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Politics, Art, and California’s Public Policy Failure

By John Gallogly

California is mired in a $16 billion dollar deficit, without the political will to overcome deliberately designed structural impediments to solving the problem. For most government and nonprofit organizations, mission determines function. The United States Constitution clearly lays out the ‘mission’ of the government in the Preamble: “to form a more perfect Union, establish Justice, insure domestic Tranquility, provide for the common defense, promote the general Welfare, and secure the Blessings of Liberty to ourselves and our Posterity,…” But the practical result of recently incorporated laws and referendum promoted by those who believe that less government is better government has had the opposite effect. In California, the two third majorities needed to both raise taxes (passed with only 55% of the vote), and to enact a budget, have created a situation in which a small, but determined minority can act in concert to thwart those general aims of the constitution and the citizenry.

Arts funding in California serves as a case study of the failure of political parties to create appropriate public policies. California ranks 53rd in the nation in general fund arts funding behind Puerto Rico, Guam, Washington DC and the other 49 states. This, in spite of the fact that Americans for the Arts’ Creative Industries Study (2007) reports the economic impact of nonprofit arts and cultural organizations in California is $5.4 billion, and California is home to 86,012 arts-related businesses that employ 484,657 people. In its 2004 report “The Arts: A Competitive Advantage for California II”, the California Arts Council found that nonprofit arts organizations alone generate $300 million in state and local tax revenues, attract 71.2 million in annual attendance and 6 million out of state tourists to California. In addition the “California Public Opinion Survey” conducted by BRS Group, Inc. (2001) showed, “More than 78 percent of Californians would be willing to spend $5 apiece in additional state taxes to fund the arts.

California’s lack of investment in the arts – currently we invest only 3 cents per capita of general funding versus NY’s $3.00 and Hawaii’s $5.51 per resident – hurts education, business, quality of life and even costs the state revenue by undermining its tax base, and flies in the face of overwhelming public opinion. The arts in New York City for example generate over $10 billion per year in revenues. But Los Angeles, which according to a University of Michigan business school study (2002) has more museums, theaters, and artists in every area of the arts (with the exception of novelists) generates only $500 million. Government investment in marketing Los Angeles arts assets could lead to a bonanza of local revenues, jobs and tax dollars. Yet all of these fact based arguments are rejected by ideologues for whom the constantly shouted mantra of lower taxes trumps promoting the general welfare, establishing justice, and insuring domestic tranquility. On a national and local level their calls have been answered, especially for the wealthy. IRS schedules show taxes have declined from 91% for those with earnings over $400,000 in 1963 to only 15% in 2002 for those whose earnings come from dividends.

The result of these radical shifts is predictable: lower investment in government infrastructure, and less incentive for the wealthy to donate to nonprofit organizations. Each of these decisions negatively impacts the arts. Statewide, a movement has begun among the arts sector to reverse the anemic funding levels. California Arts Advocates was incorporated in 2007 to bring the message to the legislature and the governor that the people in the state need the arts, want the arts and deserve the arts. In spite of only a volunteer staff, and a budget of less than $50,000, CAA maintains a lobbyist in Sacramento and in early March convened 75 organizations to lobby all state senators and assemblypersons. In addition CA Arts Advocates provides citizens and arts organizations policy updates on issues that affect the arts at the state level, and a chance to respond quickly to their legislators through CapWiz, Americans for the Arts’ on line petition and communication tool. As a result of these virtual networking efforts over 19,000 people recently contacted their legislators on an issue, even though CAA only had 1,300 email addresses. Together with local organizations like Arts For LA and Americans for the Arts at the national level, CAA is bringing the message to the legislature that the arts are important to the people.

Although that message may create an increase in the monies available to the arts in this budget cycle, the true answer to the systematic problem of state arts funding is a return to the mission of government: determining revenues based on the needs of the people in line with the mandates of the Constitution. Until that shift is accomplished, the arts, like the rest of California’s social service sector, will continue to be sacrificed on the altar of marketplace fundamentalism.

Mr. Gallogly is the executive director of Theatre West and a member of the board of directors for California Arts Advocates. This article originally appeared in the LA Progressive and is republished with the permission of the author.

Posted on April 15, 2008

Comments

Where does it say that to promote the general welfare that the government has to take charge of every aspect of our lives? Where does individual effort and responsibility come in to play? The governement has a role but it has far outstripped it's limited role as outlined in the Constitution. Californians may decide to allow the state government to take control of their lives, but that's not for the majority of Americans.

Posted by: Paul Kositzka at April 15, 2008 12:38 PM

To Mr. Kositzka:
I don't know which state you reside in, but as California ranks dead last in per capita funding of the arts at three cents per person, doubtless your state takes more of your money for the arts than does California from its citizens.

And if you did live in California, and the state took as much as one dollar a year from you to support the arts (which would rank it in the middle of all states), that money would result in a net gain to the state - for the arts are a multi billion dollar a year industry that generates jobs, economic activity and tax revenue far in excess of state support. The arts are critical to tourism, to new technology industries that rely heavily on creativity, and to a host of other businesses. Moreover, the arts contribute to the job preparedness of our young people - helping to equip them to compete in the new global marketplace, and to civic life in general. The arts make America stronger and richer. How is that taking control of your life? What does that have to do with individual effort and responsibility?

The government subsidizes a slew of other industries - from farm subsidies to rescuing Bears Stearns. And just a fraction of the money we taxpayers have paid that has been lost in the corruption in Iraq would support the arts for a thousand years.

Do you also oppose money for roads and bridges? for education? for military preparedness? While I think we can agree that the government intrudes in many areas of our lives that may be unwarranted, and that more people should rely on themselves, I think you would do better with your argument than to single out miniscule support for arts & culture.

And you are wrong, the majority of Californians and Americans support government funding of the arts.

Posted by: Barry Hessenius at April 15, 2008 04:27 PM

Just saw this. You go, Barry! Our professional theater company, Parson's Nose, www.parsonsnose.com, has brought classic plays to over 40,000 California kids and adults from all strati of the Los Angeles community. We've stimulated the imagination and enthusiasm of the artists and audiences of tomorrow. That means a smarter community, more jobs for the community, a higher quality of life for the community.

Posted by: Lance Davis,Parson's Nose at January 15, 2009 04:02 PM

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