Willow Glen Resident
News
San Jose will continue to support AMT, approves $1 million loan
By Monica Heger
Supporters of the American Musical Theatre literally sang its praises at an Oct. 31 city council meeting. Kari Yancy, who played Dorothy in a 2005 production of The Wizard of Oz, sang a few lines from "Somewhere Over the Rainbow" after telling council members about the impact the American Musical Theatre has had on her life.
"The American Musical Theatre is a huge blessing in my life," Yancy said, "and it is truly an enrichment to our city."
The council voted 10-0 to approve a $1 million loan. City councilman Chuck Reed abstained due to a conflict of interest. Reed is a season ticket holder.
The $1 million loan will come out of the city's arts stabilization fund, which was established when the council approved a $2 million loan to the San Jose Repertory Theatre.
The American Musical Theatre has pledged to reduce its operational expenses by $3 million in its 2007-08 season. It plans to do this primarily by reducing its number of shows from nine to five, producing its own shows and collaborating with other local theater companies, such as the Rep.
American Musical Theatre has also set a fundraising goal of $1.5 million for 2006-07 year, which city staff believes is realistic and achievable, and plans to pay back the loan by April 2008. Like the city's loan to the Rep, the loan to the American Musical Theatre is contingent upon the theater meeting the terms of the loan. If it fails to do so, the loan can be withdrawn.
Council members also want to see stronger involvement by the arts commission, a 13-member group appointed by the city council to assess cultural and arts needs in San Jose. City council members voiced concern that the arts commission is out of the loop when it comes to the financial situation of the various art groups.
The commission was unaware AMT and the Rep had financial problems until the organization came calling for a city bailout.
The city council sees the arts commission as a bridge, whose role is to inform the council which arts organizations are struggling.
Vice Mayor Cindy Chavez, in a motion, directed the arts commission to be involved with the disbursement of the arts stabilization fund.
