September 23, 2025
Andrew P. Powers
City Manager
City of Thousand Oaks
2100 Thousand Oaks Blvd.
Thousand Oaks, CA 91362
RE: TOArts Update
Dear Mr. Powers,
The TOArts Board of Directors is pleased to present this report to the City of Thousand Oaks (“City”) outlining TOArts’ operations and programming for the last twelve months ending, June 30, 2025. On behalf of the entire Board, I would like to thank you for the incredible partnership that we share with the City of Thousand Oaks. Together we are making our community a place Where the Arts Thrive for All.
Governance
Board Membership – The TOArts Board has added one new member to the Board:
CPA and business owner and longtime community member Matthew Burke.
Finance
Annual Audit – The Board reviewed and accepted the annual independent audit report for FY 2023-24 (Attachment #1).
Development
Major Gifts Campaign Event -- TOArts celebrated the 30th anniversary of the Thousand Oaks Civic Arts Plaza with CURTAIN UP!, a masquerade ball on October 25th, 2024, that served as the centerpiec e for our major gifts campaign. This celebration showcased the breadth of talent TOArts nurtures while providing the perfect backdrop to highlight our Sparking Joy! campaign progress and secure critical funding commitments from our community supporters.
Campaign Success -- The Sparking Joy! major gifts campaign achieved a significant milestone during FY 2024-25, reaching over 60% of its $5 million goal. The TOLD Foundation challenge match was successfully completed by December 31st, 2024, generating $700,000 for the campaign th rough community support of $350,000 matched dollar-for-dollar. With $2 million remaining, the campaign continues toward completion.
Work Force Development
Creators Conservatory -- Our unique summer intensive served pre-professional artists across all creative disciplines through a two-and-a-half-week program. Under the guidance of award-winni ng Broadway and industry professionals, students ATTACHMENT #1
2 created original works, with one student duo's "The Tale of Two Kevins" comedic musical becoming central to a participant's successful application to study musical theatre composition at Yale, beginning August 2025.
Youth Arts Leadership Academy (YALA) -- Twenty high school students created YALA Limitless Arts Workshops, a comp rehensive day of cross-disciplinary programming serving elementary through high school students, culminating in a showcase performance with student art gallery and vendor marketplace. The cohort demonstrated extraordinary community le adership by producing the Revive Aid Benefit Concert, raising over $6,200 for performing arts departments of two schools affected by the Los Angeles wildfires. Additionally, these students all received college credit through California Lutheran University.
Creative Envoys -- YALA and Conservatory students with exceptional dedication to the arts, served as TOArts ambassadors, representing the organization at community events, City Council meetings where they accepted the proclamation of April as Arts and Culture Month, focus groups for the Co unty's Arts Strategic Plan, and Chamber of Commerce leadership events.
Arts Education
Arts Odyssey -- TOArts provided comprehensive cross-disciplinary programming for 60 second-grade students at Madrona Elementary through nine arts activities spanning theatre, visual arts, dance, and music. Programming included field trips to Studio Channel Islands and three months of improvisational comedy workshops. We also launched the Music Production/Sound Engineering Career Technical Education Pathway at Conejo Valley High School, serv ing 30 students with industry-standard curriculum, professional guest teaching ar tists, and hands-on experience at DAW workstations where students created original podcasts, beat samples, and songs.
Kids and the Arts -- This program achieved record-breaking attendance with 6,800 students and teachers from PreK through 8t h grade attending live performances—a 24% increase from the previous year. We presented four distinct productions across more than nine performances, featuring diverse artists including Sammy Miller and the Congregation, Twin Flames, Kingsman Shakespeare, and 123 Andres.
Trailblazers Ed -- Nearly 1,100 students across the four Conejo Valley high schools were inspired by National Geographic spea kers including sports photographer Jean Fruth, cave explorer Robbie Shone, ecologist Heather Joan Lynch, and wildlife biologist Doug Smith, gaining insight into career paths combining scientific inquiry, creative storytelling, and environmental stewardship.
AccessArts -- TOArts funded $16,500 in arts programming for 700 students across five local elementary schools, providing experiences ranging from weekly dance lessons to capital improvement projects.
Community Support
Residencies -- We brought world-class artist resi dencies directly to students at Oxnard High School, Newbu ry Park High School, Westlak e High School, and Cal State University Channel Islands. Pr ograms included Sammy Miller and the 3 Congregation's jazz workshops, the Alejandro Brittes Trio's traditional chamamé music introduction, Ballet Trockadero de Monte Carlo masterclasses, and Las Guaracheras' interactive performances with over 200 students.
Individual Impact Initiatives -- TOArts provided a violin and ongoing lessons for a teen in foster care through partnership with the Mark and Jacob Foundation, donated a drum set to the Coalition for Family Harmony's music room supporting juvenile rehabilitation programs, and partnered with the Mindful Veterans Project to offer healing arts experiences through complimentary performance tickets.
Olson Performance Grants -- TOArts granted over $118,000 in theatre credits to 13 nonprofit performing arts groups to subsidize rental costs at Bank of America Performing Arts Center theatres, supporting the broader arts ecosystem.
Community Involvement
Sponsorship -- TOArts continued its proud sponsorship of the City's annual Pop-Up Arts & Music Festival, supporting diverse pr ogramming that reflects our community.
We maintained partnerships with organizations including CLU's Center for Nonprofit Leadership and various Chamber of Commerce initiatives.
Leadership -- TOArts staff continued serving on community boards and committees throughout Ventura County, providing arts advocacy and professional expertise to regional initiatives.
ReFrame Ventura County-- We partnered with the County of Ventura on the second annual arts summit, bringing together over 100 artists, arts workers, and culture bearers from across East and West Ventura County. This collaboration, supported by Studio Channel Islands, Oxnard Performing Arts Center Foundation, and Five07, provided professional development and policy input opportunities.
Young Artists Ensemble(YAE) – TOArts is continuing to serve as the fiscal receiver for the program. YAE is a fixture in the local community and provides local youth and teens, between the ages of 10 and 19, with opportunities to perform in plays and musicals. Last July, YAE performed their annual teen summer musical The Phantom of the Opera: Student Edition in the Scherr Forum Theatre.
Performances
TOArts Presents -- As the largest presenter at the Bank of America Performing Arts Center, TOArts presented 70 diverse perfo rmances to 46,500 patrons, featuring programming spanning world-class headline rs, family shows, multicultural productions, dance performances, comedians, and National Geographic speakers.
TOArts Presents After Da rk at Stagecoach Inn Museum -- This festival-style outdoor concert series featured four shows reaching 732 attendees with fresh and compelling artists.
FamilyPAC -- This program provided low-cost and complimentary tickets to 332 attendees across 11 shows, ensuring families have access to live performance experiences regardless of economic circumstances.
4 The Year Ahead
Leadership Transition -- Effective July 1, 2025, th e TOArts Board promoted Niki Chopra Richardson to Executive Director, to guide TOArts into its next chapter of growth and community impact.
Recognition -- The 2025 Youth Arts Leadership Academy executive team will be honored with the Youth in Philanthropy Aw ard by the Association of Fundraising Professionals Santa Barbara Ventura County chapter on National Philanthropy Day, November 4, 2025, recognizing their exceptional community leadership demonstrated through the Revive Aid Benefit Concert fundraising efforts.
The TOArts Board recognizes the exceptional growth and impact achieved in FY 2024-25, with record-breaking attendance across progr ams, expanded educational partnerships, significant community recognition, and substantial progress toward capital campaign goals.
Under new executive leadership beginning July 1, 2025, and with continued City partnership, TOArts is positioned to build on this mome ntum while maintaining our commitment to ensuring the arts thrive for all community members.
For FY 2025-26, we anticipate continued growth in all program areas, expanded community partnerships, progress toward completing our capital campaign, and sustained collaboration with the City to strengthen our community's cultural and economic vitality.
TOArts remains proud to serve as a vital partner in strengthening the creative economy of the Conejo Valley and beyond through arts, cultur e, and entertainment, contributing to the quality of life that makes Thousand Oaks a desirable place to live, work, and visit.
On behalf of the members of the TOArts Bo ard and staff, thank you for your continued support of our efforts and activities.
Sincerely,
Al Lowe
Board Chair
Attachments:
Attachment #1 – FY 2024-25 Audit
Attachment #2 – FY 2024-25 Programming
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THOUSAND OAKS ALLIANCE FOR THE ARTS
FINANCIAL STATEMENTS
FOR THE YEAR ENDED
JUNE 30, 2024
Attachment #1 to letter
Thousand Oaks Alliance For The Arts
Financial Statements
June 30, 2024
Table of Contents
Page
Independent Auditor’s Report ...................................................................................................... 1
Financial Statements
Statements of Financial Position, June 30, 2024 ................................................................... 4
Statements of Activities and Changes in Net Assets for the Year Ended June 30, 2024 ...... 5
Statements of Cash Flows for the Year Ended June 30, 2024 .............................................. 6
Statements of Functional Expenses for the Year Ended June 30, 2024 ................................ 7
Notes to Financial Statements ................................................................................................ 8
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Independent Auditor’s Report
The Board of Directors of
Thousand Oaks Alliance for the Arts
Thousand Oaks, California
Report on the Audit of the Financial Statements
Opinion
We have audited the accompanying financial statements of Thousand Oaks Alliance for the Arts (the Organization), which comprise the statement of financial position as of June 30, 2024, and the related statements of activities, functional expenses, and cash flows for the year then ended, and the related notes to the financial statements.
In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of Thousand Oaks Alliance for the Arts as of June 30, 2024, and the changes in its net assets and its cash flows for the year then ended in accordance with accounting principles generally accepted in the United States of America.
Basis for Opinion
We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS). Our responsibilities under those standards are further described in the Auditor’s Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Organization and to meet our other ethical responsibilities, in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinion.
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Responsibilities of Management for the Financial Statements
Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation, and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error.
In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Organization’s ability to continue as a going concern for one year after the date that the financial statements are issued.
Auditor’s Responsibilities for the Audit of the Financial Statements
Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor’s report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and therefore is not a guarantee that an audit conducted in accordance with GAAS will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations, or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements.
In performing an audit in accordance with GAAS, we:
x Exercise professional judgment and maintain professional skepticism throughout the audit.
x Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements.
x Obtain an understanding of internal control relevant to the audit in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Organization’s internal control.
Accordingly, no such opinion is expressed.
x Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements.
x Conclude whether, in our judgment, there are conditions or events, considered in the aggregate, that raise substantial doubt about the Organization’s ability to continue as a going concern for a reasonable period-of-time.
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Report on Summarized Comparative Information
We have previously audited the Organization’s 2023 financial statements, and we expressed an unmodified opinion on those audited financial statements in our report dated January 5, 2024. In our opinion, the summarized comparative information presented herein as of and for the year ended June 30, 2023, is consistent, in all material respects, with the audited financial statements from which it has been derived.
We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control–related matters that we identified during the audit.
San Bernardino, California
June 19, 2024
FINANCIAL STATEMENTS
Thousand Oaks Alliance For The Arts
Statements of Financial Position
June 30, 2024
(With Summarized Financial Information for June 30, 2023)
The accompanying notes are an integral part of these financial statements. -4-
2024 2023
ASSETS
Current assets:
Cash and cash equivalents 424,980 $ 1,040,570 $ Contributions receivable (Note 3) 417,990 72,140 Deposits 26,641 25,000
Cash value of life insurance (Note 6) 83,734 79,219
Charitable remainder trust (Note 5) 389,856 376,766 Total Current Assets 1,343,201 1,593,695
Noncurrent assets:
Contributions receivable, net of current portion (Note 3) 199,232 214,289 Beneficial interest in assets held by
California Community Foundation and
Ventura County Community Foundation (Note 1) 4,258,146 4,258,835 Investments (Note 2) 7,057,053 4,162,572
Investments restricted as endowment fund principal (Note 2) 3,150,000 2,800,000 Total Noncurrent Assets 14,664,431 11,435,696
Total Assets 16,007,632 $ 13,029,391 $
LIABILITIES AND NET ASSETS
Current liabilities:
Accounts payable 147,385 $ 208,725 $
Deposits - 75
Total Current Liabilities 147,385 208,800
Noncurrent liabilities:
Shared revenue agreements (Note 11) 125,853 125,853 Founders credits payable, net of current potion - 2,000 Total Noncurrent Liabilities 125,853 127,853 Total Liabilities 273,238 336,653
Net assets:
Without donor restrictions (Note 7) 7,841,370 5,167,319 With donor restrictions (Note 7) 7,893,024 7,525,419 Total Net Assets 15,734,394 12,692,738
Total Liabilities and Net Assets 16,007,632 $ 13,029,391 $ Thousand Oaks Alliance For The Arts
Statements of Activities
And Changes in Net Assets
For the Year Ended June 30, 2024
(With Summarized Financial Information for June 30, 2023)
The accompanying notes are an integral part of these financial statements. -5-
Without With
Donor Donor Totals
Restrictions Restrictions 2024 2023
Revenues, Gains and Other Income:
Revenues and gains:
Donations 2,054,981 $ 350,000 $ 2,404,981 $ 401,256 $ Performance revenue 327,793 - 327,793 426,959 Grants 1,000 - 1,000 21,200 Concessions revenue 135,000 - 135,000 103,297 In-kind contribution of rent and services 324,608 - 324,608 139,312 Memberships - - - 11,773 Sponsorships 37,500 - 37,500 39,594 Net investment return 1,498,044 - 1,498,044 1,136,434 Gross special events revenue 8,400 - 8,400 324 Net assets released from restrictions - - - - Total revenues and gains 4,387,326 350,000 4,737,326 2,280,149 Other income:
Change in value of charitable trust - 13,090 13,090 5,474 Change in cash surrender value of life insurance - 4,515 4,515 2,932 Founders credit income 2,000 - 2,000 4,814 Total other income 2,000 17,605 19,605 13,220 Total Revenue, Gains and Other Income 4,389,326 367,605 4,756,931 2,293,369 Expenses:
Program services 1,196,200 - 1,196,200 752,001 Management and general 246,503 - 246,503 527,670 Fundraising 272,572 - 272,572 155,909 Total Expenses 1,715,275 - 1,715,275 1,435,580 Changes in Net Assets 2,674,051 367,605 3,041,656 857,789 Net Assets, Beginning of Year 5,167,319 7,525,419 12,692,738 11,834,949 Net Assets, End of Year 7,841,370 $ 7,893,024 $ 15,734,394 $ 12,692,738 $ Thousand Oaks Alliance For The Arts
Statements of Cash Flows
For the Year Ended June 30, 2024
(With Summarized Financial Information for June 30, 2023)
The accompanying notes are an integral part of these financial statements. -6-
2024 2023
Cash Flows from Operating Activities:
Change in net assets 3,041,656 $ 857,789 $
Adjustments to reconcile changes in net assets to net cash provided by operating activities:
Amortization of charitable trust and founders credits (15,090) (10,288) Change in cash surrender value of life insurance (4,515) (2,932) Reinvested dividends, realized and unrealized gains in investment accounts (3,243,792) (426,717) Changes in assets and liabilities:
(Increase) decease in contributions receivable (330,793) 98,770 (Increase) decease in deposits (1,641) -
Increase (decrease) in accounts payable (61,340) (22,562) Increase (decrease) in deposits payable (75) - Total Adjustments (3,657,246) (363,729)
Net Cash Provided by (Used for) Operating Activities (615,590) 494,060 Net Increase (Decrease) in Cash and Investments (615,590) 494,060 Cash and Cash Equivalents at Beginning of Year 1,040,570 546,510 Cash and Cash Equivalents at End of Year 424,980$ 1,040,570 $ Thousand Oaks Alliance For The Arts
Statements of Functional Expenses
For the Year Ended June 30, 2024
(With Summarized Financial Information for June 30, 2023)
The accompanying notes are an integral part of these financial statements. -7-
Totals
Program Management
Services and General Fundraising 2024 2023
Expenses:
Accounting and auditing - $ 26,500$ - $ 26,500$ 10,684 $ Advertising and public relations 105 4,507 41,041 45,653 22,743 Dues, memberships and subscriptions - 3,162 - 3,162 3,060 Contractual agreements 35,438 41,690 52,142 129,270 293,357 Contractual services - 129 2,700 2,829 37,884 Information technology - 6,976 11,123 18,099 2,767 Insurance - 1,685 - 1,685 5,933 Miscellaneous - 468 1,715 2,183 8,862 Printing 969 - 5,018 5,987 6,562 Personnel expenses 100,237 23,918 45,988 170,143 152,446 Taxes - 420 - 420 - Travel and training 258 4,500 - 4,758 3,409 Supplies 32,728 6,031 - 38,759 19,251 Performances 795,862 - - 795,862 199,633 Special programs - 3,135 9,732 12,867 15,103 Grants 127,490 - - 127,490 674,000 In-kind services and rents 103,113 123,382 103,113 329,608 149,835 Total Expenses 1,196,200 $ 246,503 $ 272,572 $ 1,715,275 $ 1,605,529 $ Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
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Note 1: Organization and Summary of Significant Accounting Policies
Description of the Reporting Entity
Thousand Oaks Alliance for the Arts (TOArts) is a nonprofit public benefit corporation. Its purpose is to advance, support, and present visual and performing arts, cultural events, and arts education at the Thousand Oaks Civic Arts Plaza’s Bank of America Performing Arts Center and to contribute to the economic vitality and quality of life of Thousand Oaks and the greater Conejo Valley, California. TOArts is governed by a Board of Directors (the “Board”), which is responsible for all activities of TOArts. Trustees serve a three-year term and receive no compensation for their services.
The Thousand Oaks Civic Arts Plaza’s two-theatre complex consists of the 1,800 seat Fred Kavli Theatre and the 400 seat Janet and Ray Scherr Forum Theatre. TOArts provides marketing and fundraising assistance to the theatres to help defray operational costs. Also, each year TOArts provides theatre credits to local nonprofit performing arts groups. In addition, grants are provided yearly to the Resident Companies performing at the Thousand Oaks Civic Arts Plaza.
TOArts supports school children with the opportunity to attend select children’s performances at no charge through its Kids and the Arts school outreach program. Yearly, approximately 4,000 deserving children receive free admission and bus transportation to performances.
Basis of Presentation
The financial statements of TOArts have been prepared on the accrual basis in accordance with accounting principles generally accepted in the United States of America. The financial statements are presented in accordance with Financial Accounting Standards Board (FASB) Accounting Standards Codification (ASC) 958.
Cash and Equivalents
TOArts considers cash investments to include highly liquid investments purchased with an original maturity of three months or less. They are carried at cost, which is equal to fair value, on the statement of financial position.
As of June 30, 2024, TOArts’ deposits with financial institutions were below federal depository insurance limits.
Investments
Investments in marketable securities with readily determinable fair values and all investments in debt securities are reported at fair value. Interest and dividend income and gains and losses on investments are reported in the statement of activities as increases or decreases in unrestricted net assets unless their use is temporarily or permanently restricted by donor stipulations or by law.
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
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Note 1: Organization and Summary of Significant Accounting Policies (Continued)
Revenue Recognition
Revenue is recognized when earned. Contributions are recognized when cash, securities or other assets, an unconditional promise to give, or notification of a beneficial interest is received.
TOArts includes contributions and promises to give within net assets with donor restrictions if such items are received with donor stipulations that limit the use of the donated assets. When a donor restriction expires, that is, when a stipulated time restriction ends or purpose restriction is accomplished, the amount is reclassified from net assets with donor restrictions to net assets without donor restrictions, and is reported in the statement of activities as net assets released from restrictions.
Contributions Receivable
Unconditional contributions, including pledges recorded at estimated fair value, are recognized as revenues in the period received. TOArts reports unconditional contributions as net assets with donor restrictions if they are received with donor stipulations that limit the use of donated assets. Conditional promises to give are not recognized until the conditions on which they depend have been substantially met.
Discounts for promises to give (pledges due in over one year) are recorded as reductions to contribution revenue and contribution receivable. Discounts increase contribution revenue when the pledge is received.
Unconditional promises to give are discounted to present value using an interest rate of five percent.
Beneficial Interest in Charitable Remainder Trust
TOArts has been designated as the beneficiary of assets held in an irrevocable charitable remainder trust dated October 13, 1995. This trust stipulates that TOArts will receive $500,000 upon the death of the donors. TOArts recognizes contribution revenue with donor restrictions and, as an asset, the present value of the estimated future benefits to be received when the trust assets are distributed. Adjustments to the asset to reflect the changes in present value are recognized in the statement of activities as a change in value of beneficial interest in charitable remainder trust.
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
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Note 1: Organization and Summary of Significant Accounting Policies (Continued)
Beneficial Interest in Assets Held by California Community Foundation and Ventura County Community Foundation
In December 2017, TOArts received a $4,000,000 contribution from the City of Thousand Oaks (City) which was invested with California Community Foundation (CCF) as an increase to TOArts’ endowment. The fund is held and invested by CCF for TOArts’ benefit and is reported at fair value in the statement of financial position, with distributions and changes in fair value recognized in the statement of activities. The fair value of the assets including investment earnings is $4,048,309 at June 30, 2024.
Assets held with the Ventura County Community Foundation (VCCF) include a programming and education fund. The fund is held and invested by VCCF for TOArts’ benefit and is reported at fair value in the statement of financial position, with distributions and changes in fair value recognized in the statement of activities. The fair value of the assets including investment earnings is $209,836 at June 30, 2024.
Total beneficial interest in assets held with CCF and VCCF amounts to $4,258,146.
Long-Lived Assets
TOArts reviews long-lived assets for impairment whenever events or changes in circumstances indicate that the book value of the assets may not be recoverable. An impairment loss is recognized when the sum of the undiscounted future cash flows is less than the carrying amount of the asset, in which case a write-down is recorded to reduce the related asset to its estimated fair value. No impairment losses were recognized on long-lived assets during the year ended June 30, 2024.
Net Assets Classifications
To ensure observance of certain constraints and restrictions placed on the use of resources, the accounts of TOArts are maintained in accordance with the principles of net assets accounting.
This is the procedure by which resources for various purposes are classified for accounting and reporting purposes into net asset classes that are in accordance with specified activities or objectives. Accordingly, all financial transactions have been recorded and reported by net asset class as follows:
Net Assets without Donor Restrictions – Net assets available for use in general operations and not subject to donor restrictions.
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
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Note 1: Organization and Summary of Significant Accounting Policies (Continued)
Net Assets Classifications (Continued)
Net Assets with Donor Restrictions – Net assets subject to donor-imposed restrictions. Some donor-imposed restrictions are temporary in nature, such as those that will be met by the passage of time or other events specified by the donor. Other donor-imposed restrictions are perpetual in nature, where the donor stipulates that resources be maintained in perpetuity. Donor imposed restrictions are released when a restriction expires, that is, when the stipulated time has elapsed, when the stipulated purpose for which the resource was restricted has been fulfilled, or both.
Concentration of Credit Risk
TOArts maintains its cash and cash equivalents in bank deposit accounts and other investment accounts, which, at times, may exceed federally insured limits. TOArts has not experienced any losses in such accounts and believes it is not exposed to any significant credit risk on cash and cash equivalents.
Contributed Services and Facilities
Contributions of donated noncash assets are recorded at fair value in the period received.
Contributions of donated services are recognized if the services received (a) create or enhance long-lived assets, or (b) require specialized skills provided by individuals possessing those skills, and would typically need to be purchased if not provided by donation. During the year ended June 30, 2024, TOArts recognized revenue for in-kind donations as follows:
In-kind lodging 5,000 $
In-kind services 30,000
In-kind personnel services 294,608
329,608$
Use of Estimates
The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities, at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
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Note 1: Organization and Summary of Significant Accounting Policies (Continued)
Income Taxes
TOArts is organized pursuant to the Nonprofit Public Benefit Corporation Law for public and charitable purposes. TOArts is exempt from federal income taxes under Section 501(c)(3) of the Internal Revenue Code and Section 23701(d) of the California Revenue and Taxation Code.
TOArts is also exempt from California franchise taxes and certain general county real and personal property taxes.
TOArts has been classified as an organization that is not a private foundation under IRC Section 509(a) and, as such, contributions to TOArts qualify for deduction as charitable contributions.
TOArts Forms 990, Return of Organization Exempt from Income Tax are subject to examination by the Internal Revenue Service, generally for three years after they were filed. Similarly, TOArts Forms 199, California Exempt Organization Annual Information Return were subject to examination by the Franchise Tax Board, generally for four years after they were filed.
Employees
TOArts does not have employees. Per a Memorandum of Understanding, the City of Thousand Oaks provides personnel services to TOArts.
Functional Allocation of Expenses
The costs of providing TOArts’ programs and other activities have been presented in the statement of functional expenses. During the year, such costs are accumulated into separate groupings as either direct or indirect. Indirect or shared costs are allocated among program and support services by a method that best measures the relative degree of benefit. TOArts allocates indirect costs based on time estimates.
Management’s Review
Management has evaluated subsequent events through June 19, 2025, which is the date these financial statements were available to be issued.
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
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Note 2: Investments
Investments at June 30, 2024 consist of the following:
Stocks 2,241,396 $
ETFs and CEFs 1,116,638
Corporate Fixed Income 309,340
Government Securities 168,988
Mutual funds 6,571,516
10,407,878$
The above includes $3,150,000 which is shown as investments restricted as endowment fund principal on the statement of financial position.
Fair Value Measurements
TOArts has implemented the accounting standard which defines fair value for those assets (and liabilities) that are re-measured and reported at fair value at each reporting period. This standard establishes a single authoritative definition of fair value, sets out a framework for measuring fair value based on inputs used, and requires additional disclosures about fair value measurements. The statement applies to fair value measurements already required or permitted by existing standards.
In general, fair values determined by Level 1 inputs utilize quoted prices (unadjusted) in active markets for identical assets (or liabilities). Fair values determined by Level 2 inputs utilize data points that are observable such as quoted prices, interest rates, and yield curves. Fair values determined by Level 3 inputs are unobservable data points for the asset (or liability) and include situations where there is little, if any, market activity for the asset (or liability).
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
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Note 2: Investments (Continued)
Fair Value Measurements (Continued)
The following table presents information about TOArts’ assets that are measured at fair value on a recurring basis at June 30, 2024 and indicates the fair value hierarchy of the valuation techniques utilized to determine such fair value:
Fair Value of Measurements Using
Quoted Prices in Significant Significant
Active Markets for Other Other
Year Ended Identical Assets Observable Non-observable
June 30, 2024 (Level 1) Inputs (Level 2) Inputs (Level 3) Stocks 2,241,396 $ 2,241,396 $ - $ - $ ETFs and CEFs 1,116,638 1,116,638 - - Corporate Fixed Income 309,340 - 309,340 - Government Securities 168,988 - 168,988 - Mutual funds 6,571,516 6,571,516 - - Total Investments 10,407,878 9,929,550 478,328 - Beneficial interest in
charitable remainder trust 389,856 - - 389,856 Cash surrender value of
life insurance 83,734 - - 83,734 Total 10,881,468 $ 9,929,550 $ 478,328 $ 473,590 $
Fair Value of Measurements Using
Beneficial Interest Cash Surrender
in Charitable Value of Life
Remainder Trust Insurance Total
Beginning Balance 376,766 $ 79,219 $ 455,985 $ Change in value 13,090 4,515 17,605 Ending Balance 389,856 $ 83,734 $ 473,590 $ Significant Observable Input (Level 3)
With Donor Restrictions
The fair value of the mutual funds within Level 1 were obtained based on quoted market prices at the closing of the last business day of the fiscal year. The fair value of the beneficial interest in charitable remainder trust within Level 3 was determined as described in Note 1, while the cash surrender value of the life insurance policy within Level 3 was determined by the insurance company based on payments to be made in the event of voluntary termination of the policies prior to maturity date.
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
-15-
Note 2: Investments (Continued)
Fair Value Measurements (Continued)
TOArts recognizes transfers at the beginning of each reporting period. Transfers between Level 1 and 2 investments generally relate to whether a market becomes active or inactive. Transfers between Level 2 and 3 investments related to whether significant relevant observable inputs are available for the fair value measurement in their entirety and when redemption rules become more or less restrictive. There were no transfers between levels during the year ended June 30, 2024.
The methods described above may produce a fair value calculation that may not be indicative of net realizable value or reflective of future net values. Furthermore, while TOArts believes its valuation methods are appropriate and consistent with other market participants, the use of different methodologies or assumptions to determine the fair value of certain financial instruments could result in a different fair value measurement at the reporting date.
Note 3: Contributions Receivable
At June 30, 2024, contributions receivable are due to be received as follows:
Within one year 417,990 $
Thereafter 199,232
Contributions Receivable 617,222 $
Note 4: Concentrations
At June 30, 2024, two donors’ promises comprise 19% and 57%, respectively, of contributions receivable.
Note 5: Charitable Remainder Trust
TOArts’ interest in the charitable remainder trust has been valued at June 30, 2024, as follows:
Future value of charitable remainder trust 500,000 $
Less: Present value discount (5%) (110,144)
Beneficial Interest in Charitable Remainder Trust 389,856$
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
-16-
Note 6: Cash Surrender Value of Life Insurance
TOArts owns four $25,000 face value life insurance policies contributed by donors in prior years.
TOArts values these life insurance policies at the cash surrender value. At June 30, 2024, the cash surrender value was $83,734.
Note 7: Net Assets
Net assets without donor restrictions are comprised of the following at June 30, 2024:
General 984,485 $
Designated:
Board designated reserve (Note 8) 6,856,885
7,841,370$
Net assets with donor restrictions are restricted for the following purposes at June 30, 2024:
Subject to expenditure for specified purpose:
FOTCAP* 9,434 $
Carpenter Fund** 260,000
269,434
Subject to the passage of time:
Charitable remainder trust 389,856
Cash surrender value of life insurance 83,734
473,590
Endowment:
TOLD Endowment 350,000
Permanently restricted to general endowment 6,800,000
Total Net Assets with Donor Restrictions 7,893,024$
*The Friends of the Civic Plaza (FOTCAP) is intended to support usher recognition.
**The Mary and Richard Carpenter Performing Arts Grant Fund (“Carpenter Fund”) is intended to further musical efforts of individuals and groups.
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
-17-
Note 8: Endowment
TOArts’ endowment fund was established by donor-restricted gifts and bequests to provide a perpetual endowment, which is to provide a permanent source of income to TOArts. Beneficial interests in charitable remainder trusts are not considered part of the endowment of TOArts.
The management of TOArts understands California State law as (1) requiring the preservation of the fair value of the original gifts as of the gift date of the donor restricted endowment funds, absent donor stipulations to the contrary and (2) allowing the spending of income and gains on permanent endowments, absent explicit donor stipulations that all or a portion of such gains be maintained in perpetuity. In accordance with an enacted version of the Uniform Prudent Management of Institutional Funds Act (“UPMIFA”), TOArts preserves the fair value of (a) original gifts donated as of the date of the donor restricted endowment fund, and (b) the original value of subsequent gifts to the permanent endowment. The accumulated earnings of the donor-restricted endowment fund are classified as net assets with donor restrictions and are available to be appropriated for expenditure by TOArts in a manner consistent with the Thousand Oaks Alliance for the Arts Endowment Distribution Policy.
The primary long-term financial objective for TOArts’ endowment is to preserve the real (inflation-adjusted) purchasing power of endowment assets and income after accounting for endowment spending, inflation, and costs of portfolio management. The endowment is also managed to optimize the long-term total rate of return on invested assets, assuming a prudent level of risk. The goal for this rate of return is one that funds the existing spending policy of TOArts and allows sufficient reinvestment to grow the endowment principal at a rate that exceeds inflation (as measured by the Consumer Price Index). It is anticipated that the elements of the endowment portfolio generally should match or exceed each of the returns for the broader capital markets in which assets are invested.
The Board of Directors of TOArts has established a spending policy that distributes a specific payout rate of the endowment base to support the programs of TOArts utilizing a total rate of return methodology for spending from the endowments as provided under UPMIFA. The Board of Directors established a spending rate (for programming purposes) of 4% on a rolling twelve quarter average of the fair value of these investments. Funds not withdrawn in any one year will continue to be available in subsequent years. Such a policy allows for greater predictability of spendable income for budgeting purposes and for gradual steady growth for the support of operations by the endowments. In addition, this policy minimizes the probability of invading the principal over the long term. The Board of Directors established a reserve of $500,000 that is restricted for use when theatre performances in total for the year show a loss.
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
-18-
Note 8: Endowment (Continued)
The composition of endowment net assets as of June 30, 2024 is as follows:
For the Fiscal Year Ended June 30, 2024
Without Donor With Donor
Restrictions Restrictions Total
Endowment 6,856,885 $ 7,150,000 $ 14,006,885 $
Total Funds 6,856,885 $ 7,150,000 $ 14,006,885 $
The changes in endowment net assets for the year ended June 30, 2024 are as follows:
For the Fiscal Year Ended June 30, 2024
Without Donor With Donor
Restrictions Restrictions Total
Endowment net assets,
beginning of year 5,199,433 $ 6,800,000 $ 11,999,433 $ Contributions - 350,000 350,000 Investment return, net 1,657,452 - 1,657,452 Distribution from board-designated
endowment pursuant to
distribution policy - - - Endowment net assets,
end of year 6,856,885 $ 7,150,000 $ 14,006,885 $
As noted in Note 7, total net assets without donor restriction included $6,856,885 board- designated endowment plus $984,485 of other net assets without donor restriction for a total net assets without donor restriction of $7,841,370.
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
-19-
Note 9: Ventura County Community Foundation Endowment Fund
The Ventura County Community Foundation (VCCF) is a non-profit California public benefit corporation exempt from taxation pursuant to Internal Revenue Code Section 170(b)(1)(A)(vi).
The Alliance for the Arts, TOArts’ predecessor agency, contributed $3,000,000 to Thousand Oaks Civic Auditorium/Forum Theatre Endowment Fund (Fund) maintained by VCCF to provide financial support to the City of Thousand Oaks exclusively for the Civic Auditorium/Forum Theatre. At June 30, 2024, the fair value of the assets in this fund on deposit at VCCF was $4,563,037.
The City receives an annual distribution of the fund’s earnings. Neither TOArts nor the City has the ability to take distributions other than the annual distribution previously mentioned and has no other form of control over the fund, therefore it is not included as an asset in the financial statements of the City nor of TOArts.
The Finance Director of the City is empowered to withdraw the distributable income on an annual basis. Invasion of principal can be undertaken only in very limited circumstances and VCCF has variance powers over these funds.
Note 10: Contribution to the City of Thousand Oaks
TOArts is contractually committed to contributing annually an amount in cash which, when added to the annual amount received by the City from the VCCF’s Fund amounts to $530,604 in fiscal year 2023-24.
For the year ended June 30, 2024, earnings from the Fund distributed to the City totaled $223,854. Therefore, TOArts contributed $306,750 in cash to the City exclusively for the Theater Enterprise Fund, making up the $530,604 contribution commitment referred to above.
Note 11: Shared Revenue Agreements
The City and TOArts are parties to agreements governing “naming opportunities” at the Civic Arts Plaza. The agreements call for the City to receive a percentage of the proceeds from donors, after expenses. Current naming opportunities are executed as pledges which are payable over one to ten years.
At June 30, 2024, TOArts had successfully executed naming opportunity agreements that will result in future payments due to the City of approximately $125,853. Payments to the City due as donor pledge payments are received by TOArts.
The estimated future payments due to the City are recorded as a reduction of Contribution Revenue and an increase in Shared Revenue Agreements Payable.
Thousand Oaks Alliance For The Arts
Notes to Financial Statements
June 30, 2024
-20-
Note 12: Fundraising Costs
Total fundraising costs for the year ended June 30, 2024 were $272,572.
Note 13: Liquidity and Availability
Financial assets available within one year of the statement of financial position date for general expense consisting of the following:
Cash and cash equivalents 424,980$
Contribution receivable 417,990
Investments 7,057,053
Total 7,900,023 $
TOArts Presents
2024-25 Programming
ARTIST DATE VENUE
Tom Segura Friday, July 12, 2024 Kavli
Jon Anderson of YES Friday, August 16, 2024 Kavli
Mark Normand Saturday, August 17, 2024 Kavli
Bonnie Raitt Tuesday, September 17, 2024 Kavli
Disney Jr. Live: Let's Play! Wednesday, September 18, 2024 Kavli Kansas Tuesday, September 24, 2024 Kavli
After Dark: Dustbowl Revival Friday, September 27, 2024 Stagecoach Tyler Henry: Hollywood Medium Saturday, September 28, 2024 Kavli After Dark: Sierra Green & The Giants Friday, October 4, 2024 Stagecoach Steve-O Tuesday, October 8, 2024 Kavli
After Dark: Calling Cadence Friday, October 11, 2024 Stagecoach Andy Grammer Sunday, October 13, 2024 Kavli
Alonzo King LINES Ballet Th ursday, October 17, 2024 Kavli After Dark: Damn Tall Buildings Fr iday, October 18, 2024 Stagecoach Black Violin Saturday, October 19, 2024 Kavli
ZZ Top Tuesday, October 29, 2024 Kavli
Sammy Miller and the Congregation Friday, November 1, 2024 Scherr Ginuwine and Montell Jordan Fr iday, November 1, 2024 Kavli Jarabe Mexicano Sunday, November 3, 2024 Scherr
Trailblazers: Jean Fruth - America's Pastime Friday, November 8, 2024 Kavli Yachtley Crew Saturday, November 9, 2024 Kavli
Rick Springfield and Richard Marx Wednesday, November 13, 2024 Kavli Joshua Radin & Ron Pope Fr iday, November 15, 2024 Kavli Vitamin String Quartet: Swift Show Sunday, November 17, 2024 Kavli BEAT: Belew/Vai/Levin/Carey - King Crimson Monday, November 18, 2024 Kavli Attachment #2 to Letter
Eddie Izzard Friday, November 22, 2024 Kavli
Frankie Valli November 23, 2024 Kavli
Mannheim Steamroller Wednesday, November 27, 2024 Kavli The 5 Browns Saturday, November 30, 2024 Scherr
Trailblazers: Nat Geo - Robbie Shone Friday, December 13, 2024 Kavli The Illusionists: Magic of the Holidays Saturday, December 28, 2024 Kavli Peter Pan Panto December 2024 Scherr
Ultimate 70's: ARS, Firefall, Walter Egan Friday, January 17, 2025 Kavli Three Dog Night Friday, January 24, 2025 Kavli
Jesse Cook Saturday, January 25, 2025 Scherr
Les Ballets Trockadero de Monte Carlo Thursday, January 30, 2025 Kavli Trailblazers: Nat Geo - Heather Joan Lynch Friday, February 21, 2025 Kavli Ty Herndon: Solo Acoustic Fr iday, February 28, 2025 Scherr Socks in the Frying Pan Saturday, March 1, 2025 Scherr
Lyle Lovett and his Acoustic Group Monday, March 3, 2025 Kavli The Man in Black Friday, March 7, 2025 Kavli
Dragons and Mythical Beasts Saturday, March 8, 2025 Kavli Ballet Hispanico: Carmen Thursday, March 20, 2025 Kavli iLuminate Wednesday, April 2, 2025 Kavli
Nikki Glaser (2 perf. 7pm & 9:30pm) Friday, April 4, 2025 Kavli Sal Vulcano Thursday, April 10, 2025 Kavli
Flamy Grant (Cabaret) Thursday, April 17, 2025 Scherr
Stella Cole (Cabaret) Friday, April 18, 2025 Scherr
Philippe Quint - Smile Friday, April 25, 2025 Scherr
Tom Papa Saturday, April 26, 2025 Kavli
Trailblazers: Nat Geo - Doug Smith Friday, May 2, 2025 Kavli Blippi: Join the Band Wednesday, June 18, 2025 Kavli