(The Center Square) - The nonprofit Los Angeles Opera Company (LA Opera) has reported accepting more than $27 million in government grants over the past decade while spending roughly $33 million on executive compensation, according to data from IRS tax returns. Another executive received more than $7 million through LA Opera’s contract with his production company, plus personal-use housing and first-class travel.
Free money has become a familiar refrain for the nonprofit after reporting at least $1 million in government grants in eight out of the last ten years. Audited financial statements show the nonprofit received $2.45 million in taxpayer-funded grants during the most recently-reported fiscal year.
President and CEO Christopher Koelsch received $974,878 in compensation plus $26,200 in “other compensation” during the fiscal year ending June 2025, putting his total reported compensation just over $1 million from LA Opera.
But his high salary was hardly a solo performance. Executive Vice President and Chief Strategic Officer John Nuckols was paid nearly $511,000. Vice President of Artistic Planning Rupert Hemmings received more than $353,000. Vice President Diane Rhodes Bergman was paid nearly $315,000.
One year earlier, Koelsch received more than $1.2 million. The organization as a whole reported $3.7 million in executive compensation that year and another $3 million the following year.
According to LA Opera’s tax returns, the organization has also provided first-class travel and "housing allowance(s) or residence(s) for personal use," including for LA Opera Music Director James Conlon.
Although Conlon is technically paid $0.00 by the nonprofit, he has received approximately $7,283,697 in compensation through LA Opera’s contract with Amadeus Music Productions over the past decade.
General Director Plácido Domingo also received first-class travel until tax year 2019. Domingo resigned that year during a sexual harassment investigation.
For years, government funding and high salaries have prompted a predictable chorus of criticism.
Watchdog groups question why taxpayers should subsidize art institutions that “cater to the tastes and interests of cultural elites” when they are already capable of raising tens of millions of dollars from private donors.
“Taxpayers should not be robbing bus drivers and plumbers to pay strapped actors and photographers,” said Tom Schatz, president of Citizens Against Government Waste, via press release. “Markets, not government, can and should decide Americans’ appropriate level of arts consumption.”
The nonpartisan Cato Institute has described taxpayer spending on opera houses and museums as a “fundamentally unfair transfer of wealth from the lower classes up,” arguing lower-income people are not interested in the kind of entertainment they’ve been forced to support. Ryan Bourne, an economist at the Cato Institute, published a paper on the topic in 2025.
“If art is popular, it doesn’t need a subsidy — it thrives on its own,” he wrote. "What inspires one person may bore or offend another. There’s no proof these supposed benefits boost public welfare or productivity — and no good reason taxpayers should be forced to fund art they don’t value.”
LA Opera Communications Director Marlene Meraz did not respond to multiple requests from The Center Square for comment on the nonprofit’s receiving of government funds and large compensation packages.
According to its tax filings, LA Opera promised to provide copies of its governing documents, tax exemption letters, and conflict of interest forms upon request. The nonprofit has not done so despite a request from The Center Square.
Behind the curtain
Los Angeles County’s Arts & Culture Organizational Grant Program allows nonprofits of any size to apply for taxpayer money. Its largest category — “OGP 4” — is specifically for nonprofits with an annual budget of $15 million or more.
LA Opera received an $86,200 county grant for the 2025-2026 grant cycle.
A review by The Center Square has found Los Angeles County does not consider whether a nonprofit actually needs help from taxpayers to be able to afford its projects.
Instead, applications are scored “by a peer review panel that reflects the diversity of the region” on a 100-point rubric that looks at five criteria.
The scoring system awards a maximum of 35 points for the organization’s “artistic quality,” 15 points for “managerial excellence,” 20 points for the quality of the “project plan,” five points for the quality of the “project evaluation,” and 25 points for addressing “community needs.”
“Managerial excellence” is defined by the organization’s ability to effectively raise money from diverse sources. The nonprofit is also rewarded for having large cash reserves or endowments, according to the guidelines.
In other words, nonprofits are more likely to receive taxpayer money if the organization has already demonstrated an ability to raise large sums of money from private donors.
LA Opera appears to be exceptional at raising money. Its latest audited statements show the nonprofit reported nearly $29.7 million from foundations, corporations, and individuals during the fiscal year ending June 2025. LA Opera finished the year with $89 million in net assets.
California has taken a different approach in several of its newest grant programs. The California Arts Council's “General Operating Support” grant program limits the spending of taxpayer dollars to organizations with an annual revenue of $1.5 million or less. Another grant program called “Impact Projects” requires an annual revenue below $3 million. LA Opera would be way too large to qualify for either of those grants. It reported more than $50 million in revenue on its latest tax return.
Los Angeles County is also more likely to award taxpayer money to a nonprofit with a $15-plus million budget if it takes steps to “to integrate and reflect the values of cultural equity and inclusion (CEII), highlighting any progress or efforts made over the last two or more years.”
The county offers a free CEII workshop for applicants who “need help to prepare for this requirement.”
Los Angeles County does not appear to consider the high salaries of nonprofit executives before awarding taxpayer dollars, according to the scoring criteria.
COVID subsidies hit high notes
A large portion of LA Opera’s government assistance came after the COVID-19 pandemic.
According to the nonprofit’s auditors, LA Opera received a $4.1 million Paycheck Protection Program (PPP) loan in April 2020 and another $2 million in March 2021. Both loans were ultimately forgiven. LA Opera accounted for the forgiven loans as government grants. The U.S. Small Business Administration (SBA) also awarded LA Opera a $7.6 million Shuttered Venue Operators Grant in 2021. The SBA has not responded to a request for comment.
More recently, LA Opera's auditors reported $1.37 million from the Federal Emergency Management Agency (FEMA) during the fiscal year ending June 2025.
The nonprofit also reported receiving $660,570 in FEMA grants the year before. Although the payments continued for years after the pandemic ended, LA Opera’s auditors indicated the FEMA money was a reimbursement for COVID-related expenses incurred in earlier years. FEMA took years to finish reviewing and approving reimbursement for some of LA Opera's pandemic-era expenses.
FEMA has not responded to a request for comment.
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