Valuing What Can Be Counted Can Count Against You

by:

Joe Patti

Artsjournal.com linked to an article on Australia’s Arts Hub which looks at how the philosophy of “arts as a business” has undermined the arts in that country. The overall theme seemed to be that so much which was perceived as a blessing ended up narrowing the ability to broadly pursue independent creative expression.

Katharine Brisbane writes:

The introduction of the Australian Business Number (ABN) turned artists into ‘small business owners’. No longer objects of patronage, they were free to trade in their own name, and their daily practices became the business activities of budding entrepreneurs.

In the years that followed, artists developed inter-disciplinary practices that merged the interpretive and authorial roles of actors, directors and writers in collaboration. However, as time went on, the adoption of corporate measures such as the key performance indicator (KPI) made funding agencies increasingly more of a hindrance than a help.

Brisbane’s piece summarizes the contents of papers which have come out since 2000. The comments on one of those papers, Art in a Cold Climate: Rethinking the Australia Council by Keith Gallasch contained some interesting insights.

In particular, Sue Beal who was part of Actors’ Equity union and a member of the Australian Council for the Arts’ (OzCo in her letter) Theatre Board back in 1984 expresses regret for some of the decisions she supported having seen the results. Essentially she says that the push to recognize the arts as an industry and OzCo’s desire to consolidate political and economic power under its umbrella placed the major arts organizations in the country in a position to align standards and funding to their benefit.

As an Actors Equity official with the best of intentions, I argued strongly for the recognition of the arts as an industry, believing that this would result in an improvement to artists’ conditions. Well, it did improve the conditions of some, but it also provided the arguments used by the majors in their never-ending demands for increased support from the Theatre Board. It also paved the way for the economic rationalists who soon moved in with their mantra, ‘If it can’t be counted, it has no value’.

Cash flows, attendance projections, sponsorship deals, business plans, burgeoning ‘infrastructure’, marketing consultants, accountants negotiating with accountants-all in the name of ‘best practice’, and often producing bigger deficits-this became the milieu of the majors. Vision, imagination, artistic risk, innovation, experiment, obsession became peripheral. The bottom line was deified. The worst possible skewing one could imagine.

What I found interesting was her belief that there was once an opportunity to shift this power dynamic which Beal had lobbied against and now regrets.

…Pat Galvin, the Secretary of the Department responsible for the arts, suggested to the OzCo that he could take over the funding of the majors and cocoon them in a corner of the department,…. Thus leaving the Council to pursue its real agenda. I shamefacedly confess that I was one of those who argued against this, in hindsight, visionary proposal. The OzCo came up with a thousand reasons why they shouldn’t be handed over. Of these the most honourable-and silly-was the belief that these companies would benefit from a critique of their work from an artistic perspective.

…If the OzCo lost the majors’ huge funding allocation, it would also lose the statutory administrative proportion that came with their funding. Council couldn’t countenance a reduction in staff and believed that it could control the majors. That’s always been nonsense. The Boards of the majors have consistently demonstrated that their political astuteness is infinitely superior to that of the OzCo. They have succeeded where the OzCo has consistently failed: while most of the majors have built direct, confidential and beneficial relations with Canberra, the OzCo has never been able to achieve what should have been its primary goal-decent money for the arts-but instead spent most of its energies trying to survive threats to its own existence.

There is obviously nothing to say that the Arts Council wouldn’t have ended up just as pressed to fend off threats to its own existence had this scheme come to fruition. Government often views arts funding as a zero sum situation so if the major organizations were receiving funding already, it is just as likely the existence of the council would be seen as unnecessary. Beal might instead be arguing that it was a mistake to place the majors within the direct purview of the department secretary because it allowed them to amass so much political influence.

While the arts in the US have fared no better in relation to the NEA, it is always interesting to see how government funding of arts and culture has fared in other countries.

SVOG Program Updates Coming Fast Now

by:

Joe Patti

While I am pretty sure people are following the developments of the Shuttered Venue Operators Grant program pretty closely and are probably getting regular updates from their state and industry service organizations, I figure it doesn’t hurt to put reminders and updates out there myself.

Especially since all the updates I have been getting from service organizations haven’t pointed out some important distinctions between the FAQs the Small Business Administration is putting out on a weekly basis now. (Likewise, assume I am not pointing out the distinctions that are important to you and read through them!)

For example, about a week or two ago they started posting check lists of materials you should be collecting in advance of the opening of the application period which appears to be on track to happen in early April. The latest version of the check list can be found here, but since they are updating between Thursdays-Sundays, if you are reading this after March 18 you are better off going to the main page.

The same goes with the regular FAQ document. The passage of the American Rescue Plan has caused sections of the FAQ to be removed in the March 12 version.

For example, the March 5 version had this question:

6.Can an entity apply for a PPP loan now and decide later on the loan if it did not receive an SVOG? At what stage is a PPP loan considered “received”?

but it is now replaced with:

6.*No longer relevant / deleted per the American Rescue Plan being signed into law.

Though if you scroll down, you will see a couple new points of information have been added to that section which address PPP loans and SVOG funding:

21.*How will receiving a PPP loan affect an eligible entity’s SVOG award?

22.*If a portion of my PPP loan was forgiven, will that affect how much of the loan amount is deducted from my SVOG?

As before, anything that has been updated since the last FAQ has an asterisk. But you should through everything thoroughly in case you missed an update.

Among the latest updates are answers to questions about whether the payout will be lump sum or multiple payments. Answer – it depends on a number of factors. See page 16

Should you use fiscal year 2019 or calendar year 2019? – You can use either, but if you apply for the supplemental funding phase you need to use the same time frame.

There was also a new entry answering questions about whether sponsorships should be counted as earned revenue since donations are not counted as such. The answer is different for commercial and non-profit performing arts entities:

Because it represents payment made in exchange for a service (i.e., recognition or advertising), sponsorship payments (such as naming rights) received by for-profit entities will be considered earned revenue. Like the treatment afforded memberships and fundraising events, sponsorship payments received by non-profits will be considered part earned revenue and part gross revenue. In such cases, the sponsorship payment amount a non-profit receives that represents a fair market value for services in exchange (i.e. promotion, free admission, use of facilities) will be deemed earned revenue and the portion of the sponsorship payment that exceeds that amount will be deemed a contribution and thus gross revenue…

Well Done Rare Medium

by:

Joe Patti

It is pretty widely acknowledged that people who work for non-profits do so for intangible benefits like a feeling of contributing to the betterment of society and self-actualization rather than rewarding levels of remuneration.

Of all the benefits non-profit workers feel they get from the work they do, compliments are probably not one of them. A story in Harvard Business Review noted that two research efforts found that while people felt that compliments were beneficial and should be given more often, many people refrained from expressing compliments to others.

…we consistently found that people underestimated how good their compliment would make the recipient feel. Compliment-givers tend to believe the other person won’t enjoy their interaction as much as they actually do; in fact, they often believe that their exchange will probably make the person a little uncomfortable. Yet, consistently, receiving a compliment brightens people’s day much more than anticipated, leaving them feeling better, and less uncomfortable, than givers expect.

[…]

In fact, only 50% of people in one experiment who wrote down a compliment for a friend actually sent the compliment along when given the chance, even though they’d already done the hardest part — coming up with something nice and thoughtful to say. That is, despite the widely shared desire to give more compliments, when faced with the decision people still often forgo low-cost opportunities to make others feel appreciated and valued.

Among the concerns people had were that their delivery of the compliment would be awkward and that repeatedly giving compliments on consecutive days would diminish the value of the praise and be perceived as increasingly insincere.

The authors conclude by noting that gratitude and praise is especially important now more than ever and advocate for creating a culture of gratitude:

As Aron Ain, CEO of Ultimate Kronos Group has said, “Gratitude is not about a one-time holiday party, day off, or spot bonus…It is about creating a culture of gratitude.”

(Title of this post is based on a recollection of a clue in a Hardy Boys book from ~40 years ago where the antagonist writes a note congratulating a fortune teller.)

Would You Start Taking Piano Lessons From A 14 Year Old?

by:

Joe Patti

A few weeks ago economist Tyler Cowen discussed how he had taught chess when he was 14-15 years old. His regular clientele were two adults in their 50s and 20s and a child prodigy around 10-11. He said he would have likely had more students if it weren’t for transportation issues.

My first thought was to wonder if anyone, especially and adult, would ever pay a teenager to instruct them in an artistic discipline. I don’t know about acting or visual arts, but by 14-16 there are some pretty skilled dancers and musicians out there.

Yes, I know there are summer camps, etc where teenagers are placed in a position of teaching younger kids, but I was thinking more along the lines of hiring someone in your hometown to provide lessons.

Cowen does admit that his situation was something of an outlier, but only because he felt most teenagers would assume no one would take them up on the offer rather than just offering their services. It also doesn’t appear that Cowen was necessarily exceptionally skilled. He said he stopped teaching when he stopped playing chess and characterizes it as something of a transactional decision. But that might be adult Tyler imposing his economist bias on his memories.

It has long been recognized that teaching your skill to someone else improves the teacher’s understanding of that skill so there is a benefit to teens hanging up a shingle and offering to help people get started.

Looking at some of Tyler’s reflections on his experience, there seem to be applicable parallels to teaching an artistic discipline.

2. Chess teaching isn’t mainly about chess. A chess teacher has to have a certain mystique above all, while at the same time being approachable. Even at 14 this is possible. Your students are hiring you at least as much for your mystique as for the content of your lessons.

3. Not everyone taking chess lessons wanted to be a better chess player. For some, taking the lesson was a substitute for hard work on chess, not a complement to it… Some of the students wanted to show you their chess games, so that someone else would be sharing in their triumphs and tragedies. That is an OK enough way to proceed with a chess lesson, but often the students were more interested in “showing” than in listening and learning and hearing the hard truths about their play.

4. Students are too interested in asking your opinion of particular openings. At lower-tier amateur levels of chess, the opening just doesn’t matter that much, provided you don’t get into an untenable position too quickly. Nonetheless openings are a fun thing to learn about, and discussing openings can give people the illusion of learning something important, if only because you can share opening moves with the top players and thereby affiliate with them.

As I read these, (Cowen offers seven insights in total), it seemed that paying attention to why people took lessons had a lot in common with why people attend performances. Some people want to improve, but others’ goals are to obtain a lesser degree of knowledge, mastery and affiliation with the people and practice of those skill sets.

Gaining an understanding of these motivations from the point of view of a teacher, even if it is in retrospect as an adult, might help artists do a better job of relating with audiences as an adult.  There is a difference between understanding what audiences want having learned it from teachers and mentors who are providing their worldview and reflecting on direct experiences you had before your perceptions were colored by years of formal training.

I think about the tasks I resented having to do and the difficult experiences I had when I was a young kid and a teenager that I would later realize gave me a competitive advantage when interviewing for a job. Now I resent that the foul medicine turned out to actually be good for me.