The County Board approved a $250,000 grant for Signature Theatre (4200 Campbell Avenue) during its meeting on Tuesday.
The Board discussed the matter in a closed session before unanimously approving it. According to County Attorney Stephen MacIsaac, it is standard procedure for the Board to discuss a grant behind closed doors. The grant agreement will be made public once the county attorney finalizes it.
County Manager Barbara Donnellan said the grant will help bring the theater current with real estate taxes owed to the county. Funding for the grant was provided from budget savings identified at the end of Fiscal Year 2012.
The Arlington County Department of Management and Finance indicates the grant includes around $85,000 for past due real estate and business tangible taxes, $99,000 for the next two payments of real estate taxes and around $30,000 for the next business tangible tax payment. The remaining $35,000 will either help fund a financial consultant study or go to future tax payments.
Signature Theatre has sole access rights and branding capability in its current space within a county owned building. It is responsible for the full costs of operating that facility, including real estate and business tangible taxes. Other county supported arts groups performing in county subsidized spaces are not required to pay taxes.
“Signature is thriving, and has a great future ahead of it,” Donnellan said. “This grant addresses an immediate, short-term need by providing temporary relief from a tax burden that is not shared by other supported arts groups.”
The county emphasizes that the theater is a cultural anchor for Shirlington and provides financial benefits to the community. It estimates that more than $150,000 in annual sales and meals taxes can be directly attributed to Signature’s presence in Shirlington.
Signature faced several debt-related lawsuits in Arlington General District Court last year, including claims from Waste Management, Conde Nast Publications and the Delancey at Shirlington Village apartment building. The Waste Management and Conde Nast claims were eventually dismissed. The court ruled in favor of Delancey at Shirlington Village.
County Treasurer Frank O’Leary told the Sun Gazette that Signature was delinquent on its real estate and business taxes.
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