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After the Storm: Getting it back together

The Grand 1894 Opera House Galveston Island, Texas Maureen Patton, Executive Director, 1981-2009 Killis Almond, FAIA Architect to The Grand, 1981- 2009. After the Storm: Getting it back together. July 18, 2009. Preparing For The Inevitable.

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After the Storm: Getting it back together

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  1. The Grand 1894 Opera House Galveston Island, Texas Maureen Patton, Executive Director, 1981-2009 Killis Almond, FAIA Architect to The Grand, 1981- 2009 After the Storm: Getting it back together July 18, 2009

  2. Preparing For The Inevitable It’s not about ifsomething bad will happen, but when! • Fire • Hurricane/high wind • Earthquake • Tornado • Disgruntled employee • Frozen pipes • Flood/high water

  3. If you ever say to yourself, “I think I need more insurance”, the odds are it is already too late. • If you WIN you LOSE • If you LOSE you LOSE • You can’t WIN, ever • Don’t count on someone else to save you – it’s up to you • There is no bailout unless you are AIG, GM or Chrysler

  4. Plan Ahead Each theatre should have a comprehensive Policies and Procedures Notebook which is reviewed each year. Not only will it serve as information on how to respond to certain emergencies, it is the equivalent of your “red phone”, kept in a safe place with copies distributed to employees and key board members if requested.

  5. Plan Ahead A typical table of contents may include: • Mission Statement • Administrative Staff • Current staff list, including emergency contacts • Department descriptions • Who to call • Organization chart • Succession • Succession Resources • Staff coverage in the event of short-term departmental absences • Planning Resources in the event of Executive Director leadership change • Executive Search Firm • Programming (field assistance) • Acting Director Candidates (field assistance) • Communication Plan

  6. Plan Ahead • Vendor Services • A list of key service providers for each department assembled into one comprehensive computer database, updated annually and maintained in the office. • Vendors listed alphabetically by Department and by Service Maintenance Contracts • Artist Hospitality • Local hotels • Travel (ground transportation) • Corporate Credit Cards and Standing Accounts

  7. Plan Ahead • Personnel Policy Manual • General Guidelines • Key event management • Ordering supplies • Corporate Papers • Bylaws • Incorporation papers • Storage of sensitive information • Records retention • Governance • Executive Committee Officers list and emergency contacts for them • Board of Directors and Advisors list • Standing Committee Statements of Purpose

  8. Plan Ahead • Banking and Insurance Information • Insurance Coverage Summary with contact information!!!!! • Annual Budget • Emergency Services • Key Contacts • City Hall • Fire • Police • Sewer • Electricity • Media • Evacuation Plan - Securing the building, website announcements, answer machine/phone messages • Board Minutes

  9. Plan Ahead • CATASTROPHIC DAMAGE – A much larger issue with some of the same issues • The Board must make decisions in advance and know exactly what the exposure of the organization will be for each scenario. • Shortfall of funds and dangers that will bring • Short term and long term financing issues • Don’t count on FEMA but know the rules in advance to give you the best possible chance!

  10. Response Plan • Establish your response and who the players are, e.g. administrative staffing, architect, contractor, etc. • Consider a pre-event contract with key players such as a general contractor who is knowledgeable about remediation issues. Know how to write the contract to satisfy FEMA requirements in advance of dealing with them. • Plan how they will be paid – solid relationships with banks is key. • Who, ultimately, will be making the decisions for what part of the recovery?

  11. Response Plan • How much latitude does staff have in emergencies and how quickly must you convene your board and/or executive committee to approve commitments made by staff? • Who is managing the project in the Contractor’s office and who is managing the job site? Do not let “minor details” fall between the cracks by planning ahead. • Get the best, you will not be disappointed. • Consider an arrangement with the Contractor that is revisited each year that includes a revision of billing rates, cost plus expenses and general operating expenses. Do not worry about “Low Bid” at this point of your business plan. It’s about survival.

  12. Response Plan • Maintain a list of consultants who will be assisting you and the Contractor: • Architect, Mechanical, Electrical and Plumbing Engineers and Structural Engineers may all be secured through a Letter of Agreement. • Architect and Engineers must be totally familiar with the project. • They also must be willing to make the commitment no matter what.

  13. Establish the Physical Needs • If you need to move, then where, when? Where do you conduct business and where do you present your art? • Be sure you have documents stored in a safe location, copies with your professional team. These include artist and vendor contracts; advertisers and agent phone numbers; internet and website contacts, etc.! • Depending on the extent of the disaster, labor and materials may be extremely difficult to find. Know where to get them, where you will store them, what you will accomplish with them and how you will pay for them.

  14. Insurance • Have a relationship with your insurance company and establish a clear line of communication with an individual you can trust and who will work as your advocate • Make sure that the insurance you have is very carefully explained (staff, Exec. Dir, Board) and that the extent of coverage you need is in place • Have the insurance company make a walk through inspection of your building and point out elements that do not meet their requirements or which would not be coverable. Look for any questionable item or clause that could result in your claim being adjusted downward!

  15. Insurance • Take that list of elements, repair each item and have it re-inspected by the insurance company. Remember Business Interruption Insurance • You need more than you think. The Grand refunded over $200,000 in ticket sales after Ike and had less than $25,000 in tickets donated back as a tax deduction. In a major disaster, EVERYONE is hurt and needs help, including your patrons. • Keeping a detailed accounting of contents in your building will prove invaluable when you’re asking for replacement of same!

  16. Insurance • Do not underestimate the insurance company’s ability to delay, obfuscate and purposely misunderstand. • Do not underestimate the number of charlatans and used car salesmen who will become experts in repairing everything from curtains to grand pianos. • Have a skilled insurance advocate (consultant) on your side EARLY! • Have your contractor and architect provide a damage estimate BEFORE the insurance company sends an adjuster. YOU know best what has occurred and what damages you have suffered.

  17. Team Work • It is about anticipation of events that are unknown. • It is about trust and confidence in the team. • It is about the recovery and returning to the previous business plan ASAP or developing a NEW business plan based on the outcome of the rebirth. • It is about knowing when and how to fundraise. • It’s about optimism and a belief in the adage that “the show MUST go on”!

  18. Questions or Comments • THE GRAND 1894 OPERA HOUSE • Maureen Patton, Executive Director • 2020 Postoffice St. • Galveston, Texas 77550 • O: (800) 821-1894 F: (409) 763-1068 KILLIS ALMOND ARCHITECTS, P.C. Architecture ■ Historic Preservation ■ Planning 342 Wilkens Avenue San Antonio, TX 78210 O: 210.532.3277 F: 210.532.9919

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