Reform of Launceston’s QVMAG Costs Stall Amid Ongoing Million-Dollar Annual Losses

Key Takeaways:

• The Queen Victoria Museum and Art Gallery (QVMAG) in Launceston is facing financial challenges, with expenses expected to reach $10.17 million in 2025/26, offset by only $2.8 million in income.
• A "bold" plan to ease the financial burden on ratepayers was approved by the City of Launceston Council in 2022, involving a new governance structure and funding model.
• The plan aimed to transition QVMAG to a company limited by guarantee, unlocking access to new revenue streams, but progress has stalled.
• Stakeholders, including artist Michael McWilliams, are concerned about the lack of progress towards key benchmarks, including registration with the Australian Charities and Not-for-profits Commission and the establishment of a new skills-based board.
• The City of Launceston Council is investigating the path forward, with the recruitment process underway for a new general manager to replace Shane Fitzgerald, who resigned earlier this year.

Introduction to the Queen Victoria Museum and Art Gallery
The Queen Victoria Museum and Art Gallery (QVMAG) in Launceston is one of Tasmania’s flagship cultural institutions, widely regarded as one of the best in regional Australia. Despite its success, QVMAG has long been a significant cost to ratepayers, with expenses expected to reach $10.17 million in 2025/26, offset by only $2.8 million in income. In an effort to ease this financial burden, the City of Launceston Council approved a "bold" plan in 2022 to transition QVMAG to a company limited by guarantee, unlocking access to new revenue streams.

The Futures Plan
The plan, known as the Futures Plan, aimed to set QVMAG on a pathway to a sustainable and secure future, with the institution becoming a charity and accessing funding opportunities beyond its current scope. The plan was unanimously approved by the City of Launceston Council, with then-mayor Albert van Zetten stating that it would allow QVMAG to become a "major player in the cultural sector." However, more than three years later, stakeholders are concerned that progress has stalled, with key benchmarks, including registration with the Australian Charities and Not-for-profits Commission and the establishment of a new skills-based board, yet to be achieved.

Concerns and Setbacks
One of the main concerns among stakeholders is the resignation of QVMAG’s general manager, Shane Fitzgerald, who was working towards developing and implementing the Futures Plan. Fitzgerald was hired with the remit to find and implement a solution to the financial burden on ratepayers, and his departure has been seen as a significant setback. The president of QVMAG Friends, Vicki Dewsbury, said that Fitzgerald’s deep-dive research and consultation with staff and stakeholders was comprehensive and his findings compelling, and that his departure has left a significant void. Artist Michael McWilliams, who has exhibited at QVMAG and is a supporter of the Futures Plan, has also expressed concern about the lack of progress, stating that the plan was "not pie in the sky" but based on substantial research.

Investigating the Path Forward
The City of Launceston Council has stated that it is still committed to the Futures Plan and is currently progressing most of the actions set out. However, the council has acknowledged that the decision to move to a company limited by guarantee was made without a sufficient understanding of the legal and financial implications or timing of the transition. The council is now undertaking crucial investigative work to properly progress all identified actions, including the recruitment process for a new general manager to replace Fitzgerald. The status of the plan’s cornerstones, including the creation of an independent board and QVMAG’s registration as a charity, remains unclear, with the council stating that local government is not eligible to apply for charitable status.

Conclusion
The Queen Victoria Museum and Art Gallery is a vital cultural institution in Launceston, but it faces significant financial challenges. The Futures Plan, approved by the City of Launceston Council in 2022, aimed to ease the financial burden on ratepayers and set QVMAG on a pathway to a sustainable and secure future. However, progress has stalled, and stakeholders are concerned about the lack of progress towards key benchmarks. The City of Launceston Council is investigating the path forward, but the future of QVMAG remains uncertain. It is essential that the council and stakeholders work together to ensure that QVMAG continues to thrive and remains a vital part of Launceston’s cultural landscape.