Impact

From 2013-14 to 2017-18, CCIF distributed $110.7 million in funding through its three components. The Endowment Incentives component was by far the most active funding stream, with 85% of the total funds delivered through its matching grants to a total of $93.7 million. Over this five-year period the arts community therefore locked in $187.4 million to support its long-term financial health by starting and/or growing endowment funds.

The impact of the Endowment Incentives matching grants were numerous during this five-year period, and include:

• On average, the target of 70% of recipients creating an endowment was met
• The amount of endowment income increased, as did the amount of donations by private donors to the endowment
• Overall, the matching funding enabled as much as 25% growth in arts organizations’ endowment funds
• The private sector donations represented a diversification of funding to arts organizations, with donations from individuals (49%), non-governmental organizations (25%), other organizations (14%) and corporations (8%)
• The average annual income of $22.5 million earned on endowments investments and disbursed by foundations to arts organizations was more than double the annual target of $10 million
• Helping arts organizations to stabilize their financial health with a significant percentage of their income (78%) coming from non-governmental sources

Table 1: Endowment Incentives Applications and Funding Approved, 2013-14 to 2017-18(30)

In a joint written submission to the Standing Committee on Finance (2020), a group of arts organizations put forward the recommendation to increase the Endowment Incentives component from $19 million to $25.5 million, based on the significant financial security and stability the fund has helped organizations to achieve.(31)

Results shared through the consultation with Canadian Heritage staff highlighted that since 2001, 290 organizations have been funded. Applications for 2022 are the highest ever with 165 requests totalling $36 million. The increase in new applicants suggests that arts organizations are increasing their capacity to raise matching funds and suggests that the Endowment Incentive does exactly that—incent others to invest in endowment funds. It also is incenting arts organizations themselves to be creative, for example, one added a small endowment surcharge on ticket sales to help raise matching funds.

30. PCH’s Grants and Contributions Information Management System (GCIMS). Adapted from Grouped Arts Evaluation: Canada Arts Presentation Fund, Canada Cultural Spaces Fund, and Canada Cultural Investment Fund 2013-14 to 2017-18, Canadian Heritage, Government of Canada, August 2019

31. A Joint Submission by various arts organizations, Parliament of Canada, House of Commons, Standing Committee on Finance, Enhancing economic growth and donor engagement through Canadian Heritage’s Canada Cultural Investment Fund – Endowment Incentives Component