S.F. set to cash out on Old Mint partner
The city of San Francisco has run out of patience with the organization that has tried for years to turn the landmark Old Mint into a museum and is looking for a new partner to revive the project.
The new operator would be the California Historical Society, which has its headquarters in San Francisco. It would replace the San Francisco Museum and Historical Society, which has been running the Old Mint for 10 years.
The San Francisco group got the news in a letter from city development director Ken Rich: “I write to inform you of the city’s decision to pursue a new direction in the revitalization of the Old Mint,” the letter said. The letter, which was not made public, was obtained by The Chronicle.
“In effect they are throwing us out next year,” said Jim Lazarus, president of the San Francisco Museum and Historical Society. He said the city has evidently abandoned the idea of a San Francisco history museum and wants something different. He called the switch “a hostile takeover.”
Rich’s letter said the city was “exploring new avenues” to advance the Mint project, “including a potential contrac-
tual relationship with the California Historical Society as a development partner.”
The city’s letter was kind but firm, like a note breaking off a long-term relationship. It thanked and commended the San Francisco Museum and Historical Society for its work with the Old Mint, but added, “we are sure that you share our eagerness to realize the next chapter in the history of the Granite Lady.”
Old Mint’s history
The Old Mint, built at Fifth and Mission streets in 1874, is one of the most significant buildings in the city’s history. It was an active mint, at one time holding one-third of the nation’s gold reserves. It produced gold and silver coins until 1937.
Some years later, after the building was designated a national historic landmark, the federal government turned it into a Treasury Department museum, but closed it in 1994. It was sold to San Francisco for $1 and then leased to the San Francisco Museum and Historical Society on the provision the Old Mint would be turned into a museum of the city’s history.
The problem, evidently, was timing and money. The San Francisco group first hoped to open the museum in time for the centennial of the 1906 earthquake and fire. It then announced other deadlines, but missed them all.
Though the Museum and Historical Society has raised nearly $15 million for repairs and upgrades, the building needs $30 million to $35 million more to bring it up to city codes.
Raising the necessary money was tough for several reasons, both the Museum Society and the city admit. The economic climate was sour in the early stages of fundraising, and the Mint project had to compete with several other major museum capital drives. The Mint did not attract the big gifts from individuals or foundations it needed.
Last summer, Rich called the financial situation at the Old Mint “a challenge.”
Making the switch
This winter, he turned to the California Historical Society, an old-line organization with a statewide focus. “We are very honored to have been asked to be a partner in this amazing, historical building,” said Anthea Hartig, the society’s executive director.
Hartig said her board had voted unanimously at a meeting in Los Angeles a week and a half ago to explore the conditions the city has laid out for turning the project around.
“We have a long and deep and rich history,” she said.
Nearby property
The California Historical Society owns a building near Third and Mission streets, only two blocks from the Old Mint. One possibility for financing some of the costs associated with the Mint project is to sell or lease the building.
She said the $30 million to $35 million figure to upgrade the Old Mint is accurate, and she believes the California society will be able to raise the money that the San Francisco group could not.
What’s been done
In the meantime, Lazarus defended his group’s stewardship of the Old Mint. He said the Museum and Historical Society had drawn up plans and had gone through a long and complex process to receive permits for historical restoration of the building.
He said the Museum and Historical Society had been able to offer programs and public events at the Old Mint, most recently a two-day History Expo held last weekend. More than 2,000 people attended to see exhibitions by more than 40 San Francisco historical organizations.
It was clear that the Museum and Historical Society is unhappy about the city’s decision to change partners.
Lazarus, a former deputy mayor and currently a senior vice president of the San Francisco Chamber of Commerce, said any new contract would have to be approved by the Board of Supervisors.
Until then, the Museum Society will be able to occupy the building under a city permit.