Advocacy

An untitled bill introduced last week in the US Senate may loosen recent government restrictions on fractional gifts of works of art to museums, reports Shelly Banjo of the Wall Street Journal. Senator Charles Schumer (D-NY), whose state contains many important art museums, patrons, and philanthropists, is sponsoring S 1605, which would reform the rules regulating fractional charitable donations of tangible personal property.

Fractional gifts—which allow Americans to give partial ownership rights of an artwork to a museum or charitable organization and take an income-tax deduction for the donated portion of its value—were common practice in the museum world until 2006, when provisions put into the Pension Protection Act of 2006 by Senator Charles E. Grassley (R-IA) made partial gifts less attractive for donors. (Namely, that work must be fully donated within ten years of the initial fractional gift, and that the value of the artwork is capped when the first gift is made.) Since then, museums noticed that the practice of fractional gifts has nearly disappeared.

Here’s more background information on fractional gifts in the New York Times in 2006 and 2008.

Andrea Kirsh, an independent art historian based in Philadelphia, Pennsylvania, and a member of the CAA Board of Directors, was one of several CAA delegates who attended Humanities Advocacy Day and Arts Advocacy Day, both of which took place in March 2009 in Washington, DC.

In an article for the forthcoming May issue of CAA News that is also posted online, she writes about her experiences advocating for increased funding for the National Endowment for the Arts and National Endowment for the Humanities, among other government programs and legislation.

Photo: The Grammy-nominated singer-songwriter Josh Groban (center) advocates for the arts with CAA board member Judith Thorpe (left) and Jean Miller at the Congressional Breakfast during Arts Advocacy Day

The Artist-Museum Partnership Act of 2009, legislation introduced in both houses of Congress, would allow a fair-market-value tax deduction for charitable contributions of literary, musical, artistic, or scholarly compositions to collecting institutions such as museums, libraries, and archives. At present, a donating artist, writer, or composer can only deduct the cost of materials used to create the work, which is not a fair incentive to donate and also hurts the missions of public and nonprofit institutions nationwide to increase public access to these unique creations.

The sponsors of the bill—Senators Patrick Leahy (D-VT) and Robert Bennett (R-UT) for S 405 and Representatives John Lewis (D-GA) and Todd Platts (R-PA) for HR 1126—hope that past enthusiasm for such legislation will grow in the current 111th Congress. Although similar Senate bills have passed five times in previous years, the House version of the bill in the 110th Congress had 111 cosponsors. Now that a new Congress is underway, more cosponsors are needed to help advance the bill.

The American Association of Museums has worked with the Association of Art Museum Directors to provide a draft letter that you can use to encourage your federal lawmakers to cosponsor the bill. With your help, this important legislation for both artists and institutions can move forward.