PROVIDENCE – Plans to bring WaterFire back for a shortened 2021 season are back on the table after the Providence City Council announced funding for the arts organization in a statement on Monday night.
The decision comes after the city Finance Committee last week approved a spending plan for some its federal stimulus money that did not include the funds WaterFire Providence requested, prompting outcry among the local business community. WaterFire organizers said the season – and the organization’s existence – were in jeopardy without the funding.
“We have heard loud and clear that we need to help spark Providence’s tourism and hospitality sector, and the relighting of WaterFire’s braziers will do just that, bringing tens of thousands of visitors to enjoy a beautiful evening outside, stay at our hotels, and dine at our world-class restaurants,” Council President John J. Igliozzi Jr. said in a statement.
The $300,000 requested from the city was intended to rehire staff, with an additional $400,000 requested from R.I. Commerce Corp. to replace braziers removed during river dredging and – most importantly – signal to sponsors that the time to pony up, Mello said.
In a separate meeting Monday of its board of directors, R.I. Commerce announced it would give $300,000 to the organization – $150,000 in support now, and another $150,000 at a later date, according to Stefan Pryor, the agency’s secretary of commerce.
No vote was needed for authorization, as the funds will come out of the agency’s marketing budget.
Although the Commerce funds are $100,000 shy of what WaterFire asked for, Barnaby Evans, co-executive director for WaterFire, said in statement that funding will be enough to revive the renowned riverfront events for 2021.
“WaterFire is back, and we thank the City Council for this funding and for being such a dedicated partner for many years,” Evans said.
The city funding comes from the first tranche of what the city expects to be $164 million from the American Rescue Plan Act; the remaining funds will be spent based upon recommendations from a special committee. The initial spending plan includes $16 million to balance the city budget with another $26 million for “critical” needs including summer camps and youth jobs, a visitors center at Roger Williams Park plus funding for small businesses and “homelessness interventions.”
Mello said earlier on Monday that he had been “blindsided” to learn during the City Council Finance Committee meeting that the funding had been removed. City Treasurer James Lombardi explained the decision during the meeting as a matter of prioritization, adding that the organization has benefited from city tax breaks on its properties and fee discounts. Lombardi also said the state, not the city, realizes most of the benefits through sales taxes.
“In regards to need, I just don’t see it … at this point,” Lombardi said at the meeting.
Mello was not the only one to take issue with this view. Councilwoman Helen Anthony during the meeting cautioned about the repercussions for the downtown business community.
“The streets are empty,” Anthony said. “I wouldn’t want us to turn our backs on struggling businesses.”
Kristen Adamo, president and CEO of the Providence Warwick Convention & Visitors Bureau, called the event the “essence of our brand as the creative capital.”
Aside from the Rhode Island Convention Center, WaterFire lightings are the biggest revenue-generator for the city, Adamo said, and one that’s critical to bringing the still-struggling tourism and events industry back to its pre-pandemic glory.
Stephanie Fortunato, director of the city’s Arts, Culture + Tourism Department, also highlighted the economic impacts of the events, particularly for local hotels which have in past years reported 90% occupancy during weekends with WaterFire lightings.
“Once they announce the schedule, that’s when reservations begin,” she said.
That means the organization needs the funding now, Mello said. The process of hiring and training staff, setting up infrastructure and announcing a schedule that makes the still-absent sponsorships start rolling in takes several months.
“It’s not just a matter of flicking a switch,” Mello said in an interview on Monday.
The organization had already extended its runway to the max, relying upon previous rounds of stimulus funds, R.I. Commerce grants and maxing its credit limit to survive 2020 with most of its still-employed workers on the state workshare program. But that can’t last, nor does a scaled-down, cheaper version make sense, according to Mello.
“WaterFire is an art piece that needs to be done at a certain scale to do its work, which is to fill hotel rooms, fill restaurants,” he said. “It’s not the same when you scale it down.”
The full City Council will vote on the stimulus funds spending plan on Thursday.
Updates throughout to include details of the funding announcements from the Providence City Council and the R.I. Commerce Corp.
Nancy Lavin is a PBN staff writer. PBN staff writer Cassius Shuman also contributed to this report.
