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LexArts questioned by Lexington City Council over lack of diversity in arts and finance

LexArts is trying to do more to recruit and showcase artists from diverse backgrounds, the taxpayer-supported arts group told city officials Tuesday.

Ame Sweetall, president and CEO of LexArts, said the group has provided more than $60,000 in grants this year to various arts groups and organizations, including the Bluegrass Indo-American Civic Society, the African-American Arts Association and the Marafiki Center, a nonprofit that focuses on the city’s African population.

Sweetall told the Lexington-Fayette Urban County Council’s Budget, Finance and Economic Development Committee that the organization is also ramping up its outreach efforts to ensure that diverse artists are aware of grant cycles. The organization will also continue to monitor and ensure that there is more equity in grant funding and that the work of diverse artists is valued.

However, during Tuesday’s meeting, many council members asked questions about the information activities and finances.

The community arts group, which receives more than $325,000 a year from the city, was criticized in May 2024 for not doing more to promote and fund diverse artists. The group helps raise money and provides grants to several arts groups in Lexington.

The issue came to a head after LexArts posted a photo on its Facebook page of all the white artists selected for a Commerce Lexington art contest. LexArts did not select the artists, but the post sparked a flood of complaints from visual artists, writers and musicians about the lack of inclusivity in the city’s art scene, particularly in LexArts-funded projects.

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Following the May meeting, Deputy Mayor Dan Wu asked LexArts to appear before the council to discuss LexArts’ diversity efforts and answer questions about funding.

Two former board members resigned from the organization following the public outcry in May. One of those members was head of the group’s Diversity, Equity and Inclusion subcommittee.

Sweetall said Tuesday that the diversity, equity and inclusion committee has now been made permanent. It has also streamlined the grant process to make it easier for people to apply.

“We have a strategic recruitment strategy for the board and for the staff,” Sweetall said.

The organization’s goal is to raise $2.7 million this fiscal year, Sweetall said.

About a third of that $2.7 million budget goes to administration. About 30 percent is earmarked for grants and another third goes directly to artists or specific art projects, according to information LexArts provided Tuesday.

Councilmember Jennifer Reynolds asked what LexArts specifically does to reach more diverse artists. Reynolds represents the 11th Council District, which includes some of Lexington’s most diverse neighborhoods.

“We don’t always see people represented in LexArts,” Reynolds said.

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Sweetall said the board’s DEI committee identifies minority neighborhoods to make sure it shows up at those community events. It also works with Global Lex, the city’s international center, to make sure it finds more diverse artists.

Question about expenses, late payments to arts groups

However, during the more than hour-long discussion on Tuesday, the council members still had many questions about LexArts’ finances and previous audits.

A 2022 audit found the group had raised $1.9 million through sponsorships and grants and spent about $1.7 million.

But in a March 14, 2024, letter to LexArts, accountants Mather and Company reported they were having difficulty obtaining accurate information from LexArts.

“The completion of our audit was delayed because we did not receive critical information necessary to conduct the audit in a timely manner. Additionally, certain items were received in an incomplete/incorrect form, further delaying audit procedures and requiring significant communication between our staff and the organization’s Finance & Operations Director and others,” the letter read.

Stefan Hendrickson, treasurer of the LexArts board, said all issues raised during the 2022 audit have been addressed and internal controls have been strengthened, including increased oversight.

An audit has been launched for 2023, but no issues were found, Sweetall said.

Councilman David Sevigny said LexArts shared its budget but not its balance sheet, making it difficult for the city to predict the group’s cash flow situation.

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“I have heard from a number of organizations that you support that payments are slow,” Sevigny said.

Complaints about late payments prompted Mayor Linda Gorton to meet with LexArts in May. Some of the groups that receive funding from LexArts include the Lexington Philharmonic and the Lexington Children’s Theatre.

Sweetall said LexArts now has a policy in place that ensures that when LexArts receives its quarterly payments from the city, the money is transferred to arts organizations in a timely manner.

Last year, the city also funded $50,000 for a grant specialist and $50,000 for equity arts grants. That’s on top of the annual allotment of $325,000. Sweetall said Tuesday that the grant specialist has left.

Wu asked how many grants the grant provider had been able to secure. Sweetall said the grant provider had identified 50 different grants, including two grants that were equity-related. Sweetall did not say how many grants the grant provider had been able to secure.

“Not everything was funded,” Sweetall said. “We have to raise funds for equity to provide equity.”

According to Sweetall, it is not yet clear whether LexArts can continue to finance the function of subsidy provider.

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