Latest MD Arts Budget News

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MCA Calendar

Fri, February 24, 2017

Budget Hearing: Senate Subcommittee on Education, Business and Administration

24
Thu, March 02, 2017

Budget Hearing: House Subcommittee on Education and Economic Development

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The fiscal year for the state of Maryland runs from July 1st-June 30th of each year.

For an overview of how the arts funding budget is created and approved, please see What is the Process for Public Funding for the Arts? on our website.

 

2017 Budget News

As of April 6, 2016: The FY 2017 State budget proposed by Governor Larry Hogan and recently enacted by the Maryland General Assembly includes a record $20.3 million in funding for the arts.  This is composed of three pieces: 1) The General Fund appropriation of $17.4 million (up from $16.7 in FY 2016), 2) The Special Fund for the Preservation of Cultural Arts - estimated at $2 million, to accrue beginning July 1, 2016 - which the Governor will transfer directly to the Maryland State Arts Council, and 3) Approximately $900,000 in combined funds from the National Endowment for the Arts state partnership match and other inter agency funds for MSAC. 
 
Also, in response to a proposal developed by Maryland Citizens for the Arts (MCA), the Administration, the State Senate, and the House of Delegates developed and passed legislation transferring funds from the Special Fund for the Preservation of Cultural Arts to bolster the critical annual arts grants for organizations. In addition, this funding will support the many programs administered by the Maryland State Arts Council, such as the Individual Artist Awards, Arts in Education, Community Arts Development Grants, Maryland Traditions, Arts & Entertainment Districts, and Public Art Programs.  This legislation will continue to benefit the arts in FY 2018 and beyond as additional funds are transferred annual to MSAC.
 
We are grateful to Governor Larry Hogan, arts advocate extraordinaire, First Lady Yumi Hogan, Senate President Mike Miller, and House Speaker Mike Busch for their commitment to promoting the arts as both an economic driver and a cultural catalyst.  Special thanks also go to Senator Edward Kasemeyer, Senator Richard Madaleno, Delegate Maggie McIntosh, Delegate Sheila Hixson and Speaker Pro Tem Adrienne Jones, for having gone above and beyond in their commitment to the arts by making this happen.  We celebrate this great bi- partisan achievement, which puts the arts in Maryland on the fast track for the 10% funding goal established 25 years ago.  

 

2016 Budget News

As of April 14, 2015: At 11:59 p.m. on Monday, April 13, the Maryland General Assembly adjourned SINE DIE! With the help of hundreds of nonprofit arts organizations and thousands of citizen advocates, Maryland Citizens for the Arts (MCA) succeeded in convincing the Maryland General Assembly to reverse the $800,000 mid-year FY 2015 cut to the State arts grant, and to restore the proposed cut of nearly $1.4 million to the FY 2016 State arts budget.
 
These results represent a $2.2 million improvement in arts funding for the current and next fiscal years in comparison to the budget proposed in January. This also means that for FY 2016 Maryland will reach a new record level of support for the arts through the Maryland State Arts Council (MSAC). 
 
MCA is grateful for the leadership and support of the presiding officers, President Miller and Speaker Busch, Senate Budget & Taxation and House Appropriation committee and subcommittee chairs Sen. Kasemeyer, Sen. Madaleno, Del. McIntosh, Del. Proctor, Del. Jones, and Del. Barnes, as well as all the committee and sub-committee members responsible for these historic bipartisan actions.
 
MCA also thanks Governor Hogan and the leadership of the Department of Business and Economic Development for their encouragement, understanding, and appreciation of the importance of a strong arts sector in Maryland. We will continue to work with the Administration to ensure that Maryland supports and recognizes the critical role the arts play in an economically sound and culturally vibrant state.
 
In the weeks ahead, MSAC will clarify the sequencing and timing of the FY 2015 grant restoration.
 
 

2015 Budget News

As of April 9, 2014: At midnight at April 7th, the Maryland General Assembly adjourned its 2014 session SINE DIE (Latin for "without day" or for an indefinite period- in this case, until the 2015 session).
 
The outcomes for our sector are both exciting and, unfortunately, somewhat disappointing. So, let's start with the good news! As you know, in his FY2015 Budget, Governor Martin O'Malley proposed a 5% increase in the General Fund appropriation for the Maryland State Arts Council. This 5% is equal to about $800,000 and brings the appropriation to its highest ever, $16.2 million; clearly this is well worth celebrating for it is this appropriation that translates into operating grants for more than 260 arts organizations across Maryland as well as other key programs of the Arts Council.
 
Another exciting outcome is the expansion of the definition of a "qualified residing artist" under the state's Arts & Entertainment (A&E) District law. The law restricted the income tax subtraction modification benefit to only artists who lived in the county/city where the A&E district was located, and could only be applied to art created and sod in that same district. With the Governor's signature, this change will allow ANY Maryland resident to take advantage of this credit on work created and sold in ANY of Maryland's 22 A&E districts. This should be a great boost for all of the A&E districts for further revitalization and certainly helps working artists from all over Maryland who may now choose to create and sell their art in any A&E district in the state.
 
Now, for the disappointing new- In the waning hours of the 2014 General Assembly Session, a deal was struck to increase the amount of available Film Tax credit in Maryland from the $7.5 million that was proposed by the Governor, to $15 million (and potentially, to $18.5 million). To do that, the funding which the Governor directed in his budget to the Special Fund for the Preservation of Cultural Arts, for both the current fiscal year and next fiscal year, will now be made available for the Maryland Film Tax Credit, and is therefore not available for its intended purpose. This is particularly stinging to the arts community in that these funds were specifically set aside for the purpose of helping out sector strengthen its organizational capacity and fiscal stability to better serve our citizens and to be better stewards of Maryland's wonderful public investment in the arts.
 

 

2014 Budget (July 1, 2013-June 30, 2014)

As of April 8, 2013:    The 2013 Maryland General Assembly Session adjourned on Monday, April 8th with many accomplishments of which Maryland Arts Advocates should be VERY proud.
 
1) The General Fund Appropriation for the Maryland State Arts Council for FY 2014 will be $15.2 million.  This is the $2 million (15%) increase, after three years of level funding, which you all fought so hard for at Maryland Arts Day and throughout the Session.
2) The Special Fund for the Preservation of Cultural Arts SURVIVED conference committee. After being renewed without a “sunset” during the 2012 Session, this year’s Budget Reconciliation and Financing Act included a provision to strip the fund of its revenue source, thereby ending the fund.  When the House and Senate disagreed in their positions, the Fund went to Conference Committee where the Senate position held, sending the FY2013 revenue back to the General Fund, but keeping the revenue stream in place to supply the Special Fund in future years.
3) The Public Art Revisions bill cleared its final hurdle and passed the Senate on the final day of session.  These revisions call for public art in all new state buildings.  They bring the Artist to the table at the very first stage of design.  They also name the Maryland Public Art Commission as the owner and caretaker of the works created.

As of March 14, 2013:  Both the House Appropriations and Senate Budget & Taxation Committees have approved the Governor's recommended General Fund Increase of $2 million dollars for the arts in FY 2014!  Final step is a floor vote on the full budget in both houses sometime between now and April 1 - the Budget Bill deadline date.
 
As for the BRFA, the House Appropriations Committee chose to accept the proposal to remove the funding stream for the Special Fund for the Preservation of Cultural Arts.  However, the Senate Budget and Taxation Committee amended the bill to reject this recommendation.  This portion of the BRFA will now go to conference.  MCA is waiting to learn the conferees and the timing of that meeting as we plan our advocacy strategy.
 
Finally, the Public Art Bill revision has now been heard by the Senate Finance Committee and by the House Health and Government Operations Committee.  Additional amendments are possible and dates for additional readings and votes have not been set.     
 
Please stay tuned to see how you can help in these areas!
 
As of January 16, 2013:  In his FY 2014 Budget submitted to the Maryland General Assembly, Governor Martin O’Malley has increased arts funding by $2 million in his proposed General Fund appropriation to the Maryland State Arts Council.  The proposed budget is $15.2 million.
 
After three years of level funding which carried the arts sector in Maryland through turbulent economic times, there is hope that this increase, once secured, will bring much needed relief to arts organizations that continue to struggle throughout the state.
 
MCA has already launched into campaign mode to protect this increase from any potential cuts during the 2013 Legislative Session.
 
Currently budget hearings are scheduled in the House of Delegates on Thursday, January 31 and in the Senate on Monday, February 4.   Please check the schedule here and sign up to attend.
 
MCA will also be monitoring a proposal in the 2014 Budget Reconciliation and Financing Act to sweep FY 2013 and FY 2014 funds from the Special Fund for the Preservation of Cultural Arts into the General Fund.

 

2013 Budget (July 1, 2012-June 30, 2013)

As of May 17, 2012:  Yesterday the General Assembly adjourned its Special Session, with both houses passing the governor’s bill package with no changes.   This confirms that the so called “Doomsday” budget is no longer, and it also confirms that the LEVEL FUNDING for which you all fought so hard this year, is secure.   In addition, the renewed Special Fund for the Preservation of the Cultural Arts is also secure.   This culminates a long and difficult legislative season where more than $1 billion in cuts needed to be made to balance the budget.  Thanks to all of you for your active participation in the advocacy process, the arts sector comes out of this session with a victory!  Our colleagues around the country continue to see deep cuts and threatened vetoes to arts funding.  It is our collaborative, state-wide, and consistent messaging that keeps Maryland at the forefront of public investment in the arts.

The Special Fund renews in FY 2013 (No funds remained for FY 12.) The State Arts Council is working to develop guidelines and processes related to potential grants from this fund to support organizational capacity and fiscal stability in arts organizations and county arts councils.  MCA has worked closely with key lawmakers in both houses to ensure the continuation of this fund.  We are grateful to all who helped us secure its renewal. 

The General Assembly may have adjourned but ARTS ADVOCACY does not end here.   Now, more than ever, your direct communication with your representatives, about the programs and services you are providing in your communities is critical.   With summer arts festivals in every corner of the state, summer arts camps for children and adults, and major arts initiatives being planned across Maryland, we must keep up the effort.  Call, write, visit your representative – or better yet, INVITE them to a show, rehearsal, opening, recital, etc!  Get them involved and show them the direct benefits of their support of public arts funding!

As of April 12, 2012:  The 2012 General Assembly adjourned on Monday night.  Unfortunately, the two houses could not agree on a revenue package before the midnight deadline, and as such, lawmakers adopted what is being referred to as the “Doomsday” Budget for FY 2013. It includes $512 million in additional cuts. One of the cost saving measures of the approved budget is an across the board 8% cut to state agency operating expenses. In order to avoid these cuts, a special session would be necessary.  MCA will stay informed about post-session budget news and we’ll let you know when there are developments.

Prior to Monday evening’s vote, the General Assembly did approve the Governor’s recommendation to fund the arts at the same level as last year.  This is a significant achievement and you should be very proud—this funding is secure because of you!  By attending Maryland Arts Day, writing, calling or visiting your representatives in Annapolis, you join in a strong, state-wide network of grassroots advocates who are committed to the arts for all they do for Maryland. And, although the Budget Reconciliation and Financing Act of 2012 (BRFA) did not result in a small increase for the arts, lawmakers did remove the five year “mandate relief” provision.  This means that as the economy continues to recover, the Arts sector would not have to wait until FY 2017 for its next mandated increase.  Congratulations all around.

There is another piece of good news. Lawmakers did pass a bill renewing the Special Fund for the Preservation of Cultural Arts (created in 2009 and originally scheduled to sunset on June 30, 2012.) Grants from this Fund are designed to help arts institutions build organizational capacity and fiscal stability. The fund is renewed without a sunset date.  Grants will be processed and distributed by the Maryland State Arts Council.  MCA worked closely with Senate and House leaders to ensure the renewal of this Special Fund and to better define its purpose.

As of March 9, 2012:  MCA has presented testimony with Panelists from arts organizations all over the state, at the Senate and House Subcommittee FY 2013 Budget Hearings as well as the Senate and House Budget Reconciliation and Financing Act of 2012 Hearings.  Many questions remain about the overall budget.  As the Senate and House are presenting different versions of the budget, it is likely that portions of the budget will be sent to conference committee, a committee made up of key members of the Senate Budget & Taxation Committee and House Appropriations Committee.  As news unfolds about the budget process and as action is required, MCA will be notifying advocates to start contacting lawmakers.  An additional bill is in play to renew the Special Fund for the Preservation of Cultural Arts in Maryland, first created by legislation in 2009 and due to sunset at the end of FY 2012.  MCA is monitoring this bill, and testifying on behalf of the special fund.  Additional information will be provided as it is available.  

In the meantime, please be sure you are following MCA's communication closely, first by becoming an E-Advocate here on our website, and second by turning to MCA on Facebook and Twitter.  

As of January 31, 2012: The Governor's proposed budget includes level funding for the Maryland State Arts Council's appropriation.  The budget has been introduced into the Senate (as SB150) and the House of Delegates (HB 85), and each house will make its revisions.  MCA will work with lawmakers to ensure that the Arts Council's allocation is not reduced. 

In addition, the Budget Reconciliation and Financing Art (BRFA) will be introduced in both houses (SB 152 and HB 87).  The BRFA removes the mandated increase in funding (about $344,000 for FY 2013) and offers "mandate relief" which would remove mandated increase from the Arts Council's appropriation for the next five fiscal years.  MCA will ask lawmakers to reject the BRFA on both counts. 

 

 

2012 Budget (July 1, 2011-June 30, 2012)

As of March 25, 2011: the House has passed the budget Bill (HB 70) and the BRFA (HB 72). The bills include the full $13.3 million allocation for the Maryland State Arts Council. The bills do not include any of the $1 million that the Governor proposed to allocate for the Special Fund for the Preservation of Cultural Arts.

The Maryland Senate should be voting this week on their version of the budget bill (SB 85) and the BRFA (SB 87). The Senate version also includes the full $13.3 million allocation for the Maryland State Arts Council, and it includes $500,000 from the Arts Preservation Fund. The bill is expected to pass this week.

Once the budget bills are passed, a conference committee will be formed to reconcile the discrepancies between the House and Senate versions, including the $500,000 for the Arts Council. MCA is organizing a grassroots effort to contact key legislators in the House to persuade them to support the Senate version of the bill as it relates to arts funding.

As of January 21, 2011: the Governor's proposed budget has been released, and it keeps the Maryland State Arts Council's appropriation level with the 2011 budget at $13.3 million. The budget proposal now gets introduced into the Senate (as SB 85) and the House of Delegates (as HB 70), and each of those will likely make revisions to the bill. MCA's focus is to work with legislators to ensure that the Arts Council's allocation is not reduced.

Additionally, the Governor's proposed budget includes $1 million for the Special Fund for the Preservation of Cultural Arts. Those funds will be distributed by the State Arts Council to organizations facing "financial distress."


2011 Budget (July 1, 2010-June 30, 2011)
As noted below, the 2010 Maryland State Budget included a stipulation that the 2011 appropriation for the Maryland State Arts Council would be the same as the 2010 figure, namely $13.3 million. However, the Governor or the General Assembly is still able to cut that figure. Our strategy for the legislative session, which began in January 2010, is to focus on keeping the full $13.3 million in the State Arts Council’s FY 2011 budget.

As of January 21, 2010: the Governor's proposed budget has been released, and it keeps the Maryland State Arts Council's appropriation level with the 2010 budget at $13.3 million. The budget proposal now gets introduced into the Senate and the House of Delegates, and each of those will likely make revisions to the bill. MCA's focus is to work with legislators to ensure that the Arts Council's allocation is not reduced.

As of March 1, 2010: The Senate and House committee are holding public hearings for the portion of the budget that includes the Maryland State Arts Council's appropriation. MCA is working tirelessly to have good representation from the arts community at all hearings, as well as organizing meetings with many key legislators.

As of March 19, 2010: The Senate Committee on Budget & Taxation has recommended that the Maryland State Arts Council budget be kept at $13.3 million for FY 2011, which level funds the Council at the same amount they received in FY 2010. The committee did recommend a reduction of $500,000 to the Special Fund for the Preservation of Cultural Arts (the Governor's budget had included $1 million for this Fund), with another $500,000 going to local impact grants to the jurisdictions where the funds are being raised via electronic bingo machines.

As of March 24, 2010: At a decision meeting held on the 23rd, the House Subcommittee on Education & Economic Development has also recommended that the Maryland State Arts Council budget be kept at $13.3 million for FY 2011. Additionally, they recommended that the Special Fund for the Preservation of Cultural Arts be kept at the level set in the Governor's budget - $1 million. The full House Appropriations Committee meets on Friday, March 26th and will make the final decision on what to include in the budget bill (HB 150 & HB 151) that will be sent to the House floor next week.

In the Senate chamber, the Senate's version of the budget bill and the Budget Reconciliation and Financing Act (BRFA) were passed on the 23rd. You can find the language relating to the Special Fund for the Preservation of Cultural Arts in the bill (full text: SB 140) on page 153 and in the BRFA bill (full text: SB 141) on pages 44-45.



2010 Budget (July 1, 2009-June 30, 2010)
The 2010 state budget approved by the Maryland General Assembly in April of 2009 included a provision of $13.5 million for the Maryland State Arts Council (MSAC). The 2010 budget also included a stipulation that the 2010 appropriation for the Maryland State Arts Council would be static, at $13.5 million.

Additionally, during the 2010 Legislative Session, Senate President Mike Miller added an amendment to House Bill 193 (HB193) which extended the license for certain electronic bingo machines in the state. Senator Miller’s amendment used a portion of the tax proceeds from these machines to create a ‘Special Fund for Preservation of Cultural Arts in Maryland.’ The Fund was created to provide emergency funds to artistic and cultural organizations in danger of closing down or terminating activities. The money estimated to be raised for the Fund for FY 2010 was $3 million.

After the budget had been approved, the state Board of Revenue Estimates began calculating the estimated total revenue for FY2009 for Maryland and it discovered a series of revenue shortfalls. Three times, the Governor was called upon to make cuts in order to balance the budget (as required by state law). In total, the cuts amounted to nearly $1.2 billion.

MCA orchestrated a successful letter-writing and e-mail campaign to keep the MSAC appropriation amount from being reduced during each of the three rounds of budget cuts.

Due to the extreme economic conditions and the drastic nature of the cuts needed, the Governor and the Board of Public Works transferred the available 2010 funds from the Special Fund for Preservation of Cultural Arts in Maryland into the General Fund.