Dr. Phillips sees drop in overall revenues
Tax records show earnings fall as costs, salaries rise, including $551K to president
Stung by last week’s scathing resignation letter of a key member of its board of directors, the Dr. Phillips Center for Performing Arts revealed in new IRS records Monday that overall revenues fell $12 million in tax year 2017 while expenses and salaries rose, topped by more than $551,000 in compensation for the venue’s president.
The financial details are included in tax documents provided to the Orlando Sentinel by Dr. Phillips Center for Performing Arts, Inc.
Kenneth D. Robinson, president of Dr. Phillips Charities which has donated $35 million to the center, resigned July 22, listing a multitude of issues, including a dispute over naming rights, concerns about the long-term financial viability of the venue and funding uncertainty to complete Steinmetz Hall, the center’s third and final theater.
The downtown crown jewel, now estimated to cost $604 million, was where mourners gathered to heal after the Pulse massacre three years ago.
It played host for 19 days to soldout performances of mega Broadway hit “Hamilton” this year and has touted itself as the future home of the Orlando Philharmonic, the Orlando Ballet and Opera Orlando, though leaders of those local arts groups say they are being priced out of the Dr. Phillips Center by proposed rent for performance space.
The center and the local groups hit an impasse in rent negotiations last week, and a deadline to strike a deal was pushed back from July to sometime in the fall.
The center’s overall revenues fell from $53.6 million in 2016 to $41.7 million in 2017 while expenses rose from $34.4 million to $37.2 million over the same span, according to the center’s most recent 990 tax form, which the Internal Revenue Service requires nonprofit groups to file annually.
The arts center contends that if money raised for a special capital construction campaign in 2016 is excluded, the center’s revenue has actually increased in 2017.
Salaries increased slightly from $8.2 million in 2016 to $8.4 million in 2017, topped by center president Kathy Ramsberger’s $400,357 in base pay, a $67,370 bonus and $83,375 in other compensation.
Her compensation is far less than reported pay of $797,906 for Judith Lisi, CEO of the Tampa Bay Performing Arts Center, which operates the David A. Straz Jr. Center for the Performing Arts, but similar to compensation packages for CEOs of other performing arts venues in Florida.
The CEO of the Kravis Center in West Palm Beach makes $504,000 in salary and benefits and the CEO of the Performing Arts Center Trust, Inc., which operates the Adrienne Arsht Center in Miami-Dade County, makes $476,906 plus benefits.
But her compensation exceeds pay for many Orlandoarea nonprofits, including the CEOs of OneBlood ($483,164); Heart of Florida United Way ($345,344); Goodwill Industries of Central Florida ($293,000); and Second Harvest Food Bank ($276,114), according to the most recent 990 forms available online for those nonprofit groups.
Ramsberger didn’t immediately respond to a reporter’s request for comment.
The center’s chief financial officer Cecilia Kelly received $247,000, including a salary of $193,000 and benefits. Five other executives made more than $150,000.
Reached by email Monday, Jim Pugh, chairman of the center’s board of directors, said he was in transit outside of Florida and unable to field questions while traveling.
Robinson didn’t return a call for comment.
His resignation letter spelled out concern about the disagreement between the center and Resident Arts Organizations, the Orlando Philharmonic and Orlando Ballet.
“The Dr. Phillips Center was built with these organizations in mind and were specifically named in the city agreement,” he wrote. “Much of the funding (including ours) was provided to the Dr. Phillips Center with the Resident Arts Organizations in mind. These organizations have made great strides over the past several years to prepare for the move to Steinmetz Hall and they are entitled to fair rates, preferred dates and respectful treatment, anything less dishonors the City’s and the donors’ intent.”
Robinson’s letter referred to the original 2007 agreement between the city of Orlando, its Community Redevelopment Agency and the arts center. The city agreed to buy the land for the building, which it owns, and the center agreed to abide by a mission statement that in part says it will provide a venue for the performances of the Orlando Philharmonic, Orlando Ballet, Opera Orlando or any of their successors.
The agreement also specifies the center alone is responsible for booking performances and arranging terms of contracts and rentals.
For arts groups, Robinson’s resignation was disappointing, said Orlando Ballet Executive Director Shane Jewell, hopeful they can yet strike a deal to use the center.
“Our focus is on a shared goal to reach an agreement that is fair and supports the public’s access and growth of our performing arts community,” he said.