For many years, the Playhouse, which is designated as North Carolina’s State Theater but receives no state funds, was a quiet but powerful driver of the local tourism economy. That changed when previous management of the theater made some bad business decisions, expanding staff and offerings and opening a second downtown stage on the heels of the Great Recession. According to tax filings, expenses rose from almost $3 million in 2008 and 2009 to nearly $4.6 million in 2010 while revenue increased only about $100,000 between 2009 and 2010.
Financial problems sent Playhouse leaders begging for bailouts from local governments and warning that the theater might not otherwise survive. That led to controversy and some heated meetings of the Henderson County Board of Commissioners, which in 2012 denied a request to raise the local motel room tax by a penny to help fund the theater.
However, local governments pitched in $300,000 that year to help the Playhouse stay afloat. In 2013, the Village of Flat Rock gave $100,000 to help pay down debt. Earlier this year, the Playhouse had to raise $185,000 to clean up an infestation of mold.
In a refreshingly blunt interview with Times-News staff writer Derek Lacey, Playhouse Artistic Director Lisa K. Bryant acknowledged that both local governments and private contributors were getting donor fatigue.
Regarding private donors, “they’re sort of done,” said Bryant, who took over as artistic director in October 2014. “They did that a year or two in a row and are among those that were just saying, ‘Look, you don’t seem to be making a difference in your business practices, and so, you know, we’re not going to continue to feed the monster.’ “
But in the past eight months, large-scale changes have brought costs down and ticket sales up and have helped to turn that reputation around, she said. The theater eliminated eight full-time positions, dissected its budget and made fundamental changes to this year’s lineup of productions. Costs for accounts payable dropped to $117,000 from $500,000 in October of last year.
The dramatic drop in debt convinced Robinson that the Playhouse leadership is committed to more responsible spending. The Atlanta-based actor, who has worked with the Playhouse on and off for two decades, delayed making his gift for about a year until he was sure the money would be spent wisely and the Playhouse would have a viable future.
“I feel the new team has made great strides toward restoring that fiscal responsibility,” Robinson said. “I’m convinced that the Playhouse is back on the right track from a fiscal standpoint.”
He also expressed confidence the right leadership is in place with Bryant as artistic director and former Playhouse Managing Director Paige Posey joining the board of directors. “There’s no one who better knows what made the Playhouse so successful” than Posey, he said.
Robinson isn’t the only “angel” who has been impressed. The Playhouse recently received a $10,000 check from a donor who hadn’t given to the organization in years, Bryant said.
“One of the best things in the last few months has just been people introducing themselves,” she said. “Coming out of the woodworks and very deliberately saying, ‘I haven’t stepped foot on this place for a couple years now,’ and ‘Good job,’ and ‘Keep going.’ “
The Playhouse has also smartly cut the number of shows it offers from more than 30 a few years ago to 11 main stage shows this year. Audiences are responding. To date, the theater has sold 40,000 tickets, equal to half of last year’s sales only 1½ shows into the season.
The fact that major donors are willing to step up is a sign of restored fiscal responsibility. That’s a hopeful harbinger for an institution that generates $14 million for the local economy, according to one report. Hats off to donors like Robinson and many others, and to Playhouse management for making tough but sound financial decisions.
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