Kennedy Center Warns 'Death Spiral' as Revenue Craters

Kennedy Center Warns 'Death Spiral' as Revenue Craters

The News

Lawyers for the Trump-controlled Kennedy Center board told a federal judge the complex faces "a financial and structural death spiral" — and could eventually have to be torn down — unless President Trump's name goes back on the building.

The filing landed late Monday before U.S. District Judge Christopher Cooper. Hours later, on Tuesday, The Washington Post reported it had obtained internal documents showing ticket sales and fundraising collapsed after Trump's name was added to the center in December.

The Filing

The board, chaired by Trump and dominated by his allies, voted earlier this month to put his name back on the front facade three times over. Below the inscription "The John F. Kennedy Memorial Center for the Performing Arts" would read "Renovated and Restored by President Donald J. Trump." Once a $100 million endowment threshold is met, a further line would read "Endowed by the Trump Kennedy Center Fund." The board also renamed the site and grounds the "President Donald J. Trump Plaza."

The center's attorneys, led by Assistant Attorney General Brett Shumate, wrote that "the Board recognizes that President Trump's efforts and prestige provide the sole hope for the Center's financial survival, and structural renewal."

They added: "without the prominent recognition of The Trump Administration, and President Trump's efforts, the donors will not contribute, and the Center will continue to be in a financial and structural death spiral."

Without those efforts, they warned, "the Center will deteriorate further into an unsafe, decrepit structure that will be required to be taken down," with a proposed replacement such as "a large outdoor amphitheater overlooking the Potomac River."

The filing credits Trump with securing $258 million in federal renovation funding through the One Big Beautiful Bill Act passed last year, and with marshaling "a new donor base" the lawyers say promises hundreds of millions of dollars.

The Numbers

According to the Post's account of the internal documents, the center budgeted $220 million in revenue for fiscal 2026; by late May its own projections reached only $124 million — on track to fall nearly $100 million short.

Earned revenue was on pace to miss budget by 70 percent and contributed revenue by 25 percent. Fifty-seven percent of tickets were sold or distributed in the center's three largest venues, down from 93 percent a year earlier. One internal report described pledges falling by "more than 100 percent" because of write-offs and donor withdrawals. Artists canceled performances after the name change.

Ticket sales had already dropped in the 10 months after Trump's takeover of the board; both sales and donations fell more sharply after the December renaming.

Timeline

Early 2025

Trump takes control of the Kennedy Center board.

December

trustees vote to add Trump's name to the building.

Spring: internal projections show the revenue shortfall.

June

a crew removes the facade lettering reading "The Donald J. Trump and," under a court order that the center be named for President Kennedy. A tarp is installed over the facade.

Earlier this month

the board votes to restore Trump's name to the facade and rename the plaza.

Last week

Rep. Joyce Beatty, an Ohio Democrat and board member, files an emergency motion challenging the resolution.

Monday

the center's attorneys file their "death spiral" opposition.

Tuesday

the Post reports the internal financial documents.

Reactions

Beatty argues the new inscriptions violate Cooper's conclusion that "the Center is to be named for President Kennedy, and it cannot bear any other formal name or public memorial based on the Board's unilateral say-so." She called the move "a transparent effort to rename the Center in President Trump's honor."

The center's lawyers countered that the resolution is "completely lawful," that the inscriptions are not a "memorial" under the statute, and that Congress authorized the board to "maintain and administer" the site — which they say includes naming it. They also claimed Beatty voted no but said she had "no objection" to renaming the grounds for Trump.

Beatty's attorneys rejected that: "Beatty voted no on the resolution and she is staunchly opposed to this latest illegality — including the unlawful effort to rename the plaza. She will refute their characterization of her comments in Court."

A Kennedy Center spokesman blamed the financial problems on previous leadership, said Trump's name has attracted new donors, and said the fiscal 2027 budget is balanced. The center did not dispute the Post's account of the projections.

Andrew Taylor of American University called the revenue drop "a nosedive." Jennifer Benoit-Bryan of SMU DataArts said the center's trajectory was "remarkably different" from large arts institutions nationally, which generally held steady.

Newsweek argued from the right that the episode proves conservatives were correct about "woke capital" — that politicizing a brand drives customers away, and that the lesson cuts both ways.

What's Next

Judge Cooper has set a hearing for Thursday on Beatty's emergency motion.

The center's audited financial statements for the fiscal year have still not been released and are months overdue.

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