Portland Opera is "in the black" for the third year in a row, a difficult achievement for a nonprofit arts organization. The company’s fiscal health is no lucky streak, but a reflection that the group is on track with a financial plan clearly mapped out more than three years ago.
In 1997, after several years of operating shortfalls, Portland Opera worked closely with top consultants to develop a comprehensive, long-term financial strategy. The result was "Fresh Aria," a groundbreaking capital campaign designed to transform Portland Opera from a company made vulnerable by its dependence on box office sales, to one that is sustainable by a balance of earned revenue (primarily ticket sales) and contributed revenue (donations). Over five years, Fresh Aria will raise $17 million, with $10 million designated for Endowment and $7 million toward the Sustainable Opera Initiative (operating revenues).
Mary Ann Sprinkle, Portland Opera’s Director of Development, explains that having a solid financial plan is critical for capturing and maintaining community support. "We want people to feel that contributing to the arts is a sound investment," she said.
The plan appears to be succeeding. Now in its third year, the Fresh Aria campaign has garnered more than $7 million in contributions. Generous lead gifts include $2 million from Meyer Memorial Trust, $1 million from the City of Portland, $1 million from Martin and Judy Kelley, $1 million from John and Carol Hampton, and $1 million from James F. Miller.
Several of the major gifts, including the Meyer Memorial Trust grant, are contingency-based. That means Portland Opera must meet certain requirements—including balancing the budget each year for five consecutive years, and meeting specific fundraising goals—in order to receive the maximum amount of pledged support. So far, Portland Opera has exceeded expectations.
"Not only are we on target, but we’re slightly ahead in terms of meeting our benchmarks," said Portland Opera’s General Director Robert Bailey. "We’re well on the way to realizing our goal—achieving the targets set for earned and contributed revenue that allow us to sustain our artistic quality and service to the community." As the campaign continues to gain momentum, Bailey hopes Portland Opera’s success can provide a model for other arts organizations.
Decreasing the company’s reliance on box office receipts allows Portland Opera to keep ticket prices affordable for patrons while continuing to pursue Bailey’s artistic vision for which the company is known. The 2000-2001 season mixes traditional opera favorites with less-familiar works. Opening with Carmen in September, the season continues with an innovative production of Verdi’s Otello in November. Next is Puccini’s beloved La Bohéme in February, followed by Francis Poulenc’s rarely staged Dialogues of the Carmelites in March. In May, the season concludes with a high-spirited production of La Belle Hélène by comic genius Jacques Offenbach.
