This story is a partnership between the Nashville Banner and the Nashville Scene. For more information, visit NashvilleBanner.com.
Metro will audit the Arts Commission following ongoing frustrations over millions of dollars in operating grants for local arts nonprofits that are more than a month late in being distributed.
According to Metro Arts' own published guidelines, 75 nonprofit organizations with annual revenue ranging from less than $25,000 to upwards of $3 million were slated to receive $3.8 million in grants by Nov. 1.
But midway through the fiscal year, not only has none of that money been received by the organizations, new contracts that were sent out in November only specified that 50 percent of the grants would be awarded. A week after the Nashville Banner’s initial reporting, Metro Arts director Daniel Singh has yet to offer an explanation for why the grants have not yet been distributed, but a new joint statement from Metro Finance and Metro Legal has provided an update on the situation.
“It is the responsibility of the Arts Commission to bring about grant processes and contract with grant recipients in good order,” reads the statement. “Some recipients are presently relying on the Arts Commission to fund time-sensitive operations. Metro Law and Finance have just recently received several contracts from the Arts Commission and are quickly approving those for immediate funding.”
Metro legal director Wally Dietz previously told the Banner his department and Metro Finance were investigating why the grants had not yet been distributed. But the statement reveals that the two departments have referred some of the matters to the Metro Audit Committee, which on Dec. 6 unanimously voted to have a Metro internal auditor undertake an “expeditious financial review” of the Metro Arts Commission.
The Metro Arts Commission is the body responsible for distributing Metro Arts grants. Throughout the past year, a long and convoluted process took shape as leadership attempted to bring more equity into the grant distribution process. That effort ended with a funding formula that Metro Legal said was unconstitutional, ultimately pitting small artists and big organizations against each other in a messy battle for the relatively small amount of funding provided to the arts in Nashville.
After a year of fighting over strategic direction, arts organizations say agency has yet to deliver money
In the end, the funding formula looked closer to what it had in previous years. But while independent artists have received grant funding through Thrive grants, the delay in operational grant distribution has left organizations of all sizes barely scraping by.
The Banner has reached out to Singh multiple times throughout the past week of reporting. After being told he needed 48 hours to respond to questions a week ago, the Banner has received no explanation for the delay.
Read the full statement from Metro Legal and Metro Finance below:
“Numerous concerns have been expressed about the Metro Arts Commission, including its management of financial resources and the recent resignation of its chair and other board members.
Metro Law and Finance are evaluating those concerns and taking steps to strengthen oversight of the Arts Commission, including a referral of some matters to the Metro Audit Committee. At its December 6th meeting, the Committee voted unanimously for the Metro Internal Auditor to undertake an expeditious financial review.
It is the responsibility of the Arts Commission to bring about grant processes and contract with grant recipients in good order. Some recipients are presently relying on the Arts Commission to fund time-sensitive operations. Metro Law and Finance have just recently received several contracts from the Arts Commission and are quickly approving those for immediate funding.
Nominations for new board members to fill vacancies will be made by the mayor at the next meeting of the Metro Council.”
