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Crain's Chicago Business, August 12, 2024

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August 12, 2024

Can Lyric’s new CEO fix its finances? Wounded by the pandemic, the opera has been dipping into its endowment in order to fill yawning budget gaps By Brandon Dupré

the Lyric Opera took out a board-approved $22 million One of the most pressing and $14 million of unrestricted tasks for the Lyric Opera of Chi- funds from the endowment, cago’s new CEO is to right the respectively. Of those figures, nonprofit’s flagging finances, Milianti said $10.7 million in a tough job in a performing- 2023 and $4 million in 2022 arts landscape hard-hit by the were part of an unprecedented COVID-19 pandemic and still endowment draw meant to plug the budget struggling to find its holes left by disapfeet. pearing federal aid The Lyric Opera, that got the opera which unveiled its through the worst of new CEO and presithe pandemic. The dent, John Mangum, endowment is left on July 31, has relied with about $180 milon endowment funds — Claire Rice, lion still in the tank. to plug a yawning executive director of Donor support, an budget gap in each of Arts Alliance Illinois important pillar of the last two years that its chief financial officer says the industry’s business model, hasn’t been able to keep pace will continue in the short term. “We don't anticipate using this with inflation and the loss of for any prolonged period of time, ticket revenue caused by the but we do expect that we'll need pandemic. In each of the last to use additional board-desig- three years, the Lyric has seen a nated funds over the course of slight dip in donor contributions the next two to three years (to and fundraising revenue. The balance the budget),” CFO Vin- opera recorded $13.8 million in cente Milianti said. In fiscal years 2023 and 2022, See LYRIC on Page 26

KYLE FLUBACKER \ LYRIC OPERA

“It’s a long and slow recovery for the arts.”

John Mangum

Mental health movement is having a moment

Ronald Jackson fought for the reopening of a mental health clinic on Chicago’s Far South Side. | GEOFFREY BLACK

Faced with a services gap that disproportionately affects Black and Latino Chicagoans, Mayor Brandon Johnson is bringing closed clinics back online I PAGE 11

VOL. 47, NO .31 l COPYRIGHT 2024 CRAIN COMMUNICATIONS INC. l ALL RIGHTS RESERVED

GREG HINZ Kamala Harris and Chicago face big DNC challenges. PAGE 2

POLITICS The city’s long, fascinating and unrivaled history as a political convention host. PAGE 3


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