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Presented by The National Arts Journalism Program
and Columbia University's School of the Arts

Columbia University Graduate School of Journalism
October 29–30, 2001

Summary | Program | View the publication

 

New York’s Public Policies: Scenarios for the Future
Tuesday, Oct. 30, 2001, 9 a.m.

Moderator:
Robert Marx, vice president, The Fan Fox & Leslie R. Samuels Foundation

Panelists:
Jed Bernstein, president The League of American Theatres and Producers
Alan Eisenberg, president, Actors¨ Equity Association
Marian A. Godfrey, director, culture program, The Pew Charitable Trusts
Kathleen Hughes, deputy commissioner, New York City Department of Cultural Affairs
Virginia P. Louloudes, executive director, Alliance of Resident Theaters/New York
Fran Reiter
, former NYC deputy mayor for economic development and planning
Bruce Weber, theater critic, The New York Times


Michael Janeway: Good morning. I¨m Mike Janeway, director of the National Arts Journalism Program, and co-host for this conference with my colleague Evangeline Morphos from the School of the Arts theater program. For those of you who weren¨t here yesterday, our format • because we have such a full schedule with large panels • is that business and conference as usual are out. We are going to skip usual formats and routines, such as opening statements by panelists. Each panelist¨s biographical information is given in detail in your conference materials. We¨re going to go straight to directed conversation by our moderators: in this case, Rob Marx, vice president of the Samuels Foundation.

Rob has had a long and rich career that includes work with the NEA, the New York State Council on the Arts and Lincoln Center¨s New York Public Library for the Performing Arts. We leave it to the discretion of the moderator whether the clock and the schedule will permit time for Q&A, but we have a block of time marked off for an open session where Q&A can go, this afternoon at 2:30. The National Arts Journalism gong • is here, in case things get out of hand. (laughter from audience)

Marx: The title of our panel is ěNew York¨s Public Policies: Scenarios for the Future.î And when I read the schedule, I was pleased that the ěPoliciesî in the title is plural, because we know there¨s no such thing as the arts community of New York • there are a lot of different communities that all intersect, and for that reason alone, there are many, many different public policies that also intersect in various ways. We have all of these geographic and discipline-based communities, and numerous points of view to match, so we¨ll be looking, I hope, at various needs regarding government and its relationship to the theater as an indigenous industry of New York. We don¨t often think of ourselves as an indigenous industry, but we really are: both commercial and not-for-profit. And what kinds of actions and risks and worries and concerns • and maybe some positive outlooks • have come about in the wake of the September 11 disaster?

We have seven panelists to my left, and we have one hour and 15 minutes. So, there will be no opening statements, because if we had opening statements from everyone they¨d be closing statements at the same time. Instead, I hope what happens is that we¨ll have a discussion among our seven very informed and experienced individuals and see where they agree and • I hope, for the sake of our own information • where they disagree. So I encourage all of you to interrupt each other, jump in and disagree.

I want to start, just as a point of departure here, with a quote from our comptroller, Alan Hevesi • and this appeared in [The New York Times¨] Bob Herbert¨s column on Oct. 25, just last week: ěIn addition to the enormous human toll, there is the dramatic loss of infrastructure and earning power. Businesses that were destroyed; businesses that were hurt; businesses that are contemplating leaving New York CityČ We heard more about that on the news this morning. ˙Čeither temporarily or permanently; and businesses that that are floundering because of the fear factor, like the airlines, the entertainment industry, Broadway, and so on. We¨ve already lost $47 billion with the destruction of the World Trade Center offices, the downtown devastation, and for the rest of this fiscal year • eight months to go • it¨ll be another $45 billion or so.¨î Now Bob Herbert: ěThat¨s an economic hit approaching $100 billion over two years. The attack and its aftermath, combined with an already-faltering economy, will have a gruesome effect upon the city¨s budget. Estimates of deficit for the current fiscal year range from $738 million to more than $1 billion, and the expected deficit for the following fiscal year, which begins next July 1, is $4 billion. That¨s the city¨s projected local deficit.î

So, to get us going, I just want to start with Fran, and ask: Under the economic circumstances • and you can always count on Fran to have a strong and focused point of view • under the economic circumstances that have been outlined by Hevesi, what can the theater community expect in the way of public policy and aid, as of Jan. 1, from a new and totally untested city governmentňand one that is, perhaps, quite uninformed about the theater?

Reiter: Well, I¨m not sure they¨re uninformed. Certainly Mr. Bloomberg has been a supporter of the arts, a major contributor • he¨s not a neophyte, in that sense. And I think Mr. Green as well, generally speaking, has good feelings about cultural New York. So I don¨t know that that¨s so much an issue. The issue is how they¨re going to be tested, in terms of the enormous pressures that are going to be put on them from all kinds of constituencies across the city, all of which will say, ěI¨m the most important.î I think that there¨s a positive note for at least some of the theater community, and the cultural community in general. I do believe that over the last decade or so • certainly over the last eight years • there¨s been a growing understanding on the part of government of the vital role that culture plays in the New York City economy. That was not always the case. You don¨t have to go that far back to know that Ed Koch had very little feeling for the cultural community, and budgets during his administration were cut. During the fiscal crisis of the late ¨80s and the early ¨90s, libraries and cultural institutions took enormous hits.

Eisenberg: Fran, then why does the mayor constantly cut the arts budget?

Reiter: Actually, that¨s not true. Well, this mayor, or all mayors?

Eisenberg: This mayor.

Reiter: This mayor hasn¨t really cut the cultural affairs budget. He¨s cut it, and then allowed it to be restored in a buy-back. In the Dinkins administration and in the Koch administration, they just cut it.

Marx: When you say ěbuy-back,î you mean the restoration of the funds through the City Council?

Reiter: Well, we need a balanced budget: we¨re required by law. The mayor does a budget, and the City Council, historically, doesn¨t want to cut anything. So, the mayor makes the cuts, and will tend, as a negotiating tactic, to cut those things he knows the City Council really doesn¨t want to have cut. And the City Council has been very protective of cultural institutions and libraries. So what the mayor does is, he cuts it. They come back to the negotiating table and say, ěYou can¨t cut culturals.î And the mayor says, ěWell, we have to cut something. So, buy it back.î And that¨s the dance that¨s been played for the last eight years. And, in fact, it¨s been very, very effective. And culturals and libraries have really not been cut, while there were massive cuts in government • in the first two years in particular, in ¨94 and ¨95, when the city was facing $2 billion and $3 billion deficits, before the economy turned around. And after that negotiation, culturals were basically held harmless. That wasn¨t true prior to the Giuliani administration. When the economy first faltered, the Dinkins administration made massive cuts to the cultural budget, and it¨s not that those cuts have been restored, but it hasn¨t gotten any worse.

I think that we do understand now that the number one attraction for tourists to New York • a $20 billion industry • is culture. And more specifically, within the cultural world, Broadway is the number one cultural attraction. What does that mean going forward? I think it means that as it pertains to major institutions that are great attractors of visitors to the city, and the dollars they generate, there¨s going to be an effort to protect them. It¨s really to the rest of the cultural community • the not-for-profit theater companies that don¨t tend to play in that world as much, the dance companies, the smaller orchestras, the smaller museums in the other boroughs • I think they are the ones who may be looking at some difficult times. Because ultimately, what¨s going to happen is that decisions are going to have to be made, and who knows whether the next mayor is going to be willing to withstand the pressures. We need more daycare centers. We need more money in education. We need more money in housing. We need more and more and more and more, and we¨re facing a $4 billion deficit. So something¨s going to get cut somewhere. The upside, I think, is that this industry, this indigenous industry, is now finally recognized, even by the most parochial of government officials, as being important, as being a vital part of the economy.

Marx: What brought that about?

Reiter: What brought it about was better research. What brought it about was the communication of that research and, frankly, a mayor who believed it. When, in 1993, during the transition • that¨s when you sort of divvy up the government among deputy mayors. My predecessor¨s deputy mayor for economic development was John Dyson. Dyson was the first deputy mayor for economic development to have cultural affairs within his purview, which sent a very, very strong signal. Now, does that mean that the administration viewed all cultural affairs as being important to the economy? No. But it did recognize at least that a major, important part of cultural New York and Broadway theater was extremely important. And I think that was a step in the right direction.

We¨re talking purely economics now. The social impact of cultural New York, not only on visitors but more specifically on those of us who live and work here, is equally important on a whole other level • maybe even more important in defining who we are as a city. But during difficult economic times, if you ask me what my sense is, I cannot believe that we¨re not going to withstand some more cuts over and above the 15 percent that was already mandated in the post•Sept. 11 period.

Marx: Now, government arts policy covers a lot within that umbrella heading. There¨s labor, real estate, education, tourism, taxation, funding. Are there existing arts policies, in any of those areas, that absolutely must change in the wake of Sept. 11? Ginny? Kathy?

Kathy, you looked like you were just about to say something.

Hughes: I was just about to say something....it¨s always hard to follow Fran in saying anything.

Louloudes: That¨s why I let you go.

Hughes: (laughs) I think the word ěpolicyî needs to be redefined. And in fact, there needs to be a greater emphasis on, as you say, policies within government. I think we are on the threshold, both with a new government, with a crisis, that can always be turned around to be an advantage if we¨re creative, and with the work that¨s gone into a process that the arts community • to use that oxymoron • has come up with called the Cultural Blueprint, which is about to be issued. I think the need for looking at policies that direct government¨s attention is more critical now than it has been in the past..

Marx: And how substantially has the Blueprint been revised in the wake of Sept. 11?

Hughes: Much of the work that was done on the Blueprint was such good, solid work and indicated what needed to be done so clearly that • although I haven¨t seen the last and final draft • I don¨t think it needed a lot of additional work, in light of that. The economic downturn was clear before Sept. 11. The discussions that will follow it will, of course, capture the issues from the aftermath of Sept. 11, and so I think that the need for it to be drastically revised just simply wasn¨t there.

Marx: And Ginny, is there a need for change of existing policies?

Louloudes: Yeah. (audience laughs) I¨m going to go on a limb here. Somebody once told me that if you think you don¨t have a policy, look at your budget. Your budget clearly indicates a policy, because you allocate resources based on a philosophy. This city is allocating the lion¨s share of its money to 33 or so Cultural Institutions Groups, and then there are another • how many?

Hughes: 530.

Louloudes: 530 in the category called Program Groups. Now, the Cultural Institution Group came together for a wonderful reason. Prior to the city coming together • when Brooklyn was separate from Manhattan • there were some amazing institutions, like the Brooklyn Museum and the Botanical Garden. And when the city came together, I think in a moment of real brilliance, the city decided that it was going to own those buildings and it was going to protect them and insure them for the public. Well, a lot has changed in the last 100 years, and those buildings and those companies have become some of the strongest organizations in the world. They have phenomenally strong boards, they have enormous opportunities for fundraising.

Now, the other irony is that theater • American theater • was in its infancy stage then, so there are only two theaters that are Cultural Institution Groups out of the 33. The New York Shakespeare Festival, thanks to the tenacity of Joe Papp, and Queens¨ Theatre in the Park, thanks to the tenacity of Borough President Claire Schulman. There are another 360 theaters. Of those 360, 98 get city funding and the rest don¨t.

The government policy is one of haves and have-nots. And I think that if we look at the economy and we look at the capabilities of all the arts organizations, we need to divvy up the money a little differently. It is a very tough thing to ask any mayor to do. I would not want to be either Mr. Bloomberg or Mr. Green and have my new commissioner of cultural affairs tell me to do this, because it would mean that you¨re angering the most powerful board members, many of whom have made contributions, and many whom have a lot of clout. And that¨s why the change, I believe, hasn¨t happened.

The only thing I can hope is that the urgency of Sept. 11, and the imminent economic crisis that it is going to create, will, like it or not, force us to come together and rethink everything, and not look at historical funding or what was done in the past, but look at everything with a clean slate. That is a highly, highly idealistic thought • it probably sounds tremendously naŻve, and it probably won¨t happen.

Reiter: It probably won¨t happen. (audience laughs)

Eisenberg: I did a very brief statistical run in preparation for this, and • I support everything Ginny said, except maybe for the part that it will not happen. You know, that may turn out to be true.

I just did what we call ěactor work weeks.î One actor in a show for 10 weeks is 10 work weeks. And 10 actors in a show for one week is also 10 work weeks. And so far this season, the work weeks for some of our most important but small not-for-profit theaters, like the Atlantic or Primary Stage and so on, are down by almost 50 percent. Off-Broadway is doing fine, at least for the moment, because these are really theaters above 14th Street. But theaters like the Irish Rep, New Federal, which is another group of theaters, are also down by almost 50 percent. So that¨s just in the last three or four or five months. And whether that¨s a combination of Sept. 11, or just that the funding is down for the seasonČ

It sounds Pollyannaish, I suppose, but I would like to see some sort of arts advisory panel giving some advice to the city as to the way the funding should be done. It doesn¨t just have to go to the Metropolitan, or Lincoln Center or the Roundabout. It¨s the smaller theaters, for whom the $5,000 or $10,000 grant would mean so much more than much larger sums to some of our most important, prestigious and well-thought-of organizations. So, I¨d like to see some kind of advisory panel steer Mr. Green or Mr. Bloomberg in a somewhat right direction.

Marx: Bruce Weber.

Weber: Any discussion over cultural policy or the arts in New York almost always focuses on money. And one of the things that we seem to be agreeing on is there¨s going to be considerably less money in the future. So, perhaps the discussion might be better focused on what else might be done, aside from finding ways to raise more money for these organizations.

Louloudes: I¨m not saying we necessarily have to raise more money, but maybe we reallocate the incredible amount of money we already have differently. I agree with you. It would be naŻve of us to say that anyone should come up with more money for us when we¨re in the crisis we¨re in. But there could be a redistribution.

Marx: But in those divisions between the haves and have-nots, which apply to the commercial theater as much as the not-for-profit, how do we begin, for the first time, to really create a unified voice for this industry? It was one of the things that just sank us during the NEA crisis. The big institutions weren¨t interested, because they don¨t get that much money out of the government at this point in time, and you¨d go in and you¨d try to make that case with the large institutions, and they¨d say, ěOh, come on. Those are the little guys. We wish them well, there¨s no ill will here at all, but we can¨t allocate our time for that.î There are divisions that have been between commercial and not-for-profit. How do we begin, in marching beyond Sept. 11, to come together and look upon ourselves as one unified industry that has to speak with a focused, direct and aggressive voice to benefit everybody?

Reiter: I don¨t believe you can.

Marx: OK.

Reiter: I think that that¨s a utopian notion. Because there are such differences in the needs and the ways of working between the commercial theater and the not-for-profit theater. Broadway is a commercial industry. Yes, there are not-for-profits that produce on Broadway. But they generally do so under different circumstances and very often will incubate those productions at their own houses. Not always. Some have theaters now on Broadway. But speaking specifically of the commercial Broadway theater, the notion that they are part of • or should be part of, or brought into • one uniform theater policy, I think, is crazy. I think it¨s a waste of time. It is a whole different world. Government, in my view, is not going to fund Broadway theater. Government is not going to get involved with policies regarding Broadway theaters, with the exception, maybe, of tourist and promotion and real estate.

Marx: Or taxation.

Reiter: Or taxation. Those are, generally speaking, totally different issues than those that are facing Ginny¨s members. Or even off-Broadway, though I would say that off-Broadway commercial theater has much more in common with the Broadway commercial theater than it does with the Soho Rep, or the Public Theater, or any of the other smaller not-for-profits. So I think we make a mistake in thinking that we can come up with one uniform, united industry policy.

Eisenberg: Fran, it is a vertical industry nonetheless, starting at the smallest and going up. And in the same way that you said, maybe, that the mayor finally understood the reality of the theater, maybe there¨s still a place for commercial theater to recognize and merge with not-for-profit theater: that it is a vertical industry, and it¨s in everybody¨s interests to merge interests and try to come up with a platform that one can go forward with. I¨ve always wondered why doesn¨t the industry have a Jack Valenti. I mean, there¨s got to be some sort of industry czar merging interests, or trying to merge interests.

Bernstein: Alan, I think you¨re right. But when we started at the League, five or six years ago, there was this big debate about re-slicing the same-sized pie in order to accomplish marketing things, or in fact expanding the pie. And I think that¨s what Ginny is saying. If you¨re an actor at the Public Theater, in a show that just plays down at the Public, you can¨t live off what you get paid for doing that. Now, if you take money from the Public Theater in order to give it to other theaters, you¨re going to have less productions, less work weeks, less money to pay who¨s there.

So unless you make the pie bigger • and I think saying that we have a common interest, or a common platform, doesn¨t mean that we have to have exactly the same feelings about everything • that¨s the only way to raise the awareness and raise the importance of how we make theater, in the mosaic that makes up New York. It¨s not only important for tourism and real estate, as Fran says quite rightly, but how do we make it important in neighborhood businesses? How do we make it important in local neighborhood politics? Why aren¨t local council people tied into the theater and being lobbied, day after day after day, by those theaters in their neighborhoods? Periodically, the outer-borough councils scream about why Broadway doesn¨t reach out to the boroughs. And that is quite true. We should be doing a better job there. But certainly there are theaters in all those boroughs that should have more awareness.

Louloudes: Well, they do. The theaters in the outer boroughs do know their council people, and the council people know the theaters. I mean, we are locally based. We know who our elected officials are. We vote. And they know we vote. I don¨t know what the Broadway people do, but we know who they are, and they know who we are.

Reiter: I didn¨t think, Ginny, that you wanted to take the money from the Public and other theatersČ

Louloudes: No, I didn¨t.

Reiter: Čyou wanted to take it from the Metropolitan Museum of Art and give it to theaters. (audience laughs)

Louloudes: I certainly don¨t want to take it from any actors¨ salaries! Because then Alan Eisenberg will kill me! (laughs) No, but I mean, I think of it as this huge endowment that is bigger, probably, than some of the city budgets of some of the cities in Nebraska. That perhaps you don¨t need money from the City of New York.

Eisenberg: Rob and I met when Rob was the theater director at the Endowment, and I used to go down there regularly to discuss issues with him and try to lobby for money through Rob. The commercial theater, which in many ways still lives off the not-for-profit theater, was never there. You never saw the commercial theater really interested in the endowment, then or even now, though of course it has much less importance. I mean, Equity right now is lobbying for extra health insurance for its members, working with the city and the state. Where is the League in trying to support the actors on that issue?

Bernstein: Alan, as you well know, The Actors¨ Fund is coordinating all of our efforts, and we are right there with everybody else.

Eisenberg: Hey Jed, you¨re missing my point. You¨re really missing my point.

Marx: Well, let me ask you this. Among various proposals, whether it¨s Equity or someone else, we heard from John Breglio yesterday. I¨m wondering, in a discussion of specific proposals, what Jed¨s response would be to John Breglio¨s tax initiatives, which he discussed yesterday.

Bernstein: Well, there are several tax initiates happening. John¨s is certainly an interesting and creative one, to take the Empowerment Zone legislation and try to get it applied to Broadway. If that ever could happen, that would certainly be interesting • and worthwhile. We have been pursuing tax relief based on the advice we¨ve been getting from Washington, which is to plug into the existing tax initiatives that are going on down there. If there is going to be a capital gains tax relief, for example, we¨d better make sure that it applies to theatrical investment. If there¨s going to be a rollback or a restoration in the T&E at deduction, then we¨ve got to make sure that it applies to theater. We¨ve been advised that there will be no specific industry tax relief for any industries, with the exception perhaps of insurance. So between us, between what John¨s trying to do and the initiatives we¨re pursuing, we¨re trying to cover the waterfront to make sure that commercial theater is included and covered, no matter what gets passed.

Marx: Is there any coordination among these separate efforts? Or are the people in Washington • who are hearing incredible stress; they¨re hearing the League, they¨re hearing from PBS, they¨re hearing from various people • are they talking to each other?

Bernstein: Well, I think people are talking to each other. We¨ve had several meetings • the so-called community-wide meetings • and we also got together with most of the commercial industry accounting firms and lobbyists to talk about strategy. That doesn¨t mean that there isn¨t room for multiple views,. It just means that certainly, communication should be paramount.

Marx: Now, labor is a major factor in all of this, especially when you¨re dealing with Washington. So I want to ask Alan what needs • and not just the needs of Equity but the needs of organized arts labor • are being defined as in this moment of crisis.

Eisenberg: There aren¨t any, actually. None of these initiatives in any way • perhaps there aren¨t any • have gone to see what labor¨s needs are. We¨ve been working on one particular issue in terms of a deduction. You have a 2 percent floor at the moment, by which only after 2 percent can you deduct your expenses. Actors are treated as employees under the IRS, but they live as independent contractors, in that they¨re constantly looking for employment • so they have agent¨s fees and union¨s fees. All of these are tax deductible, but subject to a floor. We are trying to eliminate the floor, which is one aspect that we are working on, but again, we are coordinating it by ourselves. We haven¨t really reached out, the way that these other tax initiatives that Jed has talked about will certainly have employment opportunities for not only actors but all creative personnel. But no one¨s really said: ěGet some actors, get some directors, or get some writers to go down to Washington.î

Marx: Marian has so far been quiet. And, Marian, from the perspective of the Pew Trusts in Philadelphia, which has sponsored one of the largest research efforts, in terms of arts and policy statistics in this country, how do these arguments fit into a national overview? Are they similar to discussions you¨ve heard elsewhere? Are they totally different? Are they specific to local New York needs or not?

Godfrey: Well, some of each, actually. On the one hand, there are a couple of things that are radically different in New York than in the rest of the country. One is that you have the extraordinary, wonderful characteristic that doesn¨t exist anyplace else, of having a whole city whose identity is primarily defined by culture, on the one hand, and I suppose the finance industry on the other. And you have a uniquely deep cultural infrastructure here that just doesn¨t exist anyplace else. So when you talk about the haves and have-nots in other cities, you¨re talking about maybe six or seven haves and maybe another 50 have-nots. And it just is a completely different ecology, and a completely different system.

On the other hand, you¨re also dealing with an acute crisis, with what¨s happened to the fabric of this city with the bombings, whereas the rest of the country is just dealing with what I think is going to be a chronic problem: a very significant downturn in the economy, which is probably going to last for a couple of years. I was having a discussion yesterday with a policy analyst who works a lot at the state level, who was saying that the general pattern in states around the country seems to be not so much actual cuts but withholdings of appropriations across the board in state budgets, which amounts to about 4 percent. And they¨re doing that just prophylactically, I guess. And that the arts are neither more or less favored than other sectors in those withholdings. So, you have a situation that¨s not as problematic elsewhere, in the acute sense.

On the other hand, from a long-term point of view, I very much agree that more research is needed. It¨s very much something that the panel yesterday, and Kevin McCarthy from RAND, were talking about. There¨s a need for more data, so that you can immobilize the economic arguments, which are basically the only thing the policy makers have been listening to right now. They really, at the moment, only listen to instrumental arguments. And you also need the attitudinal data about what the demand really is, why people really care about the arts, in order to help move the policymakers from being focused only on economic development to being focused more broadly on cultural development, which I think is a way to think about it, particularly after Sept. 11.

One of the things we have working for us in the long term, thought it¨s not going to be a help in the short term, is that policymakers are beginning to kind of get the idea that cultural development, more broadly, is the next big thing. That economic development, narrowly, is not going to get them the help in their cities that they need. They are getting that people are returning to a deep need for a sense of place, which is something that culturals, as fundamentally a local enterprise, can really support. They¨re beginning to understand that cultural diversity is something that we must understand, and if we don¨t understand it, it¨s going be to the detriment of our society, and that culture is something • the arts is something • that can help people grapple with issues of cultural diversity in a constructive way.

So there are some opportunities out there, but they¨re long-term opportunities. They need to be shored up with more information and data, as well as better stories • which policy makers also like to listen to. And those stories do particularly resonate with policymakers who like the arts in the first place, there¨s no question. But stories can also bring people along who didn¨t already get it. So the larger picture is not that dissimilar, but there¨s no question that New York is facing the kind of a crisis that you just don¨t see anyplace else.

Marx: There has been a long-standing hostility to New York • and especially New York culture • in the halls of government, especially Washington. Do you see that being tempered in the wake of Sept. 11?

Godfrey: Well, probably for a while, anyway. Because I think there¨s an enormous sympathy throughout the country for what¨s happened in New York. And it¨s made people aware that maybe New York is the city they loved to hate, but the reason they hated it was because of all the wonderful things about it. And now I think there¨s a certain level of sympathy that exists there. I don¨t know how long it¨ll last.

Weber: One of the interesting paradoxes about the arts and public policy is that the artists themselves are generally in the business of criticism. They¨re generally in the business of being outsiders. And at the same time that they are being sort of observant and critical of this society and the government, they are perennially asking to be included. One of the things I think would help • and that you almost never hear from public officials • is it¨s OK to be an artist. I think if you ask the people on this panel, ěDo the artists themselves feel as though they are included as citizens, and taken care of as citizens, are appreciated for what they do, within the city structure?î they¨d probably say ěno.î

I lived in Chicago for a couple of years, and the difference between the way artists feel about their city in Chicago and the way they feel about it here is remarkable. There is a community • particularly in theater • of actors and directors, that all love the mayor. It¨s truly quite astonishing. And they feel that because they feel as though they have helped to define the character of the city, and not just held it back.

Fran and I disagree, I think, about the fracas at the Brooklyn Museum.

Reiter: I doubt very much that we disagree about that. (laughter)

Weber: I mean, my sense that what Mr. Giuliani did when he threatened to pull funding from the Brooklyn Museum was that he sent that very message • ělook, artists exist from our beneficence, and if they¨re going to thumb their nose at us, then we¨re not going to be beneficent anymore.î What he should have done, if he didn¨t like that particular work of art, is get up and say, ěYou know, some of us can¨t relate to that particular work of art. But it¨s in the museum, and if you don¨t like it, demonstrate. Make your feelings known. Jump up and down, but we can¨t do anything about it. This is what artists do.î

Marx: Which was Peter Vallone¨s position.

Weber: We¨ve all been talking about money, but I think that one of the things that public policy ought to be turned toward is an acknowledgement of the contribution that artists make in the city • and not just artist/celebrities that are on Broadway, but artists who are working in the tiny venues. That it¨s OK to come to New York and work for no money, and put on a show in a tiny neighborhood theater. That this is a good thing to do. It¨s a contribution to society. I¨d like to see the mayor and city councilmen going not just to the Metropolitan Opera or Broadway, but to the Atlantic Theater Company, or to that tiny theater on Arthur Avenue in the Bronx, or out to Brooklyn or the Soho Rep, as a vote of confidence. It seems to me that politicians are always acknowledging pockets of society in that way, but they very rarely nod at the artists who make up the great body of the community that we¨re talking about.

Reiter: All of this raises a whole host of questions for artists in New York. Housing questions, for example. If you believe • as Bruce points out, and I certainly agree • that having an artistic community in the greater community of New York is vital to defining us as a city and making us a great place, well, it¨s becoming increasingly difficult for artists who for 200 years have made their way to New York to pursue their artistic dreams, and starved and lived in garrets, and waitressed and all of that. It used to be that you could do that and survive, but it¨s becoming increasingly harder to do that, not just in Manhattan but throughout the city. And I have a real concern that as those difficulties increase, we¨re going to see less and less of a renewal of the cultural New York as a result of that.

The policy that Bruce brings up, regarding what happened at the Brooklyn Museum, is perhaps the granddaddy of all cultural policies, which is: before you even get into a debate about how much money, the debate is whether government should be involved in arts funding at all. And my view, clearly, is that is should be • and to a greater extent than it is. There will be people on both sides, including supporters of the arts, that believe that government shouldn¨t fund the arts because immediately they interfere. You can have a serious debate about whether government should or shouldn¨t fund the arts. But once it does, then it¨s got to step back and allow artists to do what artists do. That¨s policy number one. But we¨ve got a lot ancillary issues that impact artists here in New York. Ginny can probably speak far better than I about the real estate issues, not only in terms of housing, but the housing institutions as well.

Marx: Is it possible to recreate, in some way, the Rockefeller era in initiatives for the arts that really led to huge expansion in off-Broadway and off-off-Broadway in the late ¨60s and ¨70s? We were talking about some of this at dinner last night, and I happen to have in my own files at home the 1975-76 annual report of the New York State Council of the Arts. This is 25 years ago. Even though Rockefeller is no longer governor, we¨re still dealing with Rockefeller-era budgets. Twenty-five years ago, pre-OPEC dollars, just look at some of this. The New York Shakespeare Festival, back then, was getting $700,000. How much does it get now, Fran?

Reiter: I think it¨s $60,000.

Robert Zukerman, New York State Council on the Arts: (from audience, yells) 95!

Reiter: $95,000. Thank you.

Marx: Joe Papp¨s annual budget: $700,000. You want to know why Joe was able to do a lot of plays? There it is. Playwrights Horizons, this is 1975-76, Playwrights Horizons is a struggling young tiny theater. They¨re getting $86,000. What would that be today? It would about $200,000 now. Roundabout • Roundabout at that point is in the basement of a supermarket on 26th Street: $85,000. I see Harvey Lichtenstein right there. BAM was getting • from the theater program of NYSCA alone, forget about dance and music • the theater program alone was getting $250,000 in 1976. Studio Arena, the regional theater in Buffalo, was getting $175,000. The Chelsea Theater Center, then operating on the top floor of the Brooklyn Academy of Music, is getting $158,000. This is real money. This is real government money pouring into not-for-profit and off- and off-off-Broadway theaters.

At that point, there was a kind of executive patronage. There was the sun king, of Nelson Rockefeller, who made the arts sort of part of his portfolio. And the budget was just determined between the governor and Seymour Knox, who was the chairman of the arts. It was part of his portfolio. His political portfolio. He protected it. It isn¨t in any way conceivable.

Reiter: I¨m not sure that it can come back on the state level, because of how the budget gets done on the state level, if it gets done at all. The State Assembly and the State Senate, being statewide legislatures and playing that integral role in coming to a budget resolution, I think it¨s unlikely that it would happen, even if you had a governor like Rockefeller who got behind it. In this day and age, it¨s virtually impossible. Could it happen in the city? Absolutely. But as you point out, the mayor would have to make it one of those key priorities. Mayors in New York have enormous power and can make things happen. But it would have to be a priority, and it¨s not a priority that a mayor is likely to get elected on.

I will say that the not-for-profit arts community has not played the political game well in New York. And I can tell you from talking to board members from a variety of institutions, and encouraging them to get involved politically, that they haven¨t done a particularly good job.

Marx: I just want to ask you one purely political question. Because Peter Vallone, coming out of the Brooklyn Art Museum thing, really stuck his neck out on behalf of the arts. And it seems to me as an observer of the scene that he really got nothing.

Reiter: Zero!

Marx: Zero. So is there a legacy that comes out of the Vallone experience?

Reiter: I can relate to you a conversation I had with a very, very wealthy individual in this city, a prominent person, big player in one of the major cultural institutions in the city, who was approached about doing a fundraiser four years ago • and this is someone who raises millions of dollars, OK? But to this person, the notion of hosting a political fund raiser was like, what planet did I fly in on? And this was an institution that wasČ and I¨m being very crass hereČ

Marx: That¨s allowed.

Reiter: Čvery political. This was an institution that had greatly benefited from city largess during a difficult time, and the money could very well have gone someplace else! And there is this [attitude] • and not in the small, not-for-profit theater community; I¨m talking about the major cultural institutions in this city that have the movers and shakers on their boards • as if politics is beneath them! And the fact is, whether it¨s Rudy Giuliani running on crime, whether it¨s Ed Koch running on housing, politicians are going to pick issues that resonate with large parts of the public, that push buttons. And frankly, museums and theater ain¨t it.

Marx: And I assume you include the leaders of the commercial theaters as well as the not-for-profit theater in that.

Reiter: Yeah, although the commercial theater, frankly, as members of the ěbusiness community,î do a better job.

Louloudes: I¨ll tell you one way I think we can have another Rockefeller era, and it would be in the reconstruction of downtown New York. Historically, the arts have revitalized neighborhoods. And I think affordable housing for artists near Battery Park City • I actually wrote a letter to Peter Vallone about it, that I thought it would be very important that an arts person should be put on the commission. I think if every building had a theater or a studio or affordable office spaces built into it for the arts, you would have this infrastructure. You would add to the museums that are already moving down there, and you would really create another cultural district. And you would have 24/7 activity, which I think that neighborhood didn¨t always have.

Godfrey: That¨s a wonderful vision. I hope it comes true. I think that¨s a special case, though, in terms of whether there could be another Rockefeller era here, or any similar largess flowing anyplace. It¨s really important to remember that there¨s a historical reason why that money was in place in the ¨60s and ¨70s and it isn¨t now. You had public policymakers and the major philanthropies • especially the Ford Foundation • in building the national arts infrastructure in this country over a period of 20 years. It is now built. It¨s arguably over-built. And I think even before Sept. 11, we were looking at a Darwinian moment where we were going to start seeing some contraction. I think if anything, Sept. 11 has merely exacerbated and speeded along that process.

Back in the ¨60s and ¨70s there was a great sense of: This is a country that had emerged from World War II. It had built itself up industrially. People for the first time had leisure time of some kind. They had resources that they could spend on things like the arts for the first time. There was a great desire to increase the quality of their emotional and imaginative lives. And so we built this national infrastructure. But that is a time that is not going to come again.

Eisenberg: You know, Fran just made a point that is so depressingly true: that the arts ain¨t it, in terms of a political campaign. I don¨t know how you could possibly alter that kind of sensibility, because the artist, in this country, is not necessarily something that people idolize or wish to become. I was really loath to answer Rob¨s question before, in terms of what some of labor¨s policies would be, in terms of what we like, but certainly subsidized housing, which has been touched on, would be crucial. Child care would be crucial. Rehearsal space and studio space in exchange for zoning rights. Bring back some of the small entrepreneurs to the Times Square area would be crucial, so you don¨t have to go to Queens to get measured for a costume. All of these things would be part of a policy that we would want a government to postulate and support. But, I come back to what Fran said: It ain¨t the arts.

Marx: As we¨re sitting here today, we have another FBI warning to be careful, regarding another terrorist threat in the next week. What happens to the New York theater community if cultural tourism does not come back short-term? We¨re going to start with Jed.

Bernstein: Someone asked me yesterday at a League meeting what our plans were for the next attack. You know, we¨re still thinking about this one. Here¨s an interesting statistic that Karen has, and probably shared with you last night, and that is that, in the three weeks after Sept. 11, the domestic tourism on Broadway, which is normally at 50 percent this time of year, dropped down to 44 percent of the audience. And overseas tourism dropped from approximately 11 or 12 percent down to 4 or 5 percent. That¨s still an enormous percentage, when you think about it. At a time when everyone is colloquially saying that there are no tourists in New York, half the Broadway audience • and the Broadway audience is more or less at normal levels • are tourists. So, I don¨t think we¨ve seen yet what it would be like if tourists really stopped coming to New York, at least in the arts. I think that we may get a taste of it this winter, if the weather is bad • never mind other incidents, but if the weather is bad and people just don¨t feel comfortable travelling. Then it¨s things that you can¨t even control in New York.

Eisenberg: Jed, is there stuff that can be done with the other boroughs, besides Manhattan, in terms of reaching out to audiences that might be available?

Bernstein: I think so. I think that we love to focus on the so-called tri-state area, meaning Connecticut and Rockland and everything, and I think that we forget about the other boroughs. That¨s a really good point, Alan, because we¨re talking right now about a print campaign for November and December that is very locally focused, and I don¨t think it really contemplates Staten Island or the Bronx or Brooklyn. I think it¨s a very good point, because artsgoing and theatergoing is obviously not just Manhattan, or at least it shouldn¨t be Manhattan-centered.

Hughes: I think that¨s more than just a good point, I think it¨s an essential point. We talk about a cultural tourism, and we¨re thinking only of people from outside of New York coming into New York. Cultural tourism includes people like me, living on 14th Street, going to the Bronx to see a show. It includes people on Staten Island • who generally are not as engaged in the cultural life of the city because of the geographic problems they face getting into it • going and being encouraged to do something. It makes me think of what Fran said earlier. I think she got to the right point for the wrong reasons. (audience laughs)

Reiter: As long as you wind up in the right place.

Hughes: Government responds to people. It doesn¨t just respond to rich people, it responds to all people. And we need to make the citizens of this city, all 8 million of us, care about culture. I don¨t think that¨s an impossible agenda. I think it¨s a very possible agenda.

Eisenberg: The city could give some money for a subway circuit, which existed in the ¨30s and the ¨40s.

Hughes: That¨s right.

Marx: What was the subway circuit?

Bernstein: There were theaters all around New York City, in all the boroughsČ

Weber: Brighton Beach, Washington Heights, they were everywhere.

Eisenberg: Exactly. They were everywhere, and they were commercial theaters. It was like Summerstock in a way, as I¨ve been led to believe. I spoke to Hank Gale about this a long, long time ago, and it hasn¨t been developed yet. And it would be a relatively cheap thing for the city to do.

Reiter: I think that the public cares, but they care in a very parochial way. They care about their local theater company, which is why council members are so responsive, whether it¨s to the local branch library or to the local cultural institution. But they don¨t see it as part of a larger whole.

You know, every poll shows how dissatisfied the public is with public schools. And yet, if you poll parents about their specific public school, they¨ll tell you their public school is great. It¨s a similar kind of thing. Because you never want to admit that¨s what really close to you isn¨t working. It¨s just not an issue, Alan, that becomes a button-pushing reason for voting. They care about it, but they don¨t care about it the way they do about job security or public safety or even public schools.

To follow up on where we are post-Sept. 11, and having just gotten back from London, I saw Mayor Livingstone on television, and they¨re suffering over there because we¨re not going there. Tourism is taking huge hits in London, and the theater is taking big hits • the commercial theater in particular, in the West End • and he was on television urging Londoners to go to the theater, to take advantage of their wonderful commercial theater industry, now that tourism is off. And the mayor here is making a similar plea: Go see a show.

I did a very quick calculation though, and I think this is a problem that sooner or later has to be addressed, particularly for the commercial theater, irrespective of Sept. 11. When I was 14 years old, I got a job after school. At the time, I think, minimum wage was a $1.65 an hour, and I worked 14 hours a week, and I made about $23-$25 a week, working after school. And every Saturday, the place I worked closed at 1:00, so every Saturday I hopped on the BMT, went up to Broadway, bought a ticket, and saw a show. And at that time, I could buy a ticket for about $7.50 and sit up in the mezzanine. So if I made $23 a week, I was able to see a show and still have some left over. In fact, still have a good deal left over, relative to the whole. Today • I don¨t remember what minimum wage is; it¨s approximately $5 an hour • that same 14 hours would make $70 a week for me. And a balcony seat now costs $65.

We¨re being faced right now with a reality that I think we¨ve all known about it, but it¨s coming up and punching us in the nose, which is: there¨s an ongoing [cost] issue. And Jed¨s worked hard at this, instituting Children¨s Week, and trying to get new audiences to come into the commercial theater, and trying to get them turned on, despite all the distractions of computers and television and MTV and everything else, and building that next audience of, in his case, commercial theatergoers. But cost is becoming an increasing issue. And the great middle-class theatergoing audience is finding it increasingly difficult to do that. So now all of a sudden, while you still have 50 percent of your audience as tourists • there are still tourists in New York, just not as many as there normally would be this time of year • what are we going to do to get New Yorkers to the theater, particularly to Broadway, when it is so expensive?

Marx: In that, there is, I think, an economic equivalency factor. For decades and decades, the price for, let¨s say, a second balcony seat in a Broadway theater, or the back of a first-balcony seat in a one-balcony house • and certainly the price of an off-Broadway ticket • was the same as a movie. When I started out it was $3.00. Then it went up to $5, then $7.50. And I remember being shocked because, like Fran, I would get on the subway from the Bronx, go down with my friends from high school and junior high school, and see a show. Except for the biggest hits, you could just walk in. When I had to start paying more than $3.00, it was really shocking to me. And there were no discount systems in those days. You just walked up to the box office and that was it. There was a 300 percent spread • 3 bucks to 9 dollars for downstairs, then 5 to 15, and it went up accordingly.

Eisenberg: Rob, Showcase tickets • in which the actors get paid nothing, no one gets paid anything • a Showcase ticket is now $20.

Marx: Right! I know, I know.

Reiter: That¨s incredible. I didn¨t know that.

Godfrey: But they get something, Alan. They get something.

Eisenberg: They get something. But still, it¨s a $20 ticket. (audience laughs)

Marx: I¨m just thinking that, from the ticket-buyer¨s point of view... I know so many people who say that they¨d go to the theater if they could go to the theater the way they go to a movie. The way they used to. You walk in, you put down the same amount of money, it¨s totally informal. The show doesn¨t have to be the greatest thing you ever saw, but there might be an actor you¨re interested in, or a playwright who¨s emerging.

Weber: That¨s off-off-Broadway, actually. There is this kind of availability.

Marx: Yeah, but prices are going up there, too.

Weber: Sure, but at least it¨s partially an answer to the question. I mean, one of the things that could be addressed by the League and LORT and our politicians and everyone else who is concerned about the theaters is getting the message out: that if you want to go to the theater, go to your neighborhood theater. I mean, it¨s a big message that New York theater is not Broadway. And that message doesn¨t really get out.

Reiter: One of the reasons it doesn¨t get out, though, is that theater companies don¨t have the money to get it out. That one of the biggest issues facing the not-for-profit theater community, and particularly the smaller and more locally based community, is that they don¨t have marketing dollars. And it is very, very, very difficult. Funders, even for larger theaters, don¨t want to give money for advertising.

When I was at the Convention and Visitors Bureau, I met with a number of heads of major foundations that fund cultural institutions, including theaters, to say, ěThere¨s a real problem.î I mean, even the biggest institutions don¨t have marketing budgets. The Museum of Natural History doesn¨t have a huge marketing budget outside of the city of New York. They spend it here. You don¨t see ads for the Museum of Natural History in The London Times. I went to a number of foundations and said, ěLook, we¨ve got some seed money. We¨d like to start a fund to help institutions to do cultural marketing.î They looked at me like I was out of my mind. It was the single worst meeting I had while I was at the Convention and Visitors Bureau. They want it for ballet, or they want it for a new production, or they want to underwrite a new wing in a theater, or the green room, or whatever it is. But they don¨t want to spend it on advertising and promotion. Now. Look at a small theater company, and what do you think their chances are of getting that word out?

The second thing I would say is that there¨s a lot of experimental work that¨s also being done, and a kind of theater that a new theatergoer may find inaccessible. Meaning that, a lot of smaller theater companies are where the really interesting work is being done today. Getting somebody who may be a new theatergoer interested in just going to the theater: for them, Broadway is the theater. My view has always been that if you can get them going to a Broadway show, and get them used to sitting in the audience and loving live theater, then you can get them to take a chance and look at something more experimental, more cutting edge. But first you have to get them in. And for most people in the world, that¨s Broadway. Whether we like it or not, their view of theater is Broadway.

Louloudes: I just want to tag onto something that Fran said. A number of our theaters sent their subscription brochures out bulk mail, Sept. 9. And so a lot of marketing material was just thrown away. Years ago we did a marketing campaign • and Jed and I were on a panel, and we decided that it should come back • called Passport to Broadway, to promote the field and the affordability and that it¨s in every neighborhood.

I just disagree with one thing Fran said. I think some of the work in our downtown theaters is so different from Broadway, that if you come into Broadway and you like it, you probably won¨t like what¨s happening downtown. It¨s a real schism that¨s happening. The work is changing, it¨s more movement-based, it¨s not linear, it¨s not as verbal, it¨s not kitchen-sink drama. And those groups are functioning pretty well by e-mail, word of mouth, and the fact that they¨re small and they have this buzz. I¨m not saying they couldn¨t do more. I think we¨ve all underestimated word of mouth. We all want a great review in The New York Times, and that¨s statistically impossible. So then we want a good feature in The New York Times, and the probability of that is impossible. And what we need to do is create more word of mouth, and that¨s where we have to be really creative and use the Internet, and use friends, and use promotional discounts, whatever we can.

One last thing. Today begins ěTake Back Our Cityî week, sponsored by The New York City Arts Coalition, and there are many museums and theaters and orchestras that are offering free or discounted performances • I know Sigourney Weaver was promoting it on the news this morning on Channel 11. So things are happening, and other things will happen, and, you know, it¨s a tough road.

Marx: I want to just pose one last question to everybody. If each of you could take, today, one positive action to influence upcoming government policy toward the theater, what would it be? We¨ll start with Bruce and work our way back.

Weber: I would have the next mayor include a theatrical reference in every public statement or at every press conference. Either a quote from Shakespeare (audience laughs), or a reference to the great off-Broadway show that he saw last week, or a simple encouragement for people to go out and buy a ticket. But to sort of make it a natural part of the discourse.

Reiter: Similarly, I think the mayor • a mayor • can do a great deal to lead by example. Our politicians • not only our mayors but, not to knock them around too much, but politicians by nature tend to not be terribly worldly. (audience laughs) They¨re not! They don¨t travel a lot. They don¨t. They¨re very, very parochial. I mean, Governor Cuomo was an example: he never wanted to spend a night out of town. He only wanted to get back to Albany. How ridiculous was that?! (audience laughs) So, you knowČ (more laughter)

Marx: Say it! It¨s all right!

Reiter: I think that the mayor and our council members should be going to the theater. That they should be out there at night. The only council members you ever see at the theater are on opening night, when they get a freebie ticket if they happen to be on the Cultural Committee or the Parks Committee. I mean, get out there and experience your own cities. Let the press tag after you. Who knows, it may get them out of having to go to another rubber-chicken dinner. ěOh, I can¨t go to your dinner, I¨ve got to go to the theater.î Do that. Get out there and actually experience cultural New York as an example to the rest of the city, so that people of the city are reawakened about how many great things there are to do here, and that there is more local support for what it is that makes this city the greatest place in the world.

Marx: Ginny.

Louloudes: I¨d try to get on the revitalization committee and try to get as many spaces and theaters built and affordable housing for artists downtown.

Marx: Kathy.

Hughes: Well, we missed an opportunity by not having them here, but I think hearing from this community, is what I would say. I think that ought to be the first thing the next mayor does: convenes the council, sits down with them, sits down with the arts communities, and hears from them, And listens.

Godfrey: I¨m going to speak as somebody from Philadelphia and not New York, and as a representative of a foundation that is not allowed, in fact, to do anything direct in terms of influencing policymakers. So I¨ll talk about the indirect way, and it gets back to something that Fran was talking about before. What we¨re doing in Philadelphia, both directly in our cultural funding and through our support of the Greater Philadelphia Tourism Marketing Corporation, is heavily investing in cultural marketing because of our belief that robust audiences who are enthusiastic and excited are going to be the best message you can get to a policymaker about the importance of arts in your city.

Eisenberg: I¨d put a 25 cent tax on tickets, I¨d stop this restoration fee on the theaters (applause) and I¨d turn the money back to purchasing tickets so that kids could go back to the theater and we could go back to $10 tickets.

Bernstein: Since I go last, I get to have two answers. One is, I¨d fund the definitive study that proves that arts education has a direct positive influence on students functioning in all other areas. Math, science, English. There have been some studies that suggest this, but it needs proof once and for all, so that you can look a congressman in the eye, in Arkansas, and say, ěIf you cut the arts classes, people will be stupider than they would be if you didn¨t.î That¨s an example of expanding the pie.

The other thing I would do is • and of course, I can¨t do this at the League, because we can¨t talk about pricing for antitrust reasons. But if I weren¨t in this job, I would say, make the tickets to ěThe Producers,î or to any hit show, $650 at the high end, and then make them $5 and $10 at the low end. Protect the gross. Spread out the price range, so that people can come at the low end, and people can pay market value, and the creators of the show will justly get their reward at the end of the day.

Marx: No shortage of ideas here. I just want to thank everyone for coming at 9:00 in the morning, a valiant effort.

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