The Department of Cultural Affairs and cultural sector leaders appeared before a joint City Council finance and cultural affairs hearing to discuss the FY26 executive budget and the department's capital plan.

Commissioner Laurie Cumbo told members the mayor's executive budget includes roughly $214.7 million for DCLA in FY26, including $45.0 million in new baseline funding split across the Cultural Institutions Group (CIG) and the Cultural Development Fund (CDF). "This is the first time that the agency's baseline has been significantly increased in more than a decade," Cumbo told the committees, calling it a "major long term commitment" to the cultural community.

Why it matters: Cultural organizations told the council that while the baseline increase marks important progress, it does not fully offset steep losses from federal grant programs and private philanthropic changes. Many small and mid-sized organizations said they still face cuts or uncertainty and urged the council to add $30 million to the baseline at adoption.

Baseline and distribution: DCLA officials confirmed that $21.5 million of the new baseline is allocated to the 34 CIG members and $23.5 million to the CDF cycle and agency operations. Commissioner Cumbo said the department is working to finalize up to five potential new CIG members, aiming for equitable geographic distribution across boroughs, but she did not announce names at the hearing.

CDF panel process and equity funds: DCLA said it has improved outreach and timeline for the CDF application cycle and had convened panels earlier than in prior years. The agency described a separate CDF Equity Fund that provided $2.0 million to 264 organizations serving neighborhoods with the lowest median incomes and highest poverty rates and noted a return of language access and disability-forward funds.

Federal funding threats: Witnesses and the commissioner both flagged cuts at federal agencies including the National Endowment for the Arts (NEA) and the Institute of Museum and Library Services (IMLS). DCLA said it released resources to help organizations apply for appeals and legal support where NEA notices of grant termination were issued. Commissioner Cumbo and cultural leaders said federal actions create new urgency for a larger local baseline.

Capital and projects: DCLA described both ongoing projects and the department's capital feasibility planning pilot for smaller organizations that are considering construction or renovation. The FY25–29 capital commitment plan for DCLA is roughly $1.2 billion in the executive plan; council members asked the agency to explain reductions from the preliminary plan and to identify which projects might be delayed.

Requests from the field: A broad cross-section of cultural institutions, from large CIG members (the MET, Carnegie Hall, New York Botanical Garden) to smaller local groups (Brooklyn-based Chocolate Factory, community theaters, dance organizations), urged the council for additional support. Testimony emphasized the multiplier effect of cultural dollars on jobs, tourism and local small businesses and highlighted arts education, workforce pathways and public programs that serve youth and neighborhoods.

What the council asked: Council members pressed DCLA on whether the administration engaged with the council on the council's request for an additional $30 million, stressed the need for predictable funding and asked the agency to prioritize urgent capital repairs and equity-based distribution of CDF awards.

Quotes (selected): Commissioner Laurie Cumbo said the executive proposal "includes $45,000,000 in baseline funding for DCLA's cultural programs — the first meaningful baseline increase in more than a decade." Cultural leaders said additional baseline funding is needed: "This $30,000,000 would be transformative," said Renee Minshall, president of a cultural institution (testimony submitted on behalf of CIG members). "Without it, many small and midsize organizations will struggle to survive."