Literary magazine Meanjin and the Centre for Contemporary Photography are among up to 50 arts organisations to have lost funding from the Australia Council as it prepares to announce its four-year funding round.
More than 150 organisations have applied for funding that could secure their future. Each applicant was notified of the result by the Australia Council on Wednesday and Thursday, but the full list of recipients has been embargoed by the council until 7am Friday.
Former arts minister Senator George Brandis diverted $105 million the Australia Council in the 2015 budget to a new fund, the National Program for Excellence in the Arts, administered by his office. 
The Australia Council had proposed a six-year funding program to secure the future of organisations but lowered that to four years after its funding was reduced, and cut the number of annual grant rounds it distributes.
Senator Brandis' successor, Arts Minister Mitch Fifield, later restored $32 million to the Australia Council.
Meanjin editor Jonathan Green confirmed the loss of $95,000 in funding, saying it was possible it may force it to close.
"If we can't replace that money the magazine is probably not sustainable," Mr Green said. "That money goes to pay writers by and large and Meanjin, distinct from a lot of publications these days, doesn't pay much but it does pay and we're proud of that."
The loss represents about 30 per cent of Meanjin operating costs. "It's a big loss. I hope that we can find that money elsewhere. If we can't the future is pretty bleak."
Previously under key organisation Meanjin had received $62,000 a year. The publication, which began in 1940, has received federal government funding since 1961.
Under the new four-year system, groups could apply for $75,000-$300,000 annually.
The 30-year-old CCP, based in Fitzroy, had applied for funding through the four-year program but was notified on Wednesday that it had missed out, its director, Naomi Cass, has confirmed.
"We had a call yesterday from someone for whom we have great respect," Ms Cass said on Thursday. "We have been unfunded through what was called Key Organisations, which doesn't exist now.
"We received $28,000 annually through organisations, now that's finished. We also received $80,000 through something called VACS, the Visual Arts and Crafts Strategy ... We're unfunded for key organisations funding but we retain VACS until the end of 2019."
Ms Cass said the loss of funding was disappointing but not fatal for the organisation, which has six equivalent full-time staff and up to 200 volunteers.
"We are disappointed and sad at the loss of that funding, we are now in a category of our own. We're probably in a bigger group than we realise because I'm not sure about who else has been unfunded.
"What is great is that we have a really diverse and strong pool of resources and income. We generate over 60 per cent of our turnover from membership, workshops, projects that we do. We purchased a big collection for a large law firm this year, which was a really great way of supporting artists and creating a great new collection of photography.
"We are dependent on government funding but we use it to be really nimble and creative.
"This is our 30th year of stable and effective operations, our governance is amazing, and the staff at CCP, we have volunteers and staff that have gone on to be employed right across the sector and internationally. We are a key feeder to major state galleries for artists and professional staff.
"We're nimble, frugal and creative, so an investment at our level, I turned every dollar that I get from government into $3 or 2&frac12; probably."