Governor Henry McMaster released his Executive Budget proposal on January 8. We’ve got a breakdown of where the arts stand in his proposal and what you can do to prep legislators to support the arts when they return to Columbia on January 12.
In the Governor’s budget, as it relates to the arts:
1) Level Funding for the Arts. Although requests were made for increases in arts funding, the Governor proposed level funding in his FY22 budget. Gov. McMaster has not proposed any cuts, nor any vetoes, to the arts during his time as Governor.
2) COVID Relief for Small Businesses. McMaster is proposing a $123 million COVID Relief Fund for Small Businesses. However, nonprofit businesses would not be eligible.
In addition to increases in arts funding, the SC Arts Alliance will be advocating for the Legislature to amend the Governor’s Small Business Relief program to include all nonprofit businesses in South Carolina. We have highlighted this issue below.
Statement on COVID Relief for Small Businesses
Nonprofits in this state are businesses. They purchase and sell goods and services. They employ real people. They pay payroll and sales tax. And they also help meet the needs of our communities.
The nonprofit arts industry alone, nationally, provides over $160 billion in economic activity and supports 4.6 million jobs. In South Carolina, the creative industry has a $9.7 billion impact to our state’s economy, supports over 115,000 jobs, and brings in over $160 million in state revenue.
Nonprofit businesses have been hit just as hard as for-profits in this state. Some have seen their demand for service sky rocket, while others have not been able to fully reopen. In fact, the only industry that continues to have its business operations severely restricted by the high community spread of COVID-19, and the Governor’s Executive Orders, is the arts industry.
The arts industry has seen an estimated $1.2 billion hit, affecting 30,000 jobs, due to COVID-19. The economic impact of the arts on our Main Streets is immense, but right now – those doors remain closed. Large events, festivals, and many education opportunities are suspended, still. Since March of 2020, an entire sector of our state’s economy has been closed, a sector consisting of many nonprofit businesses. If we want our Main Streets back to normal, if we want all small businesses to get back to work, the arts industry needs to get back on their feet. The clock is ticking on saving our industry in South Carolina.
If the State wishes to help small businesses who have been severely impacted by COVID-19, it should include all small businesses – no matter the business model.
If you would like to contact your legislator, use the link below and let them know that during their budget proceedings this year, they should add nonprofits to the Small Business Relief program and help keep the arts industry alive.
Keep in Mind: The Governor’s proposal is just that, a proposal – it has no legal bearing other than laying out the Governor’s priorities for the year. The budget is written by the SC House and Senate, which is why emailing your legislator is imperative. The Legislature returns to the Statehouse on January 12, and budget work will begin almost immediately.
