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D'Art No. 46 : Government's role in encouraging support for the arts from the private sector

Introduction



Published in 2003, IFACCA's D'Art Report 7 Encouraging Arts Philanthropy: Selected resources, presented some results on how governments encourage greater philanthropy for the charitable sector through enhanced income tax provisions. In the ten years since, the global economic crisis and developments in cultural policy have significantly changed the landscape for arts funding.

In preparation for the 6th World Summit on Arts and Culture (13-16 January 2014, Santiago, Chile), it is timely to explore to what extent government arts funding agencies have a role in encouraging support for the arts from the private sector.

The objective of this research project is to provide a preliminary mapping of policies, models, strategies and actions that arts councils and ministries of culture undertake to encourage support for the arts from the private sector. It will also explore examples of cooperation between public arts funding agencies and the private sector, including through public-private partnerships, new investment models and social enterprises.

For the purposes of this research project, the following definitions are used:

The public sector is defined as 'the part of a country's economy which is controlled or supported financially by the government'. For this research, this incorporates:
• funding from national, state and local government departments and agencies, including arts councils, ministries of culture, inter-governmental agencies and government cultural institutions; and
• benefits provided through tax offsets and incentives, intellectual property rights, resale royalty schemes and lending rights.

The private sector is defined as 'the part of a country's economy which consists of industries and commercial companies that are not owned or controlled by the government'. For the purposes of this research, we are including:
• private philanthropy, through individual giving, donations, crowd funding, benefaction and private foundations;
• corporate (or business) philanthropy, through donations including those made via corporate foundations; and
• corporate sponsorship, through financial investment or the provision of products or services with the expectation of a return, including the return realised from public acknowledgement of the support.

As the definition of a 'foundation' varies enormously around the world it may not possible to clearly categorise some types of support as 'private'. Similarly, the status of a foundation, charity or donor may not be known. Therefore, if in doubt, it would be useful for this survey to include any support provided to the arts by a non-government agency.

Please note, however, that this research is not aimed at exploring support for the arts provided by international or intergovernmental agencies. Nor is the research investigating revenue generation for the arts through ticket sales, sale of artworks or other market development or audience development strategies.

The results of this survey will be analysed by the IFACCA secretariat and circulated to all survey respondents for review and feedback.

A draft report on the analysis will then be discussed by IFACCA members at the CEO Leadership Seminar, to be held in association with the 6th World Summit in January 2014.

If required, further research will be conducted in 2014 and a final report published thereafter.

For more information on IFACCA's research, including access to all previous D'Art reports, please visit our website: ifacca.org/topic/encouraging-arts-philanthropy-selected-resources/

Please note that the deadline for responses is Friday 27 September 2013.