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Upcoming Events
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The
Shrinking Media and
What It Means for
Your Arts Organization
January 15 at 6 pm
Columbia College
Film Row Cinema
Panelists include
IAA's Scarlett Swerdlow
Break on Through:
The Creative Response
to
Tough Times
January 27 at 9 am
Chicago Cultural Center
Sponsored by IAA,
Chicago Cultural Center,
and Arts & Business
Council of Chicago
2009 IAA Members'
Meeting
and Reception
February 24 at 3 pm
Steppenwolf Theatre
2009 National
Arts Advocacy Day
March 30 and 31
Washington, DC
2009
One State:
Together in the Arts
Conference
June 1 and 2
Peoria, Illinois
Sponsored
by IAA and
the
Illinois Arts Council
For more information
on
the above events,
contact IAA at
info@artsalliance.org or
312-855-3105.
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Dear Friend in the Arts,
This new year brings new challenges
and unprecedented change for many in the arts. More and more artists
and cultural workers are wringing their hands over the deepening
recession, a $2 billion state budget shortfall, and rising unemployment
rates.
In case you missed it, Illinois
Issues devoted its entire December edition to the threats and
opportunities affecting our state's creative sector.
So how will artists and arts organizations in Illinois confront the
challenges that lie ahead? In this issue, we offer tools, information,
and events to help our members navigate the economic downturn, see
change as opportunity, and capitalize on creativity.
As we enter 2009, let us resolve to embrace change and take on the
challenges of our time with energy, innovation, and perseverance.
Many thanks for all you do,
Ra Joy
Executive Director
joy@artsalliance.org
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WEATHERING THE STORM: THE RECESSION & THE
ARTS
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IAA Forum on Response to the Economy: Jan. 27, 2009
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In
December, unemployment rates continued to climb, home values continued
to plummet, and consumer confidence reached an all-time low.
Increasingly, nonprofits are joining all Americans in bracing for
leaner and much tougher times.
In
October, when we first
considered the economic crisis, when it came to the total
impact the downturn may have on the cultural community, there were few sure
or absolute answers. Today, while the road is still wrought
with uncertainty, the challenges and opportunities that await us are
more apparent.
Undeniably,
the downturn is affecting the arts. As artists and arts organizations
weather this storm, they may encounter steep reductions in state
support and fewer foundation and corporate dollars as well as shrinking
audiences and diminishing patronage.
The
economy here in Illinois is
officially in recession, according to a report released by
the University of Illinois on January 6, 2009. And as J. Fred Giertz of
the U of I Institute of Government and Public Affairs told the State
Journal-Register, "The question is how
low will it fall?"
"We're
going into recession with no reserves, a huge backlog of unpaid bills,
and a budget that was unbalanced even before the recession came,"
Giertz went on to tell Illinois
Issues.
In
its January edition, Illinois
Issues details the economic
challenges and obstacles we will face in 2009. Some of
Illinois' problems are common throughout the US: 31 states expect shortfalls in state revenue
through the end of fiscal year 2009, and declines in jobs and spending
are a national trend. Unique to Illinois, though, are the $4 billion backlog in bills
the State of Illinois has and the
$4 billion payout in pensions the State must muster up for
state workers in 2009. Add to that the $0 balance on our "rainy day"
fund, and Illinois is facing a severe fiscal crisis.
A
recent report from Donors
Forum offers an overview of the
effect of the economic downturn on Illinois' nonprofits as
well as the community's proactive and creative responses to current
challenges.
The
Donors Forum, which works to strengthen Illinois philanthropy and
nonprofits, convened a dialogue with donors in December titled "In Times Like These: Coping in a
Slack Economy" to assess the impact of the downturn on
philanthropy in Illinois as well as offer advice and strategies to
nonprofits. The forum featured IAA Board Member Donald Cooke of the
McCormick Foundation as well as representatives from Northern Trust,
Polk Brothers Foundation, and Metropolitan Family Services. A transcript is
available online.
Tough
Times for Nonprofits
A takeaway from the Donors Forum event is that fundraising and development will
be fraught with significant challenges for the cultural
community in 2009.
While
foundations are feeling the recession, they may be one of the more
stable funding channels available to nonprofits in 2009. According to
the Foundation Center,
a few factors may moderate
the impact of the downturn on overall foundation giving. For
example, many foundations average the value of their assets over two to
five years when determining how much they will give in a year. This
means that losses in
2008 may be offset by gains in previous years.
Plus,
the Foundation Center reports that the priorities of
foundations do not shift suddenly in the face of reduced resources.
Specifically, the research shows that giving to the arts and culture
has remained steady during past downturns in the economy.
The
outlook for corporations is less optimistic. An article in the Wall Street
Journal warns that corporations are
scaling back in giving: "The pipeline from corporate America
to the nation's charities is starting to dry up, as losses in the stock
market mount and the recession deepens."
More
difficult to forecast than foundation or corporate support is
individual giving. On the one hand, a recent report from the Center on Philanthropy
suggests that giving is
recession-proof: individual donations to nonprofits have
increased every year except one since 1968. Plus, a handful of the top
philanthropists in America intend to give more in 2009 than
in previous years, according to a Business Week
article.
On
the other hand, a GuideStar
survey found that the number of
nonprofits reporting a decrease in contributions doubled
between 2007 and 2008.
Moreover,
in December, nonprofits reported the lowest level of
confidence in the fundraising climate in more than ten years,
according to a Philanthropic
Giving Index report by the Center on Philanthropy. (The
Philanthropic Giving Index is similar to a Consumer Confidence Index
for giving to nonprofits.)
With
contradictory reports and information, what are arts and cultural
organizations to think? As a New York Times
article states, "So far, few fundraising experts or nonprofit leaders
are predicting an implosion in giving, a long fall from the more than
$300 billion that was donated in 2007 in the United States. But
nonetheless they acknowledge that
their world has changed and are preparing for leaner times.
It's more a matter of
when, not if."
Break
on Through: The Creative Response to Tough Times
While
there is no doubt that the downturn in the economy is a severe
challenge to the arts and cultural community in Illinois, it's not in
our nature to submit to despair or passivity. On the other side of the
current uncertainty is the opportunity to capitalize on creativity and
promote the strength and impact of our state's cultural sector.
To
explore this opening, in partnership with the Chicago Department of
Cultural Affairs and the Arts & Business Council of Chicago, IAA will co-host "Break on
Through: The Creative Response to Tough Times" on January 27, 2009 at 9
am at the Chicago Cultural Center on 77 East Randolph
Street in the Claudia Cassidy Theater. Click here to
register online.
 First,
Paul
O'Connor (pictured to the right), a nonprofit consultant and
the founding executive director of World Business Chicago, will
comment on the
importance of an active and vibrant arts community to the
vitality of Illinois.
Then, a panel of dynamic, respected,
and entrepreneurial arts leaders will lead a wide-ranging discussion of the
individual and collective steps cultural organizations can take
to position the sector not only for near-term endurance, but for a
thriving, post-recession expansion.
"I
personally think that America's
economic future depends upon a robust cultural exchange
between the incompatible perspectives of business and the arts,"
O'Connor told IAA. "The MBAs of Mars must hybridize with the MFAs of
Venus; connect-the-dot business logic must learn how to make intuitive,
creative leaps forward. In short, the
arts have something to sell that business desperately needs: creative
thinking. I see this as an urgent national priority."
"The
businesses that - in desperation perhaps - taste the creative Kool-Aid
will never be without it again," O'Connor continued. "[They] will take
their financial relationships with arts organizations into new forms of
two-way commerce."
Admission
to "The Creative Response to Tough Times" is free, but space is
limited. Register online today,
or contact Scarlett Swerdlow at IAA at swerdlow@artsalliance.org
or 312-855-3105 x13 if you have any questions.
(Pictured below: the Tiffany Dome at the Cultural Center.)
Tools
to Help You Weather the Storm
The
Foundation
Center - with its online hub of
information on the economy - continues to be an outstanding
resource for arts professionals concerned about the economic crisis.
In
addition to hosting "The Creative Response to Tough Times" forum, IAA
is using delicious, an online bookmarking tool, to maintain a thorough, running list of
ready-resources available online for artists and arts
organizations to access. Visit http://delicious.com/tag/artsrecession
to check out articles, commentary, research, and tools about the
downturn in the economy. If you are a delicious user, use the tag
"artsrecession" to share relevant resources.
As
more information and resources become available, we will continue to
share them with you. In the meantime, we want to hear your stories
about the impact of the economy on your work. Are you:
- Facing
a
severe cut in municipal funding?
- Being
forced to cut programs
or lay off staff
as a result of the economic downturn?
- In
jeopardy of losing
critical foundation or corporate support?
Please
share you stories by contacting Scarlett Swerdlow at IAA at swerdlow@artsalliance.org
or 312-855-3105 x13.
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ARE
YOU "SHOVEL READY"? FEDS TACKLE THE RECESSION
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Not only are individual artists and arts organizations trying to
weather the economic storm, lawmakers are also struggling to address
the threats and opportunities that the recession poses.
In December, the National
Conference of State Legislatures issued an analysis of the
topics that will top the agendas of state governments in
2009. According to the report, shortfalls in state budgets will
dominate the sessions of many state legislatures: "Money will be the No. 1 issue for
states in 2009." Money will top the agenda in Springfield
too as Illinois wrestles with a $2 billion budget deficit as well as a
$4 billion backlog in bills and a 3-month delay in payments.
Obama's
American Recovery and Reinvestment Plan
The economy will also dominate President-elect Barack Obama's first 100
days in the White House. President-elect Obama has identified the
passage of an economic stimulus package as his top priority.
"Economists from across the political spectrum agree that if we don't
act swiftly and boldly," President-elect Obama told Americans in his
weekly address on January 3, 2009, "we could see a much
deeper economic downturn that could lead to double digit
unemployment and the American dream slipping further and further out of
reach."
Obama's solution to the recession: the American Recovery and
Reinvestment Plan, a stimulus package that "not only
creates jobs in the short-term, but spurs economic growth and
competitiveness in the long-term." According to President-elect Obama,
"We must make strategic investments that will serve as a down payment on our long-term
economic future."
(Click on the image below to watch President-elect Obama's January 3,
2009 address.)
The objective of the American Recovery and Reinvestment Plan is to
preserve and create 3 million or more jobs through the next two years,
and the Plan includes three tactics: investment in American
infrastructure, such as roads, bridges, and schools; assistance to the middle class;
and support for states
struggling with revenue shortfalls.
Federal investment in infrastructure is a critical component of Obama's
plan. Specifically, local and regional projects that are "shovel-ready"
and can start within 60 days will be prioritized for federal funding.
Supporting
"Shovel-Ready" Arts Projects
This presents a window of opportunity for the arts and cultural
community to contribute to and benefit from the stimulus package.
Several arts and culture
initiatives are included in the "ready to go" report released
by the US Conference of
Mayors on December 19, 2008, and the Mayors' 10-Point Plan
for a Strong America states that "the arts are critical
to the quality of life and livability of America's cities."
In addition to calling for full
funding of the arts and culture, the nation's mayors also
"urge the creation of a
Cabinet level Secretary of Culture and Tourism charged
with forming a national policy for arts, culture and tourism."
There are several ways that the federal government could channel money
to arts and culture infrastructure projects including:
(To access the
Americans for the Arts guide on one of the above programs, click on the
hyperlinked description of that program.)
To position the arts as central to our economic recovery, it is
essential that we share
examples of successful local and state arts projects that were
federally funded through these programs.
Are you aware of an arts or culture project in your community that was
federally funded through the CDGB, Rural Development, or Transportation
Enhancement programs? Do you know of a federally funded initiative in
which artists, arts organizations, or designers played a substantial
role? If so, please contact Scarlett Swerdlow at IAA at swerdlow@artsalliance.org
or 312-855-3105 x13.
An Arts
Stimulus Plan
In addition to positioning the arts within the existing recovery plan,
others are calling for a
direct stimulus package to bolster America's cultural sector.
Michael
Kaiser, president of the John F Kennedy Center for the
Performing Arts, authored an op-ed calling for
emergency funding for artists and arts organizations which
ran in hundreds of papers on December 29, 2008. "No bailout for the
Arts?" argues the arts are critical to our country's health now more
than ever:
"We
are losing the
entertainment and inspiration we need more than ever
during this terribly scary time. As we try to rebuild America's image
abroad, we are losing our
most potent goodwill ambassadors. As we reshape our
economy, we are losing the organizations that teach our children to think creatively.
And as we celebrate the diversity of our nation, we are losing the voices that have
traditionally helped change society's thinking."
Some artists and activists have also been circulating an online petition calling upon Congress
to appropriate 1 percent of the stimulus package toward arts and culture.
Building on the tradition of the New Deal's Federal Art Project
and Federal Writers
Project, advocates are suggesting an arts stimulus plan could
be used to hire cultural workers, strengthen arts in public spaces,
support artist- and writer-in-residence programs, and more.
In the coming weeks, leaders in Washington, DC and Springfield will be
working to craft a new vision for our country and the state. We look
forward to working together to position the arts as essential to
reviving the economy, creating local jobs, and sharpening our state's
competitive edge and international reputation. Please be on the lookout for news and
action alerts later this month asking you to take action to support the
arts in Illinois.
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SAVE
THE DATE: FEB. 24, 2009: IAA MEMBERS' MEETING
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Ben Cameron to Discuss Change and Renewal
in the Arts
The
Illinois Arts Alliance will host its annual Members' Meeting and Reception on
Tuesday, February 24, 2009 at 3 pm at Steppenwolf Theatre
in Chicago.
The Members' Meeting is an
opportunity to network with other arts professionals and
supporters and discuss
issues of importance to the arts community in Illinois.
 Ben Cameron (pictured
to the right), a nationally renowned speaker, former theater
professional, and arts activist, will touch on the concepts of change,
transition, and renewal and their meaning for the arts in
an engaging keynote address.
Currently, Cameron manages a $17 million grant program for the arts at
the Doris Duke Charitable Foundation, but he also has experience as an
artist and arts administrator. Prior to joining the Foundation in 2006,
he served as executive director of Theatre Communications Group from
1998 to 2006 and director of the theater program of the National Endowment for the Arts
from 1990 to 1992.
Close to 200 arts professionals and supporters attended the 2008 Members'
Meeting and Reception which featured a talk by Carol Coletta of CEOs for Cities
titled "The Creative City" as well as a moderated discussion with David Hawkanson of Steppenwolf
Theatre, Tony
Jones of the School of the Art Institute, and Mayor Lorraine Morton of Evanston.
Video of Carol's
remarks and photos of the event
are available online.
Look out for a formal announcement of the 2009 Members' Meeting and
Reception in your inbox soon. In the meantime, you can contact Sharon
Tulos at IAA at tulos@artsalliance.org or
312-855-3105 x12 if you have a question or request regarding the event.
(Pictured below: Carol Coletta and David Hawkanson at the 2008 Members'
Meeting and Reception.)
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SAVE THE DATE: JUNE 1-2, 2009: ONE
STATE
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See
Change Is Theme of Statewide Conference in Peoria
On
June 1 and 2, 2009 in Peoria, Illinois at the Hotel Pere
Marquette, arts administrators and practitioners of all disciplines and
from all regions of the state will come together to learn, share, and
celebrate the arts at the 2009 One State:
Together in the Arts conference.
Now in its sixth year, the biennial One State conference is co-convened by IAA and the
Illinois Arts Council. One State is the only statewide,
multidisciplinary conference for artists and arts organizations in
Illinois.
(Picture below: presenters from the 2007 One State in Champaign.)
All conference sessions will touch on the theme of See Change, whether
from the perspective of:
- Creating and sustaining effective internal organizational change;
- Tuning into and working with the environmental changes
in which we seek to thrive; or
- Gauging and strengthening the
local, national, and international impact
of our work.
To truly represent the issues and experts of Illinois, the Arts
Alliance and the Arts Council have released a request for
proposals for conference sessions. The deadline for submissions is
January 16, 2009.
For breaking conference
news and announcements, sign up for IAA's
special One State eList. In the meantime, if you have a
question or request about One State, contact Lisa May Simpson at IAA at
simpson@artsalliance.org or
312-855-3105 x15.
More information on the 2009 One State
as well as the 2007, 2005, and 2003
conferences is also available online.
(Picture below: Networking at the 2007 One State.)
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The Illinois Arts Alliance (IAA) is the statewide
arts advocacy and service organization promoting the value of the arts
to all residents of Illinois.
Illinois Arts Alliance
203 North Wabash Avenue
Suite 1920
Chicago, Illinois
60601
312.855.3105
www.artsalliance.org
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