Legacy Amendment

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Introduction

On November 4, 2008, Minnesota voters approved the Clean Water, Land and Legacy Amendment to preserve and enhance some of the most important elements of our state. This amendment to the Minnesota Constitution, often referred to as the “Legacy Amendment,” created four funds, one of which is the Arts and Cultural Heritage Fund (ACHF).

The Legacy Amendment mandates that a portion of the ACHF be used “to preserve Minnesota’s history and cultural heritage” (Minnesota Constitution, Article XI, Sec. 15). Each January, the Minnesota Historical Society is required to submit an annual report to the Governor and legislature detailing expenditures it has made from the ACHF.

This site details all ACHF projects and programs funded to date through the Minnesota Historical Society. The Society strives to publish new project records as soon as they are available.

ACHF history projects are benefitting Minnesotans statewide by:

• Preserving our state’s valuable historical and cultural resources for future generations
• Sharing our state’s stories and treasured resources with ever-growing audiences including students, teachers, scholars, researchers, genealogists and the general public
• Connecting Minnesotans of all ages to each other and to history—history that is becoming more accessible than ever before

Further information about the use and impact of all Legacy Funds can be found on the Minnesota Legislative Coordinating Commission's Minnesota's Legacy site.

Appropriations

The Arts and Cultural Heritage Fund (ACHF) receives 19.75% of overall Legacy funding. For fiscal years 2012 and 2013, the legislature appropriated $25 million from the ACHF to the Minnesota Historical Society. That appropriation breaks down to $12,050,000 for fiscal year 2012 and $12,950,000 for fiscal year 2013.

The legislature divided the fiscal year 2012-2013 appropriation to the Minnesota Historical Society into the following five categories:

2012 Appropriation

1. Statewide Historical and Cultural Heritage Grants -- $5,250,000

2. Statewide History Programs -- $4,800,000

3. Statewide History Partnerships -- $1,500,000

4. Statewide Survey of Historical and Archaeological Sites -- $250,000

5. Minnesota Digital Library -- $250,000

2012 TOTAL: $12,050,000

2013 Appropriation

1. Statewide Historical and Cultural Heritage Grants -- $5,450,000

2. Statewide History Programs -- $5,200,000

3. Statewide History Partnerships -- $1,700,000

4. Statewide Survey of Historical and Archaeological Sites -- $250,000

5. Minnesota Digital Library -- $250,000

6. Civil War Commemoration Task Force -- $100,000

2013 TOTAL: $12,950,000

Statewide Outreach

Since late 2008, the Minnesota Historical Society has collaborated with the public and many history-minded organizations to maximize the efficiency and effectiveness of historical projects funded by the Arts and Cultural Heritage Fund.

To date, the Minnesota Historical Society has hosted or participated in more than 70 statewide events involving more than 2700 people (some map locations indicate multiple events):

Workshops and Outreach Activities: The Society solicited opinions and ideas from citizens around the state regarding history expenditures and where funding is needed most and also helped potential grantees apply for funding through the ACHF-funded Minnesota Historical and Cultural Heritage Grants Program.

Building Financial Capacity Training: The Society and Access Philanthropy conducted intensive training workshops with local history organizations to improve their nonprofit fundraising and grant proposal preparation abilities.

10- and 25-year Planning: The Society collaborated with a dozen other historical and cultural organizations to create a 10-year plan and 25-year framework for the use of ACHF funding.

Historic Resources Advisory Committee Meetings: As required by law, the Society appointed a volunteer citizen panel to guide decisions for the Minnesota Historical and Cultural Heritage Grants Program. These recommendations are reviewed and approved by the Society’s governing board.

Historic Resources Advisory Committee (HRAC)

Legislation specifies that the HRAC, a volunteer citizen panel that guides decisions for the ACHF-funded Minnesota Historical and Cultural Heritage Grants Program, have balanced statewide membership and include representatives of local, county and statewide historical and cultural organizations and programs.

It further requires that the HRAC shall include, but is not limited to, members representing the interests of historic preservation, local history, archaeology, archival programs and other cultural programs related to the history of Minnesota.

In fiscal year 2013, HRAC members committed nearly 500 hours to reviewing proposals and allocating Minnesota Historical and Cultural Heritage Grants.

List of HRAC members and qualifications.

The Minnesota Historical Society Governing Board

Grant recommendations made by the Historic Resources Advisory Committee for the Minnesota Historical and Cultural Heritage Grants Program are reviewed and approved by the Minnesota Historical Society's Executive Council.

List of the Society's Governing Board and Executive Council members.

The Minnesota History Coalition

The Minnesota History Coalition is an advisory group comprised of representatives of various history organizations in Minnesota. Using public input and members' expertise, the History Coalition developed recommendations for the legislature on how the 2012-2013 ACHF appropriation for history projects and programs could best serve Minnesotans.

Minnesota History Coalition Members:

• Council for Minnesota Archaeology

• Minnesota Alliance of Local History Museums

• Minnesota Archaeological Society

• Minnesota Digital Library

• Minnesota Genealogical Society

• Minnesota's Historic Northwest

• Minnesota Historical Society

• Minnesota History Advocates for Research

• Preservation Alliance of Minnesota

Accountability

The legislature has reiterated the mandate that every project and program supported by the Arts and Cultural Heritage Fund report “actual measurable outcomes, and a plan for measuring and evaluating the results.”

To meet this requirement, the Minnesota Historical Society worked with Wilder Research and the University of Minnesota Extension Center for Community Vitality to measure the economic value and outcomes of the Society’s ACHF investments.

Since October 2010, the Society has been working with Wilder Research to improve the Society’s ability to evaluate its ACHF projects and programs. The Society’s staff and partners are now strongly positioned to ensure that ACHF projects and programs use best practices, current scholarship, and when appropriate, incorporate state-of-the-art technology for demonstrating measurable outcomes.

In February 2011, the Society released results of an economic study prepared by the University of Minnesota's Extension Center for Community Vitality. A December 2012 update of the study found that for every $1 invested in history and cultural heritage, the state receives a return on investment of $2, which directly benefits state and local economies.

In November 2011, the Office of the Legislative Auditor released a report examining how all Legacy fund recipients can best use these funds over the long term.

Within the report, the Legislative Auditor identified four "ongoing concerns." The Society addresses those concerns in the following ways:

1. Supplement, Not Substitute -- The Society is aware of the constitutional requirement that Legacy expenditures shall supplement and not substitute for traditional sources of funds. The Society conducts careful reviews to ensure that the constitutional provision and approriations language are met for all Legacy expenditures.
2. Administrative Costs -- The Society carefully documents and limits administrative costs to only those costs that are "directly related to and necessary for" accomplishing ACHF programs and projects as called for by legislation.
3. Conflict of Interest -- On this website, the Society discloses the names of members of groups who oversee the spending of ACHF funds (The Society's Governing Board and Executive Council and the Historic Resources Advisory Committee, or HRAC). To fulfill long-standing policies and practices, those members are required to sign statements forbidding conflicts of interest. In addition, the practice for both the HRAC and the Executive Council is to specifically ask members to declare conflicts before each group votes on grant allocations.
4. Outcomes -- The Society recognizes that Arts and Cultural Heritage funds create a long-term opportunity to build a Legacy gift. We are working to ensure that ACHF history programs and projects have a clear benefit for future generations. More specifically, in their applications, grant recipients are required to explain the enduring value of their project. Society staff worked with Wilder Research to improve our ability to measure the value of our ACHF programs.

During the 2012–2013 biennium, the Society is continuing to evaluate the impact of ACHF projects and programs to ensure that they demonstrate measurable outcomes as well as economic value for citizens. These results are shared on two websites explained below.

Audit

In October 2012, the Office of the Legislative Auditor released findings from an Internal Controls and Compliance Audit for the period July 2009 to December 2011. The scope of the audit included ACHF expenditures. Auditors found that the Society “generally complied with finance-related requirements, including requirements relevant to the Arts and Cultural Heritage Fund.”

The Society was pleased with the overall report because the findings were relatively minor and did not have financial implications. At the same time, we take these findings very seriously and immediately clarified our policies and procedures to make sure they align with state grant guidelines and other best practices. We welcome reviews like this audit because they help us fulfill our obligation to the people of Minnesota to be transparent and accountable for all state funds. 

Transparency

The Minnesota Historical Society has an obligation to the citizens of Minnesota to ensure that ACHF funds entrusted to our care are invested in ways that are transparent and will produce the greatest measurable impact on Minnesotans, enabling our state to thrive.

To meet this goal, the Society has assisted in the building of, and has itself built, websites that inform the public about all ACHF initiatives funded through the Society.

The first, Minnesota's Legacy (www.legacy.leg.mn), was created by the Legislative Coordinating Commission and contains information on all legacy-funded projects. The second website (this one), Minnesota History: Building a Legacy (www.mnhs.org/legacy), is maintained by the Society and provides more in-depth project descriptions, photos, videos and information on opportunities to participate in history-related ACHF initiatives.

Through the end of the biennium, the Society will continue to post the most current information about history-related ACHF initiatives on both websites, ensuring transparency and responsible stewardship of the funds.