APPENDIX A

 

MEMORANDUM OF UNDERSTANDING

 

 

This Memorandum of Understanding dated the    day of              , 2006.

 

B E T W E E N:

 

THE CORPORATION OF THE TOWN OF MARKHAM

(the “Town”)

 

-and-

 

THE FRIENDS OF THE MARKHAM MUSEUM

(the “Foundation”)

 

WHEREAS the Town owns and operates a museum within the Town of Markham known as the Markham Museum and Historic Village (the “Museum”);

 

AND WHEREAS Town Council passed By-law 4-77 which established an advisory committee of the Town, known as the Museum Advisory Board (the “Advisory Board”);

 

AND WHEREAS pursuant to Terms of Reference established by the Town, the purpose and role of the Advisory Board was to, amongst other things, be an advocate of the Museum within the community, to provide advice and recommendations to the Museum and to take a leadership role in developing revenues for the Museum;

 

AND WHEREAS the Town recognizes the extensive and generous contributions of the Advisory Board and volunteers who have been instrumental in the development of the Museum and the Foundation;

 

AND WHEREAS on            Town Council passed a resolution dissolving the Advisory Board and repealing By-law 4-77; 

 

AND WHEREAS the present Foundation, which is the subject of this Memorandum of Understanding, has evolved from this earlier Advisory Board;

 

AND WHEREAS the parties acknowledge that this Memorandum of Understanding shall replace and supercede the Terms of Reference for the Advisory Board and By-law 4-77;

 

AND WHEREAS the Town, to assist the Foundation, will provide secretarial assistance, legal advice and the appointment of a Museum Manager whose role, among other matters, is, in conjunction with Town Staff and the Board of Directors of the Foundation (the “Board”), to develop programs for the Museum, to consult with the Board as to the source of funds to undertake such programs, the administration of the Museum and to make recommendations to the appropriate Committees and/or the Board for the acquisition and deaccession of artifacts and archival materials;

 

AND WHEREAS at its meeting on                        , 2007, Town Council passed a Resolution approving this Memorandum of Understanding;

 

AND WHEREAS at its meeting on                        , 2007, the Board passed a Resolution approving the Memorandum of Understanding;

 

NOW THEREFORE, the Town and the Foundation agree as follows:

 

 

PART I:  OVERVIEW

 

            DEFINITIONS

 

1.                  In this Memorandum of Understanding the following shall mean:

 

                        “Board” shall mean, collectively, the Board of Directors of the Markham Museum Foundation as appointed by the Members of the Foundation from time-to-time, and individually, as “Board Director”;

 

                        “Commissioner” shall mean the Commissioner of Community and Fire Services or his or her designate;

 

                        “Council” shall mean the Municipal Council of The Corporation of the Town of Markham;

 

                        “Foundation” shall mean the Friends of the Markham Museum;

 

“Members” shall mean all of the Regular Members of the Foundation as defined by By-law No. 1 of the Foundation who are the Mayor and  Members of Council of the Town of Markham, as may be elected from time-to-time;

 

                        “Museum” shall mean the Markham Museum and Historic Village located at 9350 Highway 48, Markham;

 

“Museum Collection” shall include all artifacts, including heritage buildings, and archival materials, owned by the Town, or owned by the Foundation and loaned to the Town pursuant to this Memorandum of Understanding;

 

                        “Museum Manager” shall mean the person appointed by the Town, in as the manager of the Museum;  and

 

                        “Town” shall mean The Corporation of the Town of Markham and shall include from time-to-time any officer, servant, employee or agent of the Town who has been authorized by the Town to act on the Town’s behalf.

           

 

PURPOSE

 

2.                  The purpose of this Memorandum of Understanding is to set out the roles and responsibilities of the Town, including the Museum and the Foundation, including the Board, with respect to the administration of the Museum, the acquisition, deaccession and management of the Museum Collection, and the use of Museum facilities.        

 

 

GOALS OF THE MUSEUM

 

3.                  The Town and the Foundation acknowledge the Goals of the Museum are as follows:

 

a.                  to study and collect the documentary and material heritage of the geographical area now known as the Town of Markham from earliest times to the present;

b.                  to take an interdisciplinary approach to its subject matter, with exhibitions and programs that include archaeology, history and science; and

c.                  presenting exhibitions and programs reflecting the experiences of all its citizens, from the earliest humans to make this area their to the most recent arrivals;  the Museum’s archival resources similarly offer the potential for research into the heritage of all Town residents. 

 

 

PART II: ROLES AND RESPONSIBILITIES OF THE FOUNDATION MEMBERS AND BOARD

 

4.                  The Members of the Foundation shall appoint a Board of Directors (the “Board”), consisting of up to eleven (11) members to be comprised as follows:

 

a.                  Two members shall be appointed from Council;

b.                  The Mayor Ex-Officio; and

c.                  Up to nine members shall be appointed from the community at large and shall be considered based on recommendations from the Executive Committee. 

 

5.                  The term of the appointment of each Board Director shall be for a period of three years or for such term as may be required by By-law No. 1 of the Foundation, as may be amended from time to time.  The Members shall appoint the Board so that the terms of the individual Board Directors are staggered with no more than one third of the Board being appointed in any one year.

 

6.                  The Board shall elect a Chair of the Board and any other officers as deemed necessary, on an annual basis.

 

7.                  The Board shall hold a minimum of six meetings annually.

 

8.                  The Members shall hold an annual general meeting in accordance with By-law No. 1 of the Foundation, and shall schedule such additional meetings from time-to-time as may be necessary to deal with Foundation business.

 

9.                  The Members and the Board, in exercising their respective rights and duties, shall do so in a manner consistent with the objectives and guiding principles set out in the Foundation’s Articles of Incorporation and By-law No. 1 of the Foundation, attached hereto as Schedule “A”, and the Goals of the Museum as heretofore set out, and shall receive and maintain a fund or funds and shall apply all of the principal and income therefrom for the following charitable purposes:

 

 

 

10.             The Members and the Board shall act honestly and in good faith with a view to the best interests of the Foundation and shall exercise the care, diligence and skill that a reasonably prudent person would exercise in comparable circumstances.

 

 

STANDING COMMITTEES OF THE BOARD

 

11.             The Board shall establish standing committees to undertake and assist the Board in its business.  The Chair of each standing committee shall be a Board Director and the other members of the standing committee may be appointed by the Board through its nominating process.

 

12.             The Board shall establish the following Standing Committees:

 

a.      Museum Collection Development Committee;

b.      Executive Committee;

c.      Development Committee;

d.      Volunteer Committee; and

e.      such other committees as the Board may deem to be necessary and appropriate from time-to-time.

           

13.             Notwithstanding Section 11, the Board shall appoint the Museum Manager as a member of the Museum Collection Development Committee, and the Museum Manager shall be a member ex officio of all other Committees of the Board.

 

14.             The duties of the Standing Committees shall be as follows:

 

a.                  Museum Collection Development Committee – shall be responsible for making recommendations to the Board regarding all acquisitions and deaccessions of the Museum Collection in accordance with the terms of this Memorandum of Understanding;

 

b.                  Executive Committee – shall be responsible for:

 

i.                    providing recommendations to the Board about advice to be given to the Museum Manager and the Town regarding the operation of the Museum;

 

ii.                  providing advice to the Members regarding the business affairs of the Foundation;

 

iii.                the preparation of a Strategic Plan for approval by the Board and the Members;

 

iv.                 the preparation of a Business Plans for approval by the Board;  and

 

v.                   for selecting and recommending appropriate candidates to the Members for appointment to the Board.

 

c.                  Development Committee – shall be responsible for developing the overall fundraising strategy of the Foundation, including but not limited to, recommending specific campaigns to raise funds and solicit donations to support the purposes of the Foundation.

 

d.                  Volunteer Committee – shall be responsible for the development of a volunteer program which support the objects of the Foundation.

 

15.             The Executive Committee, when recommending candidates for approval by the Members, shall give due regard to the following guidelines:

 

a.                  general knowledge and understanding of museum activities;

b.                  experience with charitable organizations;

c.                  experience with boards;

d.                  fundraising experience;

e.                  business experience;

f.                    volunteer and membership management experience;

g.                  special event management;

h.                  candidate is a significant financial contributor to the Foundation;  and

i.                    candidate is a recognized community leader.

 

 

REPORTING

 

16.             The Board shall prepare and present to the Members at the Annual General Meeting of the Members of the Foundation the following:

 

a.                  A report on the activities of the Board for the previous year;

b.                  An audited Financial Statement of the Foundation, in accordance with By-law No. 1 and all applicable law; and

c.                  A Strategic Plan for approval by the Members.

 

17.             The financial year-end of the Foundation shall be December 31.    Audited Financial Statements for the Corporation shall be prepared on a consolidated basis, and shall be presented to the Annual General Meeting of the Members, which said meeting shall be held within six (6) months of the Financial Year-end of the Corporation.

 

18.             The Board shall provide the Commissioner with a copy of the material set out in paragraph 16 a. to c., inclusive, a minimum of thirty (30) days prior to the Annual General Meeting of the Members of the Foundation.

 

 

 

BUSINESS PLANS

 

19.             The Board shall prepare a Strategic Plan which shall set out the long range strategic direction of the Board which shall include but is not limited to the long term fundraising plans and business objectives of the Board.

 

20.             The Board shall prepare a Business Plan each year, commencing for the       business year, which shall set out the fiscal plan of the Board for the next three business years which shall include but is not limited to planned or proposed fundraising initiatives and campaigns, and the proposed annual operating and capital budgets for the Foundation.  The Business Plan shall be consistent with the goals and objectives of the Strategic Plan approved by the Members.

 

21.             The Board shall provide the Commissioner with a copy of its draft Business Plan on or before May 1st for the following business year and a copy of its final Business Plan on or before September 1st of that same year. 

 

22.             The business year for the Board shall run from January 1st to December 31st in any given year. 

 

23.             The Board shall not purchase any goods, expend any funds or enter into any agreement or contract on behalf of the Foundation which is of a value of $100, 000.00 or greater without the prior approval from the Members.  No contract, expenditure of funds or purchase of goods shall be divided into one or more contracts or purchases so as to avoid the requirements of this subsection.  Where a series of contracts or purchases which pertain to the same subject matter with the same supplier, customer or consultant in any twelve (12) month period combine to equal the limits set out herein, the series of contracts or purchases shall be deemed to be a single purchase for the purposes of this Agreement.   

 

 

BANKING REQUIREMENTS

 

24.             The Board shall pass a resolution appointing two Senior Town Staff chosen by the Town and two Directors to act as signing officers for all cheques, drafts or orders for the payment of money and all notes and acceptances and bills of exchange.  Such resolution shall require that all cheques, drafts or orders for the payment of money and all notes and acceptances and bills of exchange shall be executed either by the two appointed Senior Town Staff or by one appointed Senior Town Staff and one of the appointed Directors.  

 

 

FUNDRAISING

 

25.             The Board shall have, as one of its primary responsibilities, the undertaking of fundraising activities which support the objects of the Foundation and which shall be consistent with the Board’s Strategic Plan and Business Plan. 

 

 

ACQUISITION AND DEACCESSION OF MUSEUM COLLECTION

 

26.             The Members and the Board acknowledge and shall be bound by the Town’s “Markham Museum Collection Management Policy” attached as Schedule “B” as may be amended by the Town in consultation with the Board from time-to-time.

 

27.             Subject to the provisions of this Memorandum of Understanding, the Board shall undertake the acquisition of artifacts or archival materials, and deaccession of artifacts or archival materials from the Museum Collection based on recommendations from the Museum Collection Acquisitions Committee and Museum Manager, and in accordance with the Town’s “Markham Museum Collection Management Policy” attached as Schedule “B“, as may be amended from time to time.

                       

28.             Any expenditure of funds or purchase of artifacts or archival materials with a fair market value greater than One Hundred Thousand Dollars ($100,000.00), by the Board shall have the prior approval of the Members.  No contract, expenditure of funds or purchase of artifacts, archival materials or goods shall be divided into one or more contracts or purchases so as to avoid the requirements of this subsection.  Where a series of contracts or purchases which pertain to the same subject matter with the same supplier, customer or consultant in any twelve (12) month period combine to equal the limits set out herein, the series of contracts or purchases shall be deemed to be a single purchase for the purposes of this Agreement.

 

29.             The Board shall not purchase or accept any donations or bequests of real property without the prior approval of the Members. 

 

30.             The Board acknowledge that all deaccession of artifacts and archival materials owned by the Town or which form part of the Museum Collection must be approved by the Members and be in accordance with the Town’s “Markham Museum Collection Management Policy” attached as Schedule “B“, as may be amended from time to time.

 

 

ARTIFACTS AND ARCHIVAL MATERIALS OWNED BY THE FOUNDATION

 

31.             All artifacts or archival materials which are acquired by the Foundation through purchase, donation, gifts or otherwise shall form part of the Museum Collection of the Museum, and shall be transferred to the Town in accordance with all applicable laws, rules and regulations.

 

32.             All artifacts or archival materials which are acquired by the Foundation through gift or donation to the Foundation which cannot be legally transferred to the Town, shall be loaned to the Town for the exclusive use of the Town and such artifacts or archival materials shall form part of the Muesum Collection to be used by and displayed in the Museum in accordance with the “Markham Museum Collection Management Policy”, as the Commissioner and/or the Museum Manager, in consultation with the Board, may deem appropriate.

 

33.             The Foundation shall not loan out or display any of the artifacts or archival materials that it owns without the approval of the Museum Manager or the Commissioner, and except in accordance with the Town’s “Markham Museum Collection Management Policy” attached as Schedule “B”.

 

 

ETHICS

 

34.             The Board shall adopt a Code of Ethics which shall be in keeping with the principles set out in the International Council of Museums Code of Ethics and as required by the Town’s “Markham Museum Collection Management Policy” attached as Schedule “B”.

 

 

CONFLICT OF INTEREST

 

35.             Notwithstanding the provisions of the Code of Ethics adopted by the Board, the Members, Board Directors and officer or employees of the Board shall avoid any activity which could be construed as an actual or potential conflict of interest with respect to the business of the Foundation or the Museum, which shall include but is not limited to the following:

 

a.                  there will be no self-dealing or any conduct of private business or personal services between any Member, Board Director or officer or employee of the Board and the Foundation except as procedurally controlled to assure openness, competitive opportunity and equal access to inside information;

 

b.                  no Member, Board Director or officer or employee of the Board shall enter into direct competition with the Museum by bidding or entering into the market for items which the Museum wishes to acquire; and

 

c.                  no Member, Board Director or officer or employees of the Board shall use their positions to obtain employment in the organization for themselves, family members or close associates.

 

36.             The agendas for meetings of the Board or of the Members shall include provision for disclosure of a direct or indirect pecuniary interest in a matter and the general nature thereof.

 

37.             In addition to the foregoing provisions, the Board Directors and officers acknowledge that they are deemed to members for the purposes of the Municipal Conflict of Interest Act and therefore shall comply with the provisions of the Municipal Conflict of Interest Act.   

 

 

CONFIDENTIALITY

 

38.             Neither the Members, Board Directors or officers or employees of the Board shall disclose issues which are of a confidential nature involving the Foundation or the Museum, which shall include but are not be limited to, all proposed or pending acquisitions and deaccessions of art, personnel issues, litigation or potential litigation, financial issues, legal issues and property issues.

 

39.             Neither the Members, Board Directors or officers or employees of the Board shall make public statements on issues which impact on or relate to the Museum or the Town without prior authorization from the Commissioner.

 

 

PRIVACY LEGISLATION

 

40.       The Members, Board Directors and officers or employees of the Board  acknowledge that the Town is bound by the Municipal Freedom of Information and Protection of Privacy Act, R.S.O. 1990 c. M.56, as  amended (“MFIPPA”).  The Members, the Board Directors and officers or employees of the Board agree to respect the spirit of MFIPPA and any other Federal or Provincial privacy legislation that may be in effect during the term of this Memorandum of Understanding.  The Members,  the Board Directors and officers or employees of the Board shall not directly or indirectly disclose or destroy any personal or confidential information (defined as such in any applicable legislation) provided to it by the Town pursuant to this Memorandum of Understanding, without first obtaining the consent of the Commissioner.

 

 

COMPLIANCE WITH TOWN POLICIES AND APPLICABLE LAW

 

41.       The Members and the Board Directors shall comply with all applicable by-laws, policies, guidelines and processes of the Town, including but not limited to the Town’s “Markham Museum’s Collection Management Policy”, attached as Schedule “B”, as may be amended by the Town from time-to-time.  The Town agrees to assist the Board in this regard and will, to the best of its ability, provide the Board with notice and copies of such by-laws, policies, guidelines and processes of the Town.

 

42.       The Members and Board Directors shall comply with all other applicable laws, ordinances, rules and regulations of all applicable federal, provincial and municipal governments.

 

 

 

PART III:  OPERATION OF MUSEUM

 

 

ADVISORY ROLE OF BOARD

 

43.       The Board shall act in an advisory capacity and provide advice or make recommendations on matters regarding the administration and operation of the Museum, which includes maintenance of the Museum, and the maintenance and display of the Museum Collection, for the Town and/or Museum Manager’s consideration.  All advice or recommendations provided by the Board shall be in the form of a resolution of the Board. 

 

 

ROLES AND RESPONSIBILITIES OF THE TOWN

 

44.       The Town, as the owner of the Museum, and as the employer of the Museum personnel, shall cause the Museum to operate in a manner which is compatible with the Goals of the Museum as heretofore set out and in accordance with the Town’s “Markham Museum Collection Management Policy”, attached as Schedule “B” and as may be amended from time to time.

 

45.       The Town shall be responsible for the operation and maintenance of the Museum and the Museum Collection, which includes artifacts and archival  owned by the Town and artifacts and archival materials owned by the Foundation and loaned to the Town pursuant to this Memorandum of Understanding, by undertaking or providing the following: 

 

a.                  Display some or all of the Museum Collection as part of a permanent collection, from time-to-time and as deemed appropriate by the Museum Manager;

 

b.                  Undertake conservation and restoration of the Museum Collection;

 

c.                  Provide for the safety, security and preservation of the collection, which includes obtaining insurance coverage for the Museum Collection;

 

d.                  Stage regular exhibitions;

 

e.                  Undertake program development for the Museum;

 

f.                    Make recommendations for the acquisition of artifacts or archival materials for the Museum Collection to the Board;

 

g.                  Monitor the Museum Collection and review and revise the Town’s “Markham Museum Collection Management Policy”, attached as Schedule “B”, as required;

 

h.                  Maintain and revise Museum policies, as required, to ensure they are consistent with the Museum’s purpose and goals;

 

i.                    Provide educational opportunities for the public;

 

j.                     Review and make recommendations on potential donations accepted by the Board;

 

k.                  In consultation with the Board, to set fees, admission, rates, rentals and any other charges for the use of the Museum or any other facilities provided;

 

l.                     In conjunction with the Board, to undertake fundraising and special programs or other projects for the Museum;

 

m.                Undertake membership activities, including recruitment, and establishing rates and services provided;

 

n.                  Operate a gift shop, amusements, food service and special events as deemed appropriate by the Town;

 

o.                  Employ appropriate staff to operate the Museum;

 

p.                  In conjunction with the Board, recruit and train volunteers to assist with Museum operations, tours, special events and programs;  and

 

q.                  In consultation with the Board, to set the strategic direction for the Museum.

 

                       

SUPPORT TO FOUNDATION

 

46.       The Town shall provide the following support functions to enable the Board to carry out responsibilities pursuant to this Memorandum of Understanding:

 

a.                  employ appropriate Museum Staff;

 

b.                  the Museum Staff shall provide clerical support services for all Board meetings;

 

c.                  the Town’s Finance Department shall be responsible for maintaining a set of accounts, operating the Foundation’s bank account, issuing tax receipts on behalf of the Foundation as required and filing the necessary returns required under the Income Tax Act on behalf of the Foundation, invest such other funds as may be gathered as a result of the Board’s activities, and report to the Board or the Executive Committee of the Board, as deemed appropriate; 

 

d.                  the Town’s Clerk’s Department shall be responsible for maintaining the corporate minute book for the Foundation;

 

e.                  the Town’s Legal Department may provide legal advice on routine legal matters as and when deemed appropriate by the Town Solicitor.

 

 

 

PART IV: GENERAL

 

 

TERM

 

47.       This Memorandum of Understanding shall be for a one (1) year term, commencing on          , 2006 and terminating on                  , 2007, and shall be automatically renewed for successive one (1) year terms thereafter until either party provides a minimum of at least ninety (90) days notice, in writing, of termination of this Memorandum of Understanding.

 

 

GOVERNING LAW

 

            48.       This Memorandum of Understanding shall be governed by and                                     construed in accordance with the laws of the Province of Ontario.

 

 

ENTIRE AGREEMENT

 

49.       Where specifically provided herein, the Schedules to this Memorandum of Understanding form and are part of this agreement.  This Memorandum of Understanding constitutes the entire agreement between the parties hereto pertaining to the subject matter hereof and supercede all prior and contemporaneous agreements, undertakings, negotiations and discussions, whether oral or written, of the parties and there are no warranties, representations or other agreement between the parties in connection with the subject matter of this Memorandum of Understanding except as specifically set forth herein.

 

50.       This Memorandum of Understanding and the Schedules, save and except for the Markham Museum Collection Management Policy attached as Schedule “B, may not be amended or modified by the parties except in written instrument executed by both parties.

 

51.       The parties acknowledge and agree that the Town may, as it deems appropriate and in consultation with the Board, amend the terms and provisions of the Markham Museum Collection Management Policy attached as Schedule “B”, and any amendments made hereinafter shall form part of this Memorandum of Understanding.

 

 

IN WITNESS WHEREOF, the parties hereto have hereunto affixed their corporate seals under the hands of their officers duly authorized in that regard.

 

SIGNED, SEALED AND DELIVERED      )THE FRIENDS OF THE

in the presence of:                                           )MARKHAM MUSEUM

                                                                          )

                                                                          )

                                                                          )

                                                                          )  ______________________________

                                                                          ) Name:                                                                                                                      ) Title:  

                                                                          )

                                                                          )

                                                                          )

                                                                          ) _______________________________

                                                                          ) Name: 

                                                                          ) Title: 

                                                                          )

                                                                          ) We have authority to bind the

                                                                          ) Corporation

                                                                          )

                                                                          )

                                                                          )

)THE CORPORATION OF THE

) TOWN OF MARKHAM

                                                                          )

                                                                          )

                                                                          )_________________________________

                                                                          ) Name:  Frank Scarpitti

                                                                          ) Title:  Mayor

                                                                          )

                                                                          )

                                                                          )

                                                                          )  ________________________________

                                                                          ) Name:  Sheila Birrell

                                                                          ) Title:  Clerk

 

 

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