The internet just got a little less friendly for pirates. A new “Copyright Alert” system, the product of a voluntary agreement between internet service providers such as Comcast and AT&T, Hollywood movie studios, and major record labels, will inconvenience persistent illicit downloaders first with warnings and then stronger measures such as slowed service. The Future of Music Coalition (consistently the smartest folks in the room when it comes to the arts and copyright issues) is wary but hopeful.

STATE AND LOCAL

Governor Rick Snyder of Michigan is pushing to cut in half the state’s generous subsidy to film producers, which currently gives up to $50 million a year in credits for qualifying expenses to firms that set up shop in the state. Michigan had one of the most aggressive film incentive programs in the country just a few years ago, which attracted such productions as “Gran Torino” and “Up in the Air,” but Snyder has since put on the brakes (even as he supported a rebound last year in the state’s arts council budget).

INTERNATIONAL

My goodness, the stream of news flowing out of the United Kingdom just gets fatter and faster. First, the embattled Arts Council England has a new head in Peter Bazalgette, a former TV executive and chairman of the English National Opera. Local governments continue to cut arts budgets in the face of financial pressures: Newcastle went through with eliminating its £2.5 million culture budget despite intervention from national Labour party leaders, and is attempting to move towards a privatized model instead; Westminster (part of London) has confirmed that it’s cutting its annual £350,000 subsidy out of the picture; and Scotland’s Moray is ditching its more modest £94,000 culture budget. At least Belfast is increasing its local arts support by 27%, to £1.4 million. A survey of UK theater companies suggests that many are cutting back on productions, commissions, and cast sizes due to the cuts, though small sample size should be taken into consideration. In this environment of austerity it’s a great time for university tuition fees to be tripling for artists, but the British government is hoping that the Creative Employment Programme, a rapidly expanding paid apprenticeship system in the creative industries for youths aged 16 to 24, will offer a smooth pipeline for new grads. (Joe Patti has more.)

The combination of the eurozone crisis and austerity policies has decimated Spain’s system of public support for the arts, with funding dropping as much as half since 2009 according to a recent report. The litany of second-order impacts cited in that article includes 100 employees laid off at a single opera house in Barcelona, a cancelled Lucian Freud show at the Museo Nacionale del Prado in Madrid, and a cancelled three-year collaboration between Madrid’s Teatro Real and the Berlin Philharmonic. The Orquestra Girona is down to one concert a year. But depending on who you talk to, there are opportunities lying in wait amidst the upheaval.

Australia’s government is out with a new cultural policy, and Ben Eltham (author of A Cultural Policy Blog) declares it a hit for artists. (Annoying registration required, but it’s free.) The policy commits $236 million in Aussie dollars in mostly new money over five years to various federal arts and culture agencies and programs. The government has also chosen to adopt many of the recommendations made in an independent review of the Australia Council last year, including a controversial proposal to do away with the Council’s discipline-based system of funding. (NEA, take note!) The package even includes $4 million for a “data collection program to inform research for the sector and to  track public value of investment.” More here. And they’re considering a media reform package while they’re at it Down Under.

In other news, Russia may adopt a restrictive rule shutting out small concert promoters, China is considering royalty rights (droit de suite) for visual artists, and UNESCO has pledged to raise an $11 million fund to restore the destruction in Timbuktu, Mali, but at least one observer is skeptical that the money will be used wisely.

FEDERAL

Beyond the official departure of Rocco, it’s been a slow news season at the federal level for the arts. One series of developments, however, has involved the Internet Radio Fairness Act, or IRFA. If you listen to Pandora (as I do), you might have heard advertisements in the fall urging action on this bill, which would lower what Pandora claims are high rates it has to pay to rightsholders in order to broadcast their music. Trouble is, the royalties that artists actually receive from Pandora and other streaming services are already extremely shitty, so as you can imagine artists aren’t a huge fan of this one. After a hearing that didn’t go well for IRFA, the bill is shelved for now – but may be re-introduced under a new name this year.

STATE AND LOCAL

Appropriations season has begun for state arts councils, and we are getting an early look into how things might go this spring through the stories that are developing now. Overall, there’s some of the usual attempts to cut budgets, but they don’t seem to have the same teeth as in previous years. Two years after Kansas temporarily zeroed out the budget for its arts council, a proposal to gradually eliminate funding for the state arts council in neighboring Oklahoma is thankfully dead in the water. In South Carolina, Governor Nikki Haley is trying to mess with the state arts commission yet again, though she has given up on doing away with the agency’s grant budget and only wants to get rid of its staffing (how she expects the grants to get awarded without a staff is anyone’s guess). And the California Arts Council is set to lose about $160,000 per year it was getting from donations via California taxpayers’ tax returns.

Meanwhile, as we know, states support the arts through other means besides direct funding. For years, many states have offered tax credit to lure film studios; now, several are trying to do the same with Broadway productions. Illinois passed a law just over a year ago allowing shows such as the Cyndi Lauper musical “Kinky Boots” to receive a tax credit for previewing in the state before hitting New York. Louisiana and Rhode Island have similar legislation on the books. Now Massachusetts wants in on the act as well, though Jeff Jacoby sees trouble down that road.

On the local front, after a millage (property tax) measure to support public art in Ann Arbor failed in November, the city council has voted to suspend the existing public art program so that it can be retooled, hopefully to allow more flexibility in how the funds are spent. At Oregon Arts Watch, Barry Johnson gives an incredibly in-depth account of how Portland’s more successful ballot initiative came to pass (literally) – a must-read for anyone involved in arts advocacy. And ticket sellers take note: Maryland’s highest court has ruled that Ticketmaster’s annoying service fees amount to scalping – in violation of a Baltimore ordinance outlawing the sale of tickets above their face value.

INTERNATIONAL

Great news coming from Toronto, as a billboard tax that advocates have long sought is now going to be diverted toward the city’s arts funding. The tax will eventually bring in $22.5 million per year, boosting the city’s cultural budget by nearly 50% over current levels. It probably doesn’t hurt that arts funding enjoys overwhelming support in Canada, with 87% of respondents to a recent poll saying that government should place a “moderate amount” to a “great deal” of importance on the arts.

Over in merry England, though, things remain chaotic. Arts Council England’s budget will fall £11.6 million between now and 2015, on top of much more drastic cuts enacted in 2010. Meanwhile, multiple cultural leaders in the UK are under fire from the arts community there, including British Culture Secretary Maria Miller. A backlash against the policies of Creative Scotland got so bad that its head, Andrew Dixon, resigned in disgrace. Through it all, England’s cities are facing crushing budget crises: Somerset has already cut its entire culture budget and Westminster is threatening to do the same. The biggest city to contemplate 100% cuts to arts funding was Newcastle, but shadow culture secretary Harriet Harman has stepped in at the 11th hour to prevent that from happening.

Further afield on the Continent, the Netherlands’ arts scene is reeling from budget cuts totaling €470 million, a huge amount for this tiny country. According to the article, “about 40 of the 120 cultural arts organizations in the country became ineligible for federal grants this year. Some of them have been able to secure financing from other sources, but at least two dozen had to fold at the beginning of the year.” Head-scratching policies include a rule that no more than one dance company can be supported per city, leading to the closure of the country’s premier modern dance group, Dansgroep Amsterdam. But hey, at least a tattooed composer and performing arts professor ran fifth in the presidential election of the country that brought you Vaclav Havel!

Recently, Brazil made headlines by promoting a new government policy that gives workers earning up to five times the minimum wage the equivalent of $25 a month to spend on cultural purchases. Ninety percent of the bill is footed by the employer, with the remaining 10% coming out of the worker’s pocket, so it’s like one of those Groupons where you pay $2.50 for a $25 gift card. (The employer expenses are offset 1:1 by tax credits, so it’s still effectively a government subsidy.) The workers really do get a card, which is controlled so that it can only be spent on cultural purchases. Joe Patti wonders why something like this couldn’t work in the United States, although Maria Vlachou isn’t convinced the measure is solving the right problem. For my part, the idea reminds me of my old proposal for income-sensitive tickets (that I think is perhaps worth a revisit).

Finally, we’d written previously about the ongoing tragedy in Mali as Islamist militants took over much of the northern part of the country, threatening artists and destroying cultural heritage sites. Thanks to France’s military intervention, the rebels were driven out of the ancient city of Timbuktu last month, but not before they set fire to two libraries containing thousands of manuscripts from medieval times. The materials presumed destroyed include an ancient history of West Africa and texts on astronomy, poetry and medicine dating back to 1204. There are lots of items that survived the conflict because they were hidden away from the rebels, but it’s still a terrible loss. Meanwhile,  UNESCO has announced that it will help to rebuild Timbuktu’s destroyed mausoleums using local mud-based materials and the buildings’ original plans.