Arts groups rattled by finance minister's dire warning

Arts and cultural institutions are being warned by Federal Finance Minister Jim Flaherty - when drawing up a budget, don't count on federal funding.

Flaherty pulled no punches in delivering his government's take funding for arts and cultural events while announcing $500,000 for Canada Walk of Fame Festival in Toronto on Tuesday.

"One thing I'd like to say, and maybe it's different than it used to be, is we actually don't believe in festivals and cultural institutions assuming that year after year they'll receive government funding," Flaherty said.

"They ought not assume entitlements to grants. No organization should assume in their budgeting that every year the government of Canada is going to give them grants because there's lots of competition, lots of other festivals and there are new ideas that come along."

Prince George's Two Rivers Gallery managing director Peter Thompson said arts groups understand government finances need to be managed responsibly, and they have no sense of entitlement over government funds.

"The arts are not beggars," he said. "We have no expectation that we are entitled to government funding. We simply expect a level playing field."

Thompson went on to question why Flaherty doesn't make similar comments towards other areas receiving regular funding.

"Federal grant funds support a range of economic activity, yet the minister did not feel he had to tell the manufacturing industry, for example, that they shouldn't expect government funding," said Thompson. "He didn't feel the need to tell oil sands exploration that they shouldn't expect federal government help, so I am very comfortable arguing the merits of public investment in the arts head-to-head against public investment in the oil sands or manufacturing or anything else."

Thompson said he fully expects funding decisions to be based on merit "not from the misplaced assumption that the arts are not an industry."

The Two Rivers Gallery gets a modest amount of government funding, said Thompson.

"We work extremely hard for federal funding and we make that funding do a lot of work in the community - and no, we don't expect that we're entitled to it."

DRIED UP FUNDING WOULD END PROGRAMS

The Prince George Community Arts Council relies on government grants to subsidize their summer day camps through student employment services. The Creative Fusion project was federally funded through New Horizons for Seniors.

The program helps ensure seniors can benefit from and contribute to the quality of life in their communities through active living and participation in social activities.

"We are very disappointed and somewhat surprised with this announcement," said Wendy Young, executive director at the CAC.

"Arts and culture and its benefits are directly related to the economy and health of any community. This may mean the end to federal programs such as New Horizons [seniors program] and our ongoing Mini Mural project, Creative Fusion."

But there is hope in sight thanks to provincial support, said Young. Despite cuts in the Gordon Campbell administration, optimism has been renewed with the election of Premier Christy Clark, she said..

"In times like these when there is a shortage on funding, it is encouraging that we have seen increased partnership and unity within the local and provincial arts community," said Young.

THEATRE NORTH WEST: THE ARTS GIVE BACK

Theatre North West gets eight to 10 per cent of their funding from the federal government for operating costs, said Samantha MacDonald, artistic director.

"As a non-non-profit organization that receives funding from the federal government there's so many sides to it," she said. "Of course we understand the need for fiscal restraint at this time in our history and remaining accountable to these public funds but at the same time we think it's important that the minister and everyone recognize that public investment in the arts also gives back.

"There are social benefits but also in a significant economic way. For every dollar invested in the arts, $1.38 comes back as tax revenue and there's all these statistics about how the arts and cultural sector are generating economic benefits. We employ over 600,000 people, which is double the amount of employment in the forestry sector in Canada."

MacDonald said it's hard to know exactly what the finance minister is saying but it feels a bit like a threat and at the same time no one knows what's happening behind closed doors.

"We're so grateful for all the funding we receive from all levels of government but again, we're giving back!"