That term can mean a lot of things, but fascists definitely care about aesthetics. They frequently complain about how art has been neglected and the world has embraced functionalism and minimalism to a fault.
While this isn't a terrible argument in a vacuum, most of these people have a very close minded idea as to what kinds of American art has value, but cutting arts funding this severely is just an invitation for more functionalism and minimalism.
Ol' Ronnie is about to find out that you can't really stop artists from making art, but you can encourage them to make art elsewhere where it's profitable, and you can also significantly increase the likelihood that said art depicts him getting swirlied in a porta-potty.