Corrinn Conard

From: Jessica Fagan

Sent: Monday, October 15, 2007 8:08 AM
To: Brian Hoffmeister (brian_hoffmeister@lsc.state.oh.us); Lori Payne (lpayne@ag.state.oh.us);
Derek Bridges (Derek.Bridges@obm.state.oh.us); OCFC
Subject: September2007.html

Below please find the September 2007 Monthly Report to the Commission; please let me know if you have any
questions.

MONTHLY REPORT TO THE COMMISSION

September 2007
Prepared by: Kathleen M. Fox, FASLA, Executive Director,
and the Commission Staff

COMMISSION NEWS

The Commission reimbursed three local project sponsors totaling more than $378,000 on paid invoices during the
month of September. The total amount reimbursed includes:

$142,464 Akron Art Museum

$201,490 McKinley Museum Improvements
$34,397 Toledo Museum of Art

PROJECT NEWS

Officials from the National Underground Railroad Freedom

Center (NURFC) and Commission staff are moving forward
with a plan that will make the museum a likely candidate for the
Commission’s November 2007 meeting agenda. The
Commission’s bond counsel is scheduled to draft a proposed
extension of the lease agreement with NURFC as well as an
addendum to the Cooperative Use Agreement. The revised lease
would be coterminous with a new Cooperative Use Agreement,
and would provide security for the state’s investment through an
extended real property interest in the facility. NURFC’s bank
would have to agree to subordinate their interest in the facility to
the proposed lease extension (The Commission holds first lien
position with our existing lease). The proposed arrangement is
National Underground Railroad Freedom Center
(Hamilton County) suggested as a remedy to the $7.75 million gap in the museum’s
capital funding model. Project Manager Tony Capaci is creating a
summary of the revised business plan submitted by NURFC
officials, which will be distributed to Commission members for review prior to the November meeting. The museum plans
to seek Commission approval of the $2 million in state capital funds appropriated in the December 2006 capital bill.

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Commission staff members are working to resolve insurance issues with the Chester Academy project. The
Commission approved a $25,000 appropriation in August 2006, and legal agreements were entered into with the local
sponsor in February 2007. The local project sponsor does not have adequate general liability and property insurance, and
appropriate insurance coverage is required as part of the Commission’s Cooperative Use Agreement and the
Construction Administration and Funding Agreement. Commission staff is working with the Meigs County Commissioners
in an attempt to resolve the issue; the county has general liability and property insurance on the building, to which they
may be able to add the Commission, the state of Ohio, and other necessary parties as additional insureds. Commission
staff expects to hold further discussions with county officials this month.

Commission Executive Director Kathy Fox and Project Manager Samantha Cothern attended a kick-off meeting
with representatives of Nationwide Children’s Hospital on September 4. The meeting outlined the hospital’s $740-
million expansion plans as they relate to the facility’s $1-million appropriation to build an amphitheater in an adjacent park.
Hospital representatives also discussed the cooperative relationship formed with the City of Columbus’s Recreation and
Parks Department, which owns the adjacent Livingston Park—a candidate for the amphitheater’s location. The overall
expansion plan will add one million square feet to the hospital complex by 2012, making it one of the largest pediatric
facilities in the nation. Hospital officials have not indicated a timeline by which they anticipate submitting project materials
for Commission review.

Commission staff met with Senator Tim Schaffer and representatives of the Ohio Glass Museum to discuss
possible scenarios for moving the project forward. The museum has a $250,000 appropriation that it plans to use for
museum exhibits and display cases. Sustainability concerns revealed in previous project reviews by Commission staff
have kept state funding for the project on hold. A solution proposed by Senator Schaffer would involve a guarantee by the
Fairfield County Visitors and Convention Bureau to repay state bond funds invested in the project, should the museum
default on its legal obligations to the Commission. Museum representatives will explore the proposal with the visitors
bureau, and pending the outcome, will resume submitting the necessary materials for review and placement on an
upcoming Commission meeting agenda.

Current sponsors of the Fort Piqua Hotel renovation project, representatives of

Piqua’s Flesh Public Library, and Commission staff are discussing the use of
state capital funds for the Flesh Public Library’s planned space within the
building. The library plans to relocate to three stories of the renovated hotel, which
received a $200,000 state capital appropriation. The hotel, listed on the National
Register of Historic Places, will also house restaurants, retail, and a banquet hall when
renovations are complete. The project is utilizing Federal historic tax credits in its
funding model, which may pose challenges in also investing state bond funds in the
project. The sponsor has also applied for state historic tax credits. A remedy now
being explored is for the public library to utilize the appropriation to fund the creation of
a combined art gallery and history museum within the library. More specifics on the
proposed plan for the use of state funds and the provision of culture are forthcoming
from library officials.

The Columbus College of Art and Design recently announced the public phase
of a $12 million capital campaign. The college has already raised $7 million, and
Fort Piqua Hotel has indicated it will direct $8.8 million to capital improvements at its downtown
(Miami County) campus. A major initiative is expected to center on the Broad Street facility—a former
commercial building now owned by the school—to create new classroom, studio, and
gallery space. The college received a $250,000 appropriation in the December 2006 capital bill, which is expected to be
used for roof and façade repairs at the Broad Street building. College officials have not indicated when they expect to
being submitting materials for Commission staff review.

Two Commission funded projects are winding down, while another is just beginning. The Midland Theatre’s
project to conduct exterior drainage improvements is nearing completion after experiencing several delays. The
project’s $175,000 appropriation was approved by the Commission in May 2005. Local sponsors report the project will
come in under budget, leaving approximately $9,000 to be used on a future project. The McKinley Monument’s granite
stair restoration project is also complete. The Commission approved $800,000 in state capital funds in March 2007.
Project Manager Samantha Cothern attended the Monument’s 100th anniversary dinner on September 21, and spoke at
the event on behalf of the Commission. Also in attendance at the event were Senator J. Kirk Schuring and Canton Mayor
Janet Weir Creighton. Meanwhile, officials at Riverbend Pavilion held a groundbreaking ceremony for the new
4,100-seat amphitheater to be built using $3.25 million in state capital funds. The project received Commission approval
on August 16, 2007, and local sponsors broke ground on August 30.
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The Southern Hills Arts Council was awarded a $30,000 grant by the Governor’s Office of Appalachia to support
renovations of the Markay Theatre. The theater was a focal point of the city of Jackson when it was built in the 1930s,
and continues to be a critical element in efforts to revitalize the downtown. The Markay has a $200,000 state capital
appropriation, which is expected to be used for various interior improvements, including the box office, restrooms, and
storage areas. Local sponsors report a recent anonymous gift of $50,000 in addition to the $30,000 state grant, and
indicate they are planning to submit materials in the coming months for assessment by Commission staff.

The Great Lakes Science Center received approval to build its proposed walkway connecting to the Steamship
William G. Mather Museum. The Cleveland City Planning Commission approved a design for the 400-foot climate-
controlled walkway, which would enable the science center to open the Great Lakes freighter year-round, rather than the
six months the steamship is currently open. The cost of the project is estimated at $3.3 million, and science center officials
have stated that they expect the walkway will be open one year from now. The Steamship Mather Museum has state
appropriations totaling $700,000 that could be used to fund a portion of this project, but officials have not indicated when
they expect to begin submitting materials for review by Commission staff.

Approximately 10 cultural facility projects are currently in assessment for potential placement on the
Commission’s November meeting agenda, along with two projects of the Ohio Historical Society. Those projects
that successfully submit the necessary materials for assessment by the posted deadlines and, after thorough review, can
be recommended by Commission staff, will be placed on the Commission’s upcoming meeting agenda.

ITEMS OF INTEREST

Substitute House Bill 9 of the 126th General Assembly, Ohio’s new public records law, took effect on September
29, 2007. Although the definition of “public records” remains unchanged, the law imposes on public offices new
obligations with regard to responding to public records requests, and requires public offices to adopt a public records
policy for responding to such requests. In compliance with the new law, the Commission Executive Director has approved
a public records policy, and has adopted the general schedules for records retention as established by the Department of
Administrative Services. The agency’s new public records policy will be presented to the Commission for formal adoption
at the November 2007 meeting.

Preliminary discussions on requests for the 2008 capital bill are heating up. Commission staff members have fielded
an increasing number of inquiries in recent weeks from local project sponsors and public officials regarding potential
projects and eligibility requirements. In addition to a number of phone inquiries, Commission staff held two meetings in
September with potential project sponsors; a meeting with a third potential sponsor is scheduled for early October.

STAFF NEWS

LeeAnne Woods has been promoted from Project Analyst to Project Manager as part of the Commission’s effort to
increase the agency’s project services group, a result of the agency’s increased operating funds included in the FY 2008-
2009 operating budget bill. LeeAnne was selected from among a pool of qualified candidates to fill the Project Manager
role. A staff member since March 2007, LeeAnne has quickly grasped the policies and procedures of the project services
arena. LeeAnne holds an M.B.A. from Florida International University as well as law degree from Case Western Reserve.
As a result of the promotion, the Commission will now look to hire two project analysts in order to fully staff three project
management teams.

In other staffing news, the Office of Budget and Management (OBM) has not yet approved the Commission’s
request to increase the agency’s personnel ceiling by four, which was submitted more than two months ago. The
additional staffing is within the Commission-approved operating budget contained in Am. Sub. H.B. 119, signed into law
by the Governor in June. The Commission Executive Director and Assistant Director continue to work with OBM to
respond to requests for information about the staffing plan. Selection processes for the new personnel have been
completed, and so in the interim, Commission management has hired three of the four on contract or through temporary
staffing firms in order to meet the demands of the project workload.

NEW PROJECT PROFILE

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 The Vinton County Historical Society Alice’s House project received a
$50,000 appropriation in the December 2006 capital bill. Alice’s House is the
name of the historic property that houses the Vinton County Historical and
Genealogical Society. State funds will be used for a variety of renovations,
including new windows and storm doors; new HVAC, security, and fire alarm
systems; exterior painting; and an entrance ramp compliant with the Americans
with Disabilities Act.

The King Arts Complex, located in Columbus, is the recipient of $150,000

in state capital funds, appropriated in the December 2006 capital bill. The
multi-arts facility serves the community with visual and performing arts
Vinton County Historical Society programs, arts education initiatives, and permanent exhibitions. State funds will
Alice’s House be directed toward sidewalk improvements, lighting and electrical work, and a
new sump pump and other drainage remediation. The King Arts Complex’s state
funds come from a shared appropriation with the Lincoln Theatre under the appropriation line-item name King-Lincoln Arts
and Entertainment District.

FUTURE COMMISSION MEETINGS

Thursday, November 29, 2007 10:00 AM at the Commission office

2008 meeting schedule TBA

cc: Brian Hoffmeister, Legislative Services Commission

Lori Payne, Office of the Attorney General
Derek Bridges, Office of Budget and Management

4
Corrinn Conard
From: Jessica Fagan
Sent: Monday, August 13, 2007 11:31 AM
To: OCFC; Derek Bridges (Derek.Bridges@obm.state.oh.us); Brian Hoffmeister
(brian_hoffmeister@lsc.state.oh.us); Lori Payne (lpayne@ag.state.oh.us)
Subject: July2007.html

Below please find the Monthly Report to the Commission for July 2007 -- please let me know if you have any
questions.

MONTHLY REPORT TO THE COMMISSION

July 2007
Prepared by: Kathleen M. Fox, FASLA, Executive Director,
and the Commission Staff

COMMISSION NEWS

The Commission reimbursed two local project sponsors totaling more

than $114,000 on paid invoices during the month of July. The total
amount reimbursed
includes:

$13,745 John Bloomfield Home Restoration

$101,251 Ohio Historical Society – various projects

Many other project invoices were in process in July; see related article on
the new OAKS financial system in the “Items of Interest” section of this
report.

Commission Secretary Treasurer George Oberer and Member Julie

The Akron Art Museum officially reopened to
the public on July 17, 2007 after its
$42-million expansion project.
Kunkel, CPA, participated in the Audit Exit Conference on July 16, 2007
for the FY 05-07 performance audit of the Commission undertaken by the
State Auditor’s Office. The final draft of the Audit Management Letter, as
well as Management’s response letter, were sent to all Commission
Members on July 17. Commission Members will receive the State Auditor’s
official report by mail, directly from the Auditor.
PROJECT NEWS

COSI Toledo got a boost when the Lucas County Citizens Tax Levy
Review Committee voted to recommend that the museum’s tax levy be placed on the November 2007 ballot (read
full article). A proposed tax levy in 2006 failed at the polls by 1,200 votes. At that time, the tax review committee had
remained neutral on recommending COSI’s levy request to county commissioners for placement on the ballot. The
committee chair cited COSI’s increased outreach and services to county residents as a reason the committee voted to
support the levy. David Waterman, COSI Toledo’s board chair, has indicated that the committee’s recommendation is a

5
positive sign. Waterman has also stated that failure to pass the levy in 2007 will result in the museum’s closing. COSI
Toledo has been appropriated a total of $11.9 million in state bond funds, and approximately $10.8 million has been paid
out.

Officials from the National Underground Railroad Freedom Center and Commission staff are investigating a
course of action that may put the museum in a position to receive Commission approval for the $2 million appropriated in
the December 2006 capital bill. After a meeting on July 11, 2007 and a subsequent conference call on July 26, parties
agreed to move forward with investigation of a proposal from the Freedom Center that would extend the Commission’s
existing leasehold interest in the facility. The current leasehold interest would be extended to be conterminous with a new
Cooperative Use Agreement that would be entered into upon Commission approval of the recent capital appropriation. In
exploring the proposal, Commission staff are seeking input from legal and bond counsel. The arrangement would permit
the Freedom Center to continue to utilize interest income from its endowment/investment account to close the capital
funding gap, and provides security for the state’s investment through an extended real property interest in the facility.
Pending satisfactory review of an updated business plan and other required materials, the Freedom Center could appear
on the Commission’s November 2007 meeting agenda. On a related note, Freedom Center representatives indicated
progress in the establishment of an operating endowment with a $5 million goal.

The City of Toledo’s Marina District project will appear on the Commission’s upcoming August 2007 meeting
agenda, seeking to enter into a Memorandum of Understanding (MOU) agreement with the Commission. The
Commission utilizes MOU agreements to provide preliminary approval of projects in instances where the Commission is
able to make one or more, but not all, of the required determinations that result in a project’s full approval. The agreement
outlines the steps project sponsors must undertake before they can be brought before the Commission a second time to
receive remaining approvals. In many cases, the Commission’s preliminary approval can be leveraged by local sponsors
to complete capital campaigns, because the MOU demonstrates the state’s commitment to the project. Marion Palace
Theatre is an example of a project that has utilized the Commission’s MOU agreement to work towards completion of
fundraising for its capital improvements project. The theater appeared before the Commission in August 2005, however
the project was not fully funded at that time. The Commission determined the need for the project in the community, and
subsequently authorized the execution of an MOU. Marion Palace Theatre is tentatively scheduled to appear on the
Commission’s upcoming August 2007 meeting agenda. Should the Commission be able to grant final approval of the
project, the local sponsors can begin to access the total $1.575 million in state appropriations.

The RiverSouth project, in which the Columbus Association for the Performing Arts (CAPA) now proposes to
create a 150-seat cabaret-style theater in downtown Columbus, continues to experience delays in moving
forward. The project has a $1 million state capital appropriation. Although the local project sponsor has submitted a
number of materials for assessment by Commission staff, major omissions include a narrative business plan to support
the five-year pro forma that was submitted, as well as documentation for the use of federal funding which would
demonstrate full funding for the project. The local sponsor plans to fit out the first floor of a planned four-story building for
the theater and its operations, and further documentation will be required of the commercial developer’s secured funding
sources for the construction of the project as a whole. The theater concept has been changed over the last year from a
facility for legitimate theater that would be the primary home of the Contemporary American Theatre Company, to the
more recently presented concept of a cabaret-style theater space with the primary user being CAPA as a presenter and
several local organizations using the space for a few weeks each year. Commission staff will continue to work with the
project sponsor to obtain the remaining necessary materials. CAPA indicates that they now are hoping to be including on
the Commission’s November 2007 agenda.

The long-awaited reopening of the Akron Art Museum occurred in

The Akron Art Museum’s
John S. and James L. Knight Building
July, with a series of special events leading up to the museum’s first
official public day on July 17, 2007. The museum’s Defy Gravity Grand
Opening Gala was a sell-out, with 1,500 patrons turning out for the black
tie event on July 7. The gala was followed by members-only preview
days, VIP receptions, and a free, ticketed public sneak-peak on July 15.
The museum has garnered local, national and international press, and
has been reviewed by The New York Times, Los Angeles Times,
Chicago Tribune and the Washington Post. The Los Angeles Times
called the new wing “soaring, audaciously sculptural,” (read review) and
the Chicago Tribune wrote, “If architecture is frozen music, the museum
now sings because of its enlivening tensions between gravity and
weightlessness, classical containment and explosive, almost ferocious,
baroque energy,” (read review). State appropriations total $8.7 million,
of which $$7.45 million has been reimbursed to the museum to date.
6
Cleveland Public Theatre (CPT) has been named a Champion in Action for its excellence in community arts
programming. The Champion in Action award is given quarterly by Charter One Bank and WJW FOX 8 to worthy
nonprofits that address community needs in northeast Ohio. The award provides a $25,000 grant, public relations and
volunteer support. Cleveland Public Theatre is a leading experimental performance venue that prioritizes developing local
talent and innovative community outreach. CPT completed an improvements project through the Commission in 2004
utilizing a $112,000 share of a larger appropriation for the West Side Arts Consortium, and has been designated to utilize
a $100,000 appropriation for the Gordon Square Arts District for planned HVAC upgrades. The organization is raising the
necessary funds for the project before beginning the Commission assessment process.

ITEMS OF INTEREST

The Commission launched a new website on August 1, 2007. In addition to a fresh look for the site, the new design
streamlines navigation, includes expanded content, and provides online versions of the Commission’s publications.
Among the new additions to the website’s content are an online Press Room, featuring recent press releases and
Commission fact sheets; a Project Planning section that serves as an introduction to capital project planning; and a
Resources page with links to a variety of websites and publications for nonprofits including business planning, fundraising,
and strategic planning. The redesigned site maintains the same web address: www.culture.ohio.gov

Commission staff will undertake three project pre-assessments in the coming weeks. The first will be undertaken
for a project located in Hamilton County. The project received a $100,000 appropriation in the December 2006 capital bill
and was assigned to the Ohio Department of Natural Resources for oversight. After discussions in which ODNR
representatives indicated they have no statutory authority to work with the project, and conversations with the legislators
who sponsored the appropriation, Executive Director Fox offered to review the project to find out if it meets Commission
eligibility requirements. Commission staff will begin gathering information from the local project sponsors for assessment.
Should it be determined that the project fits within the Commission’s guidelines, the necessary legislation would then be
requested to transfer the appropriation from ODNR to the Commission for oversight. The Commission’s proposed Model
Process for Community Capital Improvements Projects seeks to reduce or eliminate instances in which community capital
projects get improperly assigned by gathering sufficient information through the pre-assessment process to understand
which agencies are equipped to oversee each project.

The initial assessment of potential projects as part of the capital appropriations process would also play a role in providing
legislators with a better understanding of proposed capital projects, their strengths and weaknesses, and their readiness
to utilize capital appropriations, should they be made by the Legislature.
State Representative and Ex-Officio Commission Member Shawn Webster requested a pre-assessment of a potential
capital project in his Butler County district. After working with the local project sponsor to obtain information about the
project plans, the Commission staff will provide an objective evaluation of the project for Representative Webster’s
consideration as the capital bill process gets underway in 2008. A third pre-assessment was requested by Representative
T. Todd Book for a proposed expansion of the Portsmouth Murals project, which consists of a series of murals on the
Portsmouth flood wall. These pre-assessments are being done as a courtesy to members of the Legislature. Only a small
number of pre-assessments will be feasible within the Commission’s operating resources. Providing better service for
currently-assigned projects will be the focus for the additional staff to be hired using funding restored in FY 08-09 (see
Staff News, below, for more information).

Dayton’s arts sector saw impressive growth over a recent ten-year period, according to a study published by an
Ohio-based arts consultant. The Dayton Daily News reported on the study, which shows that although annual operations
for arts organizations tripled from $15.7 million in 1994 to $46.4 million in 2005, smaller organizations still struggle, and on
the whole the arts have insufficient endowments and reserves. On a positive note, Dayton arts organizations operate at
better-than-national-average ratios of earned income to private and public support. The news story also indicates that
Culture Works, the largest provider of general operating support for arts organizations in Greater Dayton, is working to
establish a common endowment fund that would benefit the arts sector as a whole, and could generate as much as $2.5
million in additional operating support annually (real full article).

The Commission has started a new fiscal year under the state’s new OAKS system. The financial component of the
system launched as planned on July 1, 2007, the beginning of fiscal year 2008. Although there have been a few
temporary system-wide glitches, the Commission’s fiscal officer Myra LaCava has been able to pay vendors utilizing the
new system. In the coming months, Commission staff will begin developing new internal procedures in order to align with
the OAKS system, consistent with the Commission’s guidance at the November 2006 meeting.

7
STAFF NEWS

New Positions: Using the increased resources afforded by the operating funds restored to the Commission in the state’s
operating budget bill, we are recruiting for three positions in the project services group. Another new position will be filled
to coordinate the Commission’s increasingly complex computerized information systems.

Operations Coordinator: We are also recruiting to fill the Operations Coordinator position.
Cheri Miller will become Regional Marketing Manager for The Little Clinic, a healthcare services company that manages
walk-in clinics placed inside retail locations. In her exciting new job, Cheri will be responsible for marketing initiatives in
Columbus, Toledo and Detroit.

NEW PROJECT PROFILE

The County Line Historical Society of Wayne/Holmes Counties received a

$100,000 appropriation in the December 2006 capital bill. The Society is currently
renovating an 1870s building on the main street in Shreve, Ohio, for conversion into a
historical museum. The state-funded portions of the project will include the completion
of construction of an addition to the historic building, as well as the rehabilitation of the
original portions of the building, known as the “Old Tin Shop.” Completion of these two
projects will allow the Society to open the museum to the public.

Karamu House provides dynamic arts education programs and a renowned

theater program, as well as social, economic and educational development
opportunities in the Cleveland community. A $100,000 appropriation was included for
Karamu House in the December 2006 capital bill. The local sponsors hope to utilize
the state funds to assist with replacing the facility’s HVAC/boiler system.

County Line Historical Society FUTURE COMMISSION MEETINGS

(Wayne/Holmes Counties)
Thursday, August 16, 2007, 10:00 AM at the Commission office
Thursday, November 29, 2007 (starting time and location TBA)

cc: Brian Hoffmeister, Legislative Services Commission

Lori Payne, Office of the Attorney General
Derek Bridges, Office of Budget and Management

8
Corrinn Conard
From: Jessica Fagan
Sent: Monday, July 09, 2007 9:15 AM
To: OCFC; Brian_Hoffmeister@LSC.STATE.OH.US; Lori Payne (lpayne@ag.state.oh.us);
Anthony Perry (anthony.perry@obm.state.oh.us)
Subject: June2007.html

Below please find the Monthly Report to the Commission for June 2007.

MONTHLY REPORT TO THE COMMISSION

June 2007
Prepared by: Kathleen M. Fox, FASLA, Executive Director,
and the Commission Staff

Two sports projects assigned to the COMMISSION NEWS

Commission revealed preliminary designs to
the public during the month of June:
Governor Strickland signed the state’s operating budget bill for
the 2008-2009 biennium into law on June 30, 2007. A House-
Senate conference committee kept provisions included in the Senate
version of the bill that restore the Commission’s project management
funding to the appropriation level of fiscal years 2004-2005. The
Commission’s first priority will be to hire additional project
management staff to oversee the more than 250 projects that have
been assigned to the Commission.

Commission Member Harry Lehman has been appointed to the

board of the School Employees Retirement System by Ohio
Toledo Ice Arena (Lucas County) Treasurer Richard Cordray. Mr. Lehman will fill an unexpired term as
the treasurer’s investment designee, effective immediately. His term
will run through December 2, 2008.

The Commission reimbursed five local project sponsors totaling

more than $5.7 million on paid invoices during the month of June.
The total amount reimbursed includes:

$675,920 Akron Art Museum

$2,000,000 Great American
Ball Park
$155,335 Ohio Historical
Society – various
projects
$2,753,237 Schuster Center for
Huntington Park (Franklin County) the Performing Arts
$158,891 Western Reserve
Historical Society

9
PROJECT NEWS

Officials from the Western Reserve Historical Society, which operates Hale Farm and Village, have indicated
plans to move forward with their project to renovate two wings of the Jonathan Hale House, the primary building at
the historical village. The project received a $250,000 appropriation in Am. Sub. H.B. 16 of the 126th General Assembly,
and received Commission approval in May 2006; however, construction plans were put on hold when bids came back
higher than anticipated. The project sponsor received revised bids that meet the project budget, and anticipates
construction will begin as soon as the county issues a building permit, which is expected to be this summer.

Commission staff requested a variety of submittals and reporting requirements of the Johnny Appleseed
Heritage Center, Inc. (JAHCI) in correspondence dated June 20, 2007. The letter reiterates the need for JAHCI to
adequately and fully address prior questions posed by Commission staff regarding its financial recovery plan. In addition,
the letter outlines additional reporting requirements, including a progress report summarizing the results of a fundraising
campaign, and operating revenue and expense reports, by September 15, 2007. Additional documentation is being
required as soon as July 1, 2007.

At the request of the Commission, the Board of Directors of the Muskingum Watershed Conservancy District (MWCD),
from whom JAHCI leases the facility, is considering a resolution that approves the reduced level of cultural programming
now being offered by JAHCI and waiving the requirement for an outdoor drama specifically related to Johnny Appleseed.
In addition, the resolution would authorize MWCD to work with the Commission to explore contingency options, which
could include contracting with a new operator, should JAHCI be declared in default by the Commission. The resolution is
expected to be adopted by September 2007.

Commission staff will review the information received from JAHCI and will report to Commission members on progress
and recommended actions as appropriate.

Executive-level comings and goings were reported at several Commission project sites over the last several
weeks. The Dayton Art Institute has announced its hiring of David Brigham as Director and CEO. Brigham will take the
helm on August 20, 2007, and is most recently executive director of the Allentown Art Museum in Pennsylvania (read full
article). Leadership at two historic theaters is changing hands: Stambaugh Auditorium director Steven Small resigned,
effective May 25, 2007, and executive director Costin Manu of the Sandusky State Theatre (SSTI) announced his
resignation (read full article). Manu reportedly will continue to serve as a consultant to Sandusky State Theatre, and
leaves the theater with a new operating plan in place and a 2007-2008 season on the schedule. Finally, two high-level
executives are leaving the National Underground Railroad Freedom Center: president Spencer Crew and executive vice
president of advancement Love Collins III are leaving the Cincinnati institution for new jobs (read full article). Both
Stambaugh Auditorium and the Freedom Center received new appropriations in the December 2006 Capital Bill.

Franklin County officials publicly unveiled plans for the new Columbus Clippers baseball stadium, Huntington
Park, to be built in the Arena District near downtown Columbus. Designers are planning a ballpark to seat 10,000 fans,
with the closest seats located just 48 feet from the bases. Driven in part by the small 8-acre footprint the stadium will
occupy, 360 Architecture, in association with Moody Nolan, has designed an intimate but state-of-the-art stadium that will
include suites, club seating, and a rooftop patio available for parties. County officials intend to keep Clippers games
affordable, retaining $3 - $6 general admission ticket prices, $3 event parking, and the popular “Dime-A-Dog” nights (read
full article). Huntington Park received a $7 million appropriation in the December 2006 Capital Bill. County officials have
submitted materials to Commission staff, which are currently in assessment for potential placement on the August 2007
meeting agenda. The Commission has engaged sports facility consultants Brailsford & Dunlavey for services including
analysis of economic and fiscal impact, market and financial feasibility studies, and construction plans, specifications,
contracts and schedules.

Arena plans were also unveiled in Toledo, as Lucas County officials revealed preliminary designs for a new
downtown sports arena to the public on June 13, 2007, and announced plans to seek community input in several public
forums. The future arena, which has a $5.5 million state appropriation, is expected to seat up to 10,000 people. County
officials are emphasizing the importance of community input to create a final design, hoping to build broad-based support
for arena events, which will include minor league hockey, concerts, and more (read full article). This project is also moving
forward through the Commission assessment process, including analysis by sports facility consultants Brailsford &
Dunlavey.

Commission staff met with representatives of the National Underground Railroad Freedom Center regarding the
institution’s most recent capital appropriation of $2 million in Am. Sub. H.B. 699 of the 126th General Assembly.
Funding models submitted by Freedom Center representatives in February 2007 indicate that the institution has not made
progress toward completing its capital campaign. Prior approvals from the Commission for the expenditure of state funds
10
were based upon the understanding that the Freedom Center would set aside funds from its endowment/investment
account that would stand in the place of its capital fundraising shortfall, and that within a short period of time the Freedom
Center would complete its capital fundraising campaign, producing project funding to equal the total project costs.

Two years later, the Commission staff assessment indicates that the project is not fully funded. Total project costs to build
the Freedom Center were nearly $117.7 million, and the organization’s total received and confirmed funding sources are
approximately $110 million, including state appropriations, resulting in an apparent funding gap of $7.75 million. Although
the Freedom Center completed a successful $8-million fundraising campaign in 2006 to reduce operating debt,
Commission staff remains concerned that no further fundraising progress has been made with regard to the capital
project. Commission staff have suggested an expedient solution to achieve full funding for the project, in which the
Freedom Center may identify a guarantor for the $7.75 million funding gap. Such an action would permit Commission staff
to recommend the Freedom Center for placement on an upcoming Commission meeting agenda for approval of the recent
$2 million appropriation. Freedom Center officials will meet with Commission staff again in July to discuss the status.

Several Commission-funded projects are the recipients of appropriations in the state’s 2008-2009 operating
budget bill. Operating funds were granted to a number of Commission partners, including: $100,000 per year of the
biennium for the Cincinnati Arts & Technology Center, the Contemporary Arts Center, the Great Lakes Historical Society
and the Steamship William G. Mather Museum. The Tecumseh! outdoor drama received $60,000 per year, and $350,000
per year went to both the Cincinnati Museum Center and the Western Reserve Historical Society. The list also includes
Toledo’s Marina District “Riverfront Park” project, which has a $4.9 million state appropriation through the Commission.
The project earned a $1.5 million state grant, putting the City of Toledo closer to assembling the required funds to begin
construction on the park, in cooperation with developer Dillin Corp. Plans for the park call for several community gathering
spaces that can be used for outdoor performances, public art, festivals, and other cultural activities. Missing from the list is
the National Underground Railroad Freedom Center; in the original version of the budget, $250,000 per year was set
aside for the museum, but was removed in the House version of the bill. All of the above operating funds are assigned
through other state agencies. The Commission’s statute prohibits the Commission from providing operating funding.

NEW PROJECT PROFILE

The Massillon Museum is a local art and history museum that holds major
collections of photography; costumes and textiles; china, glass and pottery;
domestic appliances; and circus memorabilia. Housed in a 1930s building that was
originally a dry goods store, the museum was renovated in the early 1990s and
opened as the Massillon Museum in 1996. An appropriation of $275,000 in Am. Sub.
H.B. 699 of the 126th General Assembly will assist the Massillon Museum with
necessary upgrades to its storage area, HVAC system, lighting and security.

The French Art Colony received a $100,000 appropriation in the December 2006
Massillon Museum Capital Bill. Housed in an 1855 Greek Revival building listed on the National
(Stark County) Register of Historic Places, the French Art Colony is located in Gallipolis' Historic
District along the Ohio River. This community arts center offers exhibitions and
workshops, hosts meetings and special events, and sponsors a variety of arts
classes for all ages. Local sponsors plan to use the $100,000 appropriation for
necessary renovations to parking areas, walkways, and ADA-compliant entrances, as
well as improvements to the building's front porch and patio.

FUTURE COMMISSION MEETINGS

French Art Colony Thursday, August 16, 2007 10:00 A.M. at the Commission Office
(Gallia County) Thursday, November 29, 2007 (starting time and location TBA)

cc: Brian Hoffmeister, Legislative Services Commission

Lori Payne, Office of the Attorney General
Anthony Perry, Office of Budget and Management

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Corrinn Conard
From: Kathy Fox
Sent: Sunday, June 10, 2007 11:34 AM
To: OCFC
Subject: Gongwer article on the Freedom Center.

This article ran in Gongwer’s statehouse newsletter for Friday 6/8 regarding testimony at the Senate
Finance Committee:

Public Testimony: A small earmark for the National Underground Railroad Freedom Center in Cincinnati
became an object of scrutiny as witnesses opposed additional public funding before a Senate panel Friday.

Nearly half of the Freedom Center’s $110 million price tag has been footed by federal, state, and local taxpayer
dollars, said Cathy Nelson, state coordinator for the Ohio Underground Railroad Association. The state should
spend the $250,000 earmark other Underground Railroad sites.

The Freedom Center, which was intended to be a private endeavor, reported a $5.5 million deficit after its first
18 months of operation, she said. “Now it needs another $2-3 million of public funding to continue operating.
At this point, surely the question should be raised, where is all that money going?”

Some of that money is being spent on overly generous salaries for Freedom Center officers, Friends of Freedom
member Rosalind Fultz suggested. The new CEO’s salary is nearly double the governor’s pay.

“A lot of people were offended by that,” she said. “The culture of the Freedom Center seems to be permeated
with a sense of elitism.”

Sen. Ray Miller (D-Columbus) said funding for other Underground Railroad sites shouldn’t come at the
expense of the Freedom Center. “Let’s not frame this as, ‘Let’s not give them any money and give them money
over there.”

Ms. Fultz said they opposed state funding for the Freedom Center because resources are limited.

Kathleen M. Fox, FASLA

Executive Director
Ohio Cultural Facilities Commission
20 E. Broad Street, Suite 200
Columbus, OH 43215-3416

Vox: 614.752.2770
Fax: 614-752-2775
e-mail: kfox@culture.ohio.gov
kfox@post.harvard.edu
website: www.culture.ohio.gov

The Ohio Cultural Facilities Commission, formerly the Ohio Arts & Sports Facilities Commission, oversees capital improvement funds
appropriated by the Ohio General Assembly and Governor for community cultural facility projects including non-profit theaters, museums,
historical sites and publicly owned professional sports venues. You are invited to visit www.culture.ohio.gov or call (614) 752-2770 for more
information on the Commission or to learn how we can assist your cultural facility project.

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Corrinn Conard
From: Kathy Fox
Sent: Tuesday, June 05, 2007 9:23 AM
To: OCFC
Subject: news articles regarding amphitheatre changing economics

FYI, two articles regarding the changing economics of outdoor concert venues, included below. Should be good
background info for the Toledo Marina Dist, and Riverbend project assessments.
-K

CONCERT VENUES

Amphitheaters at risk nationwide

Sunday, June 3, 2007 3:36 AM
BY JOHN GEROME
ASSOCIATED PRESS

NASHVILLE, Tenn. -- David Kells immediately recalls the first concert he attended: Aerosmith with Joan Jett and the Blackhearts in 1990 at
Starwood Amphitheater.

Through the next 16 years, he spent few summers without catching at least one show from the grassy slope at Starwood.

Not this year, though: The 22-year-old Nashville amphitheater was sold for $4.2 million to a developer who plans to level it for homes.

Amphitheaters in at least four other markets -- Columbus, with Germain, as well as Indianapolis; Sacramento, Calif.; and San Antonio -- are
up for sale and likely to close.

The outdoor venues, known as "sheds" in the business, aren't as financially feasible as they once were, according to folks who monitor the
concert industry.

Tiered ticket pricing draws more revenue to arenas, and the land on which many amphitheaters were built 20 years ago is viewed as prime
residential property.

"It's similar to what happened with drive-in movie theaters," said Gary Bongiovanni, editor in chief of the concert-industry publication
Pollstar.

"You couldn't justify using that much land for that purpose."

The divestiture represents a plan to maximize the real-estate portfolio of the Los Angeles promoter Live Nation, which sold the 65-acre
Starwood and owns the four other amphitheaters on the market.

Officials with Live Nation declined to comment.

When it opened in 1985, Starwood was considered a prototype: The place, owned by PACE Concerts, accommodated about 17,000 and had a
covered pavilion with reserved seating and a grassy area for general admission. It cost far less to build and operate than a covered sports arena.

Several other amphitheaters followed, with promoters spying an opportunity to capture a larger share of the revenue.

"If they owned their own venue, they could tap into concessions, parking -- things that were off-limits to them at the arenas," explained Ray
Waddell, who covers the touring industry for Billboard magazine.

The sheds became summer favorites for concerts by acts such as Jimmy Buffett and the Dave Matthews Band.

"Growing up in Nashville, I had experiences there and good times there," said Kells, 31. "It's no different than it would be for a baseball park or
anyplace where there's an emotional attachment. When things change, there's a little sadness."

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Corrinn Conard
From: Jessica Fagan
Sent: Tuesday, March 13, 2007 5:34 PM
To: 'Brian_Hoffmeister@LSC.STATE.OH.US'; Lori Payne (lpayne@ag.state.oh.us); Anthony
Perry (anthony.perry@obm.state.oh.us); OCFC
Subject: February2007

February 2007 Monthly Report to the Commission

MONTHLY REPORT TO THE COMMISSION

February 2007
Prepared by: Kathleen M. Fox, FASLA, Executive Director,
and the Commission Staff

COMMISSION NEWS
Site Visits Conducted by
Commission Staff in February:
Commission Members: Paul Sieben and Roger Booker are no longer serving on the
Commission due to expired terms. Mr. Sieben has indicated that he does not wish to
seek reappointment, and Mr. Booker resigned as State Architect effective February 23,
2007. Commission Chairman Ron Pizzuti is making recommendations to Governor
Strickland for appointments to the Commission, including the reappointment of
Commission Member Otto Budig, who has expressed interest in a reappointment. The
Speaker of the House has reappointed Representative Shawn Webster as the House’s
advisory member to the Commission, while the Senate President has reappointed
Senator David Goodman as that chamber’s Commission advisory member. Legislative
members serve terms concurrent with the two-year session of the General Assembly.
McKinley Museum (Stark Co.)

Art Academy of Cincinnati
(Hamilton Co.)
The agenda for the upcoming March Commission meeting will reflect a minor
change, with the removal of COSI/Toledo. A copy of their financial recovery plan,
requested by the Commission, is still in development by COSI/Toledo staff and will be
presented to their board in March. With little concrete information to report at this point,
the planned update has been removed from the agenda. Commission staff will
continue to provide updates on COSI/Toledo through Monthly Reports, until further
discussion before the Commission is warranted. COSI/Toledo staff have indicated they
again will place an operating levy on the local November ballot, and they continue to
work on contingency plans if the proposed ballot issue fails at the polls.

The Commission reimbursed 23 projects more than $846,000 on paid invoices

during the month of February. The total amount reimbursed includes:

$272,215 Akron Art Museum

$ 3,523 Beavercreek Community Theatre
$178,169 Canton Palace Theatre
$ 3,194 Cincinnati Arts & Technology Center
$ 76,184 COSI/Toledo
$ 11,466 Jamestown Area Historical Society
$141,149 Ohio Historical Society – various projects
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 $132,000 Western Reserve Historical Society
$ 29,059 General Lytle Homestead – Harmony Hill

PROJECT NEWS

Commission staff Samantha Cothern and Dave Wartel are working to schedule a March meeting with
representatives of the Muskingum Watershed Conservancy District (MWCD), owners of the Johnny Appleseed
Heritage Center (JAHCI) site. Commission staff will seek action from the MWCD board confirming that the level of cultural
programming currently being provided by the JAHCI does not put them at risk of default on their lease with the MWCD.
Commission staff and representatives of the MWCD will also discuss how both entities can continue to jointly support the
JAHCI. Representatives of the JAHCI are slated for the upcoming March Commission meeting agenda to discuss their
financial recovery plan, which was included in briefing books mailed to Commission members.

A slate of management agreement renewals will be presented to the Commission for approval at its March 15, 2007
meeting. Previously, leases and management agreements were entered into with local sponsors of projects funded with
OBA-issued bonds. Certain of these management agreements have two year terms and are subject to Commission
review and approval. When a specified set of conditions are met, the management agreements can be renewed for terms
concurrent with the lease terms. Eleven projects, in addition to several Ohio Historical Society-managed sites, will be
presented for two-year management agreement renewals, while five projects will be presented for two-year renewals that
are conditional upon the Commission’s receipt of outstanding reports. One project, the Perry County Historical Society,
will be presented for Commission approval of a management agreement renewal to be concurrent with the lease term.

Commission staff conducted several project site visits in February including the Art Academy of Cincinnati, which
received a $500,000 appropriation in Am. Sub. HB 699 of the 126th General Assembly, as well as the General Lytle
Homestead – Harmony Hill (Williamsburg), which has an appropriation from a prior capital bill. Project Manager Samantha
Cothern and Communications Manager Jessica Fagan visited the McKinley Museum (Canton), the MAPS Air Museum
(North Canton), and attended an on-site meeting with representatives from the Amherst Historical Society and
Representative Matthew Barrett regarding potential plans to utilize their appropriation from Am. Sub. HB 16 of the 126th
General Assembly.

Two of the Commission’s project partners have announced the hiring of new Chief Executive Officers. The
Western Reserve Historical Society’s new CEO, Dr. Gainor Davis, Ph.D. assumed her post on February 5, 2007. Dr.
Davis, a historian with over 25 years’ experience in museum operations and administration, most recently served as
President and CEO of the York County Heritage Trust in York, PA. (Read full press release.) The National Underground
Railroad Freedom Center has named Don Murphy as its new CEO. Murphy has served as Deputy Director of the National
Park Service in Washington, DC, since 2001. Murphy will relocate to Cincinnati and assume his new post on May 1, 2007.
(Read full press release.)

The Akron Art Museum has been steadily increasing its acquisitions, boosting its collection by 10 percent during
2006, with 334 new objects. Though many of the new acquisitions were gifts from artists and collectors, the museum has
made a few key purchases in anticipation of its grand reopening in July 2007, including Chuck Close’s 2005 Self-
Portrait/Photogravure, which will complement existing works by Close already in the collection. Photography makes up the
bulk of the new acquisitions—and comprises 48 percent of the collection—but works in sculpture, painting and collage by
regional, national and international artists have been acquired. (Read full article.) The Museum is submitting required
materials for assessment by Commission staff in anticipation of being placed on the agenda for the Commission’s May
“mobile” meeting, which will be held in Akron. The Commission will be asked to approve a $1 million state appropriation
from Am. Sub. H.B. 699, the December 2006 capital bill. This appropriation brings the total state funding for the project to
just over $8.7 million for the $41 million museum expansion project, scheduled to open in July 2007.

The Cincinnati Arts and Technology Center (CATC) celebrated the opening of their new state-of-the-art ceramics
studio, funded in part by a $100,000 appropriation in Am. Sub. HB 16 of the 126th General Assembly, with a ribbon
cutting ceremony on March 2, 2007. The CATC offers hands-on arts and technology curriculum to urban at-risk high
school students at no charge, helping to foster motivation to stay in school and advance to higher learning.

ITEMS OF INTEREST

Governor Strickland will deliver his first State of the State address at noon on Wednesday, March 14, at which time
he is expected to highlight his priorities for the upcoming two-year state operating budget. The Governor’s proposed
budget “Blue Book” is expected to be introduced on Thursday, March 15, as required by state law. During years when a
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new Governor first takes office, state law adjusts the operating budget introduction to allow the new Governor more time
to prepare his budget proposal.

Dayton was cited in a story by the Lexington (KY) Herald-Leader for several savvy cultural organizations that have
grown stronger through collaboration, allowing this midsize city to compete with nearby, larger cities for tourism dollars
thanks to the strength of its cultural attractions. The story notes the merger of Carillon Park and the Montgomery Co.
Historical Society to form Dayton History. The combination of the popular Carillon Park and the county historical society
has helped them attract visitors. Dayton History has a project slated for the Commission agenda in March. The story also
lauds the Boonshoft Museum of Discovery, another facility funded through the Commission, which was created a number
of years ago by the merger of the Dayton Museum of Natural History and the Children’s Museum of Dayton. With a
marketing strategy that promotes a zoo, planetarium, natural history museum, a children’s museum, and a science and
technology center—all in one location—the Boonshoft attracts 250,000 visitors each year. (Read full article.)

The Greater Cincinnati and Northern Kentucky arts community will need over $624 million for cultural facilities
construction and improvements over the next 20 years, according to a study commissioned by the Cincinnati Business
Committee and the Greater Cincinnati Foundation. The report concludes that the area’s public and private resources for
the arts trail far behind similar cities such as Minneapolis, Denver and St. Louis. The report was released as the Cincinnati
Art Museum is in the midst of planning for a potential $100 million expansion project, and while many major arts
institutions, including the Cincinnati Museum Center, strive to build their operating endowments in order to decrease
reliance on public funds. Arts supporters make the case that Greater Cincinnati’s cultural scene is critical to drawing and
retaining people to the region. (Read full article.)

STAFF NEWS

LeeAnne Woods was hired as a Project Analyst, effective March 5, 2007. Woods holds an MBA from Florida
International University and a law degree from Case Western Reserve. As Project Analyst, Woods will support project
management staff, particularly in the areas of business plan and financial statement analysis, and in the preparation of
legal documents.

NEW PROJECT PROFILE

The Holmes County Historical Society received a $140,000 appropriation in the

2007-2008 Capital Bill, and will use the state investment to fund a roof replacement.
The Society houses a collection of Holmes County history and its museum of
Victoriana in a 28-room Queen Anne-style Victorian home on the National Register
of Historic Places. The Society will replace their current asphalt shingle roof with a
more historically-appropriate slate roof.

Theater upgrades for the Cincinnati Ballet are in the works, funded in part by a
$200,000 appropriation in the recent state capital bill. The Commission worked with
the Ballet on a prior appropriation in 2005, which helped to build the Mickey Jarson
Kaplan Performance Studio. The 8,000 sq. ft. performance space, which doubles as
a rehearsal studio, will get lighting, sound system and seating upgrades through the
new state funds.

FUTURE COMMISSION MEETINGS

Thursday, May 24, 2007 (Akron, starting time TBA; this will be a mobile meeting with activities starting Wednesday
evening and continuing through the day on Thursday)
Thursday, August 16, 2007 (starting time TBA) at the Commission office
Thursday, November 29, 2007 (starting time TBA) at the Commission office

cc: Brian Hoffmeister, Legislative Services Commission

Lori Payne, Office of the Attorney General
Anthony Perry, Office of Budget and Management

19