Monday, November 16, 2015

National arts and culture funding – follow the money

‘In the continuing furore over the transfer of funds from the Australia Council to the Ministry for the Arts in the 2015-16 budget, most of the focus to date has been on the Australia Council. What has been happening to the funding of the Ministry for the Arts itself? Based on the publically available budget figures since 2012, it is possible to compare the level of program funding managed by the Ministry for the Arts and see the reduction in funding following the election of the current Government’.

In the continuing furore over the transfer of funds from the Australia Council to the Ministry for the Arts in the 2015-16 budget, most of the focus to date has been on the Australia Council. I thought it would be interesting to look at what has been happening to the funding of the Ministry for the Arts itself.

I looked back through the publically available Portfolio Budget Statements for each year since 2012-13. These statements for Australian Government departments break down the budget of each department and the various areas within them against the outcomes they are funded to achieve.

In each of the Departments that the Ministry for the Arts has travelled through since 2012 it is possible to see the overall level of program funding. It's always hard to compare different years as this can be complicated by different smaller components, such as special appropriations, but it is still a good indication of trends.

If we ignore the level of funding for Australian Government cultural agencies like the national cultural institutions, such as the National Museum or National Library, and the other agencies that provide arts and cultural funding, like the Australia Council or Screen Australia and just look at the Ministry for the Arts, we can get a clearer picture. The budget items I have looked at are under the program usually called 'Arts and Cultural Development' and are what are called 'Administered expenses - Ordinary annual services' or similar.

It is important when looking at public budget figures to clearly distinguish between departmental funds, which support staff who work on the programs, and administered funds, which comprise the grant funding distributed to organisations. These funds may be distributed through an application round or increasingly by direct offer to organisations which have been funded before. At the most recent Senate Estimates hearing, the Ministry for the Arts noted that staff levels had fallen from 180 in 2010 to 109 currently, reflecting substantial cuts in departmental funds.

I have tracked the level of administered (program) funding, including budget projection up to 2018-19. I have noted the reductions in Ministry program funding projected in both the 2014-15 and 2015-16 budgets which are incorporated in this overall figure.

I have then adjusted the Ministry program funding down to exclude the amounts transferred from the Australia Council from the 2015-16 financial year onwards as this makes it possible to do a valid comparison of levels of Ministry funding across years.

For comparison I have included the projections in the budget brought down by the Labor Government in 2013-14 which included the funding for the National Cultural Policy.

Finally for those years where there are figures, I have listed the reduction in funding following the election of the Liberal National Party Government which is the difference between funding projected in the last Labor Government budget and the two budgets since.

If there are any mistakes in this breakdown I'd appreciate knowing but from what I have looked at this seems to be the overall trend in national arts and culture program funding managed by the Ministry for the Arts since 2012-13.

Ministry for the Arts administered (program) funding 2012-2019

Year
2012-13
2013-14
2014-15
2015-16
2016-17
2017-18
2018-19
Party in Government
ALP
ALP
LNP
LNP
LNP
LNP
LNP
Budget projections
192.102m (actual)
198.490m
203.647m
211.83m
228.362m
202.969m
197.953m
Includes budget line ‘Arts programmes – reduced funding’ in 2014-15 LNP budget


–4.4m
–5.0m
–9.8m
–14.6m

Includes budget line ‘Arts and cultural programmes – efficiencies’ in 2015-16 LNP budget



–0.7m
–0.5m
–0.5m
–0.5m
Includes amount transferred to Ministry for the Arts from Australia Council



27.7m
27.7m
28m
26.6m
Ministry administered budget adjusted to take account of transferred Australia Council funds



184.13m
200.662m
174.969m
171.353m
Projections in 2013-14 ALP Budget (inc National Cultural Policy funding)
192.102m (actual)
198.490m
225.716m
195.530m
221.672m


Reduction in Ministry for the Arts administered funds following change of government


22.069m
11.4m
21.01m



Source: Analysis of Portfolio Budget Statements incorporating the Ministry for the Arts 2012-13 to 2015-16.

Disclaimer: These figures are based on analysis of the publically available figures in the annual Portfolio Budget Statements and may not incorporate all relevant components. However, they are a starting point for further analysis and collection of more detailed information. Please rely on your own analysis to confirm these figures rather than on this table.

See also

Quadruple whammy – the long-running factors that together threaten our cultural future 
‘The real danger for Australia’s arts and culture is not funding cuts but steady, unending neglect. The decline of Government arts and culture support can be attributed to four long-running factors. This I call a quadruple whammy, caused by lack of indexation, the cumulative effect of ‘efficiency dividends’, the trend towards project funding rather than operational funding and falling behind as the population and economy expands’, Quadruple whammy – the long-running factors that together threaten our cultural future.

The big picture and long view – creating a cultural future
‘The never-ending election campaign that became the never-ending election tally has turned into the unpredictable second term government. What does this new world of fragmented politics mean for Australian arts and culture and the organisations, artists and communities which live it and advance it? There are a series of major factors which are hammering arts and culture organisations. These intersect and mutually reinforce one another to produce a cumulative and compounding long term disastrous impact. All this is happening in a context where there is no strategic policy or overview to guide Government. It is critical for the future that the arts and culture sector think broadly about arts and culture, build broad alliances and partnerships, never forget its underlying values and draw on its inherent creativity to help create a society based firmly on arts and culture’, The big picture and long view – creating a cultural future.

Lies, damned lies and lies about statistics – how population growth will magnify the impact of arts and culture cuts
‘I’ve said before that the traditional saying about ‘lies, damned lies and statistics’, should instead refer to ‘lies, damned lies and lies about statistics’. Cuts to national arts and cultural funding, while relatively small each year, have a cumulative effect far greater than at first appears and, in the long run, will undermine the effectiveness of national arts and culture support. Where the real disastrous impact of these cuts will hit home is when we also factor in the impact of population growth. If anything, there needs to be an expansion of arts and cultural funding to service the growth’, Lies, damned lies and lies about statistics – how population growth will magnify the impact of arts and culture cuts.

Arts funding – it’s not all about the money
‘National Arts Minister, Mitch Fifield, has said that being a strong advocate for the arts doesn’t mean delivering government funding and that an arts Minister or a government shouldn’t be judged just on the quantum of money the government puts in. This sidesteps the Government’s very real problems that it has muddied the waters of existing arts funding, cutting many worthwhile organisations loose with no reason, that rather than delivering arts funding, it has reduced it significantly, and that it has no coherent strategy or policy to guide its arts decisions or direction. The real issue is that a national framework, strategy or policy for arts and culture support underpins and provides a rationale for arts funding – and is far more important’, Arts funding – it’s not all about the money.

National arts policy – excelling in the mediocrity stakes 
‘I am not too concerned who manages national arts funding. Both the Australia Council and the Ministry for the Arts have long managed numerous funding programs. I am more concerned about what is funded. The fact that the national pool of arts funding available to support the operational costs of smaller arts and cultural organisations has shrunk substantially is a deep concern. Watch as Australia’s arts and culture sector reels over the next five years from this exceptionally bad policy decision – and expect the early warning signs much sooner. Well- known and respected figures in the arts and culture sector have been expressing this concern sharply’, National arts policy – excelling in the mediocrity stakes.

Collateral damage – the creeping cumulative impact of national arts cuts 
‘Asked in the most recent Senate Additional Estimates hearings about cuts to Ministry for the Arts funding in the Mid Year Economic and Fiscal Outlook review, the Department of Communications and the Arts replied that there were cuts of $9.6m over the forward estimates. This seriously understates the cumulative long-term magnitude and effect of these cuts and underestimates, just as with the national cultural institutions, the long-term damage. Yet this is the real and permanent impact – a compound effect of creeping cuts’, Collateral damage – the creeping cumulative impact of national arts cuts.

Smoking gun – the invisible cuts to national arts and culture funding 
‘The transfer of substantial program funds from the Australian Government’s main arts funding agency, the Australia Council, to the Ministry for the Arts has had the effect of masking serious cuts to crucial programs run by the Ministry, including its Indigenous cultural programs. There have been cuts to overall Ministry program funds stretching long into the future almost every year since the 2014-15 budget, with the long-term trend clearly heading downwards’, Smoking gun – the invisible cuts to national arts and culture funding.

Arts funding changes on the run – doing less with less
‘The announcement by new Arts Minister, Mitch Fifield that he will step back to a degree from the decision of his predecessor about national arts funding is a good call – but not good enough. This is what happens when there is no policy framework or set of strategic principles guiding changes to programs or development of new programs. Flexibility is an excellent thing and so are attempts to develop new programs to support areas that might not have been able to gain support before. The problem is ad hoc policy on the run is no substitute for carefully thought through changes. In a context where there have been significant long term cuts to arts and culture funding in the last two budgets, particularly the 2014-15 one, these changes only worsen the situation’, Arts funding changes on the run – doing less with less.

Notes from a steadily shrinking universe
‘Following the Big Bang the universe may have been steadily expanding but in the world of Australian Government arts and culture the universe has definitely been heading the other way. In the end does government of any shade really think at heart that Australian arts and culture is important? Why should it when it’s a vexed question for our society as a whole and we are ambivalent about its worth? Yet this part of the Australian Government’s public service is incredibly important. To have a real impact though, it needs to be refocused and reinvigorated to operate once again across the broader government landscape’, Notes from a steadily shrinking universe.

Greater than the sum of the parts: cultural funding and the power of diversity 
‘Cultural diversity underpins so much of value in Australia. It helps ensure innovation flourishes, because where cultures intersect, differing world-views come into contact and fixed ideas and old ways of doing things are challenged. This is essential to the new clever and clean industries in the knowledge economy of the future, with its core of creative industries and its links to our cultural landscape. The national Indigenous cultural programs play a critical role in support for both Indigenous communities and for a diverse and dynamic Australian culture. What is clear is that these programs have been affected by the range of cuts as part of the search for savings since the Coalition Government took office. Funding community organisations for services government would otherwise have to provide is a great way to get things on the cheap. If you don’t fund them at all, it’s even cheaper’, Greater than the sum of the parts: cultural funding and the power of diversity.

Full circle – where next for Australian national arts and culture support in the 21st Century?
‘With a Coalition Government which now stands a far better chance of being re-elected for a second term, the transfer of the Commonwealth’s Arts Ministry to Communications helps get arts and culture back onto larger and more contemporary agendas. This move reflects that fact that the new industries in the knowledge economy of the future, with its core of creative industries and its links to our cultural landscape, are both clever and clean. Where they differ completely from other knowledge economy sectors is that, because they are based on content, they draw on, intersect with and contribute to Australia’s national and local culture and are a central part of projecting Australia’s story to ourselves and to the world. In that sense they have a strategic importance that other sectors do not’, Full circle – where next for Australian national arts and culture support in the 21st Century?

Cut to the bone – the accelerating decline of our major cultural institutions and its impact on Australia’s national heritage and economy
‘I always thought that long after all else has gone, after government has pruned and prioritised and slashed and bashed arts and cultural support, the national cultural institutions would still remain. They are one of the largest single items of Australian Government cultural funding and one of the longest supported and they would be likely to be the last to go, even with the most miserly and mean-spirited and short sighted of governments. However, in a finale to a series of cumulative cuts over recent years, they have seen their capabilities to carry out their essential core roles eroded beyond repair. The long term impact of these cumulative changes will be major and unexpected, magnifying over time as each small change reinforces the others. The likelihood is that this will lead to irreversible damage to the contemporary culture and cultural heritage of the nation at a crucial crossroads in its history’, Cut to the bone – the accelerating decline of our major cultural institutions and its impact on Australia’s national heritage and economy.

Time for the big picture and long view for arts and culture
‘A far more important issue than arts funding is how can the broad arts and cultural sector become a better organised, effective voice for arts and culture and its wider importance for Australia? Changes like this happen because they are able to happen – because decision-makers think they can get away with it. The arts and culture sector and its supporters have to be influential enough that decision-makers think carefully about the importance and the standing of Australia’s arts and culture and weigh any decisions they make carefully in terms of the strategic needs of the sector. These current dire circumstances may provide the opportunity we have needed to look seriously at this question’, Time for the big picture and long view for arts and culture.

Arts funding changes – rearranging the deckchairs while we ditch the lifeboats
‘The impact of the changes to national arts funding flowing from the Budget are likely to be deep and severe. The main issue for me is what will now not be funded – by the Australia Council or by anyone else. There are hundreds of small to medium arts and cultural organisations that play a pivotal role in supporting Australia’s cultural life. They need to be seen as every bit as important a part of Australia’s cultural infrastructure as the major performing arts companies or the major arts galleries and museums. They are essential infrastructure for our arts and culture’, Arts funding changes – rearranging the deckchairs while we ditch the lifeboats.

‘Having a go’ at Australia’s arts and culture – the Budget Mark 2
We are seeing is the steady skewing of Australia’s arts and culture sector as the most dynamic component, the one most connected to both artistic innovation and to community engagement, atrophies and withers. This is the absolute opposite of innovation and excellence. It is cultural vandalism of the worst kind, ‘Having a go’ at Australia’s arts and culture – the Budget Mark 2.

Out from the shadows – the other Arts Minister
‘I ventured out through the dark wilds of the Australian National University to hear the Opposition Spokesperson on the Arts, Mark Dreyfus, share his view of what a contemporary arts and culture policy might look like. It was a timely moment, given the turmoil stirred up by recent changes to national arts funding arrangements and the #freethearts response from small arts and cultural organisations and artists. Luckily, as he himself noted, he has a very recent model to work with. The National Cultural Policy is little more than two years old,’ Out from the shadows – the other Arts Minister.

‘Arts’ policy and culture – let's not reinvent the wheel
‘Faced with the increasing prospect that it could become the next Australian Government, the Labor Party is reviewing its ‘arts’ policy. Whatever happens and whoever it happens to, considered and strategic discussion of arts and culture policy is critical to Australia's future.’ ‘Arts’ policy and culture – let's not reinvent the wheel.

In praise of the Berra
‘When I first moved to Canberra, almost as an accidental intersection of geography and employment after the Sydney Olympics, I used to say “if you had lived in Sydney and one day you woke up and discovered you were in Canberra, you would think you had died.” Then I changed my mind. It took ten years but it was inevitable. Berrans are a hardy bunch – they can withstand the hot winds of summer and of Australia’s Parliament, the chill flurries from the Snowy Mountains and the chilling news of budget cuts. The Berra is half-way between everywhere’, In praise of the Berra.

The clever business of creativity: the experience of supporting Australia's industries of the future
‘The swan song of the Creative Industries Innovation Centre, ‘Creative Business in Australia’, outlines the experience of five years supporting Australia’s creative industries. Case studies and wide-ranging analysis explain the critical importance of these industries to Australia’s future. The knowledge economy of the future, with its core of creative industries and its links to our cultural landscape, is both clever and clean. Where the creative industries differ completely from other knowledge economy sectors is that, because they are based on content, they draw on, intersect with and contribute to Australia’s national and local culture’, The clever business of creativity: the experience of supporting Australia's industries of the future.

My nephew just got a job with Weta – the long road of the interconnected world
‘My nephew just got a job in Wellington New Zealand with Weta Digital, which makes the digital effects for Peter Jackson’s epics. Expertise, specialist skills and industry pockets can occur just about anywhere, as long as you have connectivity, talent and a framework of support that makes it possible. This is part of the new knowledge economy of the future, with its core of creative industries and its links to our cultural landscape. Increasingly the industries of the future are both clever and clean. At their heart are the developing creative industries which are based on the power of creativity and are a critical part of Australia’s future – innovative, in most cases centred on small business and closely linked to the profile of Australia as a clever country, both domestically and internationally. This is transforming the political landscape of Australia, challenging old political franchises and upping the stakes in the offerings department’, My nephew just got a job with Weta – the long road of the interconnected world.

Creative industries critical to vitality of Australian culture
‘The developing creative industries are a critical part of Australia’s future – clean, innovative, at their core based on small business and closely linked to the profile of Australia as a clever country, both domestically and internationally.’ Creative industries critical to vitality of Australian culture.

The language of success ­– recognising a great unsung community movement
‘What is especially significant about the Prime Minister, in his Closing the Gap address, recognising the importance of Indigenous languages is that this is the first time a Liberal leader has expressed such views. It’s exciting because for progress to be made it is essential that there is a jointly agreed position. This moment arises from the tireless work over many decades of hundreds of Aboriginal and Torres Strait Islander language revivalists – surely one of the great positive unsung community movements in Australian history. By their hard work they have managed to change the profile of Indigenous languages in Australia. Unfortunately the address reinforced the tendency of government to overlook the success stories that are already happening in local communities and look for big institutional solutions. I hope it doesn’t turn out to be a missed opportunity’, The language of success – recognising a great unsung community movement.

The language of success ­– recognising a great unsung community movement
‘What is especially significant about the Prime Minister, in his Closing the Gap address, recognising the importance of Indigenous languages is that this is the first time a Liberal leader has expressed such views. It’s exciting because for progress to be made it is essential that there is a jointly agreed position. This moment arises from the tireless work over many decades of hundreds of Aboriginal and Torres Strait Islander language revivalists – surely one of the great positive unsung community movements in Australian history. By their hard work they have managed to change the profile of Indigenous languages in Australia. Unfortunately the address reinforced the tendency of government to overlook the success stories that are already happening in local communities and look for big institutional solutions. I hope it doesn’t turn out to be a missed opportunity’, The language of success – recognising a great unsung community movement.

The hidden universe of Australia's own languages
‘I’ve travelled around much of Australia, by foot, by plane, by train and by bus, but mostly by car. As I travelled across all those kilometres and many decades, I never realised that, without ever knowing, I would be silently crossing from one country into another, while underneath the surface of the landscape flashing past, languages were changing like the colour and shape of the grasses or the trees. The parallel universe of Indigenous languages is unfortunately an unexpected world little-known to most Australians.’ The hidden universe of Australia's own languages.

Indigenous cultural jobs – real jobs in an unreal world
'Subsidised Indigenous arts and cultural jobs are real jobs with career paths that deliver genuine skills and employment capability.' Real jobs in an unreal world.

Land of hope
‘There were times in our past when Australia was seen as the great hope of the world – when it offered a vision of a new democratic life free from the failures of the past and the old world. It seems we have turned from our history, from the bright vision of the nineteenth century and the great nation-building vision of the period after World War 2, with its sense of optimism and fairness, towards something much more pinched and narrow – mean and weak-willed. For such an optimistic nation we seem to have developed a ‘half empty’ rather than ‘half full’ view of the glass – and the world. If we want to live in a land to be proud of, a fair country that truly inherits the best of Australia’s traditions, while consciously abandoning the less desirable ones, we need to change course – otherwise we will have to rebadge Australia not as the land of hope but instead as the land without hope’, Land of hope.

A navigator on a Lancaster bomber
‘Sometimes I think Australia has lost its way. It’s like a ship that has sailed into the vast Pacific Ocean in search of gaudy treasure, glimpsed the beckoning coast of Asia and then lost its bearings, all its charts blown overboard in squalls and tempests. It seems to have turned from the great nation-building vision of the period after World War 2, with its sense of optimism and fairness, towards something much more pinched and narrow. It’s time to rediscover the Australian dream. We need a navigator – or perhaps many, one in every community – who can help us find our way, encourage us as we navigate from greed and complacency to a calmer shining ocean of generosity and optimism’, A navigator on a Lancaster bomber.

The Magna Carta – still a work in progress
‘You don’t have to be part of ‘Indigenous affairs’ in Australia to find yourself involved. You can’t even begin to think of being part of support for Australian arts and culture without encountering and interacting with Indigenous culture and the Aboriginal and Torres Strait Islander communities and individuals who make it and live it.’ The Magna Carta – still a work in progress.

Valuing the intangible
‘We are surrounded by intangible cultural heritage – Indigenous and non-Indigenous – and often it’s incredibly important to us but we can’t seem to understand why or put a name to its importance. So many issues of paramount importance to Australia and its future are linked to the broad cultural agenda of the United Nations Educational, Scientific and Cultural Organisation (UNESCO). In particular they are central to one of UNESCO’s key treaties, the International Convention for the Safeguarding of Intangible Cultural Heritage.’ Valuing the intangible.

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