June 20, 2007

IN PASADENA, THE ARTS MEAN BUSINESS

A recent study confirms that nationwide the arts are good for the economy and in Pasadena they are even better.

In fact, Pasadena’s economic activity generated by cultural offerings such as exhibitions and performances is six times greater than in cities of similar size, income and diversity, and four times greater than the national average.

The results of Arts and Economic Prosperity III, a national survey conducted by Americans for the Arts in cooperation with 156 U.S. cities, document the key role of the nonprofit arts industry in strengthening our nation’s economy.

Pasadena-based nonprofit arts organizations generate $180.09 million in local economic activity every year, including $138.33 million spent on salaries, supplies and other expenses, and $41.76 million in event-related spending by arts audiences who typically combine cultural activities with other monetary transactions such as meals, shopping, parking or lodging, the report states.

The study does not include monetary transactions of individual artists, commercial art galleries or graphic designers.

The spending results in $16.22 million in local and state tax revenues. When
compared to the amount received in federal, state and local government funding, the arts industry provides a 7-to-1 return on investment to those government treasuries according to the report.

The figures are considered conservative and show that nearly 1.7 million people attend cultural events in Pasadena in a year’s time and that they spend on average $24.41 per person in addition to the cost of the cultural activity that initially brought them here.

“This study is a myth buster, “said Robert L. Lynch, president and CEO of Americans for the Arts. “Most Americans understand that the arts improve our quality of life. This study demonstrates that the arts are an industry that stimulates the economy in cities and towns across the country. A vibrant arts and culture industry helps local businesses thrive.”

In addition, arts-related spending nationwide supports 5.7 million full-time- equivalent jobs. In Pasadena this has meant more than 1,000 new, full-time-equivalent jobs over the past five years for a total of 3,956 people employed in the arts, a 37 percent increase since the last study in 2002.

“What a pleasure it is to see in black and white how valuable arts and culture are to the economic vitality of this city. Our job will be to make those impressive figures relevant to our community and to harness their strength in creative ways to ensure continued growth, development and prosperity for all of Pasadena,” said Rochelle Branch, interim executive director for the arts for the city of Pasadena.

The study reveals that when a community attracts cultural tourists, the economic rewards are significant because visitors spend an average of 63 percent more than residents. The percentage of visitors to Pasadena for art activities grew from 13 percent of audiences five years ago to 67 percent.

This unprecedented growth in tourism and economic activity locally can be attributed to several key factors including wider participation in the survey, growth of cultural institutions, growth in number of public events and attendance figures, and the launch of Pasadena’s ten-year cultural plan, Cultural Nexus.

For more information call (626) 744-7062.

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