Showing posts with label Arts Funding. Show all posts
Showing posts with label Arts Funding. Show all posts

Tuesday, March 17, 2009

My Name Is Kareem Dale and I Am Going to Be Your Arts Czar

This post is cross-posted at the beta Clyde Fitch Report. Do check it out and send comments.

There is much buzz in the InterTubes that President Obama has appointed the long-awaited, much-hoped-for Arts Czar.

Personally, I hope it's true.

And if it is true, his name is Kareem Dale, and here's a story on his appointment, which is based on a report that was published in the New York Times over the weekend, which I am herewith giving to all of you:

President Barack Obama has established a staff position in the White House to oversee arts and culture in the Office of Public Liaison and Intergovernmental Affairs under Valerie Jarrett, a senior adviser, a White House official confirmed. Kareem Dale, right, a lawyer who last month was named special assistant to the president for disability policy, will hold the new position. Mr. Dale, who is partly blind, previously served as national disability director for the Obama campaign. He also served on the arts policy committee and the disability policy committee for Mr. Obama when he was a senator from Illinois. Bill Ivey, who served as the administration’s transition-team leader for the arts and humanities, said he was encouraged by the appointment and would meet with Mr. Dale next week. “It’s a big step forward in terms of connecting cultural and government with mainstream administration policy,” Mr. Ivey said in an interview on Friday. The White House declined to describe the position in detail, since Mr. Dale’s appointment has yet to be formally announced. Mr. Ivey, a former chairman of the National Endowment for the Arts, said he expected that the job would mainly involve coordinating the activities of the National Endowment for the Humanities and the Institute of Museum and Library Services “in relation to White House objectives.” Although there have been staff members assigned to culture under past presidents, they usually served in the first lady’s office, Mr. Ivey said.
Of course, not everyone is terribly comfortable with this choice.

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Talking About the Community Board Meeting on the Indie Theater Scene

This post is cross-posted at the beta Clyde Fitch Report. Do check it out and send comments.

I found this story about the recent Community Board meeting on the indie theater scene to be a good summation of everything I heard about the meeting. And I'm thrilled it happened -- and I applaud Paul Nagle and all the folks at the various community boards for coming together and making it happen. So it is in the spirit of that positive vibe that I will offer a confession: I thought about attending the meeting until the very last minute. In fact, I was having drinks with the head of a very well known OOB theater just around the corner from the meeting. But I didn't go. I didn't go because no one from the press was on the panel -- and it was made pretty clear to me that a press representative was not welcome on the panel or, for that matter, in the audience, or at least not especially. It left me a little miffed.

I understand the reason for the meeting was, as the article states, to "hold a joint forum on how to keep small theaters thriving in New York City," and that the question of press coverage of the OOB scene is not necessarily the key thing to keeping the sector afloat. I fully realize that real estate and funding -- well, those really are the big issues, as they always are, it seems, and as I suppose they always will be. But some of us -- and here I graciously cede much of the credit to Martin and Rochelle Denton -- have been covering the sector for years and in myriad ways. And if you don't get the word out, especially about indie theater -- and yes, dear fellow bloggers, this means you, too -- you don't get butts in seats. We help drive butts in seats. We promote the hell out of the sector. We identify the magical and the mysterious, the major and the minor, the rising and the risen. And one of us -- not me, just one of us -- belongs on that panel. Because the question of coverage is vital. And the community boards should have known it.

Indeed, the organizers of the event, if the article's narrative is to be our guide for this post, understand the role that press and publicity plays. Consider the third paragraph:

Manhattan Borough President Scott Stringer told a crowd of more than 300 theater buffs, community advocates and elected officials gathered at the Players Club in Gramercy Park on Feb. 17 that he realizes the importance of a flourishing theater scene to New York City’s economy. Stringer said politicians in the past have viewed theater as an industry that would sustain itself and always remain in New York City. Tourists don’t come to the city to see its big buildings, he said. “They want to see our art and our talent and they also want to get a peek at us.”


How do they find out about such art and talent, hm? Isn't press one way? Here are some other paragraphs on who spoke at the meeting:

John Clancy, executive director of the League of Independent Theater, said if he had to rate the entire independent theater sector, he’d say companies are currently doing “fair to really, really, really awful.”

Virginia Louloudes, executive director of 350-member organization ART/NY, said that the 250 members who produce in spaces they don’t own are “probably the healthiest.” However, she sees the crisis as an opportunity and “the beginning of a new era.”

Anthony Borelli, Stringer’s director of land use, said that the city and local community boards can and are doing things to help small theaters. An old school building in Harlem, for example, is being converted into affordable housing for artists and their families, because the city was made aware of local priorities and “was lobbied from the very beginning.”

Paul Nagle, director of communications and cultural policy for Lower Manhattan City Councilmember Alan Gerson, said their office has sent legislation to Albany to create a property tax abatement for commercial landlords who rent to nonprofit theaters. Nagle noted it takes surprisingly few people to move a politician and encouraged people to band together.


Isn't it true, in the case of what Nagle said, that coverage of that legislation is key to raising awareness of it? True, the paper Chelsea Now, which published this story, covered the meeting. But coverage should have been widespread.

Here are some videos, available via YouTube, from the event:









I hope there will be more such events and that press people, in particular those who have perenially contributed to the sector, will not be ignored. Simply because doing so is a waste of resources, and really rather a shame.

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Congressman George Miller to Hold Hearings on Fiscal Impact of Arts and Music Industry

This post is cross-posted at the new Clyde Fitch Report, which is in beta. Do check it out and send comments.

Just received an email from Mike Kruger, Online Outreach Specialist for Congressman George Miller (D-CA), who chairs the House Committee on Education and Labor. On Thurs., March 26, Congressman Miller will convene a hearing at 10am on "The Economic and Employment Impact of the Arts and Music Industry." I am currently trying to determine whether I can attend, but I am told that the hearing, which is open to the public, will also be webcast live as well.

I'll post more information as it becomes available to me, including the list of witnesses, which is still to be announced.

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Thursday, March 12, 2009

Metropolitan Museum Slashing Staff



Sad stuff. Just received this press release from the Metropolitan Museum of Art:

As part of an ongoing, and increasingly challenging, effort to maintain budgetary equilibrium in this worsening national economic climate -- particularly for the retail sector -- The Metropolitan Museum of Art has announced that it must pare its merchandising work force by 74 positions, effective immediately. These staff reductions represent 27% of its full-time, and 9% of its part-time retail positions, and are in addition to the 53 positions eliminated in recent months through the closings of eight satellite Museum stores around the country. The decision acknowledges significant recent downturns in its merchandising sales, but also represents an effort to restructure this department so it remains competitive in the future and can continue to support museum programs.

At the same time, the Museum also anticipates the additional need to reduce the rest of its full- and part-time work force by approximately 10% in all other areas of its operations before the beginning of its next fiscal year July 1. Because The Metropolitan is so large and complex an organization, whose staff possess skill sets crucial to maintaining its buildings and collections successfully, such a contraction requires a deliberate and delicate process, which Museum management, while acknowledging the urgent need for reductions, is committed to undertaking with the greatest care. Among many recent costsaving efforts, the Museum previously instituted a hiring freeze and eliminated merit salary increases for the next fiscal year.

The Met is immensely grateful to all of its retail employees for their diligence and loyalty, and regrets deeply that recent losses in retail revenues -- as well as prospective, significant, and long-term reductions in annual operating income for the Museum from its endowment -- combine to make these extremely painful decisions absolutely necessary to bring the Museum’s operating expenses in line with reduced income during the difficult months and years to come.

In addressing these issues, the Trustees and management of the Metropolitan re-emphasize the institution’s determination -- even in the wake of unprecedented financial pressures -- to keep fully its longtime covenant with the museum-going public. The Met will continue to provide not only a safe repository for its vast collections, but a haven of enlightenment, education, and illumination for its diverse visitors from around the city and around the world, particularly at this time -- when institutions that provide solace and inspiration are needed more than ever.

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From Off-Stage Right

Jodi Schoenbrun Carter, who is (formerly?) the managing director of the Westport Country Playhouse and has previously had stints as general manager of Signature Theatre Company, the Vineyard and MCC Theater, has a blog that is -- my bad! -- new to me. It's called From Off-Stage Right, and it caught my eye this morning because -- well, thanks to a Google alert! Yes, I know that's narcissistic. Anyway, vanity isn't the point of this post.

Instead, it's to point to Jodi's recent summation of the "new models" discussion that has been rising and falling in the theatrosphere more than the lifts in Ryan Secrest's shoes. Everyone should read her post (and not because she says nice things about the CF Report). For example, here is a selection of passages from her post. It is not the whole thing.

In nonprofit theatre the debates seem to be centering for the most part around two arguments:

1) The funding model for theatre has to be changed, but how - more earned revenue, more contributed revenue, or more government support?

2) Do all the theatres in trouble really deserved to be saved: two overriding arguments are emerging - (a) there is just too many theatres or (b) is the fact that a particular theatre's "art" really wasn't that relevant, engaging or well-executed why it is in trouble in the first place, and if should it be saved?

My thoughts on funding models: First, most theatres will tell you they have an income problem and not an expense problem. I will take each and everyone one of them at their word. I have been crunching numbers for theaters since I was 16 years old - and have never been in or seen a theatre that is over-funded or that isn't cost cutting 24/7, 365 days a year....

All one has to do is look at the current $50M in the Federal Stimulus package which will barely dent covering other cuts organizations will be enduring from state and local agencies and requires that organizations be funded by the NEA in prior years. Why isn't the $50M going directly 100% to retaining jobs in the arts - wasn't that the point of the Stimulus bill. I imagine every organization funded by the NEA could use some support in maintaining staff.

And unfortunately the process of apply for any kind of government funding is inherently biased towards older and larger organizations. I worked for an arts council for 3 years; I sat in the panels; and it is simply the truth that there is a bias. (Although as a side note, I will commend the New York City Department of Cultural Affairs under Kate Levin's leadership - as the most forward thinking reformer trying to create equity).

What is the right funding model?

This isn't any new discussion, unfortunately too many organizations (and more importantly their boards) are still striving toward the 60:40 earned to contributed rule that became a health barometer for performing arts long ago and simply is not an accurate measure of success or sustainability and hasn't been for years. (history lesson via wikipedia: Baumol and Cultural Economics and Baumol's Cost Disease )....

I guess what I am saying is that we are going to have to rely on our wits, vision, and missions to solve funding problems and not rely on the government. Of course we won't let them off the hook, especially when it comes to Arts Education, capital initiatives, legislative issues regarding non-profit status, and special projects. I will be the first person in line to argue for increases, I just have more faith in the creativity of the field than any politician - even the most arts friendly….

What we have is the same problem facing many industries:
too many institutions
too many that are off-mission or doing a mediocre job of fulfilling their mission
too many that are not serving their communities because they are serving the ego of staff or board members
too many clinging to the past and therefore can't move forward
too many living beyond their means
too many trying to meet expectations they shouldn't be or don't need to be

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Friday, March 06, 2009

Can We Defend the $50M NEA Increase When It Only Protects the Status Quo?

So a variety of people, from arts leaders to bloggers to executive-director-level arts advocates, aren't thrilled with me taking issue with the $50 million NEA funding increase. I have suggested, and will continue to suggest, that while it does indeed represent a victory for the sector, it fails to address -- our arts leaders have failed to address -- the long-term fiscal issues that the nonprofit arts and humanities faces today and down the road.

Here is where the leadership-driven propaganda meets hard-numbers reality. Any number of news sources have reported the terms by which the NEA will disburse the money, but I wanted to make sure the information was logged on the CF Report for those who missed it. Notice the sentence I underlined in the third graph:

The American Recovery and Reinvestment Act provides $50 million to be distributed in direct grants to fund arts projects and activities which preserve jobs in the non-profit arts sector threatened by declines in philanthropic and other support during the current economic downturn. Forty percent of such funds will be distributed to State arts agencies and regional arts organizations and 60 percent of the funds will be competitively awarded to nonprofit organizations that meet the eligibility criteria being established for this program.

Applicants will be required to submit their applications electronically through Grants.gov, the federal government's online application system. All applicants must be registered with Grants.gov in order to submit their application. If you have already registered with Grants.gov, renew/verify your registration with Grants.gov and make sure that all of your information is current before you apply. Organizations that are not already registered should allow at least two weeks to complete this multi-step process. See the step-by-step instructions for registering.

Funding Program: Competitive Grants
One-time grants to eligible nonprofit organizations including arts organizations, local arts agencies, statewide assemblies of local arts agencies, arts service organizations, units of state or local government, and a wide range of other organizations for projects that focus on the preservation of jobs in the arts. All applicants must be previous NEA award recipients from the past four years. (Application deadline: April 2, 2009.)

Funding Program: Grants to State and Regional Arts Organizations
One-time grants to the designated 50 state and six jurisdictional arts agencies (SAAs), their six authorized regional arts organizations (RAOs), and the national service organization for SAAs and RAOs for projects that focus on the preservation of jobs in the arts. See the list of these organizations on our site. (Deadline: March 13, 2009.)

As Howard Mandel's Jazz Beyond Jazz blog noted, only those organizations that have received NEA grants during Bush's second term will qualify for the 60 percent of the $50 million that is being allocated competitively.

So what we really have is a scheme in which not being a prior grantee of the NEA means you're penalized: such groups, hundreds or thousands of them, are being instructed to sink or swim on their own. Now, perhaps the 40 percent of the funding directed to state and regional arts groups can help non-NEA grantees; I would like to think it could happen. But let's just be clear: When the defenders of the $50 million wax poetic about how indisputably vital this funding is, or when they criticize me for criticizing what I argue is a lack of long-term, creative, innovative thinking in terms of public funding for the arts and humanities, what they're also doing is endorsing the fiscal perpetuation of the sector's status quo.

Even the vaunted fiscal-impact argument I make -- a dollar of arts funding means more dollars in economic activity -- won't help much. If the NEA-funded Public Theater, for example, were to receive a sliver of this $50 million, how would it help the not-NEA-funded Stolen Chair Theatre Company via fiscal impact? It wouldn't, I believe. Behemoths win. Little guys lose. Welcome to America.

You know, we elected a president who aims to redress the economic stratification of the nation that was the hallmark and result of the Reagan, Bush and Bush presidencies (with the eight-year Clinton interregnum in between). In terms of funding for the arts and humanities, there has long been a similar fiscal divide. Do our arts leaders like it that way? They aren't saying.

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Thursday, March 05, 2009

Arts Advocacy Update LXXIX


The content below is from Americans for the Arts' Cultural Policy Listserv, email blast of March 5, 2009:


Fine arts are in survival mode as funds dry up
USA Today, 3/3/2009

"The downturn walloping the entire economy has hit non-profit arts organizations especially hard. With millions of people scrambling to pay for food and other basics, a night at the opera can seem frivolous. So museums, symphonies, theaters, ballet companies and opera companies have cut staff, canceled performances, shortened seasons and, in some cases, shut down.... A USA TODAY/Gallup Poll in December found that 69% of Americans are cutting back on entertainment."
Not especially groundbreaking reporting but what it does show is how the topic is really spreading into even most mainstream publications.


Study: Arts endeavors net $153.5 million in state
Lawrence Journal-World & News (KS), 2/27/2009

"The Kansas Arts Commission this week released a study showing expenditures by arts and culture organizations, as well as audiences, totaled $153.5 million in 2007. In addition, the study, by Americans for the Arts, found that arts-related activities generated 4,612 full-time equivalent jobs; $95 million in household income; $6 million in local government tax revenue; and $9 million in state government tax revenues."
As percentages of overall employment, income and local and state tax revenue, that strikes me as particularly high, no? Red state irony.


Study: Film industry adds $763M to state during 2007
Shreveport Times (LA), 3/3/2009

"In an economic impact study released Monday, the motion picture industry is estimated to have added $763 million to the Louisiana economy during 2007 at a cost of $105 million to the state."
And to think that Gov. Bobby Jindal want to divert some of that money to volcano research... :-)


Access to Arts Education
General Accounting Office, 2009

Asked by Congress to investigate four questions related to the the effect of NCLB on student access to arts education, the GAO found that 90 percent of elementary school teachers reported no change between the 2004-2005 and 2006-2007 school years, and four percent reported an increase. "However, about 7 percent reported a decrease, and GAO identified statistically significant differences across school characteristics in the percentage of teachers reporting that the time spent on arts education had decreased. Teachers at schools identified as needing improvement and those with higher percentages of minority students were more likely to report a reduction in time spent on the arts."
Here's more of the pertinent text: "Specifically, teachers at schools identified as needing improvement and those with higher percentages of minority students were more likely to report a reduction in time spent on the arts. In addition, when we examined the average amount of change in weekly instruction time among teachers that reported either an increase or a decrease, we found that teachers at elementary schools with high percentages of low-income or minority students reported larger average reductions than teachers at schools with low percentages of these students."


To win hearts and minds, get back in the game
Foreign Policy, 2/26/2009

Indiana Senator Richard Lugar opines, "As part of a broader overhaul of its public diplomacy effort, the United States should reinvigorate the old American Centers concept-putting, when possible, new ones that are safe but accessible in vibrant downtown areas-support active cultural programming, and resume the teaching of English by American or U.S.-trained teachers hired directly by embassies. That would help draw people to the centers and ensure that students got some American perspective along with their grammar. America's best players in public diplomacy have always been its people and its ideas. The United States should get them back into the game instead of standing on the sidelines."
People have been pushing this for years. Wasn't this part of Karen Hughes' job under Bush?


A really new deal would stimulate the economy of the future, not the past
Globe and Mail, 2/28/2009

Richard Florida argues that economic stimulus funds in both the U.S. and Canada are misdirected toward traditional infrastructure and the "old economy." "For a stimulus to work today it has to stimulate the emerging creative economy, the engines of regional economic growth and higher incomes across Canada and the U.S.... The creative economy already includes roughly 30 per cent of Canada's work force and about a third in the U.S. It accounts for more than half of all wages and salaries paid in each country. So, if the stimulus were allocated proportionately, between $250-billion and $375-billion should have gone to the U.S. creative economy; in Canada, the figure would be $12-billion to $20-billion."
What does this mean in practical terms when we say "creative economy"? I mean, I love Richard Florida, but how would these figures specifically translate on a granular level? I found a bit of a clue -- though arguably an elusive one -- by re-reading Florida's article a second time:

"The creative economy already includes roughly 30 per cent of Canada's work force and about a third in the U.S. It accounts for more than half of all wages and salaries paid in each country. So, if the stimulus were allocated proportionately, between $250-billion and $375-billion should have gone to the U.S. creative economy; in Canada, the figure would be $12-billion to $20-billion.

Stimulus funds could be used to strengthen Canada's science and technology infrastructure and its music, film and art scenes; it would provide entrepreneurial assistance and garage-like incubation spaces for innovators the Bloomberg administration is doing in New York City.

It would make far greater sense to invest precious infrastructure dollars in high-speed rail and broadband Internet lines to connect our communities than in roads and highways.

We will begin to move toward a durable recovery only when we stop unnecessarily propping up the old economy. Indeed, we have to make housing and transportation cheaper, as we did with agriculture during the New Deal, in order to free up the demand that will provide enduring stimulus for the creative-economy businesses and jobs of the future."


Lower Manhattan Arts Groups Join Forces for Survival
Tribeca Tribune (NY), 3/2/2009
"These days, arts groups are thinking creatively, not just about the work they produce, but about survival. Nowhere is that more true than in Lower Manhattan. Seeking clout in numbers, Battery Dance Company and 11 other Downtown-based small- and medium-size arts organizations recently banded together. Calling themselves the Lower Manhattan Arts Leadership Group, they are sharing their financial and audience numbers for the first time, hoping to convince policy makers that, together, those figures carry weight—in jobs, taxes, neighborhood business support..."
Here's some great stuff from the story:

"The 12 groups range from Blue Coyote, a theater group with an all-volunteer staff and operating budget of $29,000 to Dance New Amsterdam, with more than $3 million in annual expenses. But all share uncertain futures as public funding is cut and foundations—many tied to the fortunes of the stock market—search for ways to continue their missions.

“Some of us are on the verge of, or in, an immediate crisis. Some see a crisis six to nine months out,” the group warned in a report issued last month.

For 3-Legged Dog, the experimental theater and multimedia group at 80 Greenwich St., the need is immediate. The non-profit is behind on its payroll and rent, said the director, Kevin Cunningham, because its promised portion of $7 million in New York State Council on the Arts funds was not distributed last year. This, he said, at a time when individual donations have dropped and foundations are in a “wait and see mode.”

“We can’t wait and see,” said Cunningham. “We have to move or die, basically.”

With that sense of urgency, the groups came together, assisted by Paul Nagle, director of cultural policy for City Councilman Alan Gerson. The “micro economic picture” of what these Lower Manhattan arts group contribute, he said, “puts a face on [the arts community]. That makes it very neighborhood-specific and difficult to ignore.”

According to those figures, the 12 Downtown groups yearly serve an audience of nearly 300,000 (with hundreds of thousands more reached via the Internet). They spend more than $15 million and pay out millions of dollars in taxes.

“We aren’t just a bunch of kooky artists in a room with our fingers up our noses,” said Carol Ostrow, producing director of the Flea Theater on White Street. “We really are much more of an economic driver than people think we are, and if we’re not on this street a lot of other people are going to be hit.”

Neighborhood businesses benefit from the Flea, said Ostrow. Costumes must be cleaned, cars parked, sets built, scripts copied. And audience members who come to the Flea shows often eat in local restaurants."


Measure to fund arts fails in House
Argus Leader (SD), 2/26/2009

"Funding for the South Dakota Arts Council, and in turn dozens of art programs across the state, failed to pass the House of Representatives vote Tuesday. House Bill 1229 had a majority vote, 44-26, but was shy of the two-thirds it needed to pass. But that doesn't mean the hope for funding the arts is dead - it just was placed in the wrong vehicle for getting that done, said Rep. Shantel Krebs, who voted against the bill.... Proposed state budget cuts include $668,000 for the arts council, which is matched by the National Endowment for the Arts - money also lost without a state arts office, along with funding in the national stimulus package.... Gov. Mike Rounds recently spoke in favor of preserving arts office funding."
Let's not give up on this one.


Some Nonprofits Can't Touch Their Money
ABC News - AP, 3/1/2009

"It's a frustrating quandary for universities, orchestras and other nonprofit organizations in two dozen states. They have the [endowment] money they need to save jobs, offer scholarships and put on a solid schedule of programs, but face state laws that keep them from using any of it."
Read this, it's horrifying:

"It's a frustrating quandary for universities, orchestras and other nonprofit organizations in two dozen states. They have the money they need to save jobs, offer scholarships and put on a solid schedule of programs, but face state laws that keep them from using any of it.

"I don't imagine the donors anticipated a situation where the market would fall so dramatically that the money would be held hostage and unable to support the symphony at all," said David Chambless Worters, the symphony's chief executive.

Rules governing how nonprofits in North Carolina and 23 other states use their endowments date to the 1970s, when most states adopted a uniform law that prohibits withdrawing money from endowments that fall below their "historic dollar value" — the money given to create the endowment, plus any later gifts.

The law is designed to protect endowments by preventing institutions from dipping into the principal. An endowment is supposed to be a perpetual source of revenue, with institutions drawing off only the earnings.

The rule affects newer funds most severely, since they have had less time to invest a gift and build the endowment's value.

Neither the National Council of Nonprofits nor the Council on Foundations, both based in Washington, keeps track of how many of its members are struggling with endowments that are now underwater.

But "anecdotally, it is a serious problem. And if the current financial downturn continues, the problem will only get worse," said Harvey Dale, director of the National Center on Philanthropy and the Law at New York University."



U.S. Conference of Mayors President Miami Mayor Manny Diaz Blasts Louisiana Governor
Bobby Jindal for Recent Statement on the Arts
PR Newswire, 2/26/2009
The nation's mayors criticize Louisiana Governor Bobby Jindal for "his remarks made at the White House questioning the economic impact of the arts on the national economy: America's Mayors are extremely disappointed by your recent statements questioning the economic impact of the arts to our national, state and local economies. We are also highly concerned by your repeated attacks of the American Recovery and Reinvestment Act (the 'Act') by highlighting the $50 million dedicated to the National Endowment for the Arts. While we certainly respect your right to oppose the Act, this funding, which represents .00635% of the total funding provided in the Act, has, we believe, become a convenient political scapegoat.... The nation's 100,000 nonprofit arts organizations and their audiences generate $166.2 billion annually in U.S. economic activity. They support 5.7 million jobs and provide nearly $30 billion in government revenue. This economic stimulus will minimize the concern that ten percent of arts groups could close this year and helps save thousands of arts workers from losing their jobs."
Yet some people don't want to acknowledge that the right is going to bash the arts as a way to unify its troops.


U.S. Stimulus Efforts to Have ‘Modest’ Impact, NABE Survey Says
Bloomberg News, 3/2/2009
"The $787 billion economic stimulus package signed into law by President Barack Obama will have only a 'modest impact in shortening the recession,' a private survey of economists showed.... Survey respondents ranked infrastructure spending, expanded unemployment benefits and income-tax cuts as the three measures that will have the greatest effectiveness in stimulating the economy. The three that are expected to be the least effective are: spending on social endowments such as public housing and the arts, the earned income tax credit and lump-sum tax rebates."
Since this flies in the face of the fiscal-impact argument, who will challenge these people?


Arts Get Whacked by Rich as Companies Face Losses in Endowments
Bloomberg News, 3/4/2009

"Corporations and wealthy individuals are donating less to nonprofits, with arts groups taking the biggest hit, according to two new studies.... Arts and culture will see the biggest drop, with 41 percent reporting a decrease in resources."
It really does feel like 2002 and 2003 all over again.


Half of Wealthy Americans Say Taxes Don't Affect Their Giving, Study Finds
Chronicle of Philanthropy, 3/3/2009

"A majority of affluent Americans say their charitable giving would be unaffected by the elimination of federal tax provisions designed, in part, to encourage philanthropy, according to a new study by Bank of America and Center on Philanthropy at Indiana University. Nearly 52 percent of wealthy donors said their giving would remain the same if they no longer received any income-tax deduction for their donations, while 54 percent said their level of philanthropy would remain unchanged if the estate tax were repealed. That said, a significant minority (47 percent) of people in the survey reported that they would give less if they could no longer claim a deduction for their charitable gifts."
This really surprised me. I would have thought the numbers would have been more extreme, especially in light of...


Limiting Deductions on Charity Draws Ire
New York Times, 2/26/2009

"Wealthy donors and the nonprofit groups they support were in an uproar over the Obama administration’s proposal to limit the value of deductions for charitable gifts, which was included in the budget the president presented to Congress.... Nonprofit groups have been urging the administration and Congress to increase incentives for charitable giving by raising the limits on deductions and eliminating taxes on the investment income of foundations."
The really intriguing/alarming copy comes toward the end of the piece:

"Roughly half of the high net-worth donors responding to a 2006 survey by the Bank of America reported that they would keep giving the same amount to charity if deductions for that giving fell to zero, while about 38 percent said their giving would decrease somewhat. Only 7 percent said their gifts would fall steeply.

Eli Broad, who has made some of the biggest gifts in recent years, said through a spokeswoman that his giving would not be affected, as he has already donated far more than he can deduct.

Robert F. Sharpe Jr., a fund-raising expert in Memphis, said many of the wealthiest donors are already limited to deductions of 28 percent for their charitable gifts because they are subject to the
alternative minimum tax.

Congress has long debated whether donors should get the same subsidy for gifts to wealthy universities and art groups that they get for contributions to nonprofit groups serving basic needs like food, shelter and health care.

“The administration’s proposal is doing just that, reordering charitable priorities by taking money wealthy people would have given to other charities and making it go into the health care system” through higher taxes, Mr. Sharpe said."


Tax-Deduction Proposal Would Cause Giving to Drop by 1.3%, Study Finds
Chronicle of Philanthropy, 3/3/2009

"President Obama’s proposal to limit the tax breaks would cause giving to decline by an estimated 1.3 percent a year, the Center on Budget and Policy Priorities said today in a new analysis. They said that other proposals in the budget further minimized the effects of the tax changes."
I think this is called shared sacrifice, no? If so, it's going to be painful.

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Wednesday, March 04, 2009

Ian David Moss: Backlash to the Future

At a blog that is new to me called Createquity, the blogger, Ian David Moss, has taken a few of us to task for questioning the prevailing arts-funding orthodoxy. I know I'm a prime target. And I should add that if the economy hadn't tanked as it did, if I hadn't been downsized out of my job after seven years as I was (eight including freelancing), I might not have concluded that our arts-funding philosophy and model is fundamentally flawed and must be scrubbed or radically reconstituted. Of course, it's not that my former job was predicated on arts funding; really, it was quite the opposite, working for a commercial enterprise. But it's more that I've had time to think about where the arts are as a national force, economic and otherwise. It's more that I've spent a great deal of time thinking back on this whole decade, trying to sum up where I think the arts have been, where the arts are, and where the arts can most effectively head from here.

You know, I wasn't a blogger in 2000, 2001, 2002, 2003, 2004, 2005 -- the years when I did most of the reporting, as opposed to editing and managing (which came later), that I did at Back Stage. Those were in the years in which I learned the basics of the arts funding model we have in place, and, more pertinent, how fragile that ecosystem is. During those pre-9/11 days, it was all about how the dot-com bust and the recession that followed would affect funding, and how very unprepared in so many ways the nonprofit theater world was for the very real structural and organizational and aesthetic challenges that were fast being thrust upon the sector. During the post-9/11 period, it was all about the same thing, but also how very magnified those problems suddenly were. It was also about how the arts could so easily be easily politicized, about what an endless uphill battle the arts have just to convince those elected officials who are sympathetic of its importance fiscally and societally to the nation. It was, again, how precarious the whole house of cards perpetually seems to be.

So when I take our arts leaders to task for rushing with palms open toward the Obama team, or for issuing statements recommending that the NEA should be funded at $300 million annually, it's not that I don't want the arts to be funded governmentally in the United States. Good grief, Charlie Brown, if you'd spoken to me four, six, eight, ten years ago -- at any rate, long before I blogged -- I would have been manning the rafters along with those leaders, screaming at the Obama people at the top of my lungs to do what is right as part of the stimulus package and to fund, fund, fund, fund, fund. Not just my palm would be open but also my mouth and a few other orifices geared toward arts funding. But as I say, current events have had a curious effect on me. I have had to rethink my assumptions about what is, in the long run, best for the funding of the arts and humanities in the nation. I believe we're in an economic pickle deeper and potentially more devastating than anything we've seen in three generations. I believe the yo-yo effect of up-and-down arts funding at the federal and state levels, ever-buffeted by the winds of fiscal facts, political sportsmanship and gamesmanship, is fundamentally unhealthy and destabilizing to the industry as a whole. I believe that while making the fiscal-impact argument is the most important thing arts leaders can do (I know Moss disagrees), I also believe that all sectors of the economy will someday have to take responsibility for the nation's welfare as a whole, that we will have to develop new economic models and perhaps even make, God help us, some real sacrifices.

So when I read Moss' post, called The Backlash Begins, and when in particular I read the way he rails against those questioning the status quo, it amuses me. The post makes assumptions about me, who I am, what I think. Well, to be fair, one can only respond in a post to what someone else writes in a post, and it's all part of the dialogue anyway. It makes me sad, though, because only I can fully know what journey I've been on; only I can do whatever I am capable of doing in terms of articulating the arc of that journey. And I know how much it probably upsets people like, say, Teresa Eyring of TCG, when I single them out or question the way they use their power or their influence toward the industry we all hold so dear. (And let's be clear: arts leaders are as devoted to promulgating their power and influence as to defending and addressing the needs of their constituents, for their work is fundamentally political in nature.) I write what I write and say as I believe because I believe that while I may not win friends (or jobs at TCG, clearly), I can stand up for the work on stage, for the art form, that I place second to none in cherishing.

Moss begins his post by writing:

Sure enough, the ink hardly dried on the American Recovery and Reinvestment Act of 2009 before the predictable chorus of complaints could be heard regarding the inclusion therein of $50 million worth of support for the National Endowment for the Arts. Following a week of Republican mockery on the subject, one might have expected the bulk of these disapproving murmurs to come from the right. Yet as it turns out, in time-honored liberal tradition, the loudest critics of all are much closer to home.

Well, I actually consider it a compliment to be lumped with this group. Republicans are, um, not exactly known for deviating well from policy orthodoxy (file under Steele, Michael or Limbaugh, Rush). Yet I don't view expressions of concern or criticism as tantamount to complaining. What I have been trying to do -- and what Moss is unwilling to acknowledge -- is move the discussion past the idea of another $50 million for the NEA, or even $300 million annually for the NEA, to a larger discussion about how we can best fund the arts and humanities and whether the notion of "best" can or should be limited to direct federal and state appropriations.

And yes, I did raise the prospect that a $50 million increase -- or any attention paid to the arts by the Obama Administration -- will give the right a tool with which they can unify their own troops. Not even because the GOP hates the arts or arts funding, but because the arts are easy for them to demonize, because they have a long history of doing so (file under Flanagan, Hallie) and because haven't much else going for them right now politically.

Later, Moss writes:
But the notion that this somehow doesn't represent a victory for the arts community is one that I just don’t get. What, exactly, is the glorious alternative? Yes, the NEA represents a tiny fraction of support for the arts in this country (0.3%, to be exact). But as of a couple of weeks ago, it’s one of the only arts funding bodies in the country, and almost certainly the largest, that is actually increasing its level of support in 2009. Including the stimulus appropriation, this year's NEA payout is the highest in its history. Now, as Jacobs says, much of that new money is going to offset cuts in state arts budgets, and only partially at that. But that certainly doesn’t make it a “zero-sum game.” It's not like the states are just taking money from the arts and using it as an excuse to shuffle it around to other parts of the budget, as Jacobs seems to imply. States are hemorrhaging money right now and as a result, cuts are happening everywhere. I've said it before and I'll say it again: for the purposes of stimulus, a job saved is just as good as a job created. The NEA money will save jobs, period.

Aside from the sarcasm of a phrase like "glorious alternative" (if I had used it, I'm sure people in the theatrosphere would have rolled their eyes), the question isn't whether the $50 million NEA increase represents a victory for the arts community; of course it is. For me, the question is, again, whether we are simultaneously looking beyond that appropriation at the larger scope of arts and humanities funding. Also, Moss want to rethink the phrase "one of the only arts funding bodies in the country, and almost certainly the largest," as that excludes foundations, corporate philanthropy and private giving. (The size of their current philanthropy, of course, is rapidly set to change.)

Let me add that most of the rationale for NEA funding isn't predicated on actual dollar amounts spent as their impact in the multiples of dollars. So let's say the NEA spends a dollar -- it creates four, five, or six dollars worth of growth and fiscal activity in the arts. That's easy stuff; we all, I think, understand this. What is less reported is the way it buttresses the work of the 56 state arts agencies, which do much of the day-to-day heavy lifting of arts and humanities funding in the nation. So I do understand how $50 million translates into positive vibes for the community. However, when Moss says that I implied that "states are just taking money from the arts and using it as an excuse to shuffle it around to other parts of the budget," that's misleading. I said it was a zero-sum game based on this post, which Moss does not to link to, and which is based on reporting from various publications and quotes from, among others, Bill Ivey, the former head of the NEA.

One last point on this topic. While it may be true that "a job saved is just as good as a job created" (if the job pays the same, a point Moss leaves unaddressed), and while it may be true that the "NEA money will save jobs," the real question is one of quantification. For if it is true -- and empirically provable -- that 14,000 jobs in the arts will be "saved" out of the 200,000-plus that are being lost as a result of this recession (Moss correctly attributes these statistics to Americans for the Arts), would $50 million, then, not represent weak ROI at best? What about the other 180,000-200,000 people? That's like saving 100 people on the Titanic while 1,000 people die and calling it a miracle.

Later, Moss writes:
As for Jacobs, he seems in love with this “long-term sustainable solution to arts funding” idea, since he mentions it in just about every other post. I'd like to think of myself as an arts advocate, and so I trust he won't mind my taking umbrage at his characterization of us as “pathetic paupers” and lacking "vision." (As an aside, later on Jacobs hilariously claims to "honor those who worked so hard to make that point [that the arts make good fiscal policy]." Yeah, that language certainly makes one feel "honored.")

Sigh. Look, I'm in love with the idea that I should have a job. I'm in love with the idea that we should have no national deficit or debt. I'm in love with the idea that my American brothers and sisters in uniform should come home from a war in Iraq that was created on the basis of a big, fat lie. I'm in love with the idea that everyone might learn to be kind to everyone else, and yes, that includes me. I'm in love with the idea that the nation can unify itself around common sense, left-of-center political ideas. Now, it's not that I'm in love with a "long-term sustainable solution to arts funding" so much as, once again, wanting to move us past the idea that our current funding philosophy is the best possible one that we can devise. (If Moss feels it's perfect, that's his right.) And, by the way, I consider myself an arts advocate, too. My degree is in the theatre and I've done plenty of no-money/slow-money theater in my time, and I've had two jobs and worked overnight shifts and struggled and had successes and failures and I still love the arts and I still plan to devote my life to it, so how about we not get all proprietary over what constitutes arts advocacy, ok? And yes, I feel it's possible for me to state that people are working hard to make the case for arts funding to political powerbrokers, we can also push them to think innovatively about our current model. It isn't about being hilarious, as Moss writes, though I'm glad I offered him such mighty mirth. It's about doing what an advocate does -- pushing for something better than the status quo, for fostering dialogue even if it should prove testy and difficult.

Moss then writes:
Jacobs argues, in a column I linked to a while back, that the annual NEA appropriations should be converted into a real endowment--you know, the kind that invests in the capital markets. This idea isn't totally without merit, but there's one rather gigantic problem with it. You remember how I said earlier that the NEA is one of the only arts funders out there right now that is increasing its funding levels? That's because, in case you haven't heard, capital markets are kind of in the toilet right now. At this moment, arts organizations are being hit from all sides: their own endowments are shrinking, the assets of the foundations and individuals that support them are shrinking, earned income is going down because people have less money, and state governments are cutting back because of reduced tax revenue. In such an environment, the federal government is the only entity in the country that has the power to step in and do something to stop the bleeding -- that's the whole macroeconomic argument for the stimulus in the first place. In other words, the NEA is an important diversifying funding stream for the arts, one of the few that can be countercyclical to the general economy. Put all of its money in stocks and bonds, and you lose that crucial differentiation.

Well, Moss can win on points, but not on philosophy. When the market is down this much, I think everyone breathes a sigh of relief that we didn't let George Bush put the Social Security Trust Fund into the market. But here's the thing: If he read my post, he knows, again, that I've argued for the public/private endowment idea equally to shield the arts and humanities from being politicized, something which remains a very real danger and which will always be a very real danger so long as Congress has the ability to fund or not fund the arts and humanities at a federal level in the U.S. Moss seems to imply that simply by creating a Secretary of the Arts that we can prevent such politicization, that somehow such a position will become a part of the overall governmental infrastructure. I don't think this is naive. I think this hands more unifying force to the right at precisely the moment we have the ball and can run with it. I also think categorizing the NEA as "an important diversifying funding stream for the arts, one of the few that can be countercyclical to the general economy" is misleading. Unlike the banking system, which turned to the government as the savior of last resort, Moss would have us believe that the arts would not exist, or would be incalculably decimated, without the extra NEA funding. If things are that dire -- and they're not terrible, to be sure -- how does $50 million radically change any of that? My recommendation, noted on various posts, is that Congress should fund the NEA to the tune of quite a few billions and launch it as a public/private enterprise with a board composed of equal numbers of Republicans and Democrats. If we're going to have something like the NEA, could it be better considered as a kind of sacred national trust and not a "diversifying funding stream"? I don't even understand that term.

Finally -- whew! -- Moss writes:
Jacobs's charge that arts advocates lack "vision" appears to be rooted in the idea that eventually, we'll have to pay down the national deficit, and at such time those appropriations will have to be reduced. In other words, there is risk that arts funding will decrease from one year to the next. But hello! Isn't that exactly what would have happened this year if the NEA money had been in an endowment? At least this way, the government retains the flexibility to make decisions about funding levels. Anyway, freaking out about the budget deficit implications of a program as small as the NEA is disingenuous at best. The Pentagon blows through more money every two and a half hours than the NEA does in an entire year -- and that's without even counting the wars in Iraq and Afghanistan. In any case, it's unfair to assume that the folks at Americans for the Arts and other service organizations are not thinking long-term. Changing the conversation about an issue like this takes a long time, especially when there's not an easy way to draw media attention to it. But mark my words, it is happening. The establishment of creative economy-related posts, studies, and task forces in local, regional, and state governments across the country is a testament to this. How many of them existed ten years ago?

Well, we will have to address the deficit and the debt. Period.

Second, while Moss has a point that if the NEA was like any other foundation or endowment the available monies would have dropped in this market, when he praises the government retaining "the flexibility to make decisions about funding levels," what he's really saying is that we have a president and a Congress favorably disposed to arts funding. That's all. That's not flexibility so much as pure politics. And it's not disingenuous to worry about the deficit or the debt. As noted before and as I'll note again, my worry is also about the politicization of the arts and preventing it as well as what to do in order to ameliorate the yo-yo funding effect that has consistently irked and buffeted the nonprofit theatre industry in this country for the last 25 years.

Perhaps it is "unfair to assume that the folks at Americans for the Arts and other service organizations are not thinking long-term." Sure, I'm sure they are. But if one is an arts advocate (watch Moss redefine it for me), one has the opportunity to let arts leaders know that we are looking at these issues, that we are on top of these issues, that we are debating these issues, that we are arguing -- loudly, if need be -- these issues, that we expect them dealt with and struggled through and examined and put forth in a transparent way. I'm not interested in a philosophy of "Let's let Mommy and Daddy fix it"; I'm not interested in "Let's not fight for what we believe in because the media won't pay attention." I'm interested in change. And while Moss can enjoy the support of those of the comments on his blog (including one trust-funded soul who happily put a stake in my back), I am happy to thrust and parry.

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Monday, March 02, 2009

Another Theatre on the Brink, Part II: Foothills Theatre Company

Apparently I posted too soon: the Foothills Theatre Company, which is in Worcester, Mass., will also go under if it is unable to raise $200,000 in the next two weeks, according to this story in the Boston Globe.

You know, perfectly good and smart people like Teresa Eyring, head of Theatre Communications Group, spent all this time with all those arts leaders and advocates pushing for another $50M in NEA funding, but what is really happening here? This isn't about NEA funding, is it? This is about About Face, the Magic, Foothills -- I could call up the whole list of nonprofit theatres that have imploded or nearly imploded in what is really just proof positive that the fiscal system for supporting the American theatre isn't working. And yet some people -- I'll be posting about this shortly -- rail against me for going on and on about the need to make the nonprofit theatre in our nation economically self-sustaining. No, they say, just get the government, federal, state and local, to just hand out more money. It's imbecilic. It's like crying out for a bucket of water when all of Rome is burning.


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Thursday, February 26, 2009

Arts Advocacy Update LXXVIII


The content below is from Americans for the Arts' Cultural Policy Listserv, email blast of February 25, 2009:


Cheap Seats, Staff Cuts Are on Tap for U.S. Nonprofit Theaters
Bloomberg News, 2/20/2009

"U.S. nonprofit theaters are cutting staff and expanding discounts as they anticipate disappointing ticket sales and fundraising, according to a new survey by the Theatre Communications Group."
And yet I don't see Theatre Communications Group formulating a long-term, sustainable solution to the recurring problem of arts funding in the United States. Just give us more NEA funding! By the way, you can link to a PDF of the TCG study here.


First family of arts lovers
Los Angeles Times, 2/24/2009

The Obama family's attendance at an Alvin Ailey American Dance Theater performance at the Kennedy Center "fed increasing hopes among arts advocates that the Obamas would generate a greater buzz for the arts simply by smiling in theater seats or strolling through museum galleries."
First of all, let's be grateful for a President who reads. All else flows from that.


Ailing economy is taking a toll on arts in Rhode Island and the arts scene
Providence Journal (RI), 2/18/2009

"As the economy goes, so go the arts. That was the word yesterday from Randall Rosenbaum, executive director of the Rhode Island State Council on the Arts, who reported that a declining number of arts events is affecting the state’s restaurant and hospitality industry."
And the thing is, Rhode Island has a particularly large and vivid, productive arts scene, so this is especially bad.


Arts district to transform lower Taylor Street
San Francisco Chronicle (CA), 2/21/2009

Three blocks of one of "the seediest stretches" in San Francisco "would become an arts district - some say akin to New York City's SoHo, which became an area of cheap artists' lofts and studios in the 1960s and '70s - under a plan being cobbled together by city officials, landlords, artists and Tenderloin-area nonprofit workers. The transformation gets under way today with the groundbreaking of Gray Area Foundation for the Arts, which is taking over a vacant 4,000-square-foot building that once was a porn theater."
But is there anything like rent stabilization or rent control in San Francisco? How would the artists know that they could hold onto these lofts and studios once the area gentrifies? The story doesn't address that.


Armani Donates $1 Million to Schools
New York Times, 2/17/2009

"The Italian designer and billionaire Giorgio Armani celebrated Fashion Week on Tuesday with the announcement of a $1 million donation to promote arts programs in New York City public schools. The money will be used to create the Armani Arts Institute, an umbrella program that will fund arts initiatives in schools serving some of the city’s most disadvantaged populations."
This is wonderful, of course.


Why Arts Education Is Crucial, and Who's Doing It Best
Edutopia, February 2009

"Arts education has been slipping for more than three decades, the result of tight budgets, an ever-growing list of state mandates that have crammed the classroom curriculum, and a public sense that the arts are lovely but not essential.... Yet against this backdrop, a new picture is emerging. Comprehensive, innovative arts initiatives are taking root in a growing number of school districts. Many of these models are based on new findings in brain research and cognitive development, and they embrace a variety of approaches: using the arts as a learning tool (for example, musical notes to teach fractions); incorporating arts into other core classes (writing and performing a play about, say, slavery); creating a school environment rich in arts and culture (Mozart in the hallways every day) and hands-on arts instruction. Although most of these initiatives are in the early stages, some are beginning to rack up impressive results. This trend may send a message to schools focused maniacally, and perhaps counterproductively, on reading and math."
What this requires is not only teachers but, equally important, parents not being afraid of creativity. If they remain that way, we'll have another generation of culturally ignorant, pointy-headed idiots.


Public, Private Sector Leaders to Present Administration with Recommendations 'To Restore Public Diplomacy as Vital, Viable Element of Smart Power'
PR Newswire, 2/19/2009

"Some seventy men and women, representing a broad spectrum of public diplomacy stakeholders and practitioners, are calling on the Administration and Congress to reinvent and restore public diplomacy as a vital and viable element of 'Smart Power'. The group today issued a set of ten recommendations to guide the new Administration and Congress as they seek to revitalize and adapt public diplomacy in the context of new geopolitical realities and new communications tools. Participants included former and current public diplomacy practitioners and thought leaders from the State and Defense departments, the National Security Council, the White House, the intelligence community, foreign assistance, the arts, academe, business, Capitol Hill, state government, the traditional and new media (including print, broadcast and Internet), think tanks and institutes, NGOs and national private sector citizen diplomacy groups."
Paging Mrs. Clinton...


$5.6M cut from Missouri Arts Council
St. Louis Business Journal, 2/19/2009

"The Missouri Department of Economic Development is withholding nearly $5.6 million from the Missouri Arts Council as the state works to close a $261 million budget shortfall this year."
Funny thing is, that's about five times what California allocates to its state arts agency. At least the proportions in this case make me understand why the actions are being taken, much as I think they're short-sighted and regrettable.


Film tax credit on cutting room floor
Wisconsin Radio Network, 2/19/2009

"Governor Doyle has scrapped the movie tax credit program which was spearheaded by his own Lieutenant Governor and non-profit group Film Wisconsin. It also lured recent filmmakers to produce the Johnny Depp flick 'Public Enemies' in the Badger State. Doyle has an alternative that allots $500,000 in grants for permanent movie making jobs."
Permanent jobs? In Wisconsin? Hey, Jonathan West, what's up with that?


Rounds wants arts money restored
Sioux Falls Argus Leader (SD), 2/19/2009

"The South Dakota Arts Council might live to see another year. Gov. Mike Rounds said Tuesday he will try to keep funding for the South Dakota Arts Council alive in the state's budget because the newly approved federal stimulus package could help free up state money."
A Republican will accept federal stimulus money to save arts funding? The dude is cruising for a GOP bruising.


Taxing situation for New York
Variety, 2/19/2009

After years of watching production lured away by government incentives, California's gotten into the game by approving a five-year $500 million tax credit program. . . . California's program, which goes into effect July 1 with a cap of $100 million annually, will likely strike at the heart of the New York production industry. Even though California's tax credit rates are far below those in some other states -- Michigan offers a whopping 42% credit -- the presence of Hollywood's existing infrastructure and the desire to stay close to home has the potential to reverse more than a decade of runaway production."
As I've always said, it's a race to the bottom, a zero-sum game. Bloomberg and Paterson now have to decide whether it's worth the fight. I would say it is, but I don't have the numbers they have.


Individuals Make Fewer $1-Million Gifts; Grant Makers Help Offset Decline
Chronicle of Philanthropy, 2/25/2009

"Charitable gifts of $1-million or more from individual donors fell by 33 percent in the last half of 2008 compared with the same period in 2007, according to a new analysis of big gifts by researchers at the Indiana University Center on Philanthropy.... On a more positive note, the center, which also tracks foundation and corporate grants of $1-million and up, found that grant makers’ giving was more resilient in the face of last year’s recessionary climate. Foundations actually increased the number of grants of $1-million or more by 10 percent in the last six months of last year, from 500 to 551, and by 16 percent for the entire year. Meanwhile, corporate grants of $1-million or more remained steady, with 146 such grants made in both calendar years."
As everyone knows, I've cut my own million-dollar gift-giving way back...

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Arts Leaders Won a $50M Boost in NEA Funding...But the Game is Zero-Sum

I just came across this great story in the Denver Post. In essence, while the $50 million boost in NEA funding represents a victory for arts advocates who pressed and pressed for so hard for it that ironing out details seems unnecessary, the details, in fact, are abundantly necessary. Now, I should caution by demonstrating that the focus of the piece is on what portion of that $50 million will actually affect Colorado arts. So let me put that on the table from the piece:

Colorado is guaranteed a share of the $50 million set aside for the arts in the $787 billion federal stimulus package, but no one knows exactly how much or when the funds might start flowing….

Victoria Hutter, a spokeswoman for the National Endowment for the Arts, which is responsible for distributing the $50 million, said the agency hopes to post funding guidelines in early or mid-March….

What is known so far is that 40 percent of the stimulus money for the arts will go to state arts agencies and the country's six regional arts agencies, including the Western States Arts Federation. They will then redistribute those allocations via their existing funding channels.

Elaine Mariner, executive director of the Colorado Council on the Arts, estimates that it could receive at least $100,000 to $200,000.
Here's the catch:
But rather than boost the agency's budget, the added federal funds will likely just help make up for an expected cut to its state funding of 25 percent or more. This year, the council received $1.6 million in state appropriations and $733,000 from the National Endowment for the Arts.
So even my arguments for the funding -- which I oppose because I feel our arts advocates are not thinking in terms of long-term, sustainable funding for the arts, preferring instead to act like pathetic paupers with their palms outstretched for alms -- don't make sense in this case because you can't fall back on the economic impact argument if you've giving with one hand and taking away with the other. The federal government is just making up for state shortfalls. How awful. You won't see our arts advocates talking about that, though. That would require them to develop a vision.

And while we're at it, at least Bill Ivey is acknowledging the problem:
In all, Colorado arts organizations will likely receive several hundred thousand dollars in added funding, which will have a significant impact, said Stephen Seifert, executive director of the Newman Center for the Performing Arts and a board member of the advocacy organization Arts for Colorado.

"In a time when everybody is having to cut back, and corporate and individual giving is down," he said, "this will replace some of the money that these organizations would otherwise have counted on and might keep some people employed. Every dollar counts. I don't know how else to put it."
I should add that the Denver Post article talks about how hard it was to convince certain folks in Congress that arts funding makes good fiscal sense. Of course it is; I honor those who worked so hard to stress that point and stress that point. But what I'm getting at is something beyond that. What are we going to do fiscally to ensure -- sorry, I've got to use the term again -- long-term sustainable funding for the arts? Hello?

Parenthetically, the Denver Post also ran a story lamenting the death of print critics. Unless it went unreported (which is possible), I was saddened to see Todd London, who is executive director of New Dramatists and is one of the nicest and savviest people out there, not seem to understand what the birth and ongoing maturation of the theatrosphere means to criticism. He should open his eyes and investigate. Fast.

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Friday, February 20, 2009

State Arts Funding as a Whole? Down, Down, Down Across the Nation

I've come across this press release from the National Assembly of State Arts Agencies.

Basically:

Legislative appropriations to state arts agencies decreased by 3.3% in fiscal year 2009, according to the Legislative Appropriations Annual Survey published by the National Assembly of State Arts Agencies (NASAA). Between fiscal years 2008 and 2009, state arts agencies lost $11.6 million in state funds, leaving total legislative appropriations to state arts agencies at $343.1 million, or $1.12 per capita.

Fiscal year 2009 marks a decline in legislative appropriations, following four consecutive years of increases. The number of states experiencing increases (21) and decreases (24) were approximately equal, while a handful of major decreases accounted for the aggregate percent decline. The most significant cuts took place in Florida, South Carolina and New Jersey.

Click on the link above and go to page 3 for a great list of which states appropriated what.

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Arts Advocacy Update LXXVII


The content below is from Americans for the Arts' Cultural Policy Listserv, email blast of February 18, 2009:

A (Half-Price) Night at the Opera
Wall Street Journal, 2/14/2009

"Many cultural groups, hit hard by the recession, are slashing prices at the box office. It's a controversial tactic in the arts world, where profits are always hard-won. But by offering low prices on high culture, the new crop of deals provide an attractive access point, especially for casual fans."
And isn't that better, sociologically, in the long-run? I mean, half the problem is the ineffectiveness of the arts, generally, in luring people to live performance.


New Smithsonian chief sees technological future
Los Angeles Times, 2/17/2009

Wayne Clough, the new secretary of the Smithsonian Institution, says "We need to make our collections, talented scholars and other resources accessible worldwide by providing additional platforms and vehicles for educating and inspiring large audiences.... Our job is to authenticate and inform the significance of the collections, not to control access to them. It is no longer acceptable for us to share only 1% of our 137 million specimens and artifacts in an age when the Internet has made it possible to share it all."
Will we need stimulus money to pay for that? Hire me!


Verdi With Popcorn, and Trepidation
New York Times, 2/15/2009

"Thanks largely to the efforts of the Metropolitan Opera, hundreds of thousands of people worldwide are seeing live opera performances in movie theaters, and many others in repeat showings.... [But] a few voices have raised concerns about long-term effects on the art form. The dissenters say that the movement will lead to more conservative programming; that the voice will become subservient to appearance; that listeners will be trained to hear something electronic and lose an appreciation for a live experience. Some worry that vocal training will change, de-emphasizing the ability to project, and that the Met’s effort is a deal with the Devil, because it will divert audiences from local opera houses to make the easier, cheaper trip to the mall."
Well, the live-experience fear is certainly valid. That said, I think if you combine smart marketing with this trend -- see three operas on screen, get one ticket free -- it could be more than adequately addressed.


Officials favor turning facility into arts center
New Haven Register (CT), 2/16/2009

In West Haven, CT, "[l]ocal and state leaders have thrown their support behind a proposal to spend $1.2 million on renovating the old Masonic Temple on Center Street into the West Haven Cultural Arts Center. Mayor John M. Picard and City Councilman Edward M. O’Brien, D-At Large, are among those calling for state legislators to authorize bonds for the project, even as the state faces serious budget woes.... 'I think the arts center is not only important for the arts but also as an economic development driver,' Picard said."
And in West Haven in particular, that's quite true. Connecticut tends to be rather enlightened about the arts.


Asia still likes America
International Herald Tribune, 2/17/2009

"Unlike in the rest of the world, America's reputation in Asia remains robust. New evidence suggests that in East Asia, U.S. 'soft power' - the power to persuade others to do what you want them to do by attraction rather than coercion - has actually increased over the past eight years. Despite China's rise, the United States remains the leading source of soft power in the region.... When separated into categories, the United States led China in four measured areas - political, diplomatic, human capital and economic - while China led the United States in one - cultural."
How will Obama and Clinton transform the cultural export programs of the State Department? That's the question this story raises for me.


Barack and Slumdog
Huffington Post, 2/17/2009

"Unlike most countries, we are seen not only for what we are and what we do, but through the images we project globally through pop music, TV shows and Hollywood films.... If politics in the information age is about whose story wins, then, given this reality, America's storytellers -- Hollywood -- have a starring role in defining America's presence globally. For that reason, they ought to to be recruited for the new 'smart power' campaign, which must be two-fold -- projecting America abroad and projecting knowledge of others to ourselves at home."
Exactly. I refer, in fact, to the comment I posted just above.


Copyright reform unlikely, advocates say
CNet News.com, 2/11/2009

"With a new administration and a Democratic Congress, now is the time to overhaul copyright law, advocates for reform said Wednesday--but the complex nature of the issue makes copyright legislation nearly as unrealistic as ever. Representatives of songwriters and the recording industry faced off against open Internet advocates at the Future of Music Coalition's Policy Day here in Washington, demonstrating the entrenched divisions that remain within Democratic constituencies over copyright issues.... Yet even with bank bailout plans and billion-dollar efforts at economic recovery keeping lawmakers busy, the climate in Washington may finally be right for copyright and intellectual property reform. The House Judiciary Committee this year elevated intellectual property issues from the jurisdiction of a subcommittee to the full committee because of increased interest in the matter."
It's not just in the music industry -- it's literature and fair-use issues, too. I don't get the sense that they're looking for compromise, so I tend to agree -- Congress is not about to wade into this and get egg on its face. Let the parties battle it out for a little while longer first.


Arts advocates oppose Pawlenty’s budget proposal
Rosemount Town Pages, 2/17/2009

"Pawlenty is proposing to cut the [Minnesota] Arts Board and regional councils by 50 percent over the next two years - which [theater director Sean] Dowse called 'a disproportionate burden' - and then eliminate the Arts Board after 2011." Although Minnesota passed the Legacy Amendment in 2008, "the amendment states that 'the dedicated money ... must supplement traditional sources of funding for these purposes and may not be used as a substitute.'"
Ugh. Republicans.


Arts Council faces 23% cut in budget
Courier-Journal (Louisville, KY), 2/15/2009

"Grappling with a proposed 23 percent cut in its operating budget, the Kentucky Arts Council faces considerable pressure in maintaining its mission of serving 120 counties in the state."
Ugh. Kentucky.


California Beckons Film Crews
New York Times, 2/16/2009

"Not long ago, location filming in and around Los Angeles was viewed as a nuisance to be suffered with traffic on the San Diego Freeway and the occasional minor earthquake. But it dwindled as states like New Mexico, Louisiana and Michigan used tax incentives to lure film production, while California declined to play the subsidy game.... But that may change. On Monday the state’s legislators and Gov. Arnold Schwarzenegger continued to debate a budget proposal that included $100 million a year in tax credits for so-called below-the-line spending — payments other than those to the stars and filmmakers — on certain movies and television shows in the state."
That's what, $100M more than the appropriation for the California Arts Council? I exaggerate, I know.


Fundraising losses to state arts and culture groups could top $300M
Crain's Detroit (MI), 3/13/2009

"The loss of $6.1 million in state funding for arts and culture will impact arts groups’ ability to leverage federal funding and match grants in a big way. In fact, it could cause Michigan groups to lose opportunities to raise more than fifty times that amount - or a combined $310 million - through local match grants, said new ArtServe President Jennifer Goulet. Gov. Jennifer Granholm’s budget for the upcoming fiscal year, announced Thursday, eliminates all operational support for arts and culture but includes $1 million for capital improvement grants to those groups. It also calls for transfer of the Michigan Council for Arts and Cultural Affairs and its staff to the Michigan Economic Development Corp., and the closure of the state Department of History, Arts and...
Here we go again -- it's the economic-impact question. People have got to make the case and stop advocating just for NEA handouts.


House Committee to Hold Hearings on Benefits of the Arts
ARTINFO, 2/13/2009

"U.S. Rep. George Miller (D-CA), chairman of the House Education and Labor Committee, announced last week that the committee would hold a series of hearings this spring to examine how the arts benefit the nation's economy and schools, and what can be done to help support them during the economic downturn."
I'll be keeping an eye on this.


Is this any time to increase arts funding?
Crosscut (Seattle, WA), 2/16/2009

"Can the argument that arts funding is instant stimulus prevail against all the better-organized pressure groups trying to retain funding during hard times? There are three tests for the [Washington state] Governor and the Legislature. One is increasing funding for the State Arts Commission.... A second is securing some of the expiring stadium taxes for King County's arts-funding organization, called 4Culture.... The third test is a sleeper bill (HB 166 in the House, SB 5786 in the Senate) that would enable local counties to pass a tenth-of-a-cent increase in local sales tax to fund arts and cultural organizations (including such things as zoos, botanical gardens, history museums, and science museums)."
Thank you! Great story.


The Arts Need Better Arguments
Wall Street Journal, 2/18/2009

Classical music critic Greg Sandow offers a sober assessment of the fight for fifty million NEA dollars in the economic stimulus bill. The arts, he says, are not unique in generating economic impact. Further, as charities for the homeless and poor face cuts, some argue that "the arts have a lot of money, and that they largely serve an upscale audience." Although such statements may not be true, "let's not underestimate how persistent those perceptions are, especially when reality at least partly seems to back them up.... The arts are going to need a better strategy. And in the end it's going to have to come from art itself, from the benefits art brings, in a world where popular culture -- which has gotten smart and serious -- also helps bring depth and meaning to our lives. That's the kicker: the popular culture part. Once we figure that out, we can leave our shaky arguments behind and really try to prove we matter."
Well, no one said the arts are "unique in generating economic impact." The real question, Greg Sandow, is whether the GOP is prepared to attack or discount an economic sector putting $166 billion into the economy. It's not that the arts need better arguments -- the GOP needs finer arguments against it. And the left needs to stop looking to Congress for a $50M NEA boost and start thinking in terms of a long-term strategy for arts funding.


Charities Fear New Pay Limits Will Hurt Executive Donations
Wall Street Journal, 2/17/2009

"Nonprofits already face the prospect of fewer donations amid turmoil at Wall Street firms and other companies. Now, they could face another donation deterrent: Washington's plans to curb executive pay. Americans gave more than $300 billion to charity in 2007, according to the most recent figures. Some of the largest gifts from that pot have come from wealthy Wall Street bosses. Now nonprofit leaders, especially in and around New York's financial hub, are worried these big donors could feel squeezed further amid government edicts to limit pay packages."
Of course it will! But we're in a depression/recession. Them's the breaks. Why should nonprofits fight for captains of industry to take taxpayer money and give a portion of it to them?

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