May Revise - Budget Proposal

Californians for the Arts wishes to thank Governor Newsom for his support of arts and artists. We look forward to working with the Administration and the #CALeg to make a significant investment to #ReStartArtsCA #1Billion4CAArts #CACulturalComeback #CAbudget

Highlighted Excerpts

CALIFORNIA CREATIVE CORPS PILOT PROGRAM

The Governor’s Budget included $15 million one-time General Fund ($5 million in 2020-21 and $10 million in 2021-22) to implement the California Creative Corps Pilot Program to fuel positivity and inspire safe and healthy behavior across California’s diverse populations through a media, outreach, and engagement campaign to increase vaccine adoption.

The May Revision includes a total investment of $60 million one-time General Fund in 2021-22, to be spent over three years, to implement the California Creative Corps Pilot Program. This includes shifting the $5 million proposed in 2020-21 to 2021-22, and increasing the total amount available in 2021-22. This additional investment will allow the Arts Council to expand the media outreach and engagement campaign to include: (1) public health awareness messages to stop the spread of COVID-19; (2) public awareness related to water and energy conservation, and emergency preparedness, relief, and recovery; (3) civic engagement, including election participation; and (4) social justice and community engagement.

include: (1) public health awareness messages to stop the spread of COVID-19; (2) public awareness related to water and energy conservation, and emergency preparedness, relief, and recovery; (3) civic engagement, including election participation; and (4) social justice and community engagement.

CREATIVE YOUTH DEVELOPMENT GRANT PROGRAMS

The Arts Council has several grant programs that support creative youth development through arts education and arts workforce development. These programs include Youth Arts Action, Artists in Schools, Arts Education Exposure, JUMP StArts, and Arts Integration Training. In 2020-21, the Arts Council awarded more than $12 million to 705 grantees in these programs.

The May Revision includes $40 million one-time General Fund in 2021-22, to be spent over three years, to support the Arts Council’s existing Creative Youth Development programs. The Arts Council will use partnerships between community-based organizations, educators, and local artists to expand participation in these programs statewide.

CLEAN CALIFORNIA

As referenced in the Transportation Chapter, the May Revision includes the new Clean California initiative to clean and beautify the state’s transportation network. Among other things, the initiative provides resources to beautify the state highways and local roads with regional art and other projects. The Department of Transportation will collaborate with the Arts Council to distribute funding to artists, schools, and students to install art projects in transportation areas that can serve as gateways to communities and can enhance the character of a community, while creating new safe public space. (note: $444 million to locals to grant out)

SMALL BUSINESS GRANTS AND CULTURAL INSTITUTIONS

As referenced in the immediate action section, $2.5 billion has been allocated to provide immediate relief to small businesses affected by the pandemic. This funding supported six rounds of grants to small businesses, including a special round for nonprofit cultural institutions. As of May 2021, approximately 198,000 small businesses either have been or will be awarded grants. Due to the high demand for the program, after the sixth round of funding, it is estimated that approximately 180,000 applications will remain unfunded.

The May Revision proposes $1.5 billion federal ARPA funds for three additional rounds of grants to provide relief to more small businesses. The Office of the Small Business Advocate, within the Governor’s Office of Business and Economic Development (GO-Biz), will first offer two closed rounds to target the applicants who are currently waitlisted—some of whom have been on the list since December—and then offer a final round that will be open to both new applicants and waitlisted applicants, to capture any entities who have not applied before or may still be on the waitlist.

The May Revision proposes $1.5 billion federal ARPA funds for three additional rounds of grants to provide relief to more small businesses. The Office of the Small Business Of the $50 million allocated for nonprofit cultural institutions, only $34 million was awarded to eligible recipients, leaving $16 million available for this purpose. The May Revision proposes opening additional rounds of grants for eligible nonprofit cultural institutions until the full $50 million has been awarded.

FILM TAX CREDIT

The May Revision proposes a one-time expansion of the film credit. The Film and Television Tax Credit Program 3.0 provides tax credits for eligible films produced in California. This credit retains and grows production jobs in the economically important film industry and stimulates economic activity statewide, enhancing California’s position as the leading location for all forms of media content creation nationally and globally. The May Revision proposes a one-time expansion of the film credit by $30 million in the 2021-22 fiscal year for productions that relocate from other jurisdictions.

REVITALIZE CALIFORNIA TOURISM

California’s travel and hospitality industry is one of the largest economic drivers for the state. The pandemic has impacted travel and tourism more than any other industry and almost half of all leisure and hospitality workers lost their jobs. The California Office of Tourism, within GO-Biz, works in close coordination with Visit California to promote California as a premier travel destination. The May Revision includes $95 million one-time federal ARPA funds in 2021-22 to implement strategic media recovery campaigns that will jump start the recovery of the travel and tourism industry once it is safe to travel.

DISASTER PREPAREDNESS

A limited-term increase of $2.4 million General Fund annually for the next four years to support Disaster Preparedness for Cultural Heritage Agencies.