A Texas Arts Commission feels the heat. (News).

Don't mess with modern dance. Especially in Texas. Earlier this year, the Austin Arts Commission attempted to disqualify Sharir + Bustamante Danceworks, a respected modern troupe, from City of Austin subsidy. Instead, the commissioners brought down the wrath of the Austin arts community, as well as city and state leaders. Their actions may result in an overhaul of the decades-old commission system in Austin.

It all began in early 2001, when Cindy Goldberger, managing director of Sharir, received notice of ineligibility from the city's cultural division because of a seemingly minor change in application guidelines for Austin's $3.7 million cultural-contracts program. Meant to disqualify college class projects, the new rule made "resident" arts groups at schools ineligible. Trouble was, Sharir, among the most admired dance troupes in the state, had been in residence at the University of Texas for years. To be sure, it receives no cash from the university, but the company benefits from access to free rehearsal and stage space. Also, Artistic Directors Yacov Sharir and Jose Bustamante have taught at UT; Sharir is on the permanent faculty.

No matter, said the commissioners. Even though the city had granted Sharir an average of $50,000 annually in the past, it would do so no longer. Several contentious public meetings that were scheduled to resolve the ineligibility crisis--which everyone agreed was originally inadvertent--bogged down in bureaucratic minutiae. The commissioners stood their ground through the spring and summer. "We can't turn back the hands of the clock," said Austin Arts Commissioner Eduardo Benavides. This inspired widespread accusations of arrogance and ignorance from Austin artists.

It did not help that other longtime, distinguished groups felt shortchanged during the 2001 granting process; some were recommended for large cuts at a time when social-service-minded artists received more than 200 percent augmentations. (For instance, the commission's dance panel advised that Ballet Austin's subsidy fall from $69,500 to $53,000. This, despite a banner year with multiple premieres from new Artistic Director Stephen Mills. In contrast, Theatre Action Group, which performs behavior-modification playlets in area schools, received a 228 percent increase.)

"They should be arts advocates, but they have turned into adversaries," said Goldberger about the commissioners. "They have absolutely no respect for the arts community."

As key commissioners dug in over the summer, failing to return calls and emails from the press and even from city council members, Goldberger and allies also refused to back down, complaining to state and city leaders of favoritism and unequal treatment. The Texas Commission on the Arts responded by initiating a formal investigation of "irregularities" in the Austin arts agency. The state commission was particularly concerned with the unexplained disqualification of Sharir and low attendance at arts events by peer panelists, the expert evaluators who advise the Austin commission. It made a point of withholding more than $150,000 in pass-through grants while the inquiry continues.

Meanwhile, the Austin City Council launched its own inquest. An angry council member, Jackie Goodman, called for a comprehensive audit and, perhaps, a complete overhaul of the city's commission system. Goodman said the goal of the audit was "to do away with perceptions of political favoritism, undue influence, and circumvention of a fair and equal review for all applicants." She promised that the council would find $50,000 for Sharir from non-commission sources, although she also insisted the commission formally reinstate the dance company.

Finally, toward the end of August, the Arts Commission, under heavy fire from the council, agreed to reinstate Sharir on a 3-2 vote--which, under current rules, makes it eligible for future commission funding. But this year, since the commission has already awarded its allotment, funds for the company will come from non-commission sources.

"The last thing we want to do as commissioners is to appear insensitive to artists," said Benavides, who voted against the reinstatement. "I was simply trying to make sure that someone didn't come back and sue the city because we didn't follow guidelines. I feel tortured by this and made out to be someone I'm not. I'm happy that they are going to get funded by the City Council."

This is not the first time the Austin Arts Commission has been accused of partiality. During the 1980s, small groups and individual artists protested that the agency favored larger, more traditional companies. In reaction, a concerted effort during the 1990s put the funding focus squarely on ethnic equity, social service, and individual artists. It appears that some think the commission went too far.

"Maybe some good will come from all this," Goldberger says. "The process needs to work for everyone. Right now, it doesn't."