Ex-Kennedy Center chief ‘threatened’ to rename Israeli lounge if donors didn’t fund renovations
WASHINGTON, DC: Josef Palermo, the Kennedy Center’s first curator of visual arts and special programming, said that former director Richard Grenell reportedly threatened to rename the Israeli Lounge during an October 7 commemorative event.
A detailed insider account by Palermo was published in The Atlantic on Thursday, April 16, describing contentious remarks, governance concerns, and institutional upheaval. The claims emerge amid a broader restructuring that has triggered staff exits, cancellations, and a planned two-year closure.
Josef Palermo on Richard Grenell and fundraising controversy
According to Palermo, Grenell allegedly threatened to rename the Israeli Lounge during the event unless donors contributed toward renovation costs. Speaking at an exhibition launch marking the anniversary of the Hamas attacks, he reportedly told a “mostly Jewish audience” that failure to secure funding could result in the cultural space being reassigned to another donor.
Palermo recounted Grenell as saying, “It certainly would be a shame if we lost this room to a corporation or an individual and it was no longer the [Israeli] lounge,” describing the remarks as a “strong-armed fundraising pitch” that many attendees found inappropriate. Palermo added, “I was mortified.”
He also raised concerns about the institution’s spending priorities, noting that while structural issues such as a "leaking roof and rotting willow trees in the River Plaza remained unaddressed," renovations focused on aesthetic upgrades like adding gold gilding to the chandelier in the presidential box of the Opera House.
He further described Grenell’s approach to institutional assets, recalling that he suggested donated works could be auctioned or given away if donors refused to fund their removal. “I was taken aback by his cavalier attitude. If the donors of the works didn’t want to pay for their removal, he said, we could put them up for auction or give them away,” Palermo wrote.
When he reported the directive to another senior leader, he was allegedly told to take no action. His account also pointed to broader governance issues, including claims of disengaged leadership. Grenell reportedly avoided staff meetings and did not adhere to return-to-office norms.
Trump’s overhaul and institutional fallout at the Kennedy Center
Since early 2025, when Trump assumed control of the Kennedy Center, the institution has undergone sweeping changes. Trump appointed himself chair of the board and replaced a majority of its members with alleged loyalists, who subsequently voted to rename the institution the Trump Kennedy Center.
The restructuring coincided with significant fallout, including the departure of high-profile staff, widespread cancellations by performers and touring productions, and a sharp decline in subscriber engagement. Among notable withdrawals, composer Philip Glass pulled his Symphony No. 15 'Lincoln,' citing a conflict between the center’s values and the message of his work.
Other cancellations and venue changes involved Issa Rae, the production of 'Hamilton,' and the Washington National Opera. Additionally, artistic programming head Kevin Couch resigned shortly after his mid-January appointment.
The administration has also implemented renaming initiatives within the center, including changing the Circles Lounge to the SyberJet Lounge. Despite the institutional disruptions, Trump proceeded with announcing a two-year closure for renovations.
In a post on Truth Social, he stated that after a year-long review involving contractors, musical experts, and advisors, a full temporary shutdown would ensure higher construction quality and faster completion compared to partial renovations conducted alongside ongoing performances.
He asserted that the closure would ultimately transform the facility into “the finest Performing Arts Facility of its kind, anywhere in the World,” arguing that continued operations during construction would compromise both quality and timelines.
