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Fanshawe Pioneer Village avoids closure

March 23, 2005

The Ontario Museum Association is pleased to learn that Fanshawe Pioneer Village has reached an agreement with the City of London to continue operating. The situation arose when a funding cut was proposed by city council and museum staff recommended shutting down the museum.

The OMA wrote to Fanshawe, the Mayor of London and members of the Board of Controls to underline how important the site's heritage and collection are to the province, with a reminder about the standards and recognized practices required to properly address the closure and the costs involved.

West Parry Sound District Museum remains in crisis and last year the museums of Ottawa were threatened. OMA members are encouraged to plan ahead and work with their Council, funding authorities and especially their communities, to ensure that long-term plans are in place and a long-term vision is promoted. A key step is to decide what operating funds are needed for the future and to analyze the potential costs of closure as backup information.

The OMA encourages members to step up efforts to enhance visibility in their communities. Build support year-round and use May is Museum Month and other similar opportunities to raise the public and everyone's awareness of museums and their important roles. Consider holding a special Museum Month event and invite all your Council members and community to celebrate with you, and have the mayor proclaim May is Museum Month.

The London city council decision to cut Fanshawe Pioneer Village's budget brought the museum funding issue to a head. The impact of the $75,000 cut led to an overall reduction of $250,000 from lost grants and other revenues according to Fanshawe's executive director, Sheila Johnson. The museum's total operating budget went from $687,000 last year to about $400,000. The decision marked nearly 10 years of uncertain funding that the village has faced according to Johnson.

Fanshawe's staff made several recommendations, including the option to shut down the museum and dispose of the 23 to 25,000 artifacts and 30 buildings. The economic impact of closing the museum was analyzed in great detail.

The staff concluded that it would take five people three years to ethically disperse the collection at a cost of $1,743,350.00. This was based on the work staff had done inventorying the collection last year and quotes from local contractors. The estimate factored in the cost of demolishing some buildings, moving 11 historically/architecturally significant buildings, removing gates, fences, infilling foundations and dispersing artifacts.

The museum felt that the city should ethically keep 25% of the collection and this would entail another $67,250.00. The money was calculated on the cost of leasing storage space and paying for a staff member to manage the collection at Museum London. Eventually new storage space would need to be built at a cost of $375,000.00.

The lost revenue to the city was also estimated and came to just over $1,000,000.00. Closing Fanshawe would result in a tourism economic impact of $300,000.00 to London. Lost income to the 26 seasonal and permanent staff would be $395,357.00. Local businesses would lose $295,267.00 in lost sales of supplies and services to the museum. The private business operating the cafe at the museum would lose $45,000.00 in revenue.

The one-time costs of closing the museum were also calculated. The loss of cultural capital - the artifact and heritage building collections, furniture, equipment, computers and printed advertising - was estimated at $1,467,525.00. A report on the intangibles - impact on students, volunteers, loss of a significant artifact collection, etc. - was researched but not ultimately used.

Community supporters began rallying around the village when news of the possible closure came out. Emails, letters and phone calls came in and the local media began writing articles and creating editorial cartoons.

Fortunately, the closure was averted when a $12 million surplus was found by the municipality. On March 2, the Board of Control for the City of London unanimously decided to continue providing operating funding to Fanshawe Pioneer Village for the next six years, as long as certain operating performance measures are met. The museum must meet these criteria as it implements a Master Development and Master Plan. The city will provide operating funding but not contribute to the capital fund.

London and Middlesex Heritage Museum board chair, Don Pearson, commented, "We are grateful to Board of Control for their willingness to continue the operation of Fanshawe Pioneer Village. It is a fair request to ask that performance measures be set and we will be happy to submit annual reviews of both our operational performance and success in the capital campaign. The community response to the crisis at Fanshawe Pioneer Village has been overwhelming. With this level of support, the Board is confident that the community will step forward and help us raise the necessary capital."

Executive director Sheila Johnson has noted that the museum is already four months behind schedule as a result of dealing with this crisis. Revenue generating events such as weddings and programming had to be canceled. An impending teacher strike in the spring could impact school group tour sales. Johnson would ideally like to have a year to stabilize the situation and then have the performance standards put in place.


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