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Building loans The establishment of the Maurice E. and Martha Müller Foundation (MMMF) under private law regulates the allocation of tasks between the Maurice E. and Martha Müller Foundation and the public sector (City, Canton and Civic Community of Bern). The framework agreement specifies that the Maurice E. and Martha Müller Foundation is to cover the building costs, without contributions from public sector tax funds. This means that no political decision is required for the financing of the building work.
Operating loans A different arrangement has been reached to secure the operating funds. Under the terms of the allocation of tasks between the Maurice E. and Martha Müller Foundation and the Public Sector the Canton and the City of Bern are each to provide half the operating funds.
At the municipal level the annual operating loss is to be covered jointly by the resident community of the City of Bern and the Local Authorities of the Region under the terms of the Cantonal Cultural Subsidies Act (City 39 per cent, Local Authorities of the Region 11 per cent). Financing under the terms of this agreement is guaranteed for the period 2004 to 2007, after which the agreements are to be renegotiated.
At the cantonal level the responsibility for granting a recurrent loan lies with parliament, i.e. Bern’s Grand Council.
A decision may have to be reached by the City of Bern electorate if there is recourse to the optional referendum following a resolution of the Grand Council, i.e. if 10,000 Canton voters submit signatures demanding that the issue be resolved at the ballot box.
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