San Francisco’s (CCA) has secured short-term financial stability through a $45 million fundraising campaign, alleviating an urgent budget deficit that had prompted fears of layoffs and a potential merger.
The campaign’s success hinged on a matching gift from the Jen-Hsun and Lori Huang Foundation, which doubled the $22.5 million raised by over 50 donors, including trustees, former board members, and alumni. Jen-Hsun “Jensen” Huang, Nvidia’s cofounder and CEO, structured his contribution to encourage broader support.
CCA’s financial struggles emerged after a one-third drop in enrollment since 2019, contributing to a $20 million budget gap. In response, the institution cut 23 jobs—10 percent of its staff—and eliminated open positions totaling an additional 4.5 percent of staff roles. This turbulence coincided with the completion of a $123 million campus expansion, designed by Studio Gang, which added 82,300 square feet of studios, classrooms, and exhibition space.
Adding to CCA’s woes, the school recently settled a lawsuit with former faculty member J.D. Beltran, who alleged wrongful termination after exposing financial mismanagement. Among her claims was the disappearance of nearly $180,000 in earmarked funds for the Center for Art and Public Life.
Despite the school’s proximity to Silicon Valley, CCA’s board has limited tech representation, with just two members from the sector. The board is led by Lorna Meyer Calas of Merrill Lynch and Calvin B. Wheeler of Kaiser Permanente. The institution remains highly dependent on tuition and housing revenue, which account for 85 percent of its $75 million operating budget. Its $40 million endowment generates just $2 million annually. Enrollment stood at 1,400 in fall 2023 and is projected to drop to 1,250 this year.
CCA’s challenges mirror broader instability in art education. The San Francisco Art Institute filed for bankruptcy in 2023, and Pennsylvania Academy of the Fine Arts and the University of the Arts, both in Philadelphia, have announced closures. Nationally, MFA program enrollment has declined after years of growth.
David Howse, CCA’s president, described the Huang donation as a “transformational milestone,” stressing that the funds do not resolve the school’s long-term financial position. CCA is now trying to raise additional money to strengthen academic programs, faculty, and infrastructure, to attract more students and ensure sustainability.
Credit: www.artnews.com
