with developing a program to raise funds to support the capital, endowment, programming, and operational needs of the ArtsPark. A proposed program for accomplishing these goals was due November 30, 2005.

What has happened since Hollywood's strapped General Fund parted with $240,000 last September (almost a year ago)? Can we see a good return for our investment in the Foundation?

For one thing, it was not until June, 2006 that GHAF finally retained the services of a development professional: Steven E. Shulman, director of historical resources at the American Red Cross in Washington, D.C. now carries the title President of the Greater Hollywood Arts Foundation.

GHAF's financial report submitted in July 2006, shows the following transactions:

1. Received $240,000 from the City of Hollywood.
2. Invested $215,575 of this sum in a money market account where it has earned $5,248 interest.
3. Deposited $25,000 in a checking account.
4. Largest expenditure to date: $2,899.21 for advice from the Ruden McClosky law firm on whether GHAF was required to comply with a New Times public records request (answer: yes). This sum actually consisted of $2,871.42 in legal fees and $27.79 in late charges.
5. Second largest expenditure to date: $1,744 for Officers and Directors insurance coverage.
6. Third largest expenditure: a contribution of $750 to the Art and Culture Center's "Art for Cuisine" fundraiser at the Seminole Hard Rock, enabling three GHAF Board members to attend the event: Susan Best, Julio Gallo, and Samuel Morrison. One can only assume all three would have attended the event had GHAF not foot the bill in that the first two are officers of the Art and Culture Center and Mr. Morrison serves on its Board of Trustees.
7. Income: only the initial $240,000 from the city as augmented by $5,248 in interest from the money market account.

Though we now have a report on GHAF income and expenditures (dated July 2006), we still have no fundraising criteria and no projected payment schedule regarding capital fundraising. But according to the agreement the City Commission adopted last year, we will owe GHAF another $120,000 come October 1, 2006.

Is this sufficient progress in a year's time? Your call.

With GHAF having missed almost every deadline specified in its agreement with the city -- including deadline extensions -- how forgiving should the city be?

It's your money!

 

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