On Sunday evening, the Washington Post reported that the Kennedy Center administration told its board that the arts institution is on the brink of bankruptcy — and that it might be forced to close as soon as Tuesday. Both the majority of the center's administration and board were selected by President Trump.
The document detailing this plan, whose existence NPR has confirmed, was issued ahead of a board meeting slated for Tuesday. That's the same day as a status hearing set by Judge Christopher Cooper, who is overseeing the federal lawsuit brought by Rep. Joyce Beatty to stop the renaming of the center to honor Trump last December. The Democrat from Ohio is an ex-officio member of the Kennedy Center board.
The status meeting previously scheduled by Cooper is essentially to set more deadlines and court dates. But critics of the Kennedy Center's administration said the timing of this report may not be a coincidence.
On Monday, Beatty filed two board resolutions with the court. One says it is planning to shut down the center immediately, calling it unsafe for continued occupancy. In a document accompanying the board resolutions, however, Beatty claims that the construction consultants the board brought in have never said any such thing. The board also says the Kennedy Center is in such a "precarious fiscal position that it will not be able to support its payroll obligations, nor routine maintenance contracts within a matter of weeks."
In the meantime, most of the center's staff have either been fired or departed, but those who remain are largely loyal to President Trump. Most of the Kennedy Center board was handpicked by the president, who now serves as its chairman.
On Sept. 5, the center's administration said that a portion of the ceiling in the main building's grand foyer collapsed due to rain damage. The Kennedy Center's argument regarding the institution's financials are that the center is in dire shape, and that President Trump is the only person who can fundraise at such a massive scale or successfully oversee such an extensive renovation project – and as such, he deserves his name to be on the building, just like how big donors at hospitals and universities, for example, get to see their names on prominent display.
The Kennedy Center did not respond to NPR's requests for comment on Monday.
Commerce Secretary Howard Lutnick — whose wife, Allison Lutnick, was named to the Kennedy Center board in Feb. 2025 — made that argument last month outside of a court hearing in the Beatty suit. Lutnick said: "Basically, it would cost four or $500 million if you do it over time or it'll cost $257 million if President Trump is the construction manager. He has the power and he has the expertise to get this done. He is the greatest builder in the world. And he will get it done on time and on budget."
Nevertheless, the institution faces real challenges. Large, legacy, not-for-profit institutions like the Kennedy Center generally depend on a balance of earned revenue, philanthropic giving and some amount of government grants.
The last president of the Kennedy Center, former Ambassador Richard Grenell, tried to insist that every performance be revenue-generating or at least revenue-neutral. Its current president and CEO, Matt Floca, was elevated from his position as head of facilities for the Kennedy Center. He has no experience in artistic direction, fundraising or arts administration, unlike his peers at similar centers across the country. No one else on the board has any known experience with similar performing arts institutions, either.
Both artists and audiences have fled the Kennedy Center over the past year plus, saying that it's become politicized under Trump. Its live event calendar is a small fraction of what it used to be. Donations have also dried up. It's unclear whether or not Trump's further imprimatur would change the situation.
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