Arts Commission refines grant rules, shifts funds and approves mural initiative amid budget pressure

The Costa Mesa Arts Commission on May 1 debated changes to the arts grant program, reviewed staffing and program budgets, and approved three formal budget actions: a rubric change defining “financial need,” a transfer of $40,000 into the arts‑grant line, and a plan to repurpose existing large‑scale installation funds and request an additional $60,000 to start a public‑private mural initiative.

The commission unanimously approved a motion to add an explicit definition of financial need to the grant rubric. Commissioner Lucia moved and Commissioner Ford seconded the motion to define organizations with revenues under $2,000,000 as meeting the rubric’s financial‑need threshold; the motion carried 7‑0.

Why it matters: Commissioners said they want grants to favor smaller organizations and individual artists rather than disproportionately benefit larger, well‑resourced institutions. Staff reported that most current grantees have annual revenues under seven figures; exceptions noted included Pacific Symphony and Pacific Chorale. Commissioners discussed tiered funding, greater weight for “financial need” in the review rubric, and prioritizing public‑facing art creation over education‑only projects.

Votes at a glance - Approval of minutes (04/03/2025): motion to approve carried 7‑0. (Mover: Commissioner Ford; seconder: Commissioner Ashendorf.) - Define “financial need” for arts grants (organizations with revenues less than $2,000,000): motion carried 7‑0. (Mover: Commissioner Lucia; seconder: Commissioner Ford.) - Move $40,000 from Smart Camp to arts‑grant funds: motion carried 6‑0; the commission directed staff to request that reallocation in the city’s upcoming budget materials. - Repurpose large‑scale installation funds and request an additional $60,000 to seed a public‑private mural initiative: motion carried 4‑2. The commission directed staff to develop program details and to return with a scope and implementation plan.

Details and context: Arts Specialist Laurette Gardner reviewed current program costs, noted that the grant guideline document staff circulated already reflects an increased single‑award maximum (up to $5,000), and said staff had compiled recent revenue figures for past grantees using IRS filings and GuideStar. Commissioners and several public commenters urged clearer language that privileges public‑facing art production (murals, performances, public installations) and suggested rubric modifications, tiered awards, or explicit caps for large organizations. Commissioner Ochoa and others proposed increasing the weighting for the rubric’s financial‑need component rather than imposing a flat cap.

Commission discussion also covered other funding sources and mechanisms for public art: developer in‑lieu fees, transient occupancy (hotel) tax partnerships, Quimby/parks funds, and state programs such as California’s Arts in the Parks grants. Multiple public commenters urged incentives for private developers and partnerships with Visit Costa Mesa (Travel Costa Mesa) rather than new developer levies.

Staff direction and next steps: Staff agreed to bring back suggested language and examples from other cities and to calculate impacts of tiered approaches; staff will also report to the commission on ticket distribution and reach for the Sangerstrom/Free at Segerstrom tickets mentioned in the budget. For the newly approved mural initiative, the commission asked staff to return with a proposed scope, procurement timeline and options for nonprofit fiscal sponsorship or private matching funds before council presentation.

Ending: The commission closed the budget discussion by filing recommendations for the May 13 budget study session and asking staff to deliver the requested materials and sample program language for a future vote or council recommendation.