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4<br />

Strengthening Cultural Institutions<br />

For more than twenty years, the <strong>Robert</strong> <strong>Sterling</strong> <strong>Clark</strong> <strong>Foundation</strong> has provided support to New York<br />

City's cultural community. During this period, we have attempted to structure our grants program so<br />

that it is flexible and meets the needs of the institutions and organizations that comprise this universe.<br />

In the course of our work, we have monitored changes in the economy and the political climate and<br />

their impact on our grantees. Most recently, we have watched as Congress reduced the appropriation<br />

level for the National Endowment for the Arts by 40%. Moreover, threats to eliminate the agency altogether<br />

have arisen because a few elected officials find the work of some NEA grantees to be offensive.<br />

Finally, we have observed that corporations and foundations have begun to shift support away from<br />

the arts and into social programs in response to the increasingly controversial nature of arts funding<br />

and the implementation of substantial reductions in social spending at all levels of government. In<br />

analyzing these phenomena, it is clear that the issues of public support and freedom of expression are<br />

essential questions facing the artistic community as we approach the 21st century.<br />

These observations have served to reinforce our belief in the importance of helping cultural institutions<br />

improve their management of resources. The strategies employed by our grantees include:<br />

" Increasing earned income as a percentage of total operating budget;<br />

" Improving internal management;<br />

" Reducing operating costs through resource sharing; and<br />

• Increasing contributions from individuals.<br />

We are convinced that diversification of financial support is essential for organizational survival during<br />

periods when traditional sources of funding contract. As government and corporate support<br />

decline, those organizations that are successful in reducing their dependence on such support will<br />

enjoy a competitive advantage in surviving periods of financial austerity.<br />

While most of our funds are allocated for these purposes, the <strong>Foundation</strong> also makes grants to promote<br />

artistic freedom and to educate the public about the importance of the arts in a democratic society.<br />

Since this program was established in 1990, the <strong>Foundation</strong> has awarded nearly two million dollars<br />

for grants in pursuit of these objectives. In reviewing the recent actions of Congress, it is clear that<br />

the need for this kind of support remains critical. Controversies surrounding the National Endowment<br />

for the Arts continue to rage, providing a convenient platform for conservative politicians seeking a<br />

spotlight and a lucrative fundraising "cause" for Radical Right organizations. It is our hope that the<br />

work of our grantees will help protect First Amendment rights for future generations.

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