Usually in PPP agreements targeting public goods, the government grants a capital subsidy in exchange for a service provided by the private sector. In our research we are presenting a different approach to PPP, where the private sector acts exclusively as a funder of the project, not sharing risks or decisional power. The controversial case of the Colosseum makes us understand how the sponsorship of the restoration of cultural heritage sites can become the new frontier of Public Private Partnership, but also the importance of transparency in the selection process of partners and of the dialogue with the public opinion. Moreover, the real question is, where to draw the limit for sponsorships, and what may or may not be offered to partners in exchange for their financial support.
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Public Private Partnership
1.
2. o Importance of restoration in Italy
o Partnership model of the both the
government and industry in CH
preservation
o Case studies: Fendi & Fontana
Trevi, Tod’s & the Colosseo
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja Nikolic
3. What is PPP?
Why
PPP?
o
o
o
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja Nikolic
4. PPP for Cultural Heritage in Italy
PRIVATE financing > extraordinary but necessary resource for maintenance
and management of CH Sites
{2004} new Code for Landscape and Cultural Heritage > SPONSORSHIP
Association of name, trademark or image to the initiative subject to the
grant, in ways compatible with the artistic character of the asset to be
exploited, by entering into specific contracts.
Tax deduction equal to 1/10 of the tax
Full tax deduction for businesses that invest in culture with the Law
342/2000 > as a result, just in 2003 €16,933.693 devoted to culture
(increase of 2mil from 2002)
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja
Nikolic
6. Timeline: Colosseum & Tod’s
72 A.D. Building of Flavian Amphiteatre > Colosseo > gladiator shows and
venatorii
523 A.D. Last show
1803 Earthquake > first consolidation works > from ruin to national monument
1939 Last consolidation works > now 40 cm of difference in height
2010 (August) Municipality of Rome published a call > “search for sponsors for financing &
execution”
2010 (January) Signed sponsorship agreement with Tod’s > 25 million euro > exclusive use
of image for 15 years
2011 (March) UIL-Cultural Heritage forwards a complaint
2011 (November) CODACONS appeals to the TAR Lazio for annulment and suspension of
sponsorship
2011 (December) AGCM (Market Competition Authority) comment the procedure followed for
the agreement
2012 (February) The Authority for the Supervision of Public Contracts expresses its
evaluations
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja
Nikolic
7. Pure Patronage vs. Business
SISTINE CHAPEL:
o 1980 Nippon television
o 18 billion dollars
o 13 years
o more than 150 hours of footage
o 13 programs of 2 hours
o purchased by nearly 80
countries around the world
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja
Nikolic
8. Pure Patronage vs. Business
TREVI’S FOUNTAIN
o December 14, 2012 >
agreement Municipality of
Rome & Fendi
o 2 million and 180 thousand
euro
o commitment to financially
support the restoration of the
Four Fountains
“Nothing but pure patronage sponsorship”
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja
Nikolic
9. Analysis of the model of partnership
Form
o Public-Private Partnership {PPP}
o Cross Sector Partnership
o Complementary Partnership
o Quasi-Concentration Partnership
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja
Nikolic
10. Analysis of the model of partnership
Actors
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja
Nikolic
11. Analysis of the model of partnership
Growth options
Upstream
vertical
integration
Diversification International expansion
Downstream
vertical
integration
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja Nikolic
13. quotes
” the main element of a different model of development” and "With the restoration of the
Flavian Amphitheatre try to draw the country of the future, filled with culture as the main
element of a different model of development.”
-Lorenzo Ornaghi, Minister for Cultural Heritage
"Compared to the amount invested, the counterbalance is disproportionate in its favor,”
- national responsiblenfor Culture, Giulia Rodano.
„‟The decision made by Diego Della Valle goes beyond the benefits of return as a good
example in difficult times and cuts funding to protect our heritage. Any other
interpretation is misleading,‟’ - Vittorio Sgarbi, Italian art critic, politician,
cultural commentator and TV personality.
"A challenge model, we must transform the Coliseum by splendid ruin a focal point for
Roma and for the country, the restoration will be an example for Italy that is patronage.”
- Gianni Alemanno, Mayor of Rome
“..there is the need to apply the new public / private partnership (it is worth recalling the
more positive example of the Michelangelo's Sistine Chapel) and return to the world one
of the most representative and visited monuments in the world,”
- Umberto Broccoli, television writer, radio host, television host and Italian, since 2008
Superintendent of Cultural Heritage of the city of Rome.
14. Motivations & Values
Municipality of Rome & The
Archaeological Superintendency of
Fendi & Tod’s
Rome
o
o
Motivation o
s
o
o
Values
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja Nikolic
15. Maintaining a successful partnersh
Characteristics of the Government Partnership
o Significant clearly defined common goals
o Financial investment
o Sharing of the control of decisions
o Sharing the significant risks and benefits
16. Maintaining a successful partnership
Phases of Creating a Partnership
& Critical Factors
o Alliance formation & partner selection
o Alliance design
o Post formation alliance management
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja
Nikolic
17. Advantages
o
o
o
o
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja Nikolic
18. Disadvantages
o Where are the limits of the sponsorship of cultural heritage?
o What may or may not be granted to the public sector in
exchange for funding?
o Is it desirable to introduce legislation that would provide for
the protection of the’ image’ of the site? Since cultural sites
are cultural commons administered by the state, it is
possible to transfer the use of the image to a sponsor, or to
limit their use to third parts?
Nour Abdallah. Ekaterina Baskakova. Shao Kang Chunzi. Natasja Nikolic
The history of industry-government alliances in Italy portrays numerous examples when it comes to the restoration of historic monuments or sites such as pompeii, the Colonnade of St. Peter's Square sponsored by eni, wind and enel in 2008…going to investigate the existing model of partnership between industry and government in the field of cultural heritage preservation and restoration. Given the latest controversies brought out by the Colosseum case, we will focus on the pros and cons of such a partnership
Refer to restoration in italyAdd what section
Disadvantages ?? ( private wanting involvement) (limit & freedom..) (right for the image)