News Story

Ann Arbor Summertime Festival rakes in the cash from U of M, state taxpayers

City of Ann Arbor also sends funds to event organizers

After receiving hundreds of thousands of dollars from the University of Michigan and the city of Ann Arbor, a summertime festival run by a nonprofit secured $33,400 from state taxpayers through an arts grant.

The grant was issued by the Michigan Arts Council, entity under the umbrella of the Michigan Economic Development Corporation.

“The University of Michigan provided financial support to (Ann Arbor Arts Festival Inc.) in the amount of $329,000 and $0 for September 30, 2023 and 2022, respectively,” according to the Ann Arbor Summer Festival’s 2023 financial statement. “The University of Michigan has granted $100,000 per year for three years beginning fiscal year 2023 and ending fiscal year 2025.”

The statement also noted that the festival’s board of directors and executive committee included people who might be employees, directors or trustees of the University of Michigan or the city of Ann Arbor.”

The university did not respond to an email seeking comment.

Ann Arbor’s contributions have varied through the years. It gave $29,000 annually from 2017 through 2021. Donations in 2021 and 2022 were $31,000 and $42,000, respectively, according to the organization’s 2022 financial statement.

As WEMU reported in March 2024, the city’s financial officer warned members of the city council that Ann Arbor’s expenses would surpass income by 2027.

The city did not respond to Michigan Capitol Confidential’s emailed request for comment.

“People are having their money redistributed to arts organizations that they can support on their own free will if they want,” said James Hohman, fiscal policy director at the Mackinac Center for Public Policy. Artistic expression should remain in the realm of voluntary association rather than coercion, he added.

Ann Arbor Summer Festival did not respond to an email seeking comment.

Michigan Capitol Confidential is the news source produced by the Mackinac Center for Public Policy. Michigan Capitol Confidential reports with a free-market news perspective.