Graham Kilmer
MKE County

County Reaches Deal With Charles Allis Art Museum

Will transfer ownership to museum's nonprofit operator, end subsidy by 2028.

By - Nov 23rd, 2024 10:30 am
Charles Allis Art Museum. Photo by Dave Reid.

Charles Allis Art Museum. Photo by Dave Reid.

The Charles Allis Art Museum may be saved after all.

Milwaukee County officials have reached a lease agreement with the non-profit operating the museum — Charles Allis and Villa Terrace Museums, Inc. (CAVT) — that includes an option to purchase.

The non-profit has managed and operated both museums since 2012 without a formal agreement with the county, though county officials did attempt to create one in the past. The county plans to separate the governance for the two institutions and transfer ownership to existing non-profits involved the museums: Charles Allis to CAVT and the Villa Terrace Decorative Arts Museum to the Friends of Villa Terrace.

The museum’s fate was cast into doubt this year when the county began soliciting proposals for future uses, receiving a number of pitches including one to turn the historic property into a boutique hotel.

The county has a backlog of infrastructure needs estimated at approximately $1 billion, with half of it in the parks system. And the Charles Allis and Villa Terrace have significant maintenance needs, estimated at approximately $20 million over the next 20 years. The county currently provides $225,108 annually for each museum’s operations, and policymakers have struggled to fund requests for their maintenance in recent years.

The county has been downsizing its building footprint for years in other areas of the government. In the 2024 budget, after struggling to find funding for museum maintenance, the Milwaukee County Board directed the county administration to evaluate options for divesting the county of the two cultural institutions. It set county policymakers on a path to reconsidering its relationship with the museums, leading to a variety of proposals for different uses.

In September, CAVT leaders went to the county board saying their organization was unprepared to take over the museum and asked for more time and continued operating funding to develop a plan.

CAVT had initially asked the county for $10 million and continued operational funding for an unspecified time until the nonprofit was ready to take over. When the proposal was poorly received by the county administration the group reduced their capital request.

An agreement going to the county board for approval would give CAVT a one-year lease of the museum for $1. During which time CAVT will have an option to purchase the property for $1.

To support the non-profit as it attempts to take over the institution, the county will provide $112,554 in operating funding in 2025. And if CAVT uses its option to purchase, the county will provide additional operating funding until 2028: $185,000 in 2026, $165,000 in 2027, and $150,000 in 2028.

If CAVT doesn’t assume responsibility for the museum, the county will sell the building and transfer the art collection to the Villa Terrace Decorative Arts Museum.

The process has also set in motion an agreement to transfer ownership and responsibility of the Vila Terrace Decorative Arts Museum to the Friends of Villa Terrace. The friends group was created in 1990 to fundraise and provide programming at Villa Terrace. The group has extensive experience raising money, and has already begun the initial stages of a capital campaign.

The agreement would lease that museum to the friends group for $1 until 2028. During that time the county will contribute a total of $1.2 million toward maintenance and repairs. The friends group is expected to match the funding with $1.2 million of their own. The group will also be required to create a $500,000 restricted reserve of funds prior to assuming ownership.

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