Last week was a rollercoaster of worry, uproar, and some reassurance for Oakland arts organizations.
On Monday, the city emailed dozens of arts and cultural groups to tell them the funding they’d been promised was being “tied up in the budget challenges that the city is facing.” The grantees—organizations like Art & Soul, Oakland Ballet, Living Jazz, Prescott Circus Theatre, and Oakland Interfaith Gospel Choir—were advised to stop all work on city-funded projects and events.
But by Wednesday, after leaders from arts and cultural organizations spoke out against the delays, the city relented and announced it would pay what it promised this year. “[G]rant agreements for the current fiscal year will go forward as planned,” the city informed the arts groups. “City staff across departments are working to expedite grant agreement approvals so that the city can disburse funds as soon as possible.”
The money—$1.3 million— was originally set aside last December by the City Council, which split it between 60 Oakland-based arts and culture organizations. $947,000 came from the city’s general fund and $380,000 from the hotel tax.
During last week’s City Council Life and Enrichment Committee, Vanessa Whang, chair of the city’s Cultural Affairs Commission, revealed that 42 of the grantees had yet to be paid, including Living Jazz, Oakland Ballet, Oakland Interfaith Gospel Choir, Prescott Circus Theatre, and Oakland Theater Project. A full list of the grantees who have not been paid has not been made available by the city.
The city email notifying arts groups that their grants were being held up came on the same day Art & Soul announced its cancellation. It lacked the funds needed to pay off the costs of last year’s festival, a requirement before it planned this year’s event.
Some grantees, like Black Music Entrepreneur Incubator, took to social media to express their frustration over the situation.
For many groups, the city’s decision to reverse course and pay out the grants is welcome, but for some, the delay has caused a change of plans.
Samee Roberts, Art & Soul’s executive director, told The Oaklandside that even with the money flowing again, the decision to cancel the event has not been reversed.
“The Oakland Ballet is more than delighted and very relieved to hear that the city funding is going to be released soon,” said artistic director Graham Lustig. “This funding is a lifeline to our organization.”
Lyz Luke, executive director of Living Jazz, told The Oaklandside that while she was relieved to hear that the city will pay her group, her worry now is what that means for potential budget cuts to cultural funding when the mayor and council revise the budget before the end of June. Oakland is facing a potential budget deficit as high as $177 million.
“I wish Oakland would see that this isn’t where to cut,” Luke said via email. “We actually make money for the city and provide the light that makes people view Oakland as a catalyst for culture and social change.”
California Governor Gavin Newsom recently announced his proposed budget to curb a $27 billion deficit for this year and a projected $28 billion deficit for next year. The state’s proposed budget calls for a 38% reduction in grant funding for small arts nonprofits through the California Arts Council.
Some foundations and corporations are reducing their support for the arts. Oakland-based Clorox has shifted its funding from the arts towards racial justice, youth development and education, and environmental justice causes, a spokesperson from Clorox told The Oaklandside via email last week.
City spokesperson Sean Maher acknowledged that arts and cultural events and groups provide valuable services to the city, but he said it’s hard to quantify exactly what kind of economic impact they have.
“We do not collect data related to their direct and indirect economic impact. While we don’t have specific revenue data, it’s clear these events are valuable,” Maher said. “Well-organized events and festivals activate our shared spaces and bring communities together while supporting jobs. These types of events attract attendees and visitors who in turn support our local, small businesses, generating sales tax revenue. It’s a virtuous cycle of community, economic and fiscal activity.”
Although the Cultural Affairs Division accounts for just one-third of 1% of Oakland’s budget, deep cuts across all departments are possible given the city’s current project shortfall. The Mayor will publish her proposed budget on May 24.
