In the wake of General Motors' collapse, the auto industry pulled its funding to arts institutions via its charitable General Motors Foundation. However, now that the industry is back on its feet again, it has resumed giving, recently extending grants to artistic organizations, including $125,000 to Michigan Opera Theatre, $75,000 to Mosaic Youth Theatre and $25,000 to the Charles H. Wright Museum of African American History.
These groups have faced challenges such as increasing deficits, layoffs and artistic cuts throughout the recession. Several Detroit-based artistic organizations, including the Michigan Opera Theatre, almost had to close their doors due to declines in charitable donations, ticket sales and support.
"It's a huge deal for us [to receive the funding," said Rick Sperling, Mosaic founder and CEO at the Detroit Free Press.
"Ford, GM and Chrysler were our largest annual corporate sponsors, and we lost GM and Chrysler in the last few years. To get GM back will make a huge difference in our ability to break even," he added.
According to the general director of the Michigan Opera Theatre, the funding will help it recover from the worst economic climate that its director, David DiChiera, has ever seen. The funding is almost half of what GM used to give the organization, but DiChiera said he is willing to work with all support systems in whatever way he can.
Prior to the economic downturn, GM gave more than $1 million annually to Detroit-based artistic organizations. The Chrysler Foundation, which also dropped its funding to arts organizations during the recession, gave $2 million before the recession hit. It has yet to begin giving again.