EmailEmail
PrintPrint
RAD Board plans to freeze funds for 2006
A regional asset belt-tightening
Tuesday, October 04, 2005

It looks like a lean 2006 for regional attractions and local arts and cultural groups, at least in Allegheny Regional Asset District funding.

 
 
 

Allegheny Regional Asset District: 2005 allocations and proposed 2006 allocations, in pdf format

 
 
 

Worried about high energy costs and lagging consumer confidence, the asset district board released a $73.7 million preliminary budget last night that freezes allocations at 2005 levels for many of those organizations, from the Carnegie museums to the Tuesday Musical Club.

And they were the lucky ones. More than a dozen others saw their current allocations reduced in the proposed 2006 budget, mostly by small amounts.

In several other cases, the board decided against funding groups that got money this year. And none of the four groups requesting money for the first time ended up receiving funds.

The board took the penny-pinching approach after projecting a $700,000 decrease in sales tax revenue, its primary funding source, for 2006. In a statement, the board's allocations committee said rising interest rates, high energy costs and falling consumer confidence "raise serious concerns" whether a jump in sales tax revenue early this year would continue.

Rick Pierchalski, an allocations committee member, said the group was particularly concerned that high gasoline costs would change spending habits, resulting in a loss in sales tax revenue.

The proposed $73.7 million budget is $621,800 lower than this year's spending plan. The major reason is that Mellon Arena debt service payments will drop by $800,000 next year. But even with that reduction, the board proposes spending $1.8 million in reserves to make ends meet.

All of the major assets funded under the proposed budget would see their allocations frozen. They include the Carnegie museums and libraries, the city and county parks, county libraries, the Pittsburgh Zoo and PPG Aquarium, Phipps Conservatory and Botanical Gardens, and the National Aviary. Debt service on Heinz Field and PNC Park also is locked in at $13.4 million.

The biggest cut would be for Manchester Bidwell, at $155,000, because the agency did not submit its application by the deadline, according to the board.

Others taking cuts in the preliminary budget were the African American Cultural Center, down $75,000 to $200,000; Dance Alloy, down $5,000 to $20,000; Greater Pittsburgh Arts Council, down $15,000 to $60,000; New Horizon Theater, down $5,000 to $10,000; and River City Brass Band, down $5,000 to $90,000.

The financially strapped Pittsburgh Ballet Theatre, which is using recorded music instead of an orchestra during performances this season, saw its $105,000 allocation cut by $5,000.

Among those losing funding altogether were the Pittsburgh Youth Ballet, which got $7,500 this year; the Bach Choir of Pittsburgh, which got $8,000 this year; and the Avonworth Municipal Authority, which received $30,000 this year.

Those fortunate enough to get increases include the Frick Art & Historical Center, up $5,000 to $31,000; the Pittsburgh Cultural Trust, up $50,000 to $600,000; Pittsburgh Opera Inc., up $10,000 to $110,000; and Pittsburgh Public Theater, up $10,000 to $110,000.

The board also proposed $25,000 increases for the Pittsburgh Filmmakers and the troubled Pittsburgh Center for the Arts, provided that a proposed merger between the two is successful.

In explaining its work, the allocations committee said grant amounts reflected the asset district's emphasis on "the need for strong financial stewardship, resource sharing and programming excellence."

"The recommendations in this plan follow those priorities by reducing grants where the committee sees continuing weakness in the finances and/or management of an organization. Conversely, we have provided modest increases to organizations that have shown progress in the priority areas," the committee's report says.

Board members added the Upper St. Clair Boyce Mayview Park to the listed of funded parks, supplying $250,000, after local officials committed money to continue development of recreational activities, including trails and a nature education center. The spending plan also has $1.4 million in capital grants for city, county and other regional park projects.

The board plans to adopt a final budget Dec. 1. A public hearing will be held on the proposed budget Oct. 24 from 5 to 7:30 p.m. at One Smithfield Street, Downtown. Anyone wishing to testify must register with the asset district at 412-227-1900 no later than noon, Oct. 21.

First published on October 4, 2005 at 12:00 am
Mark Belko can be reached at mbelko@post-gazette.com or 412-263-1262.
Featured Homes
Featured Rentals