Will Taxes Be Known As Manadatory Donations?

While non-profit arts organizations are looking into alternative structures under which to organize themselves like the L3C, it seems at least one municipality is looking to the non-profit model for their government structure.

Back in July, I came across an article about how Hopewell Borough in NJ is considering the non-profit model as a way to avoid state mandates. Mayor Paul Anzano posted a letter on the borough website in December:

“This would not be about seceding from the state, abandoning our responsibilities or failing to maintain the highest goals,” he wrote. “But it would most certainly involve exploring new options for delivering services based on the unique character of our borough. … Let the discussion begin.”

He was motivated by frustration he felt when the state mandated services but forbade raising taxes.

According to the newspaper article, “Under Mayor Anzano’s plan, the community would be run on a corporate model, and a board of directors, rather than a borough council, would hold residents responsible for municipal fees much like those in a co-op.”

The government wouldn’t be organized under 501 c 3 like arts organizations are so there wouldn’t be an opportunity to write off your property taxes as a deductible donation. There are a few non-profit categories under which you can organize which supporting would not be tax deductible (neighborhood associations or condo co-opts, for example).

The mention of co-opt association raised a momentary red flag for me as I recalled a recent story about how Texas Homeowner Associations can foreclose on your property without a judicial proceeding. This is the case in 33 states. I wondered if NJ were one and if Hopewell Borough might end up structured in such a way that they were exempt from any eminent domain prohibitions that usually face governments.

I was waiting to see if there might be any more development on the story, but other than the borough meeting a few days later to discuss this, I haven’t been able to find much more news on the matter.

So at this point, there is no sign that this will ever come to fruition. But if a borough of 2000 people can get a discussion started on the topic among various state government units and the associations to which they belong, maybe the charitable non-profits should get together, the hospitals, social service agencies, arts organizations, etc, and push for an alternative structure–either a new one or a new hybrid non-profit category that provides more options for operation.

Yes, We Get Snow Here

In about five weeks we will be producing a show about the Hawaiian snow goddess, Poli‘ahu. Yes, Hawaii has snow every winter on Haleakala and Mauna Kea. It is upon Mauna Kea that Poli‘ahu and her sisters are said to reside. There are actually a lot of very interesting tales about the goddess and her sister, including a sled race against a disguised Pele, the volcano goddess.

We are working with the same company who created a Hawaiian opera based on the myth of the Naupaka flower back in 2006. One of the things that excited me about doing the 2006 show was that the artistic director was taking an approach to storytelling that was ambitious of itself, but fairly new in relation to Hawaiian culture. I thought the show might provide a good model and inspiration for other groups since Hawaii is undergoing something of a cultural renaissance. Since then we have presented a show produced by a partner organization about Kahekili who essentially played Uther to Kamehameha’s Arthur in the unification of the islands.

I had been pleased to learn that the artistic staff creating Kahekili had looked at the Naupaka performance when they were planning to remount their work created a decade earlier. In our early discussions about the Poli‘ahu, the artistic director talked about the lessons and ideas he took from the staging of Kahekili. The idea that there was an artistic conversation of sorts driving the evolution and development of works happening before my eyes really excites me.

This may not seem like big deal in most places where everyone seems to give homage/steal the best of what they see other people doing. There are strict lines of tradition and orthodoxy in hula so even if you explicitly say you aren’t doing hula, but only hula inspired work, your product must still be respectful. Likewise, anything dealing with royalty or divine entities must exhibit suitable reverence. The production of Poli‘ahu is also integrating Siberian and Yupik Eskimo chant and dance so even more attention must be paid to avoid offending someone.

Of course, we also face the challenge of trying to convince people who are familiar with the traditional performance to take a chance on the unorthodox. We have sold out these performances before so we are leaving the door open to add additional shows. But four years ago, the people who seemed to understand what we were trying to do were those least steeped in the traditional arts. In fact, one of the arts reporters who is familiar with the company’s work asked how this production would be any different from their previous work. I almost blessed the opportunity to speak to someone who was a little jaded about it all because I didn’t have to work overcome the inertia of unfamiliarity before even explaining the concept.

I can tell by the way the ticket sales are going that this show is going to be sold by word of mouth and trusted sources rather than print and broadcast media. There are shows six months down the road that are selling about as well on the strength of the brochure alone. They will probably be 1/3 sold before I even revisit my plan to promote them.

Fortunately, we have been working together this summer to line up the interest and involvement of many of these trusted entities and that effort should bear fruit very soon. Once some of that becomes public and visible, we will start reaching out to individuals in the hopes of getting the phrases “I saw…, I heard…” entering conversations, tweets and Facebook postings.

Silly Violinist, You Dance In Train Stations

Toward the end of my work day, I received an email from a patron making a wide flung appeal:

“Opera has long been one of the arts that I don’t care about or support, but watching this video somewhat changed my mind.”

The video he refers to is the one below of the Opera Company of Philadelphia emerging from the crowds at Reading Terminal Market to perform a piece from La Traviata. The patron makes an appeal for someone on his email list to make this sort of thing happen locally and suggests a market as a site.

From my point of view, this is just part of a recent trend. Baltimore Symphony Orchestra and Washington National Opera did the same song in a Whole Foods. Another opera group also did La Traviata, though a different piece, in Valencia, Spain.

Opera seems to be for markets and musical theatre for train stations. Groups in Wellington, NZ and Antwerp, Belgium chose to give flash mob performances of “Do Re Mi” from the Sound of Music in local train stations. Perhaps Joshua Bell and Tasmin Little were ignored when they played anonymously in train stations because they chose to perform classical music rather than musical theatre and played music rather than danced.

To me it seems like an imaginative promotional stunt that will probably wear itself out pretty quickly given that everyone seems to be doing La Traviata and Sound of Music, regardless of geographical distance. But right now the idea is new, fresh and exciting to my local audience. So the question is–Are flash performances viable and how do you keep it fresh so the audiences don’t get jaded? These sort of performances can break down barriers to attendance by showing how accessible the material is. It will be necessary to make formal performances just as accessible though otherwise people will feel betrayed by a bait and switch.

People might be emboldened to stage similar events themselves, (please not High School Musical, please not High School Musical), and this could mark the start of a new populist form of performance (or a revival/revamping of some of basic staging concepts of the old pageant wagon mystery plays.)

Effectively Merging Non-Profits

I apologize for missing my postings on Monday and Tuesday, I was away at a retreat to examine and discuss how to effectively merge the booking consortium to which I belong with the consortium that it spun off from. The meetings occurred in another part of the state and I didn’t have ready access to a computer and the time to write entries.

I use the phrase “effectively merge,” the same words we used throughout most of our discussions, because the truth is that an actual merger of two non-profits is a lengthy, involved and expensive process. What will happen in reality is that the one organization will be dissolved and its assets and members will be transferred to the other as is allowed by its founding documents. But in effect, it is a merger.

A good portion of the first day seemed to be spent composing the correct syntax for the required motions that would be made the next day at the annual meetings of both organizations to start this process. Since we already intended to rewrite our bylaws per the suggestions of an attorney we consulted, we were resolved to dedicate the next year to working on the rewrite. We also were determined to examine the organization and what we wanted it to be. As a consequence, both groups will remain in existence as separate entities for another year laboring jointly to define the bylaws and purpose of the combined organization.

Even though it is likely to be the most dry and boring, I joined the Governance and Membership Committee just for the experience of redefining the nuts and bolts of the organization. I figured it would make good material for blog posts if nothing else.

I also joined the Artistic Selection Committee. The other committees are Marketing/Sponsorship/Grants and Education. Among the things the committees are going to explore are what does it mean to be a member? What are the benefits of participation? Should membership be tiered to both allow casual partnerships with non-member groups and provide greater benefits to those who are more extensively involved.

We are going to examine how we go about selecting artists to present in the context of many different factors. Since we would like to pursue gaining sponsorships as a group and offer companies the opportunity to have exposure across the state, we will have to decide how the program is designed and the sponsored show is chosen. There is also the big issue of whether such arrangements will endanger relationships individual members had with these companies previously. Why sponsor shows at a single venue when you can do so across the entire state? On the other hand, perhaps your brand is diminished by having your name associated with theatres that serve a less elite clientele and you don’t want your ads appearing in their programs.

There are similar questions for the education area. A recent partnership resulted in an experience between schools, audiences and artists that could have yielded a more extensive interaction had the time and resources been available to exploit the situation. If these are the opportunities we want to pursue, where do the staff hours and other resources come from?

That brings us back to the work of the other committees exploring what it means to be a member and what sort of investment in the organization is needed to benefit from its efforts, including any packages put together to offer potential sponsors.

One of the desires stated this week was to expand the membership to include other arts organizations around the state. By redesigning the purpose of the organization a little, we hope to increase our relevance to other groups. They may only do a show once or twice a year, but they can find the process greatly facilitated by our expertise. I think there could be a reciprocal benefit. Perhaps connections the new groups have open up more churches and schools to chamber concerts and outreaches. (Or local artists and churches/schools became more aware of each other.)

So my question here at the end of the entry is this—has anyone had any experiences similar to this? I have to help generate bylaws and policies to guide this organization and it would be nice not to reinvent the wheel. Are you a member of a consortium or partnership between different arts organizations which works together to achieve certain goals?

I am looking more for an arrangement where all decisions and initiatives are generated and executed by the members rather than a situation like an arts council where the council works to advance the interests of the members. We operate as a board organization rather than a membership organization. Though I would be interested in learning about any multi-organizational partnership arrangement that diverges from everyone else does.