TheatreWashington has released its inaugural economic impact report, offering a comprehensive look at the financial significance of professional theatre in the Washington, D.C., metropolitan area. The study, based on IRS Form 990 data collected between February and September, evaluates the scope and influence of 89 theatre organizations operating within a 30-mile radius of downtown D.C. n nFindings reveal that the regional theatre industry supports over two million attendees annually and contributes substantially to the local economy. Collectively, these institutions manage more than $1 billion in assets and disburse nearly $70 million each year in compensation to artists and staff. Approximately 90 percent of the theatres are registered as 501(c)(3) nonprofits, underscoring their community-focused missions. n nThe report highlights that 13 large organizations—classified as anchor institutions—operate with annual budgets ranging from $5 million to $26 million. These entities play a pivotal role in sustaining employment, offering over 10,000 students access to educational programming, and hosting more than 27 cultural groups. n nFinancially, theatres rely on a mix of philanthropy and public funding. They receive over $100 million in private donations annually, and 51 of them reported nearly $19 million in government grants. An analysis of public investment shows a strong return: for every dollar in government support, $2.78 in economic activity is generated. Among larger legacy theatres, the return reaches $70 per public dollar invested. n nThe organization argues that sustained public funding, especially for mid-sized and smaller companies, could enhance stability and foster long-term regional development. The report aims to strengthen advocacy efforts, elevate awareness of the arts’ societal value, and support unified narratives about the collective impact of theatre. n
— News Original —n”TheatreWashington Releases First Economic Impact Report”n”WASHINGTON, D.C.: TheatreWashington, the organization that supports the artistic ecosystem of D.C. theatremakers, has released its first economic impact report to assess the financial and operational scope of the theatre landscape in the Washington, D.C., region. Its aims include providing a high-level overview of the region’s theatre activity, supporting advocacy, strengthening conversations around the value of the arts, and helping to tell a unified story of collective impact. By analyzing publicly available IRS Form 990 data from February to September of this year, the study developed a snapshot of the industry’s size, scale, and economic impact. n n”This analysis offers insights that reinforce what those within the community already know: that theatre in Washington is both artistically essential and economically significant,” the organization stated on its website. “Beyond its prolific artistic output, the region’s theatre industry represents a powerful economic engine. Collectively, these organizations create thousands of jobs and volunteer opportunities, pay nearly $70 million annually to artists and staff, and are responsible for stewarding over $1 billion in combined assets. This makes theatre not only a cultural cornerstone but also a major contributor to the region’s economic health and vitality.” n nMajor takeaways were found in theatre sizes, audiences, education, finances, and government funding. The study found that 89 theatres operate within 30 miles of downtown D.C., with 52 in D.C., 17 in Virginia, and 20 in Maryland, defining theatres as “small,” “mid-sized,” and “large.” 13 of the large theatres are considered “anchor institutions” with annual operating budgets between $5 and $26 million. n nThe study also found that these theatres, of which 90 percent are 501(c)(3) nonprofits, reach two million audience members annually. Over 10,000 students are served by educational programs that a third of these institutions run, and over 27 organizations host cultural groups. n nWhat’s more, the study found that theatres generate a major impact for the local economy: Theatres collectively had over $1 billion in combined assets, and receive over $100 million in direct philanthropy annually. The average portion of their budget that theatres spend on staff and artist compensation is 42 percent. n nIn terms of federal, state, and local government funding, 51 theatres (57 percent of the dataset) reported nearly $19 million in grant support. TheatreWashington calculated a basic Return on Investment for government support dollars in the community by comparing the amount of government support organizations received against their operating budgets. For every dollar of public funding, on average, the study found that $2.78 of spending is generated—a nearly tripled rate. Large legacy organizations generate $70 per dollar invested by government funds. n n”These findings make clear that public funding is a strong driver of economic vitality, and suggest that sustained targeted investment in smaller and mid-tier theatres could help to stabilize the ecosystem and unlock long-term regional growth,” the report stated, calling for “investment in theatre companies of all sizes.” n nTheatreWashington is an arts organization serving nearly 90 professional theatre companies throughout the Washington, D.C., region.”