❒ Increase to arts groups agreed to by 3-2 vote, but panel ‘will have to vote again’

Benicia City Council agreed Tuesday that the city’s nonprofit organizations should get more money than recommended by advisory panels and city staff. But they split, 3-2, on how much those groups should get.

If changing the amounts the nonprofit groups receive impacts how much money remains in reserves in the 2015-17 budget, the Council would have to revisit the matter, members were told, because a super majority of four “yes” votes would be required to reduce those reserves below 20 percent.

In Tuesday night’s vote, Mayor Elizabeth Patterson and Councilmembers Tom Campbell and Christina Strawbridge agreed to award Arts Benicia $45,000 a year and Benicia Old Town Theatre Group $12,000 a year, and to give the rest of the Arts and Culture Commission grantees 10 percent more than had been recommended and Human Services Board grantees 5 percent more than had been recommended.

Vice Mayor Mark Hughes voted no, saying he preferred a simple, across-the-board increase. “If you increase one, you should increase them all,” he said.

Councilmember Alan Schwartzman also voted no. “I, on principle, can’t go along with this,” he said. “It must be for everybody.”

Originally, Assistant City Manager Anne Cardwell, Library Director Diane Smikahl and Finance Director Karin Schnaider had recommended keeping Arts and Culture Commission grants funding at the same level as the current year as part of city staff’s endeavor to develop a “status quo” budget for the next two fiscal years.

That would have meant the Arts and Culture Commission had $60,540 with which to fund all requests.

But Patterson told the rest of the panel that in 2009 the city had granted Arts Benicia alone $65,000. Contributions to that organization have dropped steadily, and last year Arts Benicia received $30,000 from the city.

“Arts Benicia has taken a heavy hit,” the mayor said.

Benicia Old Town Theatre Group has experienced a similar decline in its grants, she noted — and that group is recuperating from having its bank accounts emptied and its former treasurer arrested on a felony embezzling charge.

Hughes said he appreciated the passion of audience members who, in particular, urged the Council on Tuesday to increase grants to the arts community.

“I do support the status-quo budget,” he said. While the city wasn’t yet out of the woods financially, he said, “This budget is in better shape than in past years.”

Hughes said city staff had recommended a total of $360,000 in grants, not only to those recommended by its advisories but to other establishments, such as the city museums.

“I’ve been crunching the numbers,” he said, saying a 10-percent across-the-board increase would cost the city $36,000 and a 15-percent increase would add $54,000 to the proposed budget. If the Council couldn’t find that money during its budget-crafting meetings, “then we’re not doing our jobs.”

Campbell agreed, saying that some big-ticket items in the budget — such as a comprehensive financial software package whose cost seems to balloon with each revision — might end up costing $780,000, which might mean $20,000 in funds the Council could earmark for grants.

In addition, Councilmembers recognized the benefits of the arts community, particularly in attracting tourists who patronize many of the local businesses and in contributing to a city that becomes attractive to other companies.

“We need to diversify our economy,” Patterson said. “It lacks prudence to depend on one type.”

But Hughes was reluctant to show favoritism to any particular agency, he said, and didn’t want to neglect organizations that address the needs of low-income residents or those in crisis.

“The Community Action Council provides unbelievable service to the city,” he said. Arts groups’ activities can be quantified in increased business such as restaurants and stores, such as occurred during last weekend’s Arts Benicia Open Studios, but “How do you quantify meals to seniors?” he asked, referring to one of many services the CAC provides.

However, his motion that would increase funding across the board by 15 percent failed to get a second.

Patterson reminded the Council that Human Services Board grant money has been increased from appropriations a few years ago, in contrast to funding for the arts.

And City Manager Brad Kilger told the panel, “Whatever you do, keep it simple,” explaining there was no time to refer the matter back to the Human Services Board or Arts and Culture Commission for refinement.

“Every dollar is spoken for,” he said about the proposed budget. The additional money would be taken from reserves unless money becomes available through spending cuts, employee vacancies and other savings.

Even so, Kilger said, he was comfortable if the Council limited the modification to about $30,000, if it refrained from padding other budget areas.

“But how you apply this needs to be clear and simple,” he said.

Campbell and Strawbridge crafted the motion that narrowly was approved Tuesday, futilely hoping to appease Schwartzman, who said it would be unfair to leave out Human Services Board grantees.

Because the motion split the Council 3-2, and after hearing Kilger’s warning that the additional money would come from reserves, City Attorney Heather McLaughlin suggested the Council will have to revisit the decision when they tackled other budget issues.

“You will indeed have to vote again,” McLaughlin said.