evolving arts ecosystems a study of miami · arts and culture have been a centerpiece of miami’s...

30
KF.org | @knightfdn EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI DECEMBER 2018

Upload: others

Post on 20-Jun-2020

0 views

Category:

Documents


0 download

TRANSCRIPT

Page 1: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdn

EVOLVING ARTS ECOSYSTEMSA STUDY OF MIAMI

DECEMBER 2018

Page 2: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Contents

2 / 31

CONTENTS

3 SUMMARY

4 Introduction

5 Key Findings

6 How This Report Is Organized

7 KEY FINDINGS

9 Activity and Availability

14 Financial Analysis

18 Creative Economy

20 CONCLUSION

22 APPENDIX

23 Supplemental Findings

29 Methodology

Page 3: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdn

SUMMARYEVOLVING ARTS ECOSYSTEMS: A STUDY OF MIAMI

Page 4: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Summ

ary

4 / 31

SUMMARYINTRODUCTIONKnight Foundation believes that the arts play a critical role in connecting people to the places where they live. To concentrate its impact, the foundation has focused its funding in specific communities, including Miami—home to Knight Foundation’s headquarters.

Arts and culture have been a centerpiece of Miami’s transformation for more than a decade. From the Art Basel art fair—a mecca for international curators and collectors—to several new world-class facilities, Miami saw an explosion in artistic, creative and cultural activity since 2005, the period studied in this report.

Knight wanted to better understand how the arts ecosystem in Miami has evolved. The foundation commissioned this study with TDC, a cultural sector research and consulting firm, to determine whether the arts have in fact become more accessible and prevalent in Miami. The review sought to address the following key questions:

• How has Miami’s arts ecosystem (organizations, audiences, funding, creative industries) changed?

• What are the continuing gaps in the system?• Do the arts in Miami connect people to the community and to each other?• What has been Knight’s role?

This report provides a snapshot of key indicators reflecting how the arts in Miami have evolved over the past decade. The analysis synthesized several secondary data sources and interviews with key stakeholders in the community.

Page 5: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Summ

ary

5 / 31

KEY FINDINGSTDC found that the arts have indeed taken on a larger role in Miami:

The arts have been a driving force in the city’s growing stature: Arts and culture have been a key force in Miami’s ascendance. The arts have been an accelerant of growth, creating a vibrant array of social offerings and professional opportunities in a city that historically lacked them. As summed up by one local leader: “Miami has changed in the last 10 years—feels like a renaissance has taken place. There is so much vibrancy.”

The Miami arts ecosystem has grown more vibrant: The arts have flourished over the past decade with the emergence of new organizations and the maturation of anchor institutions. Total spending among arts organizations increased 168 percent from 2005 to 2015. The investment in the arts has been punctuated by the erection of new buildings by anchor arts institutions, making the changes quite visible. The growing artistic activity and infrastructure have elevated Miami into an internationally recognized cultural center. One leader offered a comment typical among those interviewed: “It’s grown enormously. There are many more organizational players, and anchor organizations have come into their own. Miami feels bigger than it used to be; there is so much more to do here.”

The arts are a critical attractor to Miami: The result has been a more robust arts ecosystem that is attracting people to Miami and keeping them. Arts attendance has steadily risen, and a sentiment has formed that “Arts are part of the attraction of this city as we unfold our second 100 years—it’s a cool place to live.” Furthermore, there is a widely held belief that arts have reversed the exodus of creative talent due to lack of opportunity. As expressed by one key stakeholder: “Many more students are staying than before—no more talking about how ‘I have to go to New York.’ ”

In Miami, Knight has been the foremost private funder of the arts, providing critical capital for both experimentation and the development of core institutions. Local arts leaders view Knight as a strategic, insightful and well-respected partner. One individual noted, “The ecosystem is radically altered from 10 years ago, and I cannot emphasize enough the role Knight has played. They are the foundation.” Said another, “Knight’s work has been transformational—they have succeeded in making art general in Miami.”

But continued progress isn’t assured. The arts in Miami rely on a limited number of funders, and many of the largest arts organizations operate with little to no operating reserves. Several of those interviewed also suggested that rising property values have put artists and arts organizations at risk of displacement. Despite these questions, Miami has seen a clear expansion in the role and scope of its arts and cultural ecosystem.

Page 6: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Summ

ary

6 / 31

HOW THIS REPORT IS ORGANIZEDThe study examined the state of the arts ecosystem on several dimensions using a combination of data sources. In addition to top-line composite indicators, the study (and this report) explored the following high-level components of the arts ecosystem:

ACTIVITY AND AVAILABILITY: This section focuses on the volume of artistic activity as measured by the number of arts organizations, arts attendance and spending by arts organizations.

FINANCIAL ANALYSIS: This section focuses on the fiscal state of the arts. It includes an examination of the financial health of arts organizations as well as the funding environment.

CREATIVE ECONOMY: This section explores the role of the arts in the local economy and the creation of professional opportunity. It includes measures of revenues for firms in cultural industries as well as employment figures in those industries.

Page 7: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdn

KEY FINDINGSEVOLVING ARTS ECOSYSTEMS: A STUDY OF MIAMI

Page 8: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings

8 / 31

KEY FINDINGSMiami’s artistic vitality in keeping with national average

The Creative Vitality Index provides a top-line measure of the overall state of the arts in cities relative to their peers across the country. Miami has performed very closely in line with the national average throughout the decade. Performance dipped slightly in 2012 and 2013, perhaps because of the elimination of tax breaks for creative industries, but rebounded in 2016 to levels similar to those of the beginning of the decade.

Source: Creative Vitality Suite

The Western States Arts Federation (WESTAF) created the Creative Vitality Index to serve as a composite indicator reflecting the health of a city’s creative sector. It synthesizes numerous types of data, including:

• Creative occupations (based on Standard Occupational Classification codes)

• Creative industries (North American Industry Classification System codes)

• Arts and culture nonprofits (National Taxonomy of Exempt Entities codes)

• State arts grants (National Assembly of State Arts Agencies reports)

2011 2012 2013 2014 2015 2016

1.04

1.01

0.99 0.99 0.99

1.02

Miami United States

Page 9: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings: A

ctivity and availability

9 / 31

ACTIVITY AND AVAILABILITY

Relatively low artistic activity per capita

The number of arts organizations per capita is tied with Detroit for the lowest among the cities reviewed. This demonstrates the dearth of organizations supporting arts and culture in the community. Meanwhile, arts organization spending per capita is closer to the median, suggesting that arts organizations tend to have higher average budgets than those in other cities.

Source: GuideStar. Note: Miami and Detroit data are from 2015; data from remaining cities are from 2012.

Miami

10

$98

10

$74

$61

34

21

25

15

28 31

24

30

39

28

23

$212

$107

$124

$72

$193

$257

$242

$133

$121

$95

Detroit BostonBaltimore Chicago Cleveland Houston Minneapolis New York Philadelphia Portland San Francisco

Sea­le

Organizations per 100,000 people

Organizational spending per capita

Page 10: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings: A

ctivity and availability

10 / 31

Ecosystem is top-heavy

Though Miami has fewer arts organizations than the other cities examined, a high share of these institutions operate with larger budgets. In particular, Miami has a high proportion of arts organizations with budgets between $500,000 and $5 million.

Source: GuideStar. Note: Miami and Detroit data are from 2015; data from remaining cities are from 2012.

Miami

204

59

13

Under $500K

$500K-$5M

Over $5M

Detroit

360

61

11

Chicago

1,772

155

28

Clevelend

473

37

6

Houston

806

78

14

Minneapolis

810

96

20

New York

5,241

140

24

Philadelphia

1,251

140

24

Portland

616

45

12

San Francisco

1,472

200

27

Sea�le

869

81

21

Baltimore

569

48

6

Boston

1,394

155

23

Page 11: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings: A

ctivity and availability

11 / 31

Emergence of new organizations

The analysis identified 276 arts organizations operating in Miami in 2015, with community (35), dance (28) and music (27) among the larger segments. Among these organizations, 56 (or 20 percent) were formed since 2005.

MIAMI ARTS ORGANIZATIONS (2015) 276 organizations

Source: GuideStar. Note: ASO (arts service organization), PAC (performing arts center).

Visual artsTheaterPACOther performing

arts

Other museums

MusicMulti-purpose/

other

HumanitiesHistoryFundraisingFilm, tv, radio

DanceCommunityASOArts education

Art museum

4

26

8

35 14%

0%

New since 2005

2%

4%

6%

8%

10%

12%

28

22

3

22

28

27

16 16

7

19

10

5

Existing

Page 12: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings: A

ctivity and availability

12 / 31

Attendance growing among residents and tourists

Attendance grew 27 percent from 2004 to 2015, outpacing population growth (16 percent) during that period.

Residents accounted for over 70 percent of arts attendance in 2015, with tourists the remainder. Tourism to Miami increased substantially during the decade.

ATTENDANCE BY RESIDENCY ATTENDANCE COMPARED WITH POPULATION

Sources: Americans for the Arts, Arts and Economic Prosperity III, IV and V; Greater Miami Convention & Visitors Bureau; ACS 1-year estimates. Note: Attendance information was self-reported by nonprofit arts organizations across at least 43 disciplines, and includes repeat visitation. Attendance data were available for 2004, while tourism data were available only for 2005.

Page 13: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings: A

ctivity and availability

13 / 31

Arts organizations’ spending outpaces inflation

Spending by arts organizations increased more than 150 percent over the past decade. This growth outpaced projections based on inflation.

Spending by large organizations (budgets over $5 million) fueled the lion’s share of growth. Higher cumulative spending among small organizations (budgets less than $500,000) was also evident.

ORGANIZATIONAL SPENDING TRENDS

Source: Guidestar

Page 14: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings: Financial analysis

14 / 31

FINANCIAL ANALYSIS

Growth in all forms of revenue

Arts organizations in Miami experienced an increase in contributed revenue, earned revenue from programming and other sources of revenue (such as events). Program revenue grew 21 percent between 2011 and 2015, implying greater income generated through increased attendance. The growth of contributed (3 percent) and other (2 percent) revenue was more moderate.

REVENUE TRENDS

Source: GuideStar 2-year sample. Note: Removed ArtCenter/South Florida’s sale of asset in 2015 from other revenue.

Mill

ions

0

50

100

150

200

250

2011 2015

18.5

60.1

203.8

18.22%

21%

3%

49.9

197.4

Contributed

Program

Other

Arts organizations:2011=982015=115

Page 15: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings: Financial analysis

15 / 31

Foundation giving to arts emerged over the decade

Foundation giving has increased 1,265 percent, largely driven by Knight’s contributions to the arts in Miami. Meanwhile, cultural spending by Miami-Dade County rose 107 percent over the past decade.

MIAMI-DADE COUNTY ARTS FUNDING

0

5

10

15

20

25

30

35

40

Mill

lions

20112005 2015

Department of Cultural Affairs (grants only)

HistoryMiami

Pérez Art Museum

Frost Museum of Science

Arsht Center

Vizcaya

Other cultural programs

$11.2

$23

$30.1

$36.5

$13.9 $15.4

Sources: Foundation Center, Miami-Dade County, DataArts. Note: The Museum of Science reported $51M in government grants in 2015. Without the outlier, the percentage of individual giving was 20 percent.

Page 16: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings: Financial analysis

16 / 31

FOUNDATION AND COUNTY GIVING

Data submitted by 73 Miami arts institutions include donations from individuals totaling $16.1 million, representing 12 percent of all contributed revenue in 2015. Data limitations preclude an analysis of individual giving trends over time in Miami.

Page 17: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings: Financial analysis

17 / 31

Minimal capital reserves

The financial health of arts organizations in Miami, as measured by months of unrestricted net assets (URNA), has worsened. The proportion of arts organizations with less than 2.5 months of URNA increased from 42 percent in 2005 to 50 percent in 2015.

Financial distress was most apparent among midsize and large arts organizations. Knight grantees had higher URNA than nongrantees in 2005, but also declined in fiscal health by 2015.

URNA measures the equity, free of donor restrictions and investment in fixed assets, that an organization can use to mitigate risk. Generally, organizations should strive to have at least 6 months of URNA available.

MONTHS OF AVAILABLE URNA TRENDS

Source: GuideStar 3-year sample. Columns may not add up to 100% because of rounding.

0%

20%

40%

60%

80%

100%

20112005 2015

Under 1 month

1 to 2.5 months

2.5 to 6 months

6 to 9 months

9+ months

27%

34%

39%

15%

8%

15%

35%

9%

29%

3%

26%

11%

11%

25%

14%

Page 18: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings: C

reative economy

18 / 31

CREATIVE ECONOMY

Growth in creative occupations

Creative jobs grew 21 percent, from 168,780 in 2011 to 203,649 in 2016. Categories with the strongest growth included photography, writers and crafts.

People of color made up 35 percent of the workforce in 2011 and 36 percent in 2016. Jobs among African-Americans and Hispanics grew the fastest.

JOBS IN CREATIVE FIELDS

Source: Creative Vitality Suite, selected occupations

0

5,000

10,000

15,000

20,000

25,000

30,000

2011 2016

Art

/ de

sign

Educ

atio

n

Phot

ogra

phy

Wri

ters

Dig

ital

Perf

orm

ing

PR /

agen

ts

Craf

ts

Com

mun

icat

ions

Arc

hite

cts

Colle

ctio

ns

2

1%

17%

34%

29%

1

7%

19%

7%

2

6%

1

9%

21%

6%

Page 19: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Key findings: C

reative economy

19 / 31

Creative industry revenue growth fueled by few categories

Many commercial and nonprofit creative industries are thriving in Miami. Motion picture and video production is the largest creative industry in the city; revenues have grown 168 percent since the start of the decade. Industries with declining revenues included internet publishing, libraries/archives and theater, while the moderate growth of music (groups/artists, recording studios) failed to keep pace with inflation (7 percent over this window).

Source: Creative Vitality Suite, selected NAICS codes

Mot

ion

pict

ure

and

vide

o pr

oduc

tion

Inte

rnet

pub

lishi

ng a

nd b

road

cast

ing

and

web

sea

rch

port

als

Inde

pend

ent a

rtis

ts, w

rite

rs a

nd p

erfo

rmer

s

Book

pub

lishe

rs

Art

dea

lers

Mus

ical

gro

ups

and

artis

ts

Mot

ion

pict

ure

thea

ters

(exc

ept d

rive

-ins)

Mus

eum

s

Inte

grat

ed re

cord

pro

duct

ion/

dist

ribu

tion

Soun

d re

cord

ing

stud

ios

Phot

ogra

phy

stud

ios,

por

trai

t

Fine

art

s sc

hool

s (p

riva

te)

Com

mer

cial

pho

togr

aphy

Mus

ic p

ublis

hers

Thea

ter c

ompa

nies

and

din

ner t

heat

ers

Reco

rd p

rodu

ctio

n

Dan

ce c

ompa

nies

Oth

er p

erfo

rmin

g ar

ts c

ompa

nies

His

tori

cal s

ites

Libr

arie

s an

d ar

chiv

es

$1,828

168%

11%

31%40%

47% 47%

-55%

73%

3% 1%

-4%

34%24%

-7%

$607

$351

$197 $179

$150$135

$83 $65$26$48

$7 $7

$801

% change since (year) 2016 sales in millions

Page 20: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdn

CONCLUSIONEVOLVING ARTS ECOSYSTEMS: A STUDY OF MIAMI

Page 21: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Conclusion

21 / 31

CONCLUSIONMiami’s arts ecosystem has grown tremendously over the past decade. Several arts organizations have formed, while multiple flagship institutions have erected new facilities. The result has been that arts and culture have become a defining component of the city’s image. Not only have the arts become more available and accessible to residents, but Miami’s arts scene also is recognized nationally and internationally.

Furthermore, the arts are attracting people to Miami and keeping them in the city. Employment in creative occupations has increased over the past decade, as has spending among arts organizations.

Knight has played an important role in catalyzing this transformation. Key stakeholders credit Knight with fostering a breadth of arts activity and innovation as well as providing critical funding that has supported the maturation of anchor institutions. While arts funding from foundations was nearly nonexistent in 2005, a handful of private funders have emerged, collectively providing tens of millions for the arts each year.

Despite these gains, the future of the arts sector in Miami is not assured. Arts organizations of all sizes operate with fragile balance sheets and rely heavily on contributions from a limited set of donors. For arts organizations to operate as community pillars for years to come, they will need to attract more core support and cultivate a broader base of donors. Meanwhile, gentrification threatens artists and arts organizations with displacement. Mitigation strategies, such as those found in the San Francisco Bay Area, may be required to keep artists and small to midsize organizations in the city.

Yet the story of the arts in Miami over the past decade is one of growing momentum, greater commitment and sustained gains in attention and stature.

Page 22: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdn

APPENDIXEVOLVING ARTS ECOSYSTEMS: A STUDY OF MIAMI

Page 23: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Appendix: Supplem

ental findings

23 / 31

APPENDIXSUPPLEMENTAL FINDINGS

National trends in contributions

PRIVATE SOURCES POWERED ARTS FUNDING GROWTH

Sources: Grantmakers in the Arts, Giving USA

20112005 2015

Private giving to the arts

Govt giving to the arts

12.43

1.0535%

12.82

1.03

26%

17.12

1.25

Page 24: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Appendix: Supplem

ental findings

24 / 31

GENERAL PRIVATE PHILANTHROPY SURGED SINCE 2005

STATE AND LOCAL ARTS FUNDING REBOUNDED ACROSS U.S.

Sources: Grantmakers in the Arts, Giving USA

Total private giving

2%

35%

3%

15%

-2%

Individual giving

Foundations Corporations Inflation

6%

15%

31%

27%27%

Change from 2005–11

Change from 2011–16

Local

-8%

50%

0%-2%

2%

15%

-7%

State NEA All government Private arts giving

Change from 2005–11

Change from 2011–16

25% 21% 27%25%

Page 25: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Appendix: Supplem

ental findings

25 / 31

Expense growth detail: three year sample

Organizations increased spending in all dimensions, with the most growth in program spending. Proportionately, management spending declined.

SPENDING TRENDS BY BUDGET SIZE

Under $500K $500K to $5M Over $5M

$172.3

$107.2

$39.6$34$35.3$38.2

$5.5$4.3$1.4

$0

$50

$100

$150

$200

N for 2005

10

19

5

Under $500K

$500K-$5M

Over $5M

N for 2011

19

17

8

N for 2016

29

24

10

2005

2011

2016

Mill

ions

Page 26: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Appendix: M

ethodology

26 / 31

EXPENSE GROWTH DETAIL

0

50

100

150

200

250

20112005 2015

35%30.2

26%

163.5

18.1

23.8

110.2

12.8

14.1

57.1

7.1

N for 2005

33Organizations Reporting data

N for 2011

44

N for 2016

63 Program

Management

Fundraising

Mill

ions

Page 27: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Appendix: M

ethodology

27 / 31

Creative industries

GROUP INDUSTRY 2016 SALES IN MILLIONS

% CHANGE SINCE 2011

JOBS 2016

% CHANGE SINCE 2011

EARNINGS 2016

% CHANGE SINCE 2011

Film Motion picture and video production

$1,828 168% 4,780 64% $85,201 23%

Publishing Internet publishing and broadcasting and web search portals

$801 -4% 3,308 -8% $79,282 -1%

Artists Independent artists, writers, and performers

$607 11% 19,907 14% $17,586 9%

Publishing Book publishers $351 31% 932 1% $72,321 40%

Visual art Art dealers $197 34% 1,908 26% $41,503 4%

Performing Arts

Musical groups and artists

$179 3% 2,182 15% $24,115 1%

Film Motion picture theaters (except drive-Ins)

$160 49% 2,171 23% $18,150 -5%

Collections Museums $150 40% 1,274 30% $47,080 11%

Music Integrated record production/distribution

$142 70% 169 13% $125,529 41%

Music Sound recording studios $135 1% 581 18% $32,241 -25%

Photography Photography studios, portrait

$131 12% 2,999 11% $19,064 -5%

Education Fine arts schools (private) $83 24% 4,110 36% $10,967 -8%

Photography Commercial photography $83 60% 1,229 63% $29,825 -9%

Music Music publishers $69 -15% 213 -19% $46,283 3%

Performing Arts

Theater companies and dinner theaters

$65 -7% 916 -9% $25,558 1%

Music Record production $64 11% 137 -2% $62,728 4%

Performing Arts

Dance companies $48 47% 655 66% $26,288 -12%

Performing Arts

Other performing arts companies

$26 73% 324 52% $27,680 1%

Collections Historical sites $7 47% 96 63% $30,761 -10%

Collections Libraries and archives $7 -55% 90 -38% $39,925 13%

Source: Creative Vitality Suite, selected NAICS codes

Page 28: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Appendix: M

ethodology

28 / 31

METHODOLOGY

Data sources

• IRS Form 990 data from GuideStar (2005, 2011, 2015)• Cultural Data Profiles from DataArts (2011, 2015)• Creative Vitality Suites from WESTAF (2011, 2016)• Foundation Center FC1000 (2005, 2011, 2015)• “Arts and Economic Prosperity” (2004, 2005, 2010, 2015) • Knight grants database• American Community Survey (ACS) from U.S. Census• “How Boston and Other American Cities Support and Sustain the Arts”• Grantmakers in the Arts Giving USA

Key stakeholder interviews

NAME ORGANIZATION

Lucas Leyva Borscht Corp.

Shelly Berg Frost School of Music

Jorge Zamanillo HistoryMiami

Ellen Salpeter Institute of Contemporary Art Miami

Lourdes Lopez Miami City Ballet

Michael Spring Miami-Dade County

Beth Boone Miami Light Project

Howard Herring New World Symphony

Kareem Tabsch O Cinema

P. Scott Cunningham O, Miami

Franklin Sirmans Pérez Art Museum

Dennis Scholl ArtCenter/South Florida

John Richard The Adrienne Arsht Center

Javier Soto The Miami Foundation

Joel M. Hoffman Vizcaya

Norman Braman Prominent arts donor

Susan D. Kronick Knight Foundation and Miami City Ballet board member

Note: Organizational data are sourced from GuideStar unless otherwise indicated.

Page 29: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Appendix: M

ethodology

29 / 31

Data Analysis Methodology

TDC collected and merged data from several sources:

• GuideStar 990 digitized records from 2005, 2011* and 2015• DataArts survey data for 2015• Foundation Center data on foundation giving• Knight grantee data

TDC then cleaned the consolidated data set in the following ways:

• Removed all non-arts organizations, supporting organizations and organizations not in Florida

• Combined net assets of organizations with supporting foundations• Reassigned disciplines as necessary• Filled in data of missing anchor institutions from 990s

In tandem, TDC collected and analyzed data from WESTAF CVSuites on creative industries and workforces.

*Used 2011 because it came after a change in IRS policy in which organizations failing to file 990s for 3 consecutive years lost tax-exempt status.

Page 30: EVOLVING ARTS ECOSYSTEMS A STUDY OF MIAMI · Arts and culture have been a centerpiece of Miami’s transformation for ... research and consulting firm, to determine whether the arts

KF.org

| @

knightfdnM

IAM

I AR

TS ECO

SYSTEM STU

DY

Appendix: M

ethodology

30 / 31

JOHN S. AND JAMES L. KNIGHT FOUNDATIONSuite 3300200 S. Biscayne Blvd.Miami, FL 33131–2349Telephone: (305) 908–2600