A variety of local sports, arts and school groups are facing potential red ink in their balance sheets with the provincial government's plan to freeze gaming revenue funding.

"This freeze will affect virtually everyone in the province," said Mission Arts Council executive director Nancy Arcand, who has been forced to reduce her hours. "We rely on funding for wages and services. We are down to bare bones levels effective [last Friday]."

The provincial government has frozen $36 million in gaming grants that go to support arts, sports, culture, human and social services, the environment and parent advisory councils.

A number of community group representatives met Friday morning at the art gallery to discuss how the freeze will affect their respective organizations.

"We've been receiving funds from gaming for five years. We use the money to pay for lights, set pieces and to pay the rent," said Opening Nite Theatre Society's Camille Knight. "If this had been done with more notice, we could have budgeted for it. We've already paid for royalties for [this season's] shows."

The Mission Folk Music Festival Society has been a gaming fund recipient for three years, and according to artistic director Francis Edwards, "we will have cash-flow issues. It seems we have money for the Olympics, bridges and roads, but arts and libraries are under attack."

Edwards continued, noting gaming levels are at an all-time high, yet government decides to hold the funds.

"B.C. is the only province to cut arts and culture during this recession. This threat is very serious."

Mission Senior Secondary Parent Advisory Council chair Shelley Janze said they get $20,000 annually, and it benefits students in the areas of sports, arts, music, culinary, woodworking, mechanics, and more.

"With this funding from gaming, these programs are an integral part of the students' lives, which keeps some students engaged in high school right through to graduation," she said. "The impact of not receiving gaming funds would be detrimental to the students at MSS, with a ripple effect reaching out to the whole community. The freezing of gaming funds to school PACs at all levels places an ever increasing burden on parent volunteers who just want what is best for their kids."

"We're building up the physical infrastructure, but destroying intellectual infrastructure," Knight added.

Abbotsford-Mission MLA Randy Hawes said government is being forced to undertake these types of cost-cutting measures due to the economy.

"The government has difficult choices. If we make the wrong choice and go with a big deficit, we will see a downgrading of the province by the bond agencies."

He commented that the focus is on "what's absolutely necessary," and ensuring certain programs are maintained, such as the youth diversion program.

Hawes also noted that the word "grant" is purposefully chosen. "It's not a fee-for-service — these grants get reviewed year after year."

The economy is very tight, he continued, and the government has to find the money somewhere. "We have difficult decisions to make."

Hawes says the final decision on which groups get funding will be known in two weeks.