"They could continue exactly as they are now, effectively co-existing with the programme we are developing.
"Or they could wind up and merge with the new programme, or they could adapt and change their focus," he said.
Friends of the Rotorua Museum president Warwick Hill said it was business as usual for the society. "We will decide what happens to it [the art collection]. We will also set up an advisory committee to discuss further Greg's letter."
The society did not want to end up in an us and them situation.
"Most people walked out of the meeting quite happy with where we are at," Mr Hill said.
The society would be holding its next AGM in September and would decide on the art collection's and the society's future at that time. Mr Hill said he had no immediate concerns about the collection's fate.
Meanwhile, Mr McManus confirmed to The Daily Post the museum was setting up a new membership organisation that would focus on building more broadly-based community support for the museum as a whole, not just for people interested in art.
"It would be open to all and at the most basic level would be free-of-charge. There will be other tiers of membership which will involve membership fees based on the level of benefits provided."
He said the new structure had not yet been fully developed.
Rotorua District Council chief executive Peter Guerin said he fully supported the new membership structure put forward by the museum.
"It is important that the museum build upon the success of the Centennial Project and develop strong links into all parts of our community.
"I can assure the current Friends that their interests will be catered for and that there is absolutely no intention from council to sell their collection," Mr Guerin said.