Julie-Anna Carlisle, who provided space and support for downtown events and showcased regional artists, said she will step away from retail work to devote time to her own art and her family.
Christian County Public Schools is among the districts affected by the revocation of a $47 million federal grant supporting Kentucky community schools.
The celebration included special recognition for donor Sue Badgett and the Brown Badgett Foundation for the single largest gift in the local United Way's history.
The decision was based on enrollment trends and long-term sustainability, but school officials left open the possibility of later restoring the middle school.