Jennifer Aniskovich, Executive Director

Connecticut Commission on Culture & Tourism

Testimony before the Appropriations Committee

February 16, 2005

Senator Harp, Representative Merrill, members of the Appropriations Committee, I am pleased to come before you this morning to present the budget for the Commission on Culture & Tourism (“CCT”).

Update

As you know, the Commission on Culture & Tourism brings together the arts, tourism, film and historic preservation. We are stewards of the state's 4 museums and operate Connecticut's six welcome centers. We partner with 5 tourism regions, the Connecticut Humanities Council and the Connecticut Trust for Historic Preservation. Our mission is to:

Preserve and promote Connecticut's cultural and tourism assets in order to enhance the quality of life and economic vitality of the state.

I am pleased to report that the state's investment in culture and tourism yields an overall economic impact in excess of $10 billion, and supports close to 200,000 jobs annually.

Since we last appeared before you, CCT has been busy crafting an organizational framework and a vision for culture and tourism in Connecticut. We have: brought together a number of diverse groups and helped to forge partnerships among our constituents; built a new model for coordinating and collaborating with the 5 tourism regions; created new grant and recognition opportunities for our cultural constituents; restructured our tourism and film promotional efforts; embarked upon a plan to stabilize and restore our state-owned museums; and crafted a strategic plan to guide the State's culture and tourism efforts. The coming together of this new agency and its many partners to support, preserve and promote our state's abundance of assets has been both exciting and rewarding. We are pleased to be leaders in a national movement by states to bring together the complimentary industries of culture and tourism.

Budget

CCT's budget was first created in the 2003 Special Session. At that time, state tourism funding was reduced by $1.5 million and tourism region funding was reduced by half, with a savings of close to $5 million. The agency's initial staff count was 45, a reduction of 16 full-time positions from pre-merger agency levels.

The Governor's proposed budget for FY05-07 recommends a savings of approximately $3.8 million, or 16% of the CCT's total budget. These reductions take two forms: (1) reductions in funding for statewide programs, services, and grants; and (2) reductions in directed grants to individual organizations.

Statewide Programs, Services & Grants (reduced by $2,122,429)

Statewide activities funded through CCT include programs, services and grants provided by CCT and its partners, the five tourism regions and the Connecticut Humanities Council. These activities preserve and strengthen the state's cultural assets and promote Connecticut to leisure and business travelers, as well as filmmakers.

The Governor's proposed budget reduces tourism funding in three ways. The proposed budget: (1) lowers the statewide marketing line item (used to fund the agency's promotional, marketing and advertising efforts) by 10% ($400,000); (2) reduces the overall appropriation to the five tourism regions by 10% ($475,000); and (3) eliminates four grants to three tourism regions ($456,000).

Cultural funding is reduced through a 20% ($450,000) reduction in the basic cultural resources line item used to fund grants to artists and arts institutions. Similarly, the funding for the Humanities Council, which provides grants to nonprofit heritage organizations, was reduced by 10% ($100,000).

The savings in the Governor's proposed budget will result in the restructuring of our tourism marketing efforts. Additionally, tourism regions, which are subject to a 20% cap on administrative expenses, will likely need to restructure both their administrative structure and their marketing efforts. The reductions in statewide cultural funding will be implemented by eliminating grant programs and reducing the size of the awards available to applicant organizations.

Directed Grants (reduced by $1,667,500)

Under the proposed budget, funding to fourteen line item grantees has been restructured. Funding for three grantees [1] was eliminated, resulting in a savings of $755,000. Funding for seven line item grantees [2] was reduced by 10%, resulting in a savings of $317,500. Four line item grantees [3] saw reductions of between 30-40%, creating a savings of $1,045,000. One new line item, the Discovery Museum, was added at ­­­­­­­­­­­­­­­­­­­$450,000.

Finally, on the administrative side, the Governor's proposed budget removes the inflationary factor; transfers the equipment expense line to the Capital Equipment Purchase Fund; reduces compensation increases for mangers, confidentials, exempt, appointed, and unclassified employees; and recommends funding non-ERIP accruals through the Reserve for Salary Adjustment account.

[1] The New Haven Coliseum, the Harriet Beecher Stowe Center and the Mark Twain House.

[2] Stepping Stone Museum, the Norwalk Maritime Aquarium, Beardsley Zoo, Mystic Aquarium, The Palace Theater, the Amistad Vessel, and the Amistad Committee.

[3] The Greater Hartford Arts Council (40%); the Arts Council of Greater New Haven (40%); the International Festival of Arts & Ideas (32.5%); and Stamford Center for the Performing Arts (40%).