California state budget cuts will mean a 50% drop in grants to arts groups statewide, from $16.4 million to about $8 million. Although the state arts agency budget is a “relatively modest item among the $20.7 billion in cuts proposed by Davis for 2003-04, the effects, would be dramatic among nonprofits that have already seen donations falter from foundations, corporations and individuals. ‘People will have to close their doors. Artists will lose their jobs’.”