Is Your Local Arts Agency Involved in Your Economic Development Efforts? It Should Be.

A photo exhibition at the Detroit Institute of Arts

Here at RoleCall, we spend a lot of time thinking and talking about the role of the arts in economic development. One of the first questions we ask our consulting clients is, “Tell us about your creative community.” We see things like public art and easily accessible cultural experiences as not only effective tools for Talent Attraction (they are!) but also as key metrics of economic development success.

So when we met Jessica Stern at Americans for the Arts, we hit it off instantly. Jessica works with arts agencies and communities around the country to better bridge the gap between business and the arts, which is a goal we absolutely share.

We asked her to share some thoughts about what local arts agencies are and how they can — and should! — be effective and involved partners in economic development work.

Take it away, Jessica!


Unless you work as a creative professional, our experiences with the arts usually exist outside of our professional lives. We do our work, and then we go do or see our art. This separation has led to a broad acceptance that the arts are a “nice to have” in our communities, rather than a critical industry cluster that is often under-tapped and can be a key to unlocking equitable economic growth and resiliency. It’s also led to the absence of the arts and culture industry at the business and economic development table. 

Team RoleCall exploring Flint Institute of Arts

Fortunately, planners, developers, and business leaders already have the resources in their community to leverage the arts and culture industry: they exist in the form of local arts agencies. 

What is a Local Arts Agency? 

Local arts agencies (LAAs) are vital organizations in our communities. LAAs promote, support, and develop the arts at the local level, ensuring an essential presence for the arts throughout America’s communities. No two LAAs are alike, though each works to sustain the health and vibrancy of the arts and artists locally, while also striving to make the arts accessible to all members of its community. They help ensure equitable access to the arts, distribute and invest over $2 billion of resources annually in their communities (through direct financial investment, jobs, tax revenue, and spending), present cultural programming, manage facilities, and connect with business and civic leaders to advocate for arts and culture. They may go by the name of Arts Council, Arts Commission, Cultural Alliance, Department of Cultural Affairs, and so on. With over 4,500+ LAAs across the country, it’s likely that there is one in your community. 

Local Arts Agencies in Economic Development 

Providing such a wide array of services to the arts and culture sector means LAAs are natural partners to grow, sustain, and nurture the health of an important economic driver. Despite the disconnect between the arts and culture ecosystem and the economic development world, the arts mean business. 

Public art is EVERYWHERE in Champaign-Urbana.

According to the Bureau of Economic Analysis’ Arts & Culture Satellite Production Account, which tracks 35 industries that comprise the “creative economy,” in 2020 arts and culture added $876.7 billion, or 4.2% to the US GDP. In context, arts and culture ranks third in value-add to the US economy, behind Health Care and Social Assistance, and Retail Trade. We know that locally, the arts have an important economic ripple effect that boosts tourism, employment, local spending, and overall business sustainability.

The arts are also an effective way to bring outsiders into your community and get them engaged: According to Arts & Economic Prosperity 5, a study of nonprofit arts and culture organizations and their audience spending, nonlocal audience members spend an average of $47.57 per arts event, not including the price of admission.

When asked about the purpose of their visit, more than two-thirds (68.9%) of nonlocal attendees indicated that the primary purpose of their visit was “specifically to attend this arts event.” Forty-one percent of local attendees stated they would have “traveled to a different community to attend a similar cultural event” if their community had not provided it. 



How does this play out in practice? When you go to a concert or theater production, typically, you buy a ticket, maybe stop and eat dinner, park your car somewhere or take public transit, perhaps buy something at concessions, take a program, enjoy the show, and maybe go for a drink after the performance.

Even the most effortless part of this experience, taking a program, involves engaging with multiple businesses and makers in the creative industry. You’ve supported the jobs, production, and incomes of writers, designers, photographers, printers, and delivery services.

Winona’s favorite intersection in St. Louis

The ancillary business spending as a result of arts and culture activities proves that the arts are not just a “nice to have,” but a vital business and economic driver in the fabric of our communities. 

While this data and our experiences show the empirical value of the creative economy, it can often be challenging for planners, developers, and business leaders to know exactly how to leverage the sector. The answer is your local arts agency. 

Just as chambers of commerce are a resource hub for businesses, so are LAAs for the arts and culture sector. 

LAAs have their finger on the pulse of the needs, assets, and offerings of local artists and creative entrepreneurs, and can offer creative and innovative solutions to community and economic challenges. Artists, creative workers, and culture bearers reflect a place, and push it to be more, while also reminding us of our history and heritage. Engaging with them via your local arts agency can open new pathways towards economic growth, equity, and sustainability. 


Thank you so much, Jessica! Want to talk to Jessica about bringing your local arts agency into your economic development efforts? Reach out right here. Want to talk to the RoleCall team about activating your creative assets as part of your Talent Attraction strategy? Set up a meeting with us — we’d love to chat!

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