California lawmakers urged to preserve $11.5M performing arts payroll fund

The recent meeting of Assembly Budget Subcommittee No. 5 on State Administration highlighted significant concerns regarding proposed cuts to the Performing Arts Equitable Payroll Fund, which many local organizations rely on for survival. Assemblymember Ward expressed deep concern over the potential impact of these cuts, emphasizing that they could jeopardize jobs and the viability of small nonprofit performing arts organizations across California.

The fund, established to support organizations with annual budgets under $2 million, aims to help them retain employees by reimbursing a portion of payroll costs. However, the proposed budget cuts threaten to withdraw support just as many organizations are beginning to recover from the financial strains of the COVID-19 pandemic. Ward noted that pulling back funding at this critical juncture would be detrimental, potentially leading to closures of vital community arts organizations.

Public testimony during the meeting underscored the urgency of maintaining this funding. Representatives from various arts organizations, including Teatro Nawa and Capital Stage, urged the committee to reconsider the cuts, citing the essential role of the arts in California's economy and community well-being. They highlighted that the arts sector not only creates jobs but also stimulates local economies through tourism and related spending.

The demand for the payroll fund is substantial, with over 400 applications submitted, totaling nearly $41 million in requests, while only a fraction of that amount is currently authorized for distribution. This disparity illustrates the pressing need for continued support, as many organizations are on the brink of closure without these funds.

In addition to the arts funding discussions, the meeting also touched on other budget solutions, including the California RISE program, which supports employment for formerly incarcerated individuals. Advocates for this program stressed its importance in providing job opportunities and workforce development.

As the committee moves forward, the outcomes of these discussions will significantly impact the future of California's arts community and its ability to recover from recent challenges. The call to action from community leaders and artists reflects a broader concern for the cultural and economic health of the state, urging lawmakers to prioritize the arts in their budget decisions.