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Nonprofit Arts Generate $1 Billion For Maryland

Nonprofit Arts Generate $1 Billion For Maryland


State’s investment in 244 Maryland organizations secures 52% direct tax revenue return; spurs recovery, growth

December 05, 2012Press Release

Maryland’s nonprofit arts sector has a $1 billion impact on the state’s economy and supports more than 11,000 jobs, according to a report released today by the Maryland State Arts Council (MSAC). The Economic Impact of the Arts in Maryland: FY2011 report details how spending by the MSAC’s 244 grantee arts organizations and their audiences ripples through Maryland’s economy, creating and retaining jobs and generating revenues for businesses, families and state and local governments. 

“By investing in the arts, we support job growth, generate revenue and embrace an economic asset that enriches lives, stabilizes communities and attracts businesses and tourists,” said Governor O’Malley. “Vibrant arts and culture are as much part of Maryland’s unique quality of life as they are an economic engine for the state.”

The benefits of Maryland’s vibrant nonprofit arts industry are felt widely. According to the report, the cultural sector generates 11,434 full-time equivalent jobs that return $399 million in salaries to local residents. Local business owners and workers are not the only ones to benefit; nonprofit arts generate $37.8 million in tax revenues for Maryland’s state and local governments. And, every $1 of the arts organizations’ operating budgets generates $3.64 in total economic activity.

Areas of Growth
The number of full-time equivalent jobs supported by arts organizations and audiences in FY 2011 increased about 7.2% compared to FY 2010, with the greatest increase—19.6%—occurring in the Greater Washington region of Maryland. An overall increase was also seen in total salaries, which grew by 3.7% over FY 2010.

Arts organizations reported total income of $266 million in FY 2011, a 17.6% increase over FY 2010 revenues. Nearly 50% of total income was earned revenue from various program activities, including events, classes, touring, and more. Earned revenue increased 27% over FY 2010, with the largest revenue gain from investments. A 13% increase in ticket sales also contributed to earnings growth in FY 2011.

Arts attendance continued to grow, reaching 7.9 million in FY 2011, a 3.5% change since FY 2010 with nearly 65% of visitors attending free. Realizing that the arts spur creative thinking and are critical to the development of a future workforce of innovators, families and educators increased childrens’ exposure. Since FY 2010, the number of children attending arts events reached 1.9 million, an increase of 26%.

Economic Impact by Region
The study analyzed the State regionally, dividing it into six regions. Maryland’s Central region comprised of Baltimore City and Anne Arundel, Baltimore, Carroll, Cecil, Harford and Howard counties contributed $495 million in economic impact from the arts, and provided 5,745 arts-related jobs. The Capital region, which includes Frederick, Montgomery and Prince George’s counties, contributed $431.2 million and provided 4,865 jobs. The remainder of the state, which is divided into Western Maryland, Southern Maryland, the Upper Eastern Shore and the Lower Eastern Shore, contributed a combined $78.5 million and provided a total of 824 arts-related jobs.

To review the complete report, visit

About Economic Impact of the Arts FY 2011
Statistics for the study were drawn from 244 Maryland organizations that produce or present the arts around the State, and receive grants from the Maryland State Arts Council for ongoing support of their operations and programs. Data was collected utilizing the Maryland Cultural Data Project. The study did not take into account the economic impact of for-profit arts organizations and the activities of individual visual, performing and literary artists. 

About the MSAC
The mission of the Maryland State Arts Council, an agency of the Maryland Department of Commerce, Division of Tourism, Film and the Arts, is to encourage and invest in the advancement of the arts for the people of Maryland. For more information about the Maryland State Arts Council call (410) 767-6555 or TDD/TTY (410) 333-4519 or connect to the MSAC web site at