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5.0. SR 04-23-2001River MEMORANDUM TO: FROM: DATE: Mayor and City Council Pat Klaers, City Administra!q~ April 23,2001 SUBJECT: Open Mike (Cliff Lundberg- Mural) Item 5, . I understand that Cliff Lundberg will be at the City Council meeting and will want to address the Council at Open Mike about funding for the mural on the old cinema building and about scaffolding being placed on city property. By way of background, in 1996, the City Council offered $3,300 to help stucco the cinema wall. The assumption was that the project would cost about $6,600 and that the building owner would be paying the other one-half of this building improvement project. The project never took place and funds were never spent (from Council Contingency). In late 1999, I asked the City Council if they wanted to reserve some funds for a mural project. No action was taken and the Council indicated that the request could come back for consideration at a future date when a project was closer to reality. If a mural or building improvement project is to take place and scaffolding is to be put on city property in order for the work to be completed then our concern relates to insurance and liability. The city desires as little exposure to insurance claims as possible with this project. A. Organizational Information: 1. The Three Rivers Community Theatre was originally founded in 1975 under thc name of Elk River Community Theatre. The organization changed its name to Three Rivers Community Theatre pursuant to Amended and Restated Articles of Incorporation dated September 11, 2000, and filed with the Minnesota Secretary of State on September 25, 2000. All persons interested in theatre or the arts are eligible for membership in our organization. Thc General purpose of the Three Rivers Community Theatre is to "promote community interest and/or participation in all aspects of the arts". The Three Rivers Community Theatre has a proud history of presenting quality plays for the Elk River area. While we have been recovering from burnout for about three years, we are now arising from the ashes, having produced a play at the Big Lake High School Theater last October, 2000 and are in the process of producing an historical play for the second biannual Art Soup festival to be held in down town Elk River this June, 2001. This will be an original play being written by Robert Beverage, a professional writer. We anticipate serving a population of about 30,000. 0 There is no other theatre group in the Elk River Area. However we do work on other arts projects in concert with the 'Elk river Area Arts Council' and the '2001 Arts Alliance' whose main objective is in the area of visual arts, music, and literature. We have a ten member Board of Directors, no paid staff and a regular volunteer base of about 15 persons. B. Purpose of Grant 1. Situation This project is intended to enhance the social, cultural, and leisure of downtown Elk River. A mural painting, located in downtown Elk River, of an artistic and historical significance will enrich and positively affect the artistic and cultural climate of the community. The mural will be painted on the side of a building adjacent to the Elk River downtown river's edge park to draw attention to the river. We hope this will be the first effort to create a pleasing park by the river. The downtown needs a focal point. The idea was originally adopted by the 2001 Arts Alliance when planning the first Art Soup festival in 1999. This need was inspired by numerous community members interested in downtown beautification and in furthering recognition of the arts community of Elk River. Numerous persons have expressed a need for a visual impact on this particular building wall and the need to draw our attention to the 0 C. Evaluation 1. e river for its beauty and solace. Three Rivers is acting in cooperation with The Elk River 2001 Arts Alliance, and the River's Edge Downtown Development Corporation. The 2001 Arts Alliance is an organizations dedicated to the improvement of an exhibition of the arts in the Elk River area. Thc Rivers Edge Downtown Development Corporation is an organization promoting the Elk River downtown area and beautification and historical significance of downtown Elk River. Specific Activities The goal of our project is to create a mural on the West wall of the Cinema Professional Building on the East side of the Rivers Edge Park in downtown Elk River, located on Main Street between the Cinema Professional Building and the Sunshine Depot Restaurant. To accomplish this goal a contractor must be hired to stucco the side of the building and an accomplished mural artist and local artists must be hired to design and paint the mural. We estimate commencing thc project in May, 2001 and completing the project by the end of October, 2001. Mural artist Frank Gosiak will create the mural and local artist Holly Stone will assist Frank Gosiak with the creation and painting of the mural. Impact of Activities This project will promote and illustrate the historical significance of downtown Elk River. The mural will demand the attention of part of the community that is interested in the historical aspects of Elk River and enrich the cultural climate for part of the community that enjoys shopping. Sherburnc County is one of the fastest growing counties in the state. Regardless of this rapid growth, Elk River continues to work hard at maintaining the "small town" feeling and image. This project will help generate that "small town feeling" that the community desires. The project will also enhance the Elk River Downtown Rivers Edge Park. It will be a first step in creating a river boardwalk along the Mississippi River and the erection of a stage for artistic performance and social gathering on the bank of the Mississippi in thc Elk River Downtown Rivers Edge Park. The effect of our activities will be measured by the community response, the response of the downtown merchants, the arts community and the city council. The criteria will be use of the downtown park for picnics and leisure, the merchants desire for more downtown beautification and the city council's appropriation of more money to enhance the historic ambiance and beautification of downtown Elk River. 3. City staff and council members, local artists, downtown merchants and the e general community. The evaluations will be used to determine the mode of downtown renewal. ATTACHMENTS: the following attachments MUST be included or action on your project will be delayed: Enclosed please find: a copy of our Board of Directors letter of support, a copy of our IRS 501 (C)(3) letter, a copy of our Articles of Incorporation showing our official change of name from Elk River Community Theatre, a copy of the latest Three Rivers Community Foundation Financial Statement (2 pages), ADDITIONAL ATTACHMENTS: a list of our Board Members, a copy of the building owners letter of support, a copy of the Elk River Chamber of Commerce letter of support, a copy of River's Edge downtown business association letter of support, a copy of 2001 Arts Alliance letter of support, information on Artist Holly Stone, an estimate of the amount of paint needed by Artist Frank Gosiak, a sample of Artist Frank Gosiak's work done in Little Falls, pictures of the wall on which the mural is to be painted. BUDGET: Detail the anticipated expenses/costs for the entire project plus sources of project revenue (both confirmed and anticipated). Estimated stucco costs: Estimated artists fees: Estimated paint supplies Total estimated expenses: $14,000 $13,000 $3,000 $30,000. Estimated revenue Three Rivers Community Foundation Central Minnesota Arts Board Central Minnesota Community Foundation Picture it Painted Initiative Foundation Val Spar Paint Donation Grant Great River Energy Grant Contribution by owner of Cinema Professional Building Estimated grant from City through HRA or Park Commission General Fundraising $5,000 $3,000 * $3,000 $3,000 * $1,000 * $2,000 $5,000 $8,000 Respectfully Submitted, Clifford C. Lundberg revised 4/19/01 TItREE RIVERS COMMUNITY THEATRE F/K/A ELK RIVER COMMUNITY THEATRE 400 Jackson Avenue Suite 105 Elk River, Minnesota 55330 Phone: (763} 441-1251 (Law Office) Facsimile: (763) 44I-~258 TO WHOM IT MAY CONCERN: The Three Rivers Community Theatre proudly endorses the project of painting a mural on the Cinema Professional Building in downtown Elk River. This project was adopted by the Board of Directors at a meeting held on Thursday, February 15, 2001. Dated: Treasurer Internal Revenue Service Date:I In ~'eply taler lo: ~,.SS Sr~ec Septe~er 1, 1~7[ StP:~:77-1110;~:, Elk River Comity ~eat~ P. O. ~x 191 Elk River, I~nnesota 5~3~ Accounting Period .Ending: June ~0 Purpose: Educational Gentlemen: Based on information supplied, and assuming your operations will be as stated in your application for recognition of exemption,'we have determined you are exempt from Federal income tax under section 501(c)(3) of tho Internal Revenue Code. We have further determined you are not a private foundation within the mean- ing of sectioo 509{a) of tho Code, becausd you are an organization described in sec tion You are not liable for social security (FICA) taxes unless you file a waiver of exemption certificate as provided in tho Federal Insurance Contributions Act. You are not liable for the taxes imposed under tho Federal Unemployment Tax Act (FUTA). Since you are not a private foundation, you are not subject to the excise taxes 'under Chapter 42 of the Code. However, you are not automatically exempt from other Federal excise taxes. Donors may deduct contributions to you as provided in section 170 of the Code. Bequests, legacies, devises, transfers, or gifts to you or for your use are deductible for Federal estate and gift tax purposes under sections 2055, 2106, and 2522 of the Code. If your purposes, character, or method of operation is changed, you must let u~ know so we can consider tile effect of the change on your exempt status. Also, you must inform us of all chan~es in your name or address. If your gross receipts each year are normally more than ~10000. you are re- quired to file Form 990. Return of Organization Exempt From Income Tax, by the 15th day of tile fifth month after the end of your annual accounting period. The law imposes a penalty of $10 a day, up to a maximum of $5,000, for £ailuro to file a return on time. ' You are not require~ to file Federal income tax returns unless you are sub- ject to the tax on unrelated business income under section 511 of the Code. If you are subject to this tax. you must file an income tax rdtur~ on Form 990-T. In this letter we are not d~terminlng whether any of your present or proposed activi- ties are unrelated trade or business as defined in section 515 of the Code. You need an employer identification number even if you have no employees. If an employer identification number was not entered on your application, a number will be assigned to you and you will be advised of it. Please use that number on all returns you file and in all correspondence with the Internal Revenue Service. Please keep this. determination letter in your permanent records. Sinqerely/~ou r.~, District Director Form L-178 (Rev. 7-71) AMENDED AND RESTATED ARTICLES OF INCORPORATION OF ELK RIVER COMMUNITY THEATRE The undersigned, pursuant to a resolution adopted by the members and Board of Directors of the Elk River Community Theatre, do hereby certify that the following is a true and correct copy of the Amended and Restated Articles of Incorporation of the Elk River Community Theatre: .... -" : -'-'-'-,'4l~'--:~'il~,~';-for'tho'l~urpose of forming a' nonprofit' corporation pursuant to Minnesota Statutes Chapter 3 ! 7A, do hereby bind ourselves together as a body corporate and adopt thc following Articles of Incorporation: ARTICLE I Thc name of this corporation shall be the Three Rivers Community Theatre. ARTICLE II The general purpose of this corporation shall be to promote community interest and/or participation in ali aspects of the arts, especially the dramatic arts. The chief functions of this corporation shall be to provide an opportunity for community exposure, and/or participation in the culture of the theatre and other forms of art. This corporation is organized exclusively for educational purposes including for such purposcs the making of distributions to organizations that qualify as exempt organizations under scction 501 (C ~(3) of the Internal Revenue Code of 1954 (or the corresponding provision of any subsequent United States Internal Revenue Law). ARTICLE I11 The corporation shall afford no pecuniary gain to any director, officer or member. No part of the net earnings of the corporation shall inure to the benefit of, or be distributable to its members, trustees, officers, or other private persons, except that the corporation shall be authorized and empowered to pay reasonable compensation for services rendered and to make payments and distributions in furtherance of the purposes set forth in Article Third hereof. No substantial part of the activities of the corporation shall be carrying on of propaganda, or otherwise attempting to influence legislation, and the corporation shall not participate in, or intervene in (including the publishing or distribution of statements) any political campaign on l:,ehalf of any candidate for public office. 840719 0~2~01 '-Three Rivem Community Theatre Balance Sheet As of February 22, 2001 Feb 22, ASSETS Current Assets Checking/Savings First National Checking 2,851.94 Total ChecklnglSavlngs 2,851.94 Total Current Assets 2,851.94 TOTAL ASSETS 2,851.94 LIABILITIES & EQUITY Equity Opening Bal Equity 1,677.70 Retained Earnings -2.50 Net Income 1.176.74 Total Equity 2.851.94 TOTAL LIABILITIES & EQUITY 2,85t.94 Page1 0~2~01 ~rhree Rivem Community Theatre Profit and Loss June 2000 through May 2001 Ordinary Income/Expense Income Donation Grants Interest Membership Dues Ticket Sales Total Income Expense Dues and Subscriptions Licenses and Permits Production Costs Artistic fees - Director Artistic fees Set and Lighting Costumes Facility Rental Lighting Makeup Programs Publicity Scripts & Royalties Set construction Total Production Costs Rent Total Expense Net Ordinary Income Net Income Jun '00 - May '01 1,450.00 4,000.00 29.26 170.00 1,316.00 6,965.26 40.00 60.00 1,000.00 945.00 149.98 403.75 156.55 95.48 342.71 1,074.55 221.28 1,259.22 5,648.52 40.00 5,788.52 1,176.74 1,176.74 P,,ge I THREE RIVERS COMMUNITY THEATRE BOARD LIST Julian Opificius, Elk River Artistic director, Actor, Technical Formerly of Racine WI Theatre Clifford C. Lundberg, Elk River Actor and Technician (Also Elk River Arts Council and 2001 Arts Action Committee) Grace Becket, Elk River Citizen Darlene Solberg, Elk River Educator, Elk River Schools Sue Oelke, Elk River Actress Paula Boesch, Elk River Actress, Artistic Director Elaine Anderson, Elk River Publicity, Marketing, Producer, and Writer Eileen Bowersox Music Teacher Chuck DeGreef Actor, Artistic Director Debbie Opificius Actress, Producer, Technical Secretary President Treasurer Cinema Professional Building 657 Main Street Elk River, MN 55330 (763) 441-1551 To Whom It May Concern: February 2S, 2001 This is to verify that I have given permission for a mural to be painted on the outside wall of the Cinema Professional Building at 657 Main Street, Elk River MN. I have also agreed to contribute $2000.00 to the project. If you have any questions, feel free to contact me at my office (763) 441-6830. Sincerely, Marcia VanValkenburg Cinema Professional Building Elk RiverArea Chamber of Commerce February 27, 2001 Mr. Cliff Lundberg 400 Jackson Avenue P.O. Box 326 Elk River, MN 55330 Dear Cliff, On behalf of the Elk River Area Chamber of Commerce, I want to forward our support to your organization in obtaining grant money for the downtown mural project. Your goal is certainly admirable. It will serve to highlight the benefits of our downtown and provide an additional attraction for our customers and businesses in Elk River. Thc Chamber has, and will continue to support projects like this as it enhances our mission of serving thc business community and our members. Please let me know if you need anything further. Sincerely, James F. Stanley Chairman 509 Highway I0 · Elk River, Minnesota 55330-1415 ° (612) 441-3110 "Building a Better Community Together" RiversEdg edowntown business association' t February 22, 2001 To Whom This May, Concern, The Rivers Edge Downtown Business Association, is seeking support for our new mural project. The mural will be painting on the Cinema building, next to the city park, located at the intersection of Main Street and Jackson Ave. in downtown Elk River. This project is intended to beautify the downtown area, by eliminating the unsightly brick work currently on the side of this building. We are currently working with the DNR, who are assisting us with the addition of a fishing pier on this property. The mural, can be viewed at the office of Cliff Lundberg, at 400 Jackson Ave. Elk River. Please let us know if we can count on your support, by calling Cliff at 763-441-1251. Thank you in advance for your consideration of this project. Sincerely, Cindy Koonce Secretary, Rivers Edge Downtown Business Association 717 main street nw · downtown elk river, mn 55330 · [763) 441-6385 February 22, 2001 To Whom I,t May Concern: " .. O~ behalf of the 2001 Arts Alliance, I am writing to confima our Organization's commitment to the mural project in Historic Downtown Elk River. As a grass roots organization, we particularly like to do .projects that serve our community's needs .thr. ough the arts. Over the Years, Elk River's central business district'has struggl'.ed in its efforts to grow and develop. It is located on one of our most valuable 'resources,' the Mississippi River, but the river is barely 'visible and certainly un~ier-utilized. The doWntown has a "small town" feeling that so ' many people desire, but it is dimi'nished as a destina'ticin shopping area. It has 'great potential as a community gathering place, but needs development in,order to attract people' there. Currently, the Rivers Edge' Association, the'Operation ER Downtpwn Beautificatioq Committee, and the HRA are mobilizing'new interest, in. developing the'doWntown. The possibilities of a fishing pier and an extensive "Riverwall~ '' are alive agai/a. It is a Perfect site for a summer stage. Business owners are looking at what they can do to improve thei.r buildings. The mural wall is located in the midst' of this potential 'activity and will act it will call attention to our river and certainly beautify the area by rep!acing the existing bare block wall... ., Another value I see to this project is the collaboration between our community, s arts organizations as we connect, with other community groups. The. Three Rivers Community · Theatre, the Elk River Area Arts Council,. the Arts Alliance and others will all benefi~ from - working together and from the exposu.re such a highly visible project will prov. ide. ' Our plan i~'to promote the mural project an'd the downtown redevelopment 'during our'ArtSoup Elk River Community Arts Festival il3, June with a display and community funding outreach. The. festival is held in the location of the mural and on the river. This is an opportunity for community at its finest. We are looking forward to the excitement this project will surely, bring and look forward to being a part Of it. Sincerely 2001 Arts Alliance .. Tony Darkenwald Chair Post office * River, Minnes6ta *, 55550-2506 Ho ty s. stone 450 Hi~lhland Ave. Bill Lake, MN 55309 (763) 263-8661 OBJECTIVE: Mural Project, Elk River, MN EDUCATION 1970-present Participated in numerous workshops by local and nationally known instructors in a variety of media including oil painting, watercolor, acrylics, set design. 1970-1971 Art major, Hamline University, St. Paul, MN 1974-1975 Associate in Liberal Arts, University of Minnesota, Minneapolis, MN 1979-1983 Bachelor of Science, Wayne State University, Detroit, MI RECENT RELATED ARTISTIC PROJECTS 1999-2000 Community Mural, City of Becker, ~ Acted as coordinating artist to create a mural based on the history and culture of Becker, MN. The mural is on permanent display in the Becker Community Center. Worked with various community groups to gather information, and facilitated their participation in the design and actual painting process (Sherburne County Historical Society, various senior's groups, scout troops, High School and Junior High School students, High School Athletic, Art, and Music Departments, Lions Club, Women of Today, Chamber of Commerce, Jaycees, Mayor and City Council, and general public). My design depicts the rich culture and history of the area, and is presented as a visual timeline. 1995-2001 /Rural ProJects, Scenic and Graphic Design Business and private home mural projects in Minnesota including: Becket, Big Lake, Monticello, Minneapolis, Otsego and Zimmerman. Posters, business cards, buttons, and greeting card design. Designed and painted backdrops and props for traveling theater show productions throughout Minnesota. Painted stage set for Community Choir production, Zimmerman, MN. Recent mural at coffeehouse: "The Sweetest Things," Monticello, MN. 1998-2001 Painting Instructor Private and group painting lessons in the Twin Cities Metro area, and in my Big Lake studio, adapting painting techniques to the abilities of beginners, advanced students, as well as individuals with a variety of physical and mental disabilities. SHOWS AND ORGANIZATIONS Active member of numerous art organizations including National Museum of Women in the Arts, Washington, DC; Hennepin Artists of Robbin Gallery, Robbinsdale, MN (past vice president); Artists del Norte, Anoka, MN; Artists of Minnesota, Coon Rapids, MN; Elk River Area Arts Association, Elk River, MN; Hopkins Center for the Arts, Hopkins, MN. Have received numerous awards from paintings displayed in shows through these and other arts organizations. Elk River Mural Project under 200 uam .ft ~_e, similar ~,u_rf~__..In order to dec des with need app y m ~n a ~ne some elements of town ~l~ along the rtver. IfeelaClOSeee~lmate=a(~-o pi this would t~ke the foll~ amounts of palm and primer. Long lasting k~ex e~ pdmer for cement. Primtuy ~m for mixing and finish work, 10 ga~_. lO g~d. ~green Idealb/it would be better if we would have a baee coat palm that the pigment (x)uld be added to. Tots] s~ by Frank (218) 897-5275 ext. 108 (218) 897-5552 evenings fax (218) 897-528O 82-28-2{~{al 12: 24PM P.81