SMALL arts organisations across regional Victoria face permanent closure because of a change in the way arts funding is delivered, Regional Arts Victoria fears.
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The federal government announced a proportion of the funding previously given to the Australia Council would be directed to a new body, which is at the discretion of the Arts Ministry.
The decision was met with scorn in the arts community, leading to more than 1000 submissions to a Senate Inquiry established by the Greens.
In a submission to the inquiry, Regional Arts Victoria director Esther Anatolitis said decreasing year-on-year funding for groups would force many regional organisations to close.
“Small-to-medium organisations will have no access to the operational certainty provided by this kind of funding,” she said.
“The impact on Australia’s arts will be devastating.
“This will be felt most acutely in regional and remote areas, where small to medium organisations are a key focus of cultural and economic activity.
“Hundreds of organisations across the country now risk permanent closure.”
The changes – announced by federal Arts Minister George Brandis in this year’s budget – include diverting funds from the Australia Council to the new National Program of Excellence in Arts, where grants will be decided by the Arts Ministry.
About $105 million, or 15 per cent of its budget, was taken from the Australia Council and given to the NPEA.
Small to medium companies would compete for a share of $62 million – a decrease of $23 million, or 28 per cent.
Individual artists are not eligible for NPEA funding and it does not provide continuous funding to groups.
Ms Anatolitis said the ability to support individual artists will “diminish significantly”.
“The funds diverted from the Australia Council to the NPEA leave a significantly smaller funding pool to which individual artists can apply,” she said.
In her submission, Ms Anatolitis defended the “expert, rigorous and transparent” model of the Australia Council.
Since the start of last year, 13 individuals and groups in the Bendigo electorate shared in more than $300,000 in grants from the Australia Council.
The Capital received three grants during the period, totaling more than $60,000.
A submission from Theatre Network (Vic) director Nicole Beyer said a separate pool of funding needed to be created for small companies to access.
Public hearings at the Senate Inquiry started in Melbourne on Wednesday.
