7 Best Practices for Gifting Art to Museums

Appraisals for Charitable Deductions in Southern California

 

Investment News has a good article titled “The Art of Legacy Planning – 7 Best Practices for Gifting Art to Museums”.  In the article they state that high net worth individuals spend an average of 17% of their wealth on art and antiques, a passion investment.   Part of managing this investment is planning for the future of the collection.  One option is to donate to a non-profit organization such as a museum.  To maximize the benefit from a donation these steps are suggested:

1. Create a plan with your client, legal counsel and an independent art adviser that includes the donor’s close family or other heirs as appropriate. Including family and/or heirs in the process can help clarify a donor’s intent, prevent future conflict and actively aid in preserving the donor’s legacy. The plan should include having the artwork professionally appraised by an accredited appraiser with relevant experience in the type of artwork being donated. The appraisal cannot be made earlier than 60 days before the donation. In cases where donors are concerned about whether the IRS may accept a valuation, such as when there are fluctuating markets for similar artwork, an IRS Statement of Value may be obtained for artwork valued at $50,000 or more to provide the donor with certainty.

2. Try to place artwork in museums that have missions and continuing collection interests that strongly align with your clients’ intent and contents of their collection. Clients often will know of strong prospects. But clients focused and passionate about their collection may not recognize how their collection will best fit with a museum’s broader collection, its goals and its limitations in space and other resources.

3. Consider art museum policies and practices for donors and “deaccessioning” (removing items from museum holdings, usually to sell them). Mr. Welch pointed out that “many museums want to retain the ability to improve their collections through the acquisition of better examples. In such a case, a gifted artwork might be deaccessioned and the proceeds used to acquire a superior work. When that happens, the donor’s name of the original gift typically appears in the newly acquired work’s credit line.”

4. Consider museums that are members of monitoring or regulating associations. For example, the Association of Art Museum Directors requires a written policy for “deaccession principles, procedures and processes”. They also require that “funds received from the disposal of a deaccessioned work shall not be used for operations or capital expenses. Such funds, including any earnings and appreciation thereon, may be used only for the acquisition of works in a manner consistent with the museum’s policy on the use of restricted acquisition funds. In order to account properly for their use, AAMD recommends that such funds, including any earnings and appreciation, be tracked separate from other acquisition funds.”

5. Check the health of organizational finances by looking at Form 990 tax filings and/or charity rating agencies like Charity Navigator. One quick test is to look at total assets and total liabilities. Stable charities — like stable businesses — generally have assets exceeding liabilities.

6. Consider supporting museum operating costs as part of a donor’s commitment to their gift of artwork. Financially supporting the museum is another way of helping to preserve a donor’s legacy and a logical step in a client’s charitable, financial and tax planning.

7. As you draft an agreement for the gift, consider including a “statement of intent” that clearly and personally outlines the desires and expectations of the donor for their donation. Sharing this statement with family (and/or other heirs) and the beneficiary museum can help clarify intent, expectations and address any concerns of heirs or the museum. A statement of intent can also clarify donor intent for future generations and may help prevent legal challenges. Donors who bequeath their art collections to museums share an intimate part of their lives. Advisers can help provide guidance that will preserve and protect their client’s wishes, smooth the process and help establish their client’s legacy for the benefit of future generations.

Source: Investment News The first item on the list includes having your artwork professionally appraised by an accredited appraiser.  Credentials for qualified personal property appraisers are earned with their professional appraisal societies.

About the Author: Kathi Jablonsky, ISA CAPP is a certified appraiser of personal property designated in Antiques and Residential Contents with the International Society of Appraisers. She is based in Southern California and serves the San Diego and Palm Desert regions.

Events for Personal Property Appraisers and Collectors in California

Heath Ceramics Factory Tour, Sausalito
October 17th, 10:30 AM  – 11:30 AM
Sponsored by AAA
 
Photography and Sculpture: The Art Object in Reproduction, Los Angeles 
October 25th, 9:30 AM  – 5:00 PM
A Getty Research Institute and Clark Art Institute Symposium 
 
Appraisal Research Workshop, Los Angeles
Getty  Research Institute
December 2, 1:00 PM – 4:00 PM
Sponsored by AAA

Past event:

Foundation For Appraisal Education Seminar, Alameda
August 28-29
Sponsored by the FAE and Michaan’s Auctions
A fabulous opportunity to spend 2 days listening to lectures on a variety of subjects and meet appraisers from different associations. 
Kathi Jablonsky, ISA CAPP with Loredano Rosin sculpture
Kathi Jablonsky, ISA CAPP with Loredano Rosin sculpture
 
   

 

 

 

HOW OLD IS AN ANTIQUE?

As an appraiser, I receive calls daily from potential clients saying they have an antique to be evaluated.   If the caller is in their twenties, they may be speaking about something only 30 years old.   On the other hand, if I ask a room full of senior citizens how many of them think they are antiques, the majority of people in the room raise their hands.  It’s a matter of perception.

Although we may see varying descriptions, there is a U.S. government definition for an antique.  Guidelines were originally established by the U.S. Customs Service for import tariffs.   In the Tariff Act of 1930 an antique was defined as an object made before 1830, after which mass production became common.  In 1993, Title VI of the North American Free Trade Agreement Implementation Act (Pub. L. 103-182, 107 Stat. 2057), also known as the Customs Modernization or “Mod” Act, became effective.  These provisions amended many sections of the Tariff Act of 1930 and related laws.  Thus, there is a rule of 100 years old to describe something as “antique”.   

RESOURCES:

“Shopping For Antiques” from the Federal Trade Commission.

“Works of Art, Collector’s Pieces, Antiques, and Other Cultural Property” from U.S. Customs and Border  Protection at the U.S. Department of Homeland Security.

 

Kathi Jablonsky, ISA CAPP is a full time personal property appraiser designated in Antiques and Residential Contents with the International Society of Appraisers. She is based in Southern California and serves the San Diego and Palm Desert regions.

Deadline Approaches for Appraisal Scholarships

The Foundation for Appraisal Education offers annual scholarships for personal property appraisers to further their education.  For the 2014-2015 year they are offering two scholarships for new appraisers (with less than 2 years experience) and two for experienced appraisers.  The deadline for application is May 30, 2014 and is approaching quickly.   For applications, guidelines and procedures go to the FAE website and click on “scholarship”.

Foundation For Appraisal Education

 

 

Educational Opportunities for Appraisers in California

It’s important for professional personal property appraisers to take continuing education courses.  Not only to sharpen our skills but to acquire education credits with our professional appraisal associations.   The following events will take place  over the next few months in California:

Uniform Standards of Professional Appraisal Practice (USPAP) for personal property appraisers, 7-hour update class:

May 10, Seal Beach, College For Appraisers

Workshop on the Identification and Care of Architectural Drawings and Photo-reproductions: June 18-20, Stanford University Libraries

Foundation for Appraisal Education Seminar, August 27-29, hosted by Michaan’s Auction House in Alameda.  Featuring lectures on modern, Asian  and California art as well as wood I.D., snuff bottles and Tiffany glass.  Additional post-seminar tours available on August 30.  Foundation For Appraisal Education

 

Kathi Jablonsky, ISA CAPP is a full time personal property appraiser specializing in antiques and residential contents in San Diego and Palm Desert, California.

EVENTS IN SOUTHERN CALIFORNIA: PALM SPRINGS SHOWS

February will be a stellar month for shows at the Palm Springs Convention Center over President’s Day Weekend.

First is the 3rd annual PALM SPRINGS FINE ART FAIR, February 13 – 16, featuring post-war and contemporary art from over (60) galleries around the world.

Palm Springs Fine Art Fair
Palm Springs Fine Art Fair

Second is the 14th annual PALM SPRINGS MODERNISM SHOW & SALE , February 14 – 17, featuring (82) premier national and international decorative and fine arts dealers presenting all design movements of the 20th century.

Palm Springs Modernism Show
Palm Springs Modernism Show

Third, if you’re really into modernism there are ten (10) days of activities, lectures, shows and tours throughout the Coachella Valley, February 13 – 23, MODERNISM WEEK, featuring mid-century design, architecture, art, fashion and culture.

Modernism Week
Modernism Week

Come to the desert for a few days or a few weeks.  There’s something for everybody interested in fine art and modernism.

 

 

 

 

 

 

How to Ship Antiques Safely

A dresser owned by a queen. A teapot once used by your great, great grandmother. When we ship antiques, we’re not just moving around things; we’re shipping history from here to there.

We care that antiques remain preserved. We want them to continue to convey the past in a way that enriches the present. A broken object seldom does that in the same way. As such, every antiques shipment is all about the extra steps. What follows are some tips to help ensure that your objects and their histories arrive intact.

 

Ahead of Time: Preparing to Ship Antiques 

While packing and shipping a Christmas present or care package yourself is fine, doing the same for an antique or priceless family heirloom is not. This job is best left to the professionals. A knowledgeable antiques shipping company can assess the needs of your item and properly handle it from start to finish.

After taking the first step to hire a reputable packing and shipping company, you should take a look at the different insurance policies the company offers. It’s the claim you never want to file, but part of shipping antiques is also about insuring. You want a solid and well-documented appraisal of the objects before they go. Some companies even offer specialized staff to simplify this process. This tends to mean that your shipper has lots of experience with antique-specific tasks.

 

Shipping: Containers and Packing for Antiques

There are some steps that you want to see your shipper make when packing up your piece. The following shortlist can help you identify best practices.

Prepping the Object: Packing antiques is often about securing fragile and moving parts. If your shipper can safely remove any doors, handles, glass panels or other delicate parts, they should. Each item should then be packed separately and clearly labeled.

Shell Materials: Depending on what you are shipping, double wall cardboard boxes may be the best material of choice. Your shipper should insulate your antique with bubble wrap and foamcore pieces within one container and then place that shell within a second layer of cushion and a second box. Other kinds of objects will do better in plastic hard-shell structures, or they’ll require a custom-built wooden crate. Be certain that the shipper you choose can provide these important custom packaging options.

Adhesives: Securing components against independent motion? Antiques shipping experts say “no” when it comes to adhesive tape. The company should use string and ropes instead. Better yet, hold down parts that could be damaged with shrink wrap.

Finally, before your packed antiques go out the door, double check that every crate and box is accurately and very legibly labeled. Be sure that your packing carries the proper precautions: Fragile. Do not load or stack. This side up.

With these steps complete, your antiques are in good shape to arrive intact, and the process will become just another part of their ongoing story – a new chapter with many more to come.

antique stove
-James O’Brien’s work can be found at Mashable, OPEN Forum, Forbes.com, TheAtlantic.com, and elsewhere. He writes about media, finance, business, travel, and tech.

 This article was prepared for Antique and Personal Property Appraisals on behalf of Craters and Freighters.

 

Are Your Prized Possessions Protected?

Insurer USAA posted an article titled “Are Your Prized Possessions Protected?” explaining the basics of homeowners insurance coverage and when valuable personal property insurance might be needed.   Antiques, fine art, silver, jewelry and several additional items can be covered under a specialized policy.   Included in the article is a list of steps to follow to get the most protection:

  • Check your current coverage. Before getting an additional policy, review your homeowners or renters policy and fully understand what the policy covers and what it doesn’t.
  • Update the appraisals. Keep appraisals current (at least every five years), and notify your insurance company if the value changes. Appraisals should be done by a certified professional appraiser with expertise and credentials in the type of item you are insuring.
  • Keep all documentation. Proof of ownership is required when you report a loss, so the more paperwork you have — receipts, appraisals, financing statements, and repair or cleaning bills — the easier it will be if you have to make a claim.
  • Details matter. Provide your insurance company with a full description of each item. For example, if you are insuring a diamond ring, you want to list the cut, clarity, carat, color, number and measurements of the diamonds, and the type of gold — the more detail the better.
  • Do your part. Keep your valuable possessions properly cleaned, maintained and safely stored to avoid damage, loss and theft.

 

An important part of special coverage is to have your valuable items appraised by a qualified appraiser, and updated every 5 years.

Source: USAA website

Events in Southern California: DollMastery Seminar & Auction

An opportunity to learn about the connoisseurship of antique and collectible dolls will be available at a Dollmastery Seminar conducted by Florence Theriault in Los Angeles on Friday April 12 , 2013.  It will be followed by two days of catalogued doll auctions on April 13th and 14th.  All events will be hosted at the Universal Hilton by Theriault’s, one of the premier doll auction companies in the U.S.  For more information and reservations, contact www.theriaults.com

RESOURCES:

http://www.dollreference.com/

http://www.thedollworks.net/

http://dolllinks.blogspot.com/

http://www.nadda.org/

 

 

 

 

 

Collecting the Olympics

The fanfare, emotion and sports competition of the 2012 Olympics has passed.  Many collectors have found a way to extend the excitement year round by collecting Olympic memorabilia.  

You can start out inexpensively by collecting pins, coins, stamps and mascots from recent years.   Some collectors progress to a higher, more expensive level including medals and torches.  There’s something for every interest and budget.  To narrow down the choices begin collecting by category, year, country or sport.     

I have a modest Olympic collection of my own, and display many items in my office.  It started off when I worked at the 1984 Olympics in Los Angeles.   I was stationed at the USC Olympic Village where I was able to trade pins with the athletes and collect small souvenirs.  Over the years, I have added items from other olympics to my collection.  However, I realized that the pins I collected directly from the athletes in Los Angeles mean the most to me because of their personal connection.     

As an appraiser, one of the most exciting opportunities I’ve had was to appraise a silver award medal owned by an olympic athlete.   It was an insurance appraisal and it gave me the opportunity to examine the sales comparison approach (what similar items have sold for) versus the cost to reproduce the medal.   

If you still want a unique souvenir from the London Olympics, you can purchase something at the Official London 2012 Auction website.   They are auctioning off everything from game used equipment, to ceremony props and torches to help defer the cost of putting on the games.   

 

Appraiser of Olympics Memorabilia in California
Appraiser of Olympics Memorabilia in California

 

RESOURCES

Official website of the Olympic Movement

Olympic Collectibles and Collecting Olympic Memorabilia

Ingrid O’Neil Sports & Olympic Memorabilia

Olympin  – Olympic Collectors Club

Olympic Games Memorabilia and Collectibles

Top 10 Most Expensive Items of Olympic Memorabilia