Portland arts leaders rally for tax reform as cultural institutions face funding crisis

PORTLAND, Ore. (KATU) — In Portland, the arts aren’t just entertainment. For many, they are the heartbeat of the city’s culture and identity.

Those community values were on full display during Wednesday’s City Council meeting.

“We see students who struggle to engage in other settings come alive in music, drawing, theater and performance,” Portland Public Schools Superintendent Kimberlee Armstrong told city leaders.

Edwina Kane, director of advancement and special projects at Portland Center Stage, also spoke in support of the proposal. “As the cost of delivering these programs has grown exponentially over the years, smaller arts organizations in particular have faced increasing challenges with an arts tax that has remained flat since its inception.”

Leaders with the Portland Opera House said the arts are in a funding crisis.

“Without this much needed arts tax reform, including indexing it to inflation, we risk losing the very institutions that make Portland vibrant, and we also risk losing the next generation of arts lovers by failing to sustain arts education in our schools,” Director of Development Beth Lewis said.

Many also argued that proposed changes to the arts tax will funnel more money to the arts.

What they’re most encouraged by is that the proposal would make sure that 95% of the arts tax revenue be dedicated to Portland K-12 students and underserved communities.

More than 40% of taxpayers could soon be exempt from the arts tax, and the way you pay could change.

The arts tax, approved by voters back in 2012, has been plagued with accusations of mismanagement.

The city collects an average of more than $11 million a year from the tax.

It’s meant for arts education and arts organizations, but an audit released in March found the city has failed to show how the tax has improved access to arts education to elementary school students, especially underserved students.

The audit also found the city did not establish goals or metrics until recently.

Auditors said they want Portland to improve oversight of the arts tax.

When the audit came out, we asked all of you how you feel about it and 48% of you said you “pay it but don’t agree with it.”