The South Carolina Arts Commission
March 2009
The Arts Commission received an additional 2 percent reduction, which brings the cumulative total cut to the agency's budget for FY 2009 to 25.9 percent and the cumulative total grant reduction for most grantees to 20.2 percent.
December 18, 2008
On December 11, 2008, the S.C. Budget and Control Board issued a 7 percent across-the-board cut to state agencies in addition to cuts passed earlier this fiscal year. Although this new cut will require an additional reduction to most current grant awards, the Arts Commission is not passing the entire cut along to grantees.
To implement this most recent cut, the agency will
- Increase the number of mandatory staff furlough (unpaid leave) days from four to seven
- Reduce most current (FY09) grants by an additional 4 percent, bringing the total cumulative grant reduction for most grantees to 18.2 percent
- Continue to reserve 25 percent of original grant awards pending additional mid-year cuts
This latest cut brings the cumulative total cut to the agency's budget for FY 2009 to 23.9 percent. The agency continues to do everything it can internally to reduce costs while maintaining service to constituents.
November 2008 (updated to reflect December cuts)
State agency budgets have been cut for the current budget year to accommodate a slow economy and state revenue shortfalls.
How much has the Arts Commission's budget been cut?
The Arts Commission has received a 14.2 (21.2 as of Dec. 18) percent cut to its FY2009 state appropriation, totaling $508,548 ($724,439 as of Dec. 18). This cut includes a 3 percent reduction taken in August. The Arts Commission began FY2009 with a 2.7 percent cut from the previous year, which was not passed on to grantees. The total net amount of the agency budget cut for FY2009 stands at 16.9 (23.9 as of Dec. 18) percent.
Where is the agency taking the cuts?
As specified in the budget rescission legislation, we are reducing expenses for classified positions, other operating expenses, grants, and employer contributions.
How will the agency reduce expenses?
Classified positions/employer contributions (salaries and benefits):
- Hold staff vacancy
- Mandatory furloughs (leave without pay) for all staff
- Reduce temporary staff
Other operating expenses:
- Cancel planned publications, other printing and mailing
- Reduce leased state vehicles from three to one and decline lease for front parking lot
- Reduce staff travel and training and cancel out-of-town Commission meeting
- Reduce contractual services for information technology
- Suspend State Art Collection purchases
- Roll over existing Annual Operating Support grants, accept no new Annual Operating Support grant applications for next year, and hold no panel review
- Suspend Verner Awards for this year
- Economize wherever possible (supplies, electricity, defer maintenance, etc.)
Grants:
- Reduce grant awards by 14.2 (18.2 as of Dec. 18) percent for Arts in Education (ABC Advancement, Residency Plus Multi Site, Gifted/Talented), General Operating Support (Annual and Long Term), Cultural Tourism, Subgranting, and Traditional Arts and reserve 25 percent of original award amounts pending additional mid-year cuts.
- Suspend applications for Arts in Education Comprehensive Planning and QuickStart, Cultural Visions, Economic Impact Studies, and Leadership and Organizational Development. (Economic Impact Study grants already funded are not affected.)
- Substantially reduce budgets for Accessibility, American Masterpieces and Quarterly Project grants.
When will the agency pay out reserved funds?
Reserved grant funds will be paid out as soon as it appears that there will be no additional mid-year cuts. This could be as late as April. While we are aware that schools in particular need a definite answer in order to book artist residencies, we do not yet know when the budget cuts will end.
How should grantees submit payment requests?
If you have already submitted a grant payment request, the Arts Commission will automatically reduce the payment amount by 25 percent. Payments are currently being processed.
If your organization has not yet submitted a grant payment request, you may submit your request normally with your expenses documented. The agency will then calculate the reduced amount.
Grantees may contact their county coordinator for specific information about reduced grant amounts.
We would have to consider another round of grant reductions and deeper cuts to staffing and operations.
What about next year? (2009-2010)
For the last three years, the General Assembly has allocated $585,000 to the Arts Commission in the form of one-time, or non-recurring funds, earmarked specifically for grant making. This year approximately 30 percent of Arts in Education, Subgranting, and General Operating Support grants consist of one-time funds. This money is not part of the agency's annual budget, and we must request this money for grant-making every year. While our goal for several years has been to get these funds added to our permanent, recurring budget, we have accepted these one-time funds annually as a way to increase our grant-making capacity.
Now, we are faced with an especially difficult budget year and the real possibility of not getting these one-time funds allotted again for FY2010. This would mean that grants for next year (2009-2010) would have to be reduced to accommodate the loss of the $585,000, in addition to the mid-year cuts that have been taken this year and any further reduction to the Arts Commission’s base budget that may be taken for FY2010, yielding net cuts to grants of approximately 50 percent or more.
What can constituents do?
As always, it is important to have good relationships with your state legislators so they understand the benefit of the arts to your community. Although some cuts are unavoidable, if you are concerned about the impact of current or potential reductions, please communicate your concerns to your members of the General Assembly.
For additional information, please contact your county coordinator, or call the Arts Commission at (803)734-8696.