Almost two dozen DeKalb businesses back Egyptian Theatre’s $75K ARPA funding request from city

DeKALB – A request made by the Egyptian Theatre this month is drawing some support from almost two dozen area businesses urging DeKalb city leaders to extend $75,000 in American Rescue Plan Act funding for the theater.

The Egyptian Theatre’s request comes on the heels of pandemic-related shutdowns in 2020 and 2021 that forced many theaters to be inoperable for about 15 months, with the exception of several months when social distancing was instituted and made it more expensive to operate, according to city documents.

The funding is being sought for unrestricted operational use, which the theater’s executive director, Alex Nerad, said could be used in part to create a way for the venue to establish a minimum ticket revenue to draw larger acts that may be inclined to perform should they have dates lined up in close succession in Chicago or another community venue.

According to an Aug. 18 letter submitted to the city by Preservation of Egyptian Theatre Inc., the theater had to cancel or reschedule 185 shows during the height of the shutdowns. That equaled a projected attendance loss of 55,580 and $1.5 million in lost revenue, according to the letter.

However, the nonprofit organization didn’t disclose publicly when it made the request during an Oct. 10 DeKalb City Council meeting that the theater already had received some federal funding assistance during the COVID-19 pandemic.

According to city documents released ahead of Monday’s City Council meeting, the theater received $687,989 from the federal Small Business Administration’s Shuttered Venue grant program, and $92,181 in Paycheck Protection Program loans.

More on the funding request is expected during Monday’s council meeting, which is set for 6 p.m. in the Yusunas Room of the DeKalb Public Library, 309 Oak St.

Fifth Ward Alderman Scott McAdams said some residents who live in his ward aren’t racing to support the funding request.

“I’m finding that 5th Ward residents are very skeptical about the use of the money,” McAdams said. “Everybody loves the Egyptian Theatre. That’s true. But they’re not open to just an open checkbook.”

McAdams said he’s not yet taken a side on the matter.

“I’m not leaning toward it because I want to hear more information,” McAdams said.

But 2nd Ward Alderwoman Barb Larson said she takes no issue with the theater already having received federal funding assistance during the COVID-19 pandemic.

“The city as a whole gets money from all different sections of state and federal government,” Larson said. “I guess I look at those other grants that the Egyptian got money from all of them where available. It wasn’t like you either had to apply for this or that.”

Larson said the theater’s impact on the community is evident and is felt greatly.

Almost two dozen letters of support submitted by area businesses to the city indicate their support of the theater’s funding request, citing its community impact and ability to attract tourists and foot traffic downtown. Some businesses issuing support of the theater include Byers Brewing Co., OC Creative, Sharp Architects, Keg & Kernel by Tangled Roots Brewing Co., Shaw Media, Hillside Restaurant, The Confectionary, DeKalb Corn Fest, Hometown Sports Bar & Grill and Insomnia Cookies.

“I think some of the people who will come and talk on Monday, it’s not just the restaurants downtown,” Larson said. “In fact, there’s very few because there’s so many other people that want to get up and talk about what the Egyptian does. They’re kids for jazz band concerts, for dance recitals, for kids that are in wheelchairs. I mean, things like that, that it’s like if they’re not there to do it for free, all these events will be gone, and that’s very sad.”

Another nonprofit theater group, Stage Coach Players, also is seeking a portion of the city of DeKalb’s America Rescue Plan Act funds. The group has requested $25,000 for unrestricted operational use, records show. City documents state there’s no record that the Stage Coach Players received previous federal business support in the pandemic era.