Yesterday morning, as you’ve likely read by now, the Trump administration released the outline of its budget request to Congress. And it turns out that those early reports were right: it recommends deep cuts in a number of federal agencies, and total elimination of the National Endowment for the Arts, the National Endowment for the Humanities, the Institute of Museum and Library Services, and the Corporation for Public Broadcasting, among others. The announcement comes mere days before hundreds descend on Washington for Arts Advocacy Day next week.

For the past decade, Createquity has taken a technocratic approach to covering arts policy in the United States and beyond. We’re not mindless cheerleaders for arts funding; we recognize that governing requires making tradeoffs in the face of limited resources, and have argued against certain types of government arts support in the past. Nevertheless, we believe that the National Endowment for the Arts and other targeted federal agencies do valuable work and are worth saving.

Here are some perspectives on the current budget situation that you may find of use:

Are all these cuts actually going to happen?

Probably not, but that doesn’t mean the danger isn’t real. It appears that Trump’s budget was heavily influenced by staffers from the conservative Heritage Foundation, which has long targeted agencies including the NEA and CPB out of an ideological belief that the government shouldn’t be funding the arts and humanities at all. Nevertheless, the budget proposal is already running into opposition from Congressional Republicans, who are seeing it as unrealistic and poorly targeted. Furthermore, eliminating the NEA and NEH will require an actual act of Congress, not just a ratification of the president’s budget. All of that suggests it’s unlikely (though possible) that the agencies will disappear completely, at least in FY18.

That said, it seems virtually certain that we will see at least some cuts. Trump’s budget is so aggressive in so many areas that pushing back on all fronts simultaneously will be very difficult—indicative of a classic hardball negotiation technique.

How will regular people be affected if these agencies are actually eliminated?

It depends on where they live. The vast majority of foundations and individual donors concentrate their giving in the immediate geographic area around where they’re based, which means that the areas with the most wealth (largely big cities on the coasts) are also the ones that receive the most philanthropic funding. As a result, resources are few and far between for arts organizations and public radio and television stations alike in rural America.

In the NEA’s case, the agency has made a point to provide direct funding in every congressional district in the country. Perhaps even more important, though, is the NEA’s system of partnerships with state and regional arts councils, which come with a carrot of matching funds from the federal government in exchange for appropriations from state budgets to their respective state arts councils. In the years following the Great Recession when state budgets were under severe pressure, many of these state arts councils survived in no small part because of this matching fund arrangement. Meanwhile, an external assessment estimates that eliminating the Corporation for Public Broadcasting would mean 12 million people losing their access to over-the-air public television, mostly in isolated areas.

As for arts organizations, museums, and public broadcasters in other regions of the country, some will have a tough time to be sure, but the overall effect on the ecosystem would be subtle. The United States didn’t have the NEA, the NEH, CPB, or IMLS for the first 190 years or so of its existence. We believe these agencies create more value than we spend on them, but if they are eliminated, arts and culture will soldier on.

Speaking of creating value, I read that the NEA gets a return of $9 for every dollar invested. Is that true?

No, and we wish arts advocates and the agency itself would avoid using this misleading statistic. It falsely assumes that none of the matching funds leveraged by the NEA would otherwise be there for grantees if the federal funding went away. In reality, matching funds are fungible to a large degree, meaning that the non-federal money is often already committed and it’s really the government that is providing the match, not the other way around. (The big exception here is matching funds for low-budget state arts councils, as discussed above.) Framing it as a “return on investment” is even more misleading, as this implies an astronomical multiplier effect to the spending that simply has no basis in evidence.

Right. So why can’t the arts just fend for themselves on the free market?

They already do. The United States is an outlier among developed-world economies in that its arts funding system is highly decentralized and market-driven. Just 1.2% of arts organizations’ budgets comes from the federal government, so artists and arts organizations have no choice but to sink or swim in the private sector. And as noted above, for all conservatives’ trumpeting of the free market, private philanthropy isn’t very generous to the rural areas and red states that helped Trump get elected. In any case, getting rid of the NEA doesn’t get the government out of the business of funding the arts. In fact, the most significant federal arts funding sources are the Smithsonian ($840 million) and the Department of Defense ($437 million for military bands alone). Yep, that’s right: we spend three times as much on military bands as we do on the entire budget of the National Endowment for the Arts.

Not to mention, it’s a little rich to complain about nonprofit arts organizations drinking from the government trough when we give away billions of dollars in free money to for-profit industries including oil & gas, corn, and airlines.

Wait, so if the NEA is so insignificant, why bother fighting for it? Wouldn’t it be easier to just take the money and create a parallel private endowment with the same mission?

Yeah, that does sound nice, doesn’t it? Unfortunately, it probably wouldn’t work. Just to maintain current funding levels, which are well below the agency’s inflation-adjusted peak from 1992, one would have to raise an endowment of approximately $3 billion, which would rank up there with the nation’s largest private foundations. Interestingly, Kansas tried to do something like this several years ago—Governor Sam Brownback terminated the Kansas Arts Commission with the plan of setting up a new private entity, the Kansas Arts Foundation. The plan never got off the ground due to poor fundraising results, and the next year, the arts council was brought back to life under a new name.

The NEA’s budget is slight, but as a result it’s had to learn to accomplish a lot with a little (by federal government standards, anyway). The agency does important knowledge infrastructure work, most notably by organizing the Survey of Public Participation in the Arts (SPPA), conducted every five years in collaboration with Census Bureau. The SPPA provides us with widely-used statistics about arts participation that would be extremely hard to replicate with the same accuracy in the private sector, because the imprimatur of government is so important for reliable surveys. As a government agency, the NEA also possesses an important power to help set agendas in an otherwise leaderless ecosystem. The contemporary creative placemaking movement was almost entirely incubated at the NEA under the leadership of former Chairman Rocco Landesman, which looms as one of the Endowment’s biggest policy wins in recent history.

What about the argument that the arts and media are better off operating outside the influence of government?

We largely agree with this—it’s one reason why the United States is better equipped to withstand creeping authoritarianism than democracies with more centrally controlled institutions. But as noted above, America’s arts funding system is already far too weak to make political work risky for artists in the way that it is risky in some other countries. Thus, while protecting freedom of expression could be a valid argument against increasing the agencies’ budgets by too great an amount, it is not an argument for decreasing them.

What about other agencies? Is the impact on the arts limited to the Endowments, IMLS, and CPB?

Unfortunately, no. The Trump budget is very wide-ranging in its targets, and includes relevant cuts to the State Department’s Bureau of Educational and Cultural Affairs, the Interior Department’s National Heritage Areas, funding for after-school and summer enrichment programs within the Department of Education, and the Department of Housing and Urban Development’s Community Development Block Grant (CDBG) program, which helps fund low-income artist housing initiatives.

Is it wise to put energy into defending the NEA and these other agencies when there’s so much else going on (climate change, threats to immigrants, international relations, etc.)?

That’s a tough call, but we believe the answer is yes. The Trump administration represents a unique challenge for America today, and picking battles seems to play into its strategy. Legislators make the budget, legislators for the most part want to keep their jobs, and they respond to pressure from their constituents. So you know what to do. #SavetheNEA.

Cover photo credit: Felix Russell-Saw

  • chukicita

    The trend of cramming science and technology museums in the same funding arena with “the arts” is appalling.

    Please reconsider your statement about the Smithsonian. Looking at their budget, I do not see any that is actually funding living art or artists.

  • Anthony M.

    To the last question posed: Absolutely. The arts is what defines us as people and to have a public beheading of an organization directly involved with the arts world may not kill the arts directly but it will definitely show the rest of the planet how we feel about our own creativity.

    It is interesting to see that the areas most affected by these proposed cuts (let’s not forget, just as Moss mentions above, that these have not happened yet…) are in rural areas since they would have the least access to private financiers. Two things come to mind: 1) Isn’t in funny that those who arguably need arts access and education the most will be the ones affected and 2) Could the reason for these “rural area” citizens to have supported Trump possibly be due to an effect not to far off from the private donor situation? For example, Moss talks about private donors giving to their immediate geographical location, which is completely understandable. However, since these rural areas hardly feel any support from the far-off wealthy to begin with, did they latch onto this particularly prominent man who came promising riches? The sad truth is if the government allotted more arts resources to the general public rather than, let’s say, the $437 million solely on military bands, they might have a better understanding of the world around them. Perhaps an oversimplification, but my thoughts seem to go big or go home these days.

    Addressing the comments about government in arts in media seems to be two separate categories. Shouldn’t media be concerned about facts while the arts concern about how those facts affect the world? As for government involvement, I agree with Moss in that government should have no sway over media but I feel it could give more assistance to the arts. As I began with, it is a statement to ourselves, if no one else, that we care about how we all, as Americans, view our world. It’s important to allow that message to continue.

  • NarricAFTA

    Thanks for dedicating your report on the advocacy needed to support the National Endowment for the Arts.

    I’m worried that you may have left your readers with the impression that the 9:1 leveraging statistic from the NEA is false, which it is not. During the Bush Administration the data point was 7:1, and it increased slightly to 9:1 currently, and is a measure of the amount of non-federal funds that are attached to the same project supported by an NEA grant.

    You may have a point about the way that the statistic is rhetorically used. I agree that the leveraging power is not an *automatic* feature of NEA investment, but it is still a credible measurement of the non-federal dollars that follow the direct NEA grant, and therefore can be considered “leveraged”.

    What would happen if the NEA dollars weren’t there to catalyze additional matching funds from state, local and the private sector? I’d prefer not to find out – let’s #SaveTheNEA!

    • Thanks, Narric. It’s undoubtedly true that the NEA matching requirements offer some leverage, and I regret if any readers took away a different conclusion. The point of contention is whether 9:1 is the right ratio to use. I am not sure what the “real” number is — we’d need some actual research on crowding-in effects to know for sure — but while I am confident it is less than 9, I’m equally confident it is greater than 0.

  • Alexander Zhu

    I feel that government funding for the Arts is a notoriously tricky subject, especially given the United States’ relatively short cultural history and extremely diverse cultural make-up. European Ministries and Departments of Culture have a relatively easy time defining their priorities and setting policy, but in the US, even if cutting funding were not an issue, the NEA and other organization’s task to do the same would monumental.

    In the United States, a nation of immigrants, what culture do we aspire to protect and grow? For many years, it was the high art forms of Western Europe: the opera, the theatre, the art museum, the symphony and the ballet. But to a vast majority of our populace, this art means nothing. Lately, the NEA has been more focused on programs such as bringing Shakespeare and other literature to communities not yet exposed to them, as well as increasing reading rates across the country, but even as these programs bring more people to the arts, the majority of this country is still unaware, and perhaps uninterested. Whose art and culture do we promote? How do we interest those originally from other cultures in traditions and performances they may be unfamiliar with?

    That being said, uncertainty as to which art to support is absolutely no excuse for government defunding of the arts. The foundation system and other donors here in the US often expect those they support to run the arts organization like a business, and to not offend anyone- what great art hasn’t offended somebody? Cultures develop art to tell a story, to make us think, and to make us feel, both positively and negatively. Our government, elected by the people, should be the safeguard for artists in this country, free from the personal preferences of private donors.

    The United States is a unique country in history, and it would be unthinkable to see our legacy forgotten as we slash funding for the arts. But perhaps part of the issue is convincing the American public that art and culture is valuable, that it has meaning, and that a society without it is no society at all. Part of our work as arts workers is not just to create meaningful art, but also to promote and share it.