Very interesting set of articles in Time Out New York recently on how the arts in NYC are being impacted by the financial crisis. Way too much for me to thoroughly comment on here, but I wanted to highlight this passage from Karen Brooks Hopkins, President of BAM:
“Everyone in the country is concerned, but in our particular sector, we are concerned obviously about the chain reaction on this whole situation. Start off with the fact that we already took a very substantial cut in city funding in the June budget plan because the mayor was concerned about the tax revenues. Now you also see a second cut to city agencies, and we’re very concerned that there’s going to be an additional government cut. Then you see the corporate sector also with diminishing resources, and particularly so many of the companies that are headquartered here in New York. That will add another layer of misery to this whole situation for us. And then you have individuals, which are the heart of support for most of the arts organizations—and it’s not only that people will have less wealth, it’s that they will feel like they have less wealth, and that will also, in many cases, impact a lot of the end-of-the-year giving. You have many board members who are so focused on their corporate business that they’re not as able to put the time and attention into the problems of the organizations they serve on. But the foundation sector will probably see the fallout later. They make their grants based on earnings over a certain period so the impact of this is probably going to hit them later.”
I think that pretty much sums up the state of the not-for-profits.