Sarasota County commissioners approved $2.1 million in tourist-tax arts grants to 33 organizations on Aug. 26. Urbanite Theatre forfeited its $40,230 allocation rather than sign a new diversity, equity and inclusion (DEI) acknowledgment form tied to state law.

Urbanite was the only group among 34 recommended grantees that declined to sign the form, which the Arts and Cultural Alliance of Sarasota County circulated to applicants this year. The acknowledgment cites Senate Bill 1134, signed by Gov. Ron DeSantis in April 2026 and effective Jan. 1, 2026. The law bars counties from spending public money on DEI initiatives.

Commissioners redistributed Urbanite's share equally among the remaining 33 organizations, according to the Your Sun.

Mast presses Hersh on Urbanite's inclusion

The theater's name still appeared on the recommendation list that Alliance CEO Brian Hersh presented to commissioners, even though Urbanite had already refused to sign. Commissioner Teresa Mast pressed Hersh on the inclusion.

"If you are not willing to comply with what those requirements are, then why are you even in the batch to be proposed for funding?" Mast said.

Commission Chairman Ron Cutsinger also sought clarification. Hersh then submitted an updated list excluding Urbanite and redistributing its funds. Commissioners approved the revised slate.

Hersh said in a post-meeting statement that the DEI contract language was added after the Tourist Development Council had already reviewed and recommended the grantees. County spokeswoman Emily Blaine said the county did not direct the Alliance to send the acknowledgment form but that the Alliance has authority under its contract to administer the grant program.

Urbanite defends decision on ethical grounds

Urbanite marketing director Hannah Levite said in a written statement that the theater was not comfortable signing the compliance requirements and called the decision morally right. Co-founder and producing artistic director Summer Wallace told Sarasota Magazine before the vote that she believed Urbanite could technically comply but that "it goes into the matter of ethical theater making."

Wallace told Sarasota Magazine that Urbanite was projecting a financial loss for the coming year and scrambling for donations after forfeiting the grant.

How the grant program and law work

The grants are funded by the county's Tourist Development Cultural/Arts program, which uses tourism tax dollars to support cultural events, exhibitions and performances that draw visitors. The Arts and Cultural Alliance administers the program, and the county's Parks and Recreation Department oversees the contracts.

Because the grants are reimbursement-based, the department would determine whether any funded group violated SB 1134, county spokesman Josh Taylor said.

The law defines DEI broadly as any effort to use race, color, sex, ethnicity, gender identity or sexual orientation to influence hiring, provide preferential treatment or promote programming.

SB 1134 allows any resident to sue a county for damages if a court finds public funds went toward DEI. The Your Sun reported that the law does not specify penalties in detail.

Other groups weigh compliance concerns

Westcoast Black Theatre Troupe, recommended for more than $100,000, signed the acknowledgment after deliberation. Executive director Julie Leach told Sarasota Magazine the group was reluctant to turn away the money but expressed concern that its name and mission could draw scrutiny under the law.

Commissioners also trim alliance's 2027 budget

At the same Aug. 26 meeting, commissioners unanimously approved the Alliance's fiscal 2027 budget after trimming it by $2,354. Hersh had proposed $308,970, up from $301,788, an increase of about 2%. Mast said the reduction to a 1.6% cap was a matter of fairness in holding all organizations to the same limit.

The vote did not resolve how the county will monitor grantees' spending, handle potential DEI violations or whether additional restrictions will apply to future grant cycles.