A payroll tax imposed on and collected by Brazilian companies to
finance arts groups means that as the work force of nearly 200
million people expands, so does the organization's budget.
All over the world, cultural organizations are tightening budgets
and paring back productions. But Danilo Miranda faces a different
challenge, making him the envy of his peers: As the director of
Brazil's leading arts financing entity, his budget is growing 10
percent or more annually, and he must figure out ways to spend that
bounty -- $600 million a year.
Standing at the window of his office here one afternoon late last
year, Mr. Miranda pointed to one of his group's most ambitious
initiatives. In the courtyard below, the avant-garde French troupe
Theatre du Soleil, based in Paris and led by Ariane Mnouchkine, was
erecting a giant tent where it would begin a tour of Brazil.
Mr. Miranda's organization, SESC, a Portuguese abbreviation for
Social Service of Commerce, is also strengthening ties with U.S.
artists. It sponsors a jazz festival in conjunction with Nublu, the
New York record label; has signed an "institutional partnership"
with the Spanish-language TeatroStageFest company; and has presented
work by the musician David Byrne, the salsa drummer Bobby Sanabria
and the director and playwright Robert Wilson. Mr. Wilson, whose
works include the operas "Einstein on the Beach" and "The Civil
Wars," is discussing a long-term collaboration with SESC, as is the
Globalfest showcase of world music held in New York every January.
"Our fundamental guiding principle is to use culture as a tool
for education and transformation, to improve people's lives, and
we're in a position to fulfill that mission, thank God," Mr. Miranda
said. "Over the last decade, our budget has been doubling every six
years or so. It's incredible, no?"
SESC owes its enviable position largely to a financing model that
its leaders believe is unique in the world. A private, nonprofit
entity whose role is enshrined in the Constitution, the organization
derives its budget from a 1.5 percent payroll tax imposed on and
collected by Brazilian companies, so as the work force in the nation
of nearly 200 million expands, so does the organization's budget.
In the United States and Europe, the economic crisis has prompted
severe cutbacks in government and business financing of cultural
undertakings. But the Brazilian economy, now the world's sixth
largest, grew 7.5 percent in 2010 and just under 3 percent last
The labor force has been growing even faster. Abram Szajman, who
in his capacity as the president of the Sao Paulo state chamber of
commerce also oversees SESC's regional council, estimated that
receipts from the payroll tax increased 10 to 12 percent last year.
"Brazil is growing, and so our needs, and those of our workers,
are also growing," he said. "They want access not just to sports and
health facilities but also to art, music and other cultural
activities, whether from Brazil or abroad, and that's part of our
The group's big push may not have registered yet with arts
consumers outside Brazil. But its emergence as a global force has
not gone unnoticed by artists or the people who pay for their work.
"The Brazilians are rolling in money," said Jennifer P. Goodale,
director of the Trust for Mutual Understanding, which works with
Eastern European and Asian countries on cultural exchange programs.
"What with the Olympics and all, it's their turn, their time."
SESC is not the only entity making an effort to expand its
activities and to raise Brazil's cultural profile internationally.
The Brazilian Foreign Ministry and states and cities have programs
to assist musicians' tours abroad and promote films and other works,
and the national government is looking at ways to strengthen a 20-
year-old law that gives tax breaks to corporations that finance arts
"The cultural dynamism, the monetary stability, the process of
social inclusion -- all of that makes Brazilian culture a very valid
pathway for the exercise of soft power, a way to make our society
better known and better understood by others," said Celso Lafer, a
former foreign minister who is also an author and a member of the
Brazilian Academy of Letters. …