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Advocates urge Legislature to restore $11.5 million performing‑arts payroll fund cut in May Revision
Summary
The governor's May Revision proposed reverting $11.5 million from a performing‑arts equitable payroll fund; arts groups, unions, local officials and legislators said awards were imminent and warned that rescinding the money would be devastating for dozens of small non‑profit theaters and arts organizations.
The Governor's May Revision includes a proposal to revert $11.5 million in the Performing Arts Equitable Payroll Fund that had been appropriated by the 2023 Budget Act. Assembly Budget Subcommittee 5 heard several dozen representatives of theaters, arts coalitions and unions urging the Legislature to retain the appropriation.
Lauren Greenwood of the Governor’s Office of Business and Economic Development described the reappropriation requests in GoBiz's May Revision and confirmed the administration’s proposal to revert $11.5 million remaining in the Performing Arts Equitable Payroll Fund. The Legislative Analyst’s Office observed awards were near completion and urged caution before withdrawing funds that many organizations expect.
Speakers representing organizations including Teatro Nahua, Actor’s Equity, Capital Stage, Musiclandria and larger advocacy groups said the money is allocated on a reimbursement basis to small nonprofit organizations and that applications were submitted and in many cases already verified. Jennifer Lane of California Arts Advocates said the fund is already “well underway” and that demand exceeds supply.
Several chamber members and Assemblymember Mark Gonzales pressed to maintain the appropriation, noting the sector's continuing recovery from the pandemic, local economic impacts and the risk of abrupt closures and job losses if expected funds are pulled back at the last minute. Public commenters described programs that provide youth access to the arts, employ artists and support downtown economic activity, and urged the subcommittee not to rescind awards already in process.
Ending note: The May Revision proposes the reversion. The subcommittee discussion and public testimony signaled significant legislative concern; final disposition depends on budget negotiations before June enactment.
