Deaccessioning dispute at Valparaiso

 Selling donated art is controversial, but it is tempting when the budget is bare...

The NY Times has the story:

Its Georgia O’Keeffe Is Worth Millions. And Its Dorms Need Updating. In the face of declining enrollment, Valparaiso University in Indiana wants to raise money to renovate two dormitories by selling treasures from its art museum. Not everyone is on board.  By Kalia Richardson, March 10, 2023

"Valparaiso, a Lutheran university in northwestern Indiana that is struggling with the declining enrollment seen at many schools, is planning to sell several works from the collection of its Brauer Museum of Art to raise $10 million for the renovation of two freshman dormitories, which it sees as key to securing its future.

"The announcement angered many arts organizations and has divided the university: Last week the faculty senate approved a nonbinding resolution that sought to halt the sale and identify alternative ways to fund the renovations.

...

"Schools typically court controversy when they announce they will sell artworks to raise funds, an act known as deaccessioning. Several sales have resulted in sanctions from art associations. To settle a lawsuit, Brandeis University, in Waltham, Mass., reversed its decision to sell off its artwork and close its museum, part of a plan it had made in 2009 during the Great Recession."

More on the repugnance of selling art, if you're an art museum

In Philadelphia:
La Salle plan to sell museum masterpieces stuns art community

"La Salle University, which has struggled to plug a projected deficit in recent years, plans to sell 46 pieces of art from its prized museum collection to help fund teaching and learning initiatives in its new strategic plan, officials said Tuesday...

Approved by the school’s board of trustees and announced by university president Colleen M. Hanycz, the decision “is a strategic and good use of our assets,” university spokeswoman Jaine Lucas said. “We are doing what we feel is in the  interest of our students.”

It follows similar steps by other universities around the country in recent years to help stem financial woes — although some schools that have sold or attempted to sell art have faced challenges.

At Brandeis University in Massachusetts, a plan to close its museum and sell its art was reversed after backlash from students and faculty and legal action. Randolph College in Virginia was roundly criticized for its decision to sell a George Bellows painting worth more than $25 million.

The same controversy could follow the decision at La Salle, a 3,200-student Catholic university in Philadelphia’s Logan section, whose collection composes one of the most highly regarded university museums in the region. Just hours after the announcement, members of the local art community began questioning the decision."

From the NY Times: Art Owned by La Salle University Headed for Auction at Christie’s

"The process of selling art, known as deaccessioning, is a fraught one for museums; major professional organizations like the American Alliance of Museums condemn the sale of art to pay for expansions, physical repairs or ongoing expenses, as opposed to using the proceeds for the acquisition of other works or, perhaps, the care of a collection.

At times, government agencies that oversee nonprofit institutions have intervened to halt sales.

In 2009, for instance, the attorney general’s office in Massachusetts conducted a detailed review of Brandeis University’s unexpected announcement that it would shore up its struggling finances by selling all of the works––including those by Robert Rauschenberg, Jasper Johns, Andy Warhol and Roy Lichtenstein––held by its Rose Art Museum, one of the most important collections of postwar art in New England.

Later four of the museum’s benefactors sued to stop any art sales.

That lawsuit and the attorney general’s investigation were both resolved in 2011, with Brandeis announcing that it had “no aim, plan, design, strategy or intention to sell any artwork donated to or purchased by” the school for the museum and that the Rose museum will remain a “university art museum open to the public.”

Repugnance watch: Deaccessioning art (i.e. selling it)

Some time ago I had a set of posts on Brandeis University's plan to sell some of its art. Apparently the professional ethics of museums allows art to be sold to buy other art, but not to fix the roof or pay for other things.  Sometimes a sale would violate the terms of the gift of the art, but apparently the repugnance applies even when it would not. Now comes a story (in the NY Times) about similar considerations at Fisk University: A Prized Stettheimer Painting, Sold Under the Radar by a University

"When Fisk University, the historically black school in Nashville, tried to sell two paintings several years ago from its storied Alfred Stieglitz art collection, a firestorm erupted. The proposed sale violated conditions of the gift of the collection from Stieglitz’s widow, Georgia O’Keeffe, according to her foundation.

"A drawn-out legal challenge ended in a compromise in 2012 that allowed Fisk to share its collection with Crystal Bridges, the Arkansas museum founded by Alice Walton, the Walmart heiress, bringing the struggling university an infusion of $30 million.

"But what was not revealed at the time, and has only recently come to light, is that before the agreement was completed — and with the debate over the future of Fisk itself swirling around her — Hazel O’Leary, then the university’s president, on behalf of the school quietly sold off two other paintings owned by Fisk.

"The institution was “under duress,” said Patrick Albano of Aaron Galleries, an art dealer from Illinois whom Ms. O’Leary asked to broker the sale.
...
"According to Mr. Albano, Fisk decided to sell work by Stettheimer and the painter and illustrator Rockwell Kent, which had been donated to the university with “no strings attached.”

“Shame on them,” said Lyndel King, director of the Weisman Museum at the University of Minnesota and a chairwoman of the Task Force for the Protection of University Collections, referring to Fisk’s actions. “It’s very much against the ethics of our profession.”

"Though the task force does not have legal authority over universities, its members, who represent several museum associations, can censure those who sell art to pay operating expenses, putting pressure on them not to treat art as an A.T.M. That practice “alienates donors and undermines the purpose of having a museum on campus,” Ms. King said.

"Various museum associations say that deaccessioning art, if not in violation of the original gift, is justified if the proceeds are used to buy more art. It is the cherry-picking of a painting here and a painting there to bolster an endowment or support operating expenses that is frowned upon.

"Universities, however, have argued in several settings that they must consider such sales when the fiscal alternatives — cutting programs or staff — are untenable."

Should museums sell art only to buy more art?

Another university has contemplated--and then gone ahead with--selling art to raise money.
Inside Higher Ed has the story:

Art vs. Endowment

February 10, 2014

By

Scott Jaschik

"More than six years after announcing plans to sell a masterpiece of American painting -- the 1912 work "Men of the Docks," by George Bellows -- Randolph College has done so, gaining $25.5 million for its endowment.

In selling the painting, the college disregarded the policies of several art and museum groups, which state that museums (including those run by colleges) should sell art only to buy more art, not to improve their finances. The significance of "Men of the Docks" is evident not only by the price, but by the purchaser, the National Gallery of Britain, for which the painting is the first major work by an American ever bought for the permanent collection.

Randolph officials portray the sale as a success for the college, giving its endowment a significant boost, and point as well to internship opportunities the National Gallery has agreed to create for Randolph students.

But arts associations fear that such sales only encourage others, and undermine the role of college museums in preserving art, and educating students about art. In some cases, as at Randolph, college administrators have proposed to sell art. Brandeis University administrators in 2009 proposed to sell off its noted collection of modern art -- and the university backed away from the plan after a huge uproar.

Sometimes the idea is pushed from outside (especially at public universities). In 2011, some legislators urged the University of Iowa to sell Jackson Pollock's "Mural," an 8-by-20-foot painting that is considered one of the masterpieces of abstract art and of modern American art. (The university resisted the push.)

At Randolph, the board approved plans in 2007 to sell four paintings from the college's art museum, fought off a lawsuit seeking to block the sale, and sold one prior to "Men of the Docks," which is by far the most valuable and artistically significant in the collection."

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Recall the earlier imbroglio that ensued when Brandeis university considered selling some of its art, which I wrote about here.

Brandeis and critics agree that sales of donated art are repugnant

After a change in presidents, the controversy about whether Brandeis University could sell its art has ended, Inside Higher Ed reports: Brandeis Will Keep Its Art

"One of the flashpoints in the debate over whether colleges and universities should ever sell significant works of art was resolved Thursday -- with Brandeis University pledging to strengthen the Rose Art Museum rather than sell its masterpieces.

"Based on the promise, four supporters of the museum who sued the university two years ago agreed to end the litigation. Further, the Massachusetts attorney general's office has agreed to end its inquiry into the university's handling of the art collection.

...

"There have been several cases in recent years of colleges trying to sell or being pressured to sell parts of valuable collections. Fisk University remains in a legal battle over its desire to sell (or to partly sell) a $30 million collection of modern paintings by Georgia O'Keeffe and others. The University of Iowa this year fended off calls for it to sell Jackson Pollock's "Mural," an 8-by-20 foot painting that is considered one of the masterpieces of abstract art and of modern American art. Some estimated that the painting could have brought in as much as $140 million.

"Longstanding policy in the art world is that donated works of art be sold only to finance the purchase of more art, not to have the funds shifted to other purposes. So art supporters at Brandeis and elsewhere were stunned when the university in 2009 announced plans to shut the Rose Art Museum and sell off its works.

...

"The university made the announcement in January 2009, with officials citing a major hit taken by the endowment and severe budget problems facing Brandeis. “These are extraordinary times,” said a statement from Jehuda Reinharz, then the university's president, as the decision was announced. “We cannot control or fix the nation’s economic problems. We can only do what we have been entrusted to do -- act responsibly with the best interests of our students and their futures foremost in mind.”

The decision immediately prompted an outpouring of anger at the university from supporters of the arts, and donors to the Rose. Eventually, the university faced the lawsuit, an inquiry from the state, and widespread condemnation -- even as Brandeis put the plans to sell the art on hold.

...

"David A. Robertson, director of the Mary & Leigh Block Museum of Art at Northwestern University, was president of the Association of Academic Museums and Galleries when the initial Brandeis plans were announced. He said Thursday that he was thrilled with the news that the university was committing itself to strengthening the collection.

"The Brandeis controversy was "the flagship problem" for those worried about the sale of art, because of both the caliber of the university and the stature of the collection, he said. "It was very detrimental to art that Brandeis would have considered that move," he said.

"The debate over art at Brandeis has been valuable, Robertson said, in that it has "made other institutions aware of the issues that revolve around their collections." He said he hoped the uproar Brandeis has faced would discourage similar proposals."


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Here's the museum website: The Rose Art Museum

Sales by museums

The NY Times reports on a Philadelphia museum's sales of parts of its collection to finance renovations, and on the controversy this has caused: Museum Sells Pieces of Its Past, Reviving a Debate

"A galloping horse weather vane sold for about $20,000, and the cigar store Indians brought in more than $1 million. A Thomas Sully oil painting of Andrew Jackson netted $80,500, and a still life by Raphaelle Peale, part of the family that put portraiture in this city on the map, was auctioned at Christie’s for $842,500.

"These were just a few of more than 2,000 items quietly sold by the Philadelphia History Museum over the last several years, all part of an effort to cull its collection of 100,000 artifacts and raise money for a $5.8 million renovation of its 1826 building.

In doing so the museum stepped into the quicksand of murky rules, guidelines and ethical strictures meant to discourage museums everywhere from selling collections to pay bills. It is one of the hottest issues in the museum world today. With budgets shrinking in a bad economy, the pressure to generate revenue is growing along with fears that museums are squandering public trusts meant to preserve the artifacts of the past for future generations.

The National Academy Museum in New York, Fisk University and Brandeis have all recently drawn fire — and even sanctions — for selling or planning to sell artworks, and none of them sold as many works as the museum here.

"In general art and objects are supposed to be sold only to finance acquisitions, though different museums are governed by different standards. Art museums, regulated by a formal code of the Association of Art Museum Directors, may not sell work for any other reason.

"As a history museum, though, this institution — formally called the Philadelphia History Museum at the Atwater Kent — is subject to separate, less stringent guidelines put forward by other associations. So museum officials say the installation of new carpet, paint and lighting were all legitimate expenses to be paid from the proceeds under the guidelines of the  American Association of Museums, which say that sales can be used for the “direct care” of a collection. Adding to the confusion, there is a third set of standards maintained by theAmerican Association for State and Local History permitting proceeds to go toward the “preservation” of a collection, a similarly broad term.

"The New York State legislature, confronting this maze of precepts, recently considered passing a law that would make selling collections — the art world term is deaccessioning — to pay operating expenses illegal. It never made it to the Assembly floor because museums opposed it."

And here's another story about a librarian who submitted her resignation over deaccessioning: Small Town, Big Word, Major Issue
"Deaccessioning is the kind of word that makes eyes glaze over and can seem to be the preserve of dusty intellectuals and large museums. But it’s just a fancy name for the sale or giving away of art and artifacts by museums and other cultural organizations, and the dust-up here in this city of about 5,000 demonstrates that such debates occur in all kinds of places, big and small, where people feel protective about materials in their care.
With her personal gesture of protest in late September, Ms. Phillips stepped into a growing public controversy surrounding institutions that have sold or considered selling parts of their collections, which have been entrusted to them for the public’s benefit. Some say such sales can compromise collections, and others argue that museums, libraries and historical societies have to cull their collections periodically, particularly if there is pressure to pay their bills.
In Little Falls, library officials said they were selling things to raise money, not to cover operating costs, which institutions try to avoid, but to preserve other artifacts.
“We don’t have the space to take care of some of these items,” said Chester P. Szymanski III, the library’s president. “We’re not a museum. We’re a library.”

Renting art at Brandeis

Can a university profit from artwork it owns (that has been donated to it)? Last year Brandeis University raised a storm by proposing to close its museum and sell its art (see my posts here and here.) Now it has proposed renting some of its art (here's the story from the Brandeis student newspaper, The Justice), and that too has generated some criticism. But the Globe thinks renting rather than selling is supportable, here's their editorial:Brandeis: Renting out art for art’s sake

"Brandeis University is raising eyebrows in the museum world with its plans to lend out artworks for money, but exploring this option is a reasonable way to preserve the financially strapped school’s collection.
"Last year, Brandeis considered closing the renowned Rose Art Museum and selling off some of its 7,500 objects. Had that happened, both the school and the region would have been worse off for it. Now, the Globe recently reported, the school is hiring auction house Sotheby’s as a lending broker. Collecting fees from institutions that might want to display some of the museum’s works could generate badly needed funding and might even increase awareness of the Rose as well."

Update: [6:14:18 AM] Bettina Klaus writes "saw your blogpost on renting art and remembered that my Maastricht neighbors are renting some http://www.bonnefanten.nl/en/art_lease (Bonnefanten Art Lease Contemporary art at your home)

Market for art: Brandeis, continued

When I earlier wrote about Brandeis University's decision to close its art museum and sell its art, I noted that many of the reactions to this announcement treated the selling of (donated) art by a museum as a repugnant transaction. Now, Brandeis is reconsidering: Brandeis president issues an apology: Laments museum announcement. "Reinharz's effort yesterday to soothe a fractured Brandeis community followed last week's surprise announcement that the school planned to close the museum and sell off its artwork as it confronts a financial crisis. That decision had incited protests on campus as well as a firestorm of criticism from the art and philanthropic worlds.... "As for the art, Reinharz said that the university does not intend to put all 7,180 works on the auction block. Only a "minute number" would be sold "if and when it is necessary," he said in Wednesday's interview.... "Reinharz released the letter following a rebuke from faculty late Wednesday, urging him to suspend any final decisions on the museum. His administration's abrupt announcement last week had created a "crisis of confidence" among faculty members, the faculty said in a letter to the president." Letters to the NY Times on the subject eloquently express strong, conflicting opinions. E.g., on the one hand, "In a meeting with alumni leaders in the fall, Jehuda Reinharz, president of Brandeis, stated that he would not allow a student to drop out because his or her parents could no longer afford tuition. I thought that was a wonderful position, and it made me prouder of my university than any work by Jasper Johns or Andy Warhol ever did....No one thinks selling art is desirable. But allowing students to have to leave school is not an acceptable alternative. " And on the other, "On Jan. 20, I stood on the Mall and watched as President Obama said, “We reject as false the choice between our safety and our ideals.” He continued, “Those ideals still light the world, and we will not give them up for expedience’s sake.” Six days later I discovered that my alma mater had done just that, when Brandeis University’s board and president traded the Rose Art Museum for a short-term fiscal fix. Of the university that ignited my intellectual curiosity and helped to instill in me a lifelong love of the arts, I ask: If you do not stand for the arts when it would be easier not to, did you ever really stand for them at all? "

Market for art

One of the unusual things about the art market is that the "velocity" of art that becomes acknowledged as important, i.e. the rate at which it changes hands, is low. This is particularly so for art that is acquired by museums; it is often much harder for museums to sell art ("deaccession" it) than to buy it; many people think that museums should not sell art, particularly when it is acquired by donation. (Tax laws cause a lot of art to be donated to museums, as does the desire to maintain the integrity of particular collections.) All of this is on display following the decision of Brandeis University to close its art museum and sell all of its art: Ailing Brandeis will shut museum, sell treasured art. The university needs both to cut its budget and replenish its endowment, but the decision to do it this way has aroused at least a little repugnance. Some quotes from the Globe article: "The move shocked local arts leaders and drew harsh criticism from Rose supporters and the Association of College and University Museums and Galleries. " "While museums regularly deaccession individual pieces, the wholesale sell-off of a collection of the Rose's stature is unprecedented. Codes of practice common among museums stress that art should not be sold to cover operating expenses." ""I'm in shock," said Mark Bessire, the recently named director of the Portland Museum Of Art. "This is definitely not the time to be selling paintings, anyway. The market is dropping. I'm just kind of sitting here sweating because I can't imagine Brandeis would take that step."" ... ""This art was never given to the museum for those purposes," he said. "It should be a last resort. I can't understand how Brandeis is in such dire straits." "There's a history of the Rose, a beautiful history in the annals of contemporary art that is not understood by the president or any of the board of trustees," said Lee. "What they’re doing is a travesty.""