NEW LAW WILL FUNNEL MONEY TO ARTS GROUPS

Every time the Atlanta Braves, the Bolshoi Ballet or the Rolling Stones play St. Louis, Missouri's arts organizations benefit. Now they're going to benefit more.

A bill Gov. Mel Carnahan will sign this morning increases from 50 percent to 60 percent the allocation the Missouri Arts Council Cultural Trust Fund receives from taxes on non-resident athletes and entertainers. The bill also earmarks this revenue for the Cultural Trust for the next 10 years and provides additional funding to other state cultural organizations.

The Cultural Trust currently receives about $4.5 million from the tax. The increase is expected to amount to another $1 million per year.

The Cultural Trust was created in 1991 to provide the state arts organization with a guaranteed source of long-term funding. The goal is to accumulate $100 million in public money and $100 million in private contributions by 2008.

Revenue from that amount would then provide the Missouri Arts Council with the $5 million it annually distributes to regional arts organizations.

Missouri is one of only five states with a Cultural Trust. The legislation makes it the only one with a dedicated revenue stream.

"The money is wonderful, but the concept is equally important," says Flora Maria Garcia, executive director of the Missouri Arts Council.

"What we're doing is planning for the future. We will be much less dependent on the general fund and the whims of the Legislature," said Garcia.

The National Endowment for the Arts is also interested in Missouri's approach.

"The NEA has looked at Missouri as a model for a way it can stabilize arts funding," Garcia said.

The legislation also divides the remaining 40 percent of the estimated income tax revenue between the State Library, the Missouri Humanities Council Trust Fund, the State Historic Preservation Revolving Fund and the Missouri Public Television Broadcasting Corporation Special Fund.

Previously, that money went into the general fund.

The legislation also tightens collection of the tax. Garcia said the state has had difficulty collecting the tax from major for-profit entertainment companies. "The big guys are getting away," she said.

Another amendment to the bill allows the state treasurer to put the money in investments that yield higher returns than the current 6 percent.

Beverly Strohmeyer, former executive director of the Arts Council of Southeast Missouri and now a program specialist with the Missouri Arts Council in St. Louis, said the legislation is a cause for celebration.

"I think ultimately it will have some direct benefit to all the arts in the state."

Garcia expects that all the Arts Council's cultural partners will be able to increase their programming because of the new revenue.

The public broadcasting fund extends help to qualified public radio stations as well. Greg Petrowich, general manager of KRCU 90.9FM, said the stations will get an amount of money proportional to their size and operating budget. He estimated KRCU could receive $5,000 annually.

Greg Jones, executive director of the Arts Council of Southeast Missouri, said the bill will provide local arts organizations with "reassurance that the funding we have been receiving will continue."

The Arts Council of Southeast Missouri receives 25 percent of its funding from the state organization.

He said Garcia is challenging all the regional groups to find new ways to reach their audience. This spring's "Art for All" program that helped people with disabilities create art was paid for in part by extra money from the state council.