Ballet, Dr. Phillips Center reach deal on Steinmetz Hall
State-of-the-art venue set to open next fall
After months of tense negotiations, a deal is in place between the Dr. Phillips Center for the Performing Arts and one of the three cultural organizations that want to use the forthcoming Steinmetz Hall.
“The Dr. Phillips Center is indeed a crown jewel of the community, and we are proud to call it our performance home,” said Orlando Ballet board president Jonathan Ledden. “We believe the candid and open dialogue over the past several months has resulted in a positive outcome for all involved.”
The Orlando Ballet signed a contract with the arts center on Tuesday morning after protracted negotiations that saw accusations of unreasonable demands amid high-profile social-media and mass-mailing campaigns to sway public opinion.
Opera Orlando and the Orlando Philharmonic Orchestra are still in discussions, an arts-center spokeswoman said, but “we anticipate signing agreements with them soon.”
Mary Palmer, president of the Philharmonic board, said the orchestra and arts center have an agreement in principle, with just a few things left to negotiate. The opera is ready to sign once it receives an updated contract with the same language used in the ballet’s agreement, said executive director Gabriel Preisser.
Among major sticking points in the negotiations had been rental rates for Steinmetz Hall, due to open in 2020; the add-on fees for services such as security and custodians; and the length of time for which rates and fees would be valid. The arts groups had hoped to lock in terms for five years to help in their fiscal and program planning; citing the unknowns that come with a new hall, the arts center had pressed for a one-year
deal.
In the end, Orlando Ballet’s contract reflects both desires: Rental costs for Steinmetz will be frozen at the current level for two years, with annual increases guaranteed to be no more than 5 percent during the next three, but other operational terms and conditions will be renegotiated after one year.
“We think that after having been in Steinmetz Hall for a year, we might find some economies” and so reduce costs in future contracts, said arts-center spokeswoman Lorri Shaban.
The center had previously adjusted its rental-fees structure, designating the least expensive “Arts for Every Life” rate for any local nonprofit group. That, in effect, ended the idea of a privileged “resident company” status for the ballet, orchestra and opera company — but opened the possibility of additional local groups performing in the new hall.
The center also worked to reduce its add-on fees after the arts groups argued they were too high.
“Orlando Ballet received our new Arts for Every Life rental rates as well as the lowest negotiated rates for pass-through costs such as guest services, custodial and security,” said Shaban, who called the contract “favorable to both parties.”
“We applaud the Dr. Phillips Center leadership for re-imaging its rate structure and rental agreement to be more in line with industry standards and reflective of the true partnership that must exist between a city’s cultural arts organizations and the performing arts center,” Ledden said. “As we are all notfor-profit organizations, we recognize and appreciate the challenges they face and stand ready to help.”
Steinmetz Hall, a state-ofthe-art venue for unamplified music, is scheduled to open by fall 2020. In the city’s original deal with the arts-center operators, such an acoustic hall was designated to be used by the Philharmonic, Orlando Ballet and a successor to the now-defunct Orlando Opera. The center heavily promoted this idea during its fundraising, but no specific terms were spelled out in the agreement on how the arts groups would afford to rent the space.
Some help was offered by Orange County in September when the Tourist Development Council recommended establishing a $500,000 fund to help arts organizations defray rental costs. Umbrella advocacy organization United Arts of Central Florida would oversee disbursement of the fund, which would be available to any nonprofit in Orange County. The board of county commissioners approved that funding Tuesday afternoon.
Other fallout from the negotiations included the resignation of Ken Robinson from the arts center’s board of directors. Robinson, president of Dr. Phillips Charities — the center’s largest donor — cited the difficulties in reaching a deal with arts groups as one of his reasons for resigning.
Elected officials became involved, too, with Orlando city commissioners Patty Sheehan and Samuel Ings voting against an arrangement that allows the Dr. Phillips Center to operate the Bob Carr Theater. Sheehan specifically noted the center’s relations with the arts organizations. Ledden singled out Orlando Mayor Buddy Dyer and Orange County Mayor Jerry Demings for praise in his statement, citing their “leadership in resolving open issues and providing new cultural arts funding that will be of immeasurable help toward meeting our mission and expanding our reach.”
With one deal signed, Shaban expressed optimism for the future, including next year’s contract negotiations.
“There has been so much thought and focus going through this, I think the next year should be much smoother,” she said. “With this agreement, both organizations can set their sights on the opening of Steinmetz Hall.”