Council members Lee, Foster propose restoring San Diego arts funding, with help from Prebys Foundation 

Two San Diego city council members, with support from county leaders and the Prebys Foundation, unveiled a new proposal Friday to largely restore city arts funding. 

The plan, by Council President Pro Tem Kent Lee and Councilmember Henry Foster III, would use $6 million in tourist tax funds, $1.3 million in other budget savings, and $3 million in Prebys Foundation matching funds to restore $10.35 million of the arts budget. 

“Music, film, artistic expression – this is what makes us human, and it’s what transforms a city into a community,” Lee said at a press conference. “We want to secure the level of investment the arts deserve and create a system that does not force organizations to rebuild their future one budget cycle at a time.”

In addition to city-wide arts grants, the proposal also restores funds to each council office to distribute grants that support community and arts programs in their districts. 

In Mayor Todd Gloria’s initial budget proposal, full of cuts in order to close a nearly $120 million budget deficit, he proposed eliminating all arts grants. That $11.8 million supported parades, neighborhood fests and community events in addition to traditional arts venues, theaters, museums and performance groups. 

Ahead of the budget talks, many arts leaders had anticipated funding remaining either flat or decreasing slightly. They were shocked when Gloria slashed the budget entirely. In response, the arts community put on multiple rallies, filled budget meetings and mobilized supporters. 

The message Lee took from that show of force, he said in an interview Tuesday, is that San Diego is “a city that can only be balanced if we actually continue to support arts and culture as well.”

Arts leaders praised the proposal and said they hope it could lead to long-term, stable funding for the local industry. 

“This is the exact model of sustainable, cross-sector partnership our region desperately needs,“ said Jesse Marchese, dramaturge at Diversionary Theatre, one of the affected organizations. “By blending public policy with philanthropic action, our leaders are mirroring the exact ingenuity and problem-solving spirit that artists bring to our community every day.”

At the request of the city council, the Independent Budget Analyst researched whether Transit Occupancy Tax proceeds, some of which are designated for Convention Center and homelessness spending under Measure C, could be used for arts and culture funding. The office’s proposal combines tourist tax revenues and other savings. 

In addition to consulting the IBA, Lee went to multiple philanthropists and foundations in the weeks since the mayor unveiled his budget proposal, seeking funding for the arts. The Prebys Foundation was able to pivot quickly. 

“Our investment is intended to encourage the city to restore arts funding, honor the competitive grants process already underway, and strengthen regional support for arts and culture,” said Grant Oliphant, CEO and president of the Prebys Foundation. “For decades, San Diego’s artists and cultural organizations have been promised a reliable source of public funding. It is time to deliver on that promise, and today marks an important step forward.” 

Supervisor Monica Montgomery Steppe attended the news conference as well to throw her support behind another aspect of Lee’s and Foster’s proposal: jointly exploring the creation of a regional alliance for long-term arts investment. 

“Arts and culture are essential to the identity, vibrancy and economic vitality of our region,” said Montgomery Steppe. “I’m encouraged to see leaders from across government, philanthropy and the arts community coming together around a shared commitment to support the creative ecosystem that enriches all of our communities.”

Lee acknowledged that the arts budget fight happens year after year – impacting the organizations involved. 

“San Diego’s arts leaders and workers are profoundly weary of treating our cultural ecosystem as an annual luxury rather than critical civic infrastructure,” Marchese said. 

In 2012, the council pledged one penny of all TOT funds for the arts, in a program called “A Penny for the Arts.” The promise, however, fell by the wayside. 

The new proposal requires the support of additional council members when the budget is adopted on June 9. 

The arts funding proposal is separate from an alternate budget proposed by four city council members – Lee and Foster among them – on May 29. That alternate plan is broader, with multiple cut reversals as well as proposed cutbacks to police surveillance contracts. If it is approved and Gloria vetoes it, two more council votes will be needed for the required super majority to overturn the mayor’s veto.

Spinning arts into a stand-alone alternative, though, could mean it would have enough votes to make it through the budget process. 

“I think the arts and culture, that this portion of the proposal, I think, seems pretty safe and well liked,” said Sara Kamiab, a spokesperson for Lee. “No one seemed opposed.” 

Tessa Balc contributed to this report.