Info You Can Use: Understanding Financial Statement Basics

by:

Joe Patti

If you are new to a position as board member or administrator of an arts organization or if you have simply resolved to become better educated about your business’ financials, Inc magazine offers a series of articles comprising a quick primer on what they all mean. This month’s article is “How to Understand an Income Statement.” This is a good place to start if you don’t know the difference between an income statement and a cash flow statement.

It is especially a good place to start if you don’t know how a company can be extremely profitable, but unable to pay its bills each month. There are also articles on how to identify why you can’t pay your bills each month too.

If you have no idea where to begin and what is important to look at, they have articles on tracking the pertinent numbers and help you with a basic understanding of what they are and why they are important.

Of course, it is good to remember that there are some measures which a non-profit doesn’t adhere to — like profit ratios on ticket sales when it is already known that earned revenue isn’t going to cover experiences.

Silly Violinist, You Dance In Train Stations

by:

Joe Patti

Toward the end of my work day, I received an email from a patron making a wide flung appeal:

“Opera has long been one of the arts that I don’t care about or support, but watching this video somewhat changed my mind.”

The video he refers to is the one below of the Opera Company of Philadelphia emerging from the crowds at Reading Terminal Market to perform a piece from La Traviata. The patron makes an appeal for someone on his email list to make this sort of thing happen locally and suggests a market as a site.

From my point of view, this is just part of a recent trend. Baltimore Symphony Orchestra and Washington National Opera did the same song in a Whole Foods. Another opera group also did La Traviata, though a different piece, in Valencia, Spain.

Opera seems to be for markets and musical theatre for train stations. Groups in Wellington, NZ and Antwerp, Belgium chose to give flash mob performances of “Do Re Mi” from the Sound of Music in local train stations. Perhaps Joshua Bell and Tasmin Little were ignored when they played anonymously in train stations because they chose to perform classical music rather than musical theatre and played music rather than danced.

To me it seems like an imaginative promotional stunt that will probably wear itself out pretty quickly given that everyone seems to be doing La Traviata and Sound of Music, regardless of geographical distance. But right now the idea is new, fresh and exciting to my local audience. So the question is–Are flash performances viable and how do you keep it fresh so the audiences don’t get jaded? These sort of performances can break down barriers to attendance by showing how accessible the material is. It will be necessary to make formal performances just as accessible though otherwise people will feel betrayed by a bait and switch.

People might be emboldened to stage similar events themselves, (please not High School Musical, please not High School Musical), and this could mark the start of a new populist form of performance (or a revival/revamping of some of basic staging concepts of the old pageant wagon mystery plays.)

Army For The Arts

by:

Joe Patti

Americans for the Arts recently linked to a blog post and testimony video that Brigadier General Nolen Bivens, U.S. Army, (Ret) delivered to Congress on the importance of the arts to national security. He discusses how the arts contribute to cultural understanding and method of diplomacy around the world in places of conflict that the Army operates as well as places the country wants to maintain good relations. He also mentioned the usefulness of the arts in the therapy of soldiers.

Interesting enough, just about the time Gen. Bivens was giving this testimony in April, Vinita Rae Smith was recording an interview discussing her retirement as theatre manager of the Army Community Theatre after a 40 year career as a civil service employee of the Army. She gives a sense of the state of the theatre arts in the Army these days. She has the distinction of opening the only theater the Army has ever constructed for the express purpose of being a theater -Ft. Knox, Kentucky. Every other theater has been re-purposed from some other use. One of theater she worked at was renovated from a laundromat. That theater is still used to show movies, but the stage is no longer structurally sound enough for live performances.

She didn’t mention what the Richardson Theatre which she recently ran used to be. The woman participating in the interview with her reminisced that before Vinita arrived, they used to have to wait until the movies were over at 11:00 pm before they could start rehearsing so they didn’t generally finish until 1-2 am. Vinita made changes that resulted in a more sane schedule.

But while Vinita improved the situation for live theatre on her post, the same can’t be said for all Army bases worldwide. She mentioned that Germany used to have 30 theatres, now there are about 14. Korea had 13 and now there is one. Some of it is likely a result of the decreasing number of troops stationed in these countries and the reduced need for services. But I also suspect Gen. Bivens might have been indirectly advocating for support of the arts in the military too. Even before she thought of retiring, it was generally acknowledged that Vinita was holding her program together by force of will. You get that sense as you listen to her talk about the expectations the Army has for programs like her’s. Her replacement is coming from Germany. I both wonder if he will possess the force of personality to maintain the program and if the program he leaves in Germany will survive his departure.

Walking The Oregon High School Arts Beat

by:

Joe Patti

Oregon Public Broadcasting recently had an episode their show Arts Beat where they directly addressed the value of arts education in schools. There is also a “sidebar” video of three people talking about how they integrate creativity into their jobs and invite people to talk about what their lives would be like had they not had arts in school.

The science teacher in the main video, Michael Giesen, was the 2008 National Teacher of the Year and you can easily see why based on the way he gets his students acting, moving, drawing/model making and interacting in the process of learning about science. (In case you think music is left out, Giesen and his guitar figure prominently in the lessons.)

There seems to be a disconnect present though. Giesen is rewarded for his creativity up to the national level, but I suspect a teacher trying to initiate such a process from scratch might be told the activities they had the student engaged in were extraneous and consuming time best spent trying to master basic competencies for testing. (Though perhaps not in his school or district.) I am sure Giesen’s students do just fine on the testing because he creates so many powerful associations to the material through all the activities he employs. I just wonder how much latitude a teacher working toward that goal would be provided as they made missteps in the process of refining their approach.

It is the competency requirements that John Baker, the choir director in the second segment of the video feels erodes his program. At one time he had 90 people in his girls choir, now he has 14. He says his principal thinks it is because kids don’t want to sing, but he believes it is that there are so many requirements the students need to fulfill, they have little opportunity to take his class.

His students learn music theory, sight reading, sing in four languages and need to develop critical thinking skills. But all this aside, the video shows the students performing some very interesting looking and sounding pieces. I can’t think but that many students would be at least a little intrigued by the classes. The first reaction I had to the snippet at the beginning of the video was that I didn’t know they had choral pieces like that. There were a few more seconds like it later in the video.

Baker’s fear is that because his program is so strong and winning competitions, no one is paying close attention to how much it is diminishing. He fears that when he retires and people notice the inevitable differences between the new person and the institution of 3 decades, they will attribute the weakness of the program to the unsuitability of his replacement. In fact, Baker seems to believe his position will become part time before he retires.

The last part of the video deals with the lack of funding and time allocated to arts experience in schools. This is a common theme nationwide. What was most interesting about John Baker’s segment was that he didn’t attribute his problems to either of these things. He didn’t talk about his funding being cut or say that the administration was necessarily undermining him.

His problem seems mostly to be due to a shift in values. Either his principal is right and kids don’t want to sing or he is right and required focus of students’ education is moving them away from his program. It is rare to hear of a school arts program in distress due to a philosophical rather than financial shift in priorities. Perhaps it happens more frequently than I realize and it is just the budget cuts getting all the press.