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Orchestra ends year by averting a deficit
Challenge grants help to close gap
Updated: August 31, 2010, 7:24 AM
If the Buffalo Philharmonic Orchestra were a baseball team, it’s last-minute fundraising would count as a come-from-behind victory.
Three challenge grants and individual contributions allowed the orchestra to avoid a projected $200,000 deficit, one year after the venerable institution finished $500,000 in the red.
“We project that we have closed that deficit and maybe done a little bit better. We’re very happy with the results,” said Dan Hart, the orchestra’s executive director.
“Even through the recession, it is very clear the BPO has a very strong and stable group of patrons and supporters.”
Today marks the close of the orchestra’s fiscal year, with final figures still to be tallied.
But three challenge grants for the annual fund played a key role in the last couple of months. The Baird Foundation provided $50,000 and the Arrison Family Foundation $25,000 to entice individual contributions, while one for $50,000 from Joseph Voelkl and Buffalo Pharmacies was used to increase corporate gifts.
The orchestra’s projected 2 percent deficit in a $10 million budget was due entirely to the recession, Hart said.
It was most felt in reduced corporate support. Ticket sales also declined by 6 percent to 7 percent.
Still, economic conditions for the orchestra were far worse earlier in the decade, when it ran up a deficit of $1 million for the 2001-2002 and 2003-2004 seasons.
But as recently as the 2007-2008
season, ticket sales and the endowment were at an all-time high, along with a growing donor base, Hart said.
After last year’s gap, staff accepted a pay freeze; senior staff took pay cuts; and musicians surrendered two weeks’ paid vacation time. Eight staff positions were eliminated.
That helped lower this year’s budget by about $800,000, while maintaining the same basic music schedule, Hart said.
“We had to be more careful about [such things as] production costs, the guest artist budget,” Hart said.
The orchestra capitalized by reaching out to concert-goers, including new patrons, through special pricing, with promising results.
“We actually had more Classics and Pops subscribers than we did the year before,” Hart said. “This is opening a whole other area of investigation for us.
“If we lower prices, will more people come, and will they stay? It’s interesting — situations like this are certainly challenges, but they also open your eyes to thinking about everything in fresh and new ways.”
The orchestra will have little time to rest on its laurels. The gap for next year — its 75th season — has been estimated at $100,000.
Government funding is expected to drop off steeply in the new season.
The State Arts Council already has told the orchestra its $200,000 grant will be cut by 25 percent. County Executive Chris Collins has said to expect a 20 percent cut from the $825,000 received this year. And members of the Assembly who obtained a combined $325,000 last year, say such “member items” are being taken away.
Still, Hart said he feels upbeat that the orchestra will find a way to meet its budgeted needs through additional fundraising. The music, he added, will be as good as ever.
“The orchestra gives 100 percent no matter what. They’re playing at a great level, and we’re going to do great concerts every week of the year,” Hart said.
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