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The Liepaja Theater needs to make more detailed calculations of the impact of Covid-19 on its operations

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In order to discuss the possibilities for stabilizing the financial situation of Liepāja Theater, on Friday the Ministry of Finance had invited representatives of the Ministry of Finance, Deputy Chairman of the Liepāja City Council on Culture and Sports Ati Deksne (LRA) and Liepāja Theater Director Herberta Laukšteina.

Liepāja Theater is the only professional theater whose legal status is local government and not a state capital company, therefore it is not possible to directly receive funding from the Ministry of Culture to reduce the negative consequences of Covid-19 – the Ministry of Culture cannot provide the theater with equivalent support pointed out Kokale.

During the meeting, the Secretary of State of the Ministry of Culture Dace Vilsone emphasized that the state support provided to the cultural organizations affected by the crisis does not compensate for the losses caused by Covid-19, but helps them to stabilize their financial situation. Therefore, the management of Liepāja Theater was also asked to make calculations on the impact of Covid-19 and submit them to the Ministry of Culture for evaluation.

During the conversation, the manager of Liepāja Theater Laukšteins expressed his readiness to apply for support from the State Cultural Capital Fund (SCCF) in order to apply for funding for the preparation of the started and new theater productions. Deksnis, Deputy Chairman of the Liepāja City Council for Culture and Sports, expressed the municipality’s commitment to ensure the continuation of the theater, informing that the municipality will review the activities of all its capital companies and decide on the necessary support in August.

The parties are scheduled to meet again in the second week of August, Deksnis said. He said that the Ministry of Culture had asked the management of Liepāja Theater to fill in a questionnaire, which was also filled in by the state theater for support. After the submission of information, the situation of Liepāja Theater will be assessed by looking analogously to other state theaters.

In order to attract funding to Liepāja Theater from SCCF support programs, the municipality is given the opportunity to participate in only one of them, at the same time several support programs are available for state theaters, Deksnis pointed out, emphasizing that the municipality will evaluate specific support opportunities and mechanisms for the theater at that time. when it is possible to understand what exactly the support from the state is.

Liepaja City Council Deputy Chairman for Culture and Sports said that it was nice to hear that the ministries are ready to look for possible solutions and will not leave the municipality alone in the current situation, all the more so because more than ten years ago the municipality took care of the theater when it was difficult for the state to do so.

“Although no concrete confirmation of support has yet been given, the promise to go deeper into the current situation gave hope that we would find solutions together. We agreed that further talks were needed in the near future, as any timeframe the ministries wait for to the preparation of the survival scenario of Liepāja Theater, “explained Deksnis.

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It has already been reported that in case Liepāja Theater does not receive financial support to eliminate the consequences of the Covid-19 crisis, it may have to be suspended already in October. Liepāja Theater is a municipal capital company, therefore it did not receive financial support from the government to eliminate the consequences of the crisis caused by Covid-19.

Daiga Kļaviņa, Adviser to the Chairman of the Liepāja City Council on Public Relations, pointed out that it is expected that a meeting of the Saeima Education, Culture and Science Commission could take place in the near future, where specific possible support mechanisms for the Liepāja Theater will be decided.

After the meeting with the representatives of the Ministry of Finance, the Ministry of Culture and the deputies of the Saeima Education, Culture and Science Commission and their decisions, further action steps will follow, namely the Liepāja Theater and local government talks on possible support and further action scenarios.

Kļaviņa emphasized that in August an assessment of the financial flows and general situations of all Liepāja city municipal capital companies will be performed, including the Liepāja Theater, which will additionally submit a forecast for operations by the end of the year.

According to the submitted financial flow and forecast, the municipality together with Liepāja Theater will outline specific scenarios of the “survival” plan, assembling the theater’s possibilities with the possible support of the municipality and other possible solutions.

In addition to the existing budget, Liepāja City Municipality will support the Liepāja Theater concert performance “Looking for Actors”, which will take place on August 1. Thus, trying to stimulate the creative spirits of the theater and the continuity of activities, Kļaviņa added.

Deksnis, Deputy Chairman of the Liepāja City Council for Culture and Sports, pointed out that for the time being the Liepāja Theater is the only theater in Latvia that is not a state capital company and has not received financial support due to this fact.

“There was a reasonable hope that the provision of support would not be judged by the state or local government of the theaters, but by the need to provide support to cultural heavyweights in Latvia affected by the emergency,” Deksnis said. have become the sole problem of Liepāja municipality. Deksnis expressed the hope that the work invested by the local government will result in the rational provision of support from the state to the field of culture in general, without assessing the principle – the state or local governments.

Herberts Laukšteins, Chairman of the Board of SIA “Liepājas teātris”, previously pointed out that everything possible has been done in the theater to reduce expenses. 30% of all full-time employees have become unemployed. “If there are no shows, then there are no jobs for the stage workers. We are still trying to employ actors with various projects in the virtual environment, but we do not earn any revenue from them so that the theater can work properly,” the chairman of the board described.

He stressed that the theater owes spectators 88,000 euros for purchased tickets to missed performances. In order to return this debt to the audience, the actors would have to play several performances in a row every day, which is unrealistic, admitted Laukšteins.

According to the information of “Firmas.lv”, the turnover of SIA “Liepājas teātris” last year was 775 618 euros, which, compared to 2018, had decreased by 3%. The company’s losses last year reached 30,865 euros, in previous years the company was operating at a small profit.

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