HomeMy WebLinkAbout2021-614-E-Arts Commission-Chelsea Art Theater-Restary the Arts
September 2021 v0.1
ORANGE COUNTY ARTS COMMISSION
2020-21 RESTART THE ARTS GRANT AGREEMENT
THIS AGREEMENT, entered into this 6th day of October, 2021, by and between Orange
County ("County"), by and through the Orange County Arts Commission ("Arts
Commission") and
Chelsea Art Theater, Inc ("Grant Recipient").
WHEREAS, the County established the Arts Commission as a countywide
arts agency that ensures the growth of local arts experiences by providing funding
and support for diverse high quality programs and projects; and,
WHEREAS, the Arts Commission administers the Restart the Arts Grant
Program to provide economic relief to Orange County arts organizations
impacted by the COVID-19 pandemic; and,
WHEREAS, the Restart the Arts Grants Program is supported by Arts
Commission with American Rescue Plan Act funds; and,
WHEREAS, the COVID-19 pandemic has disproportionately impacted the
arts and entertainment industry, stopping nearly all direct spending by nonprofit
arts organizations and their patrons in our local economy, a loss estimated to be
more than $130M; and
WHEREAS, the Orange County Arts Commission and Orange County
Board of Commissioners wish address both economic and societal chal lenges
faced by our community in the wake of the current, prolonged shutdown of the arts
industry; and,
WHEREAS, the American Rescue Plan Act provides that funds may be
used to respond to the public health emergency or its negative economic impacts,
including assistance to households, small businesses, and nonprofits, or aid to
impacted industries such as tourism, travel, and hospitality; and,
WHEREAS, the Restart the Arts Grant Program aligns with the funding
priorities identified in the American Rescue Plan (ARP), including:
Assist Orange County households by putting our artists back to work.
There are approximately 4,000 creative workers in Orange County. This
program will support employment of our creative workforce through
nonprofit support and expanded programs.
Help our small businesses by restoring arts audiences. Arts patrons spend
$36.7M each year in our small businesses when attending arts events, ten
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times more than sports patrons. Nonprofit support will restore and
increase these audiences.
Help our arts and cultural nonprofit organizations through funding. There
are approximately 170 arts and cultural organizations in Orange County
whose services range from arts education to art therapy to preservation
of cultural landmarks.
Aid impacted industries such as tourism, travel and hospitality. Prior to
the pandemic, an estimated 1.9M people attended nonprofit arts events
in Orange County annually, with 54% of attendees being non-Orange
County residents. Restart the Arts will restore and grow these audiences
through the creation of new programs and events; and,
WHEREAS, the Grant Recipient was selected by the Arts Commission
to receive the Restart the Arts Grant through the procedures duly adopted by the
Arts Commission; and,
WHEREAS, both parties wish to promote and maintain the integrity and
clarity of the Grant Recipient's ideas and statements and delineate the Grant
Recipient’s obligations to the County.
NOW, THEREFORE, the County and the Grant Recipient, for the
consideration and under the conditions hereinafter set forth, agree as follows:
1. Approved Grant Project. Grant funds ae provided under this Agreement
for Operations and Programmatic Support described in the Grant
Recipient’s Grant Application, attached hereto and incorporated herein
as Exhibit A.
2. Grant Award. Grant funds in an amount not to exceed six thousand
five hundred dollars ($6,500.00 ) have been awarded by the Arts
Commission to the Grant Recipient for the approved Project.
3. Contingency. This grant is contingent on American Rescue Plan Act
funding to Orange County. Final decisions on funds are subject to rules
promulgated by the US Treasury.
4. Responsibilities of the Grant Recipient
A. Implementation. These grant funds are to be used by June 30, 2022. Grantees shall
be required to submit documentation of expenses in final report. Grantees have to
submit documentation of expenses incurred in order to receive funds. If Grantees
do not submit proper documentation, they will not be eligible for reimbursement
under the Agreement.
B. Non–assignment. The grant cannot be assigned or transferred to a different
organization without prior written approval of the Arts Commission.
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C. Records. Grant Recipient must maintain records and other evidence pertaining to
costs incurred and revenues acquired during the Project implementation. Grant
Recipient shall maintain financial records pertaining to the Project for three (3)
years from the date of this Agreement, in case of audit.
D. Use of Funds. The grants shall be utilized solely for the purpose described in
the attached Exhibit A
E. Final Report. Grant Recipient shall submit to the Arts Commission a Final Report
the date of which shall be provided by the Arts Commission Director. The Final
Report shall be in the format acceptable to the Arts Commission. Failure to submit
the Final Report or late submission of the Final Report, for any reason, shall be
grounds for denial and/or cancellation of grant funds for the Project and future grant
proposals.
5. Responsibilities of the Arts Commission
A. Payment. The Arts Commission shall release the grant funds in the amount of
$ 6,500.00 to the Grant Recipient.
6. Publicity
A. Acknowledgement. Credit must be given to the Orange County Arts Commission
in brochures, news releases, programs, and all other printed and online
publications. Copies of such printed materials must accompany the evaluation
report. Official Orange County Arts Commission logos may be downloaded at
www.artsorange.org/grantee-resources and may not be altered in any way. When
no printed information is used, verbal credit shall be given.
B. The Grant Recipient must enter all events, exhibits, and performances open to the
public and related to this grant award on the Orange County Arts Commission
website at www.artsorange.org/events . In addition, the Grant Recipient must add a
link to www.artsorange.org (Orange County Arts Commission logo preferred) to
their main webpage. Logos can be found at
https://artsorange.org/ocacgrants/grantee-resources/logo-usage-credit-lines/
7. Indemnity. The Grant Recipient agrees to indemnify and hold harmless the County, the
Arts Commission and their officers and employees from any and all claims or actual
injury, damage or loss to a person, or real or personal property that results from or is in
any way connected to the use of the grant funds.
8. Independent Contractor. The Grant Recipient is an independent contractor and not an
employee, agent or other representative of the County and/or the Arts Commission.
Nothing contained in this Agreement shall be construed to create the relationship of
principal and agent, or employer and employee, between Grant Recipient and Arts
Commission or Orange County Government. Grant Recipient understands and agrees
that they are not authorized to incur any expenses or any liability whatsoever on behalf
of the County or the Arts Commission and has no authority, expressed or implied, to
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obligate or make representations on behalf of the County or the Arts Commission. In
addition, Grant Recipient agrees to maintain their own worker's compensation insurance
for themselves and their employees.
9. Termination
A. In the event of any of the circumstances set forth below (hereinafter referred to as
“default”), the Arts Commission or County may immediately terminate this
Agreement:
(i) Any fraudulent representation in any verification required to obtain
payment under this Agreement or other dishonesty on a material matter
relating to the performance of services under this Agreement.
(ii) Nonperformance, incomplete service or performance, or failure to
satisfactorily comply with any provision of this Agreement, as determined
by the County in its sole discretion.
(iii) Failure to adhere to the terms of applicable county, state or federal laws,
regulations, or stated public policy.
B. In the event of default by the Grant Recipient, the Arts Commission has the
discretion to elect to terminate this Agreement, in whole or in part and/or require
the Grant Recipient to repay the grant funds within seven (7) days from written
notice of default or allow the grant recipient the opportunity to cure the default.
This clause shall not be interpreted to limit the County’s or the Arts
Commission’s remedies in law or in equity.
10. Miscellaneous.
A. Entire Agreement. This Agreement and the attachments contain the final and
entire understanding of the parties with respect to the subject matter of this
Agreement. All modifications and amendments to this Agreement shall be in
writing. This Agreement shall be binding upon the parties, their heirs, successors
and assigns.
B. Governing Law. Governing Law and Priority: Both parties agree that this
Agreement shall be governed by the laws of the State of North Carolina and
Orange County. Grant Recipient shall at all times remain in compliance with all
applicable local, state, and federal laws, rules, and regulations including but not
limited to all state and federal anti-discrimination laws, policies, rules, and
regulations and the Orange County Non-Discrimination Policy and Orange
County Living Wage Policy (each policy is incorporated herein by reference and
may be viewed at
http://www.orangecountync.gov/departments/purchasing_division/contracts.php.).
Any violation of this requirement is a breach of this Agreement and Arts
Commission may immediately terminate this Agreement without further
obligation on the part of the Arts Commission. This paragraph is not intended to
limit and does not limit the definition of breach to discrimination. By executing
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this Agreement the Grant Recipient certifies that they has not been identified, and
has not utilized the services of any agent or subcontractor identified, on the list
created by the State Treasurer pursuant to G.S. 147-86.58. By executing this
Agreement the Grant Recipient certifies that they has not been identified, and has
not utilized the services of any agent or subcontractor identified, on the list created
by the State Treasurer pursuant to G.S. 147-86.81. By executing this Agreement
Grant Recipient affirms they are and shall remain in compliance with Article 2 of
Chapter 64 of the North Carolina General Statutes. In determining the basic
services to be provided, should any documents be referenced in or attached to
this Agreement, the terms herein shall have priority in any conflict between the
terms of referenced documents and the terms of this Agreement.
C. Dispute Resolution: Neither party may initiate binding arbitration. Any disputes
shall be resolved by nonbinding mediation. If such mediation fails either party
may initiate litigation to resolve the dispute. Should either party initiate litigation
to settle any dispute involving the terms of this Agreement such litigation shall be
initiated in the General Court of Justice of North Carolina seated in Orange
County, North Carolina.
D. Signatures. This Agreement together with any amendments or modifications may
be executed electronically. All electronic signatures affixed hereto evidence the
intent of the Parties to comply with Article 11A and Article 40 of North Carolina
General Statute Chapter 66.
IN WITNESS WHEREOF, the Orange County and the Grant Recipient have signed this Grant
Agreement, effective on the last date this Agreement is signed by both parties as indicated by the
dates set forth under signatures below.
For and on behalf of the Grant Recipient
Emily Kass, Executive Director Date
For and on behalf of Orange County Government
Bonnie Hammersley, County Manager Date
DocuSign Envelope ID: BCBCDC13-1B41-4389-8311-B12D1009DAC0
10/7/2021
10/12/2021
September 2021 v0.1
ORANGE COUNTY—DEPARTMENT USE ONLY
______________________________________________________________________________
Party/Vendor Name: Chelsea Art Theater, Inc Party/Vendor Contact Person: Emily Kass Contact Phone: 919-929-
8428 Party/Vendor Address: 1129 Weaver Dairy Rd STE AB City Chapel Hill State: NC Zip: 27514 Department:
County Manager Amount: $6,500.00 Purpose: Restart the Arts Budget Code(s): 49601020-683012-96002 Vendor #
65826 (N/A if new vendor) Vendor is a BOCC consultant? Yes No Contract Type: (Check one) New
Renewal Amendment Effective Date Approved by Board Yes No Agenda Date:
This agreement is approved as to technical form and content and I as Department Director affirmatively state work on
this project has not been initiated prior to exec ution of the agreement:
Department Director’s Signature ________________________________________ Date: ________
Agreements for emergency services or repair are not subject to the above affirmation. If services related to this
agreement have already begun or been completed please briefly describe the nature of the emergency condition that
was addressed:
Information Technologies
(Applicable only to hardware/software purchases or related services) This agreement has been reviewed and is
approved as to information technology content and specifications:
Office of the Chief Information Officer___________________________________ Date: ________
Risk Management
This agreement is approved for sufficiency of insurance standards, specifications, and requirements:
Office of the Risk Management Officer___________________________________ Date: _________
Financial Services
This instrument has been pre-audited in the manner required by the Local Government Budget and Fiscal Control Act:
Office of the Chief Financial Officer ____________________________________ Date: _________
Legal Services
This agreement is approved as to legal form and sufficiency:
Office of the County Attorney __________________________________________Date: ________
Clerk to the Board
Received for record retention:
All Docusign contracts must be copied to the Clerk upon completion: occlerkdocs@orangecountync.gov
The following signature block is for hard copies only and is not required for Docusign cont racts:
Office of the Clerk to the Board __________________________________________Date:________
DocuSign Envelope ID: BCBCDC13-1B41-4389-8311-B12D1009DAC0
10/7/2021
10/9/2021
10/12/2021
10/12/2021
Orange County Arts Commission Powered by Submittable
Name of organization
or business Chel sea Art Theater, Inc
by Emily Kass in Restart the Arts Grant
Application
Chelsea Theater
1129 Weaver Dairy Road Ste AB
Chapel Hill, North Carolina
27514
United States
919-929-8428
emily.kass@thechelseatheater.org
08/30/2021
id. 21099768
Original application 08/30/2021
ORGANIZATION/BUSINESS
INFORMATION
n/a
Date organization
was formed
01/21/2018
Authorizing Official Emily Kass, Executiv e Director
Authorizing Official -
phone number
9199298428
Authorizing Official -
email
emily.kass@thchelseatheater.org
Grant Manager -
name (if different
from Authorizing
Official)
n/a
Grant Manager -
phone (if different
from Authorizing
Official)
n/a
Grant Manager -
email (if different
from Authorizing
Official)
n/a
Is your organization
physically located in
Orange County, NC?
Yes
Organization street
or PO Box address
1129 W eav er Dairy Rd STE AB
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Organization City Chapel Hill
Organization State North Carolina
Organization Zip
Code
27514
Organization website www.thechelseatheater.org
Organization Tax ID 824309682
Applicant
Race/Ethnicity
W hite, not Hispanic
Legal Status:501(c)3 or 501(c)6 Nonprofit Organization
IRS Determination Letter
Chelsea_Art_Theater_501c3_letter_of_determination.pdf
Are 25% or more of
your annual
expenses related to
the visual, performing
or literary arts?
Yes
NARRATIVE n/a
W hat is the mission
of your organization?
To entertain, engage, and inspire through film.
The Chelsea Theater is the area’s only nonprofit theater dev oted
entirely to cinema arts. W e present first run independent and
documentary films, emphasizing works by international, div erse, and
underrepresented filmmakers and films with limited distribution that
are otherwise not av ailable in this area. Formerly a priv ately-owned
art house theater, the Chelsea became a community-centered
nonprofit in early 2018. Following the owner’s announcement that he
would not renew the lease, a group of v olunteers formed a nonprofit,
raised funds from the community for purchase and start-up costs,
and acquired the theater – all within three months.
Central to the new Chelsea has been the goal to promote wider
appreciation for, and knowledge of, film. This is being accomplished
thus far by offerings such as lectures, panel discussions, v isiting
filmmakers, and by dev eloping partnerships with a growing number
of univ ersity and community groups. W hile area univ ersities hav e
film studies programs, none are particularly outwardly facing to the
community. Our intent is to complement academic programs, often
drawing on their faculty resources to enhance and expand the
community of film goers.
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Provide a brief
description of your
pre-pandemic core
arts-related
programming or
offerings.
Pre-pandemic we were open 365 days a year with between 6 and 12
separate shows open to the public daily. A mix of features (fiction)
and documentaries, in 2019 ov er 80% of our offerings were award
winners, whether at international or national film festiv als and/or the
Academy Awards. Programming is div erse, with conscious efforts to
select films that reflect a div ersity of directors, performers,
v iewpoints, subjects, source material, and historical periods.
The general profile of programs is as follows:
• Multiple daily public showings of at least 3 separate films booked for
a minimum of one to two or more weeks each. 2019 examples: If
Beale Street Could Talk, The Souv enir, Shoplifters, Parasite, Cold
W ar, Amazing Grace, Biggest Little Farm.
• Special ev ents, generally single showings or a limited series.
Examples: REEL Israel Film Festiv al; Adam (area premier of
nationally released film by a Chapel Hill nativ e).
• Educational programs such as lectures/facilitated conv ersations,
and panel discussions, held in conjunction with films. in 2022.
Examples: Cinema School, 2018- 20 (collaboration with Carolina
Public Humanities); Chelsea Teen Film Club on hiatus due to the
pandemic but expected to resume 2022(
• Use of theater by other groups. W e make the facilities av ailable at
reasonable cost to educational and nonprofit groups. Examples:
OLLI (Duke Univ ersity); v arious UNC-Chapel Hill Departments; the
Consortium of Latin American Studies at UNC and Duke.
W hile the majority of our audience are Orange County residents,
many from other parts of the Triangle and beyond attend and support
us. Demographically, attendees are on the older side of fifty, similar
to art house theaters across the country. Informal surv eys that
compared audience composition with the div ersity of films shown
indicate that audience demographics are approximately 79%
Caucasian, 12% Black or African American, 6% Asian, and 3% Latinx
Senior citizens/the elderly benefit from the Chelsea as a place to
hav e a meaningful social connection and engage in a stimulating
experience. The Chelsea has affordable pricing, accessible and easy
to nav igate facilities, assistiv e listening and closed caption dev ices
av ailable, free parking, and adjacency to major arteries and bus lines.
Please explain the
impact of your
organization on the
Orange County
community in a
typical year.
The Chelsea has a 31-year history in Chapel Hill, originally one of
three theaters owned by the founder, and one of at least fiv e former
North Carolina owned and contemporaneously operated mov ie
theaters. Today, amidst a declining number of theaters locally and
nationally, the Chelsea is noteworthy for its commitment to cinema
arts and its focus on connecting with and being part of the
community. The renov ations completed this year will ensure that
v isitors will hav e the highest quality of cinematic experience for years
to come.
The most immediate measure of impact is attendance and ticket
sales, with 47,000 attendees in the year prior to closing. Often, the
most successful films hav e been documentaries such as RBG, the
inspiring documentary about the late Supreme Court Justice; and
Fantastic Fungi, an exploration of the mysterious and medicinal world
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of mushrooms and their power to heal, sustain, and contribute to the
earth.
Howev er, attendance is only one factor, as less well-attended films
are important. A film such as Birds of Passage, a drama about the
impact of the Colombian drug cartel on indigenous W ayuu people,
introduced local audiences to little known aspects of life in Latin
America and unimaginable dev astation of drug trafficking. Transit
introduced a rising star of international film, director Christian
Petzold, through his haunting W W II allegory set in modern day
Marseilles. (Prev ious sections hav e described education and
audiences impacted.)
The Chelsea brings together v arious art forms and audiences
through programming. As one example, a recent collaboration with
American Dance Festiv al included a two-week run of Ailey and a
special showing of Can You Bring it (choreographer Bill T Jones),
introduced by former performers from the company. The
documentaries drew dance enthusiasts, dancers, and students.
W e continue to dev elop ways to support artists. Our part time
employees are largely filmmakers, art and film students. W e hav e
hired Orange County-based graphic designers and filmmakers to
create original pre-show content and website design. W hile closed we
initiated Chelsea Selects: A Lens on the Triangle, a v irtual film series,
which has prov ided some minimal income and exposure to Orange
County filmmakers.
Membership retention and membership growth are indicators of
impact. Pre-pandemic, paid membership had grown to ov er 1,500
member households within less than two years. W hile many of these
naturally lapsed during 2020, significant numbers are joining and
renewing. In fact, membership income is higher this year than it was
two years ago at this time
Another measure was the support from the hundreds of people who
contributed to the 2020 renov ation campaign during the depths of
the pandemic. This support which included cash, donated goods and
serv ices, and v olunteer time demonstrated high commitment to the
Chelsea’s future. Similarly, general contributions and grants hav e
grown year ov er year.
Our films are a destination for Orange County audiences and also
from throughout the Triangle and beyond. Sev eral film clubs and film
meet-up groups attend and then enjoy a meal and discussion at one
of the locally owned nearby restaurants.
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Please explain your
intended use of a
Restart the Arts
Grant, if awarded.
Funds will be used to support essential operating costs. The Chelsea
has significant non-discretionary operating expenses totaling ov er
$23,000 ev ery month. The largest of these include payroll and related
costs; rent; utilities; janitorial and maintenance; insurance; and
office/software/technology. Film rental and other costs of sales are
funded through sales.
W e believ e that it may take three – fiv e years to regain our pre-
pandemic stability of attendance and earned income. Restart the Arts
funds, as well as SVOG and any others, including priv ate
contributions, will be essential to fund a portion of annual operating
costs while audience confidence in returning to the theater is being
restored. Only with a significant boost in attendance (ticket and
concessions sales) will we be able to return to profitability. W e will
use all COVID relief funds judiciously and will continue to seek
community and grant support from all sources. Additionally, we hav e
a $75,000 EIDL loan which must be repaid out of non-gov ernmental
funds. W hether or not that can be repaid, at least in part, within fiv e
years, remains to be seen, but it is a consideration of the board.
Please explain
measures taken by
your organization to
mitigate the spread
of COVID-19.
In 2020-21 we gutted and fully renov ated the theater with features
designed to reduce airborne and surface-spread germs. These
included installing all new, easy-to-clean seats, and touch free or
minimal touch features in restrooms and lobby. W e improv ed our air
filtration system with MERV filters and installed GPS Needlepoint
Bipolar Ionization systems in our HVAC units to purify the air.
All employees are required to be v accinated. Rigorous daily
procedures include sanitization of theaters between shows and
sanitizing the lobby and restrooms sev eral times daily. Show
schedules hav e been modified to allow for longer time for cleaning
between shows, and attention to start/end times to av oid lobby
congestion. There are separate entrance and exit doors. Masks are
required to be worn inside at all times unless activ ely consuming
concessions while seated in the theater.
Effectiv e September 3, we require proof of full COVID v accination or a
negativ e COVID-19 test result taken within 72 hours prior to attending
a film.
COVID-19 IMPACT
DATA
This data is for the OCAC's informational purposes only and may or
may not be applicable to your organization depending on your
structure.
Number of Staff
Eliminated since
March 15, 2020
8 PT
Number of Staff
Positions
Furloughed/Hours
Reduced since
March 15, 2020
0
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Number of Public
Events Cancelled
since March 15,
2020
3120
Total Lost
Attendance since
March 15, 2020
-68000
Number of Artists
paid during calendar
year 2019
25
Number of Artists
paid during calendar
year 2020
15
FINANCIAL
INFORMATION
n/a
2018-19 (2019)
Actual FY Income
560439.00
2018-19 (2019)
Actual FY Expense
529905.00
2019-20 (2020)
Actual FY Income
243538.00
2019-20 (2020)
Actual FY Expense
338818.00
2020-21 Actual FY
Income (Budgeted
2021 Income for
those on a calendar
fiscal year)
402000.00
2020-21 (2021)
Actual FY Expense
(Budgeted 2021
Expense for those on
a calendar fiscal
year)
402000.00
Please upload your current fiscal year Operating Budget
2021_operating_budget.pdf
Upload Year-to-Date Balance Sheet
BalanceSheet_8.29.21.pdf
ELIGIBLE
EXPENSES
n/a
DocuSign Envelope ID: BCBCDC13-1B41-4389-8311-B12D1009DAC0
COVID-19 Relief Funding Already Received
3c537f19-22cb-45a1-a207-7fe27d115326.xlsx
ACKNOW LEDGMENT Please read the following statements below and click to agree to each
statement.
By submitting this
application, I
acknowledge I have
read and understood
the guidelines for the
Restart the Arts
Grant Program. I
make the following
representations and
acknowledge
agreement to the
following terms and
conditions:
I am the duly authorized representativ e of the entity named abov e
and can bind the entity to the terms of this Agreement.
If funds are prov ided by Restart the Arts, the funds will be used for
the purposes set forth abov e.
I bear full responsibility for any and all tax consequences of receiv ing
grant funds.
The representations made by the applicant in this Application are
material terms of the Agreement, as is compliance with the Grant
Program. The OCAC may cancel this Agreement at any time upon
discov ery that any of the information set forth abov e is inaccurate,
that these terms hav e been v iolated, or any prov ision of the Grant
Program has been v iolated.
If funded, the applicant will prov ide documentation as ev idence for
future expenses. Documents such as receipts, bill/inv oices, monthly
financial statements, and payroll ledgers.
DocuSign Envelope ID: BCBCDC13-1B41-4389-8311-B12D1009DAC0