Subject:
Title
Capital Project Funding Agreement with the Arts Center Association, Inc. for renovations to the Morean Arts Center.
label
Recommended Action:
Recommended Action
Approval of the Capital Project Funding Agreement with the Morean Arts Center Inc. (MAC).
• Agreement with the MAC for $2,225,000.00 and supports renovations to the Morean Arts Center as part of the Capital Projects Funding Program.
• The project consists of expanded and renovated buildout of building to include programmed space, exhibition and gallery space, Chihuly Gallery, lobby, entryway, gift shop, retail space, classrooms, artist galleries, and administration space.
• The projected 10-year incremental benefits include:
o 76,000 attendees
o 30,900 room nights
o $18,000,000 direct spending
o $28,500,000 economic impact
o $244,500 Tourist Development Tax
• Convention and Visitors Bureau (CVB) staff negotiated advertising and marketing terms for a maximum return on investment for the County.
• Tourist Development Council recommended this and five other capital projects for funding on February 19, 2025.
• Board approved Tourist Development Council’s recommendations on March 25, 2025, for a combined maximum funding for all projects amount of $26,400,000.00.
• The agreement includes a non-fiscal funding provision limiting County liability to budgeted and available funds, with $2,225,000 anticipated to be budgeted in FY30 in the Tourist Development Tax Fund under the Capital Project Funding Program.
Agreement for a not to exceed amount of $2,225,000.00 is effective for three years from the date of execution by the County with construction anticipated to commence no later than September 1, 2027.
Body
Strategic Priorities:
Prosperity and Opportunity
3.2 Provide and promote tourism opportunities.
3.5 Foster business growth.
Summary:
Summary
This Agreement provides support for renovations to MAC. This project has met the criteria defined in the Guidelines and includes tourism promotion benefits negotiated by the CVB for a maximum return on investment for the County. The Agreement will commence upon final execution and will be in effect for three years. Construction is anticipated to begin no later than September 1, 2027.
Body
Background Information:
The Capital Funding Program is one of the programs administered by the CVB on behalf of the County that awards Tourist Development Tax funding to eligible capital projects that have met the criteria in Fla. Stat. 125.0104, Pinellas County Code 118-32, and the adopted Guidelines.
On March 25, 2025, the Board approved a maximum of $26,400,000.00 in funding for five capital projects, including $2,250,000.00 for the Morean Arts Center.
CVB Staff negotiated tourism promotion benefits for a maximum return on investment for the County. Tourism benefits include permanent signage, use of event space, collaboration on joint marketing campaigns, branding, collaboration on media tours and more, as detailed in Exhibit B.
Fiscal Impact:
Total Cost: $2,225,000.00
The agreement includes a non-fiscal funding provision limiting County liability to budgeted and available funds, with $2,225,000 anticipated to be budgeted in FY30 in the Tourist Development Tax Fund under the Capital Project Funding Program.
Staff Member Responsible:
Brian Lowack, Director, Convention and Visitors Bureau
Partners:
Tourist Development Council
Attachments:
Capital Project Funding Agreement
Capital Projects Funding Program Guidelines
Design Concept Presentation
Design Concept Estimate
Capital Projects Funding Program PPT