|
 |
1/12/2007
Fox Cities PAC - too precious to fail - Day 2
Yesterday, I suggested the Performing Arts Center may be struggling financially. And I asked (well, maybe I begged) the PAC to open its books to this community that loves it so much – this self-same community that built and continues (in a huge way) to support the PAC.
990 Expenses
The PAC’s annual report to the government, Form 990 (the federal tax return filed by most non-profit organizations) indicates total expenses of $8.2M.
Total employee costs (salaries, benefits and taxes): $2,357,758.
Selected salaries: Salary “Benefit Plan Contrib.”
President: $175,000 $87,500
VP’s (3) 90,640 $18,128
Occupancy expenses (paying for the building and facilities) are $2.3M; and depreciation is booked at $1.6M.
990 Revenues total $5.6M. (That’s a loss of $2.5M, including depreciation.)
One complaint PAC folks make is that unlike most arts venues around the country, they receive no government money. Well, they do. Room tax revenues dedicated to the PAC are about $855,000 a year. That total is right at about 10% of expenses. Not the highest percent, amongst its peers, but not small potatoes either.
Talking about those percentages…. The PAC repeatedly makes a claim that really bugs me. It says “by maintaining an efficient operating budget, the Center has been able to keep the annual contribution need [“contributed income”] to 22% of its overall budget – well below the national average of 45% for performing arts centers.” And it just ain't so.
What the PAC does is include as revenue, millions of dollars in fees to its Broadway promoters, Live Nation – fees that never so much as touch its books. This is absolutely contrary to the standard in the industry. When contributed income is computed properly, the PAC’s is right about 45%, which is indeed, about the national average.
Talking about Live Nation…. We all need to know that most anytime you buy a ticket for an event at the PAC, that money flies out of the Fox Cities before you can sneeze. Millions and millions of dollars.
You see, when an organization hires a promoter, or “events company,” the deal they negotiate can vary widely. In the PAC’s case, when it started out, we didn’t have the financial luxury of taking much risk on ticket sales – would Broadway shows make money or lose big money? So Live Nation (named “Clear Channel” at the time) agreed to take all the downside risk – and surprise, surprise, all the upside revenues as well. It’s a sweet deal.
As thrilled as folks are about the Lion King being right here in the Fox Valley (and they should be thrilled!), those in the know understand a major reason why the magnificent production is here. Why would Disney choose little old Appleton, verses a much larger, more visible venue like Milwaukee or Madison? Well…. given the PAC’s contract, the “take” for Live Nation and Disney probably isn’t higher anywhere in the upper Midwest. These are the big boys – and they are not dumb.
What would be dumb is if we haven’t (or can’t?) re-negotiated the contract. I wake up at night seeing all those dollars on a steady march out of our community. Nuts.
I don’t know if the community can afford $2M or $3M every year - or whatever the right number is - to support the PAC alone (not to mention our plethora of arts organizations). I don’t know if/how Board members are planning to step up to the funding challenge. I don’t know what the Live Nation contract situation is. I don’t know the potential for trimming expenses.
I do know the community cares. If there’s a problem, PAC, give us an honest heads up. We’ve supported you from the very beginning - the city and countless community members - and we count ourselves as interested, dare I say concerned, stakeholders. If help is needed, we need to know the honest facts. Now. Before it’s too late.
COMMENTS
Shades of the Weidner Center. Will we see another theater bite from the same apple?
Richard Parins (Fri Jan 12 09:25:16 2007)
Unfortunately I have only been to the PAC a few times since it opened, and in my opinion, it is an overall much better venue than the Resch Center in Green Bay. I think the problem is that the PAC has not done enough to find out what types of performances people in our area actually want to see, and instead are bringing in a lot of performances they think we should see.
Any performance geared toward families will be attended, and if they would make the tickets more affordable, they could probably sell all of these types of shows out. They don't seem to think about the cost to a family of 3 or 4 that is living on a budget. Music is also very big in our area, and if they would bring in the musicians we want to hear, they could probably sell these shows out too. Good comedians and plays are also great attractions, but ticket prices keep a lot of people away.
I recently looked at their upcoming events, and to be honest, I've never even heard of the majority of them, and I'm sure I'm not alone when I say that. I am also sure they are all great performances and do interest some people; especially family and friends of the performers, as well as those that can easily afford to experiment with their entertainment choices. I certainly do not mean to offend anyone with my statements, but if the PAC wants to be successful and create revenue, then they should start appealing to the Fox Valley as a whole. They need to bring in the types of performances the majority of us want and can afford to see, instead of focusing on the culturally savvy and elite they would like us to be.
Lori Hassell (Sat Jan 13 20:42:32 2007)
After seeing this info I was shocked. In 2004 I was part of a group that brought a Filipino Choir to town and was looking at the PAC as a possible venue. That was not a cheap deal (they wanted a fee depending on ticket sales plus a piece of every ticket sold). In the end the choir performed at Appleton North HS.
However, this makes me sad. I wonder how many businesses downtown are dependent on the PAC for their own business. Last night my wife & I went to Siroccos. I can not imagine Siroccos, Fusion, The Copper Leaf, The Black & Tan etc surviving w/o the clientele the PAC brings. I have been to two shows at the PAC. I often see a show(s) but more often than not I forget about it and miss the shows
Mark A Framness (Sun Jan 14 13:15:10 2007)
Fees as revenue? Hmmm...didn't some little ol' company in Texas get into trouble a few years ago for doing something just like that?
Jim Meyer, Neenah
PAC MAGIC... (Mon Jan 15 16:17:19 2007)
Jo:
Great journalism here. Thanks for asking the hard questions and going after the 990. I'm a huge PAC fan, too, and the more info we have, the sooner we can address whatever it needs to keep it -- and the whole of downtown Appleton -- vital.
Margaret LeBrun (Tue Jan 16 18:47:07 2007)
|
|
Blog Archives
| 2010 |
  December
|
November
|
October
|
September
|
August
|
July
|
June
|
May
|
April
|
March
|
February
|
January
• Solberg: Healing After an Abortion
• Basketball fans eyeing extension of Miller Park sales tax
• Nanny sex-ed bill goes to Doyle
• A first. Village limits pension contribution for employees
• Nanny State update: Toothbrushing mandated
• Obama pushes education inflation
• WI Investment Board votes to borrow to juice up returns
• So Republicans have brought nothing to the table?
• You have got to be kidding me
• Nygren: Governor Continues Terms of Failure in State of the State
• Sen. Fitzgerald: Governor down the wrong track at high speed
• Phosphorus is the new CO2. $Billions in Wisconsin
• More Obama giveaways
• A reprimand? Would you keep him on the job?
• Burri: Sarah Palin for Prez troubles me
• Quote of the Day – Obama after the pie-eating contest
• Populism, abused and trampled
• Fitzgerald: Senate Republicans Propose Real Job Creation Agenda
• Stripped down health insurance – it’s about time
• Ok GOP, scrap the Party of NO; time to lead
• No way Feingold is a Coakley. Is Wall a Brown?
• Burri: Conservatives off the chart for a RINO?
• Paltry quid pro quo?
• Doyle says ARRA has ‘created or retained’ 44,000 WI jobs
• Does most of the public fall for this stuff?
• When you get signatures, always get a couple extra
• Blame it on the outmoded computers
• Scott Brown victory does not scuttle health bill
• 8th Congressional Candidate Forum, Jan. 25
• Scott Walker Meet-and-greet, Monday, Jan. 18
• Aren’t consumers taxpayers too?
• MORE taxes on investment income - dreadful and wrong
• Join the blaze orange army and say ‘Enough is Enough’
• The future of government-run health care
• Tax on banks is a really bad idea
• Roth, Savard on the stump, grassroots style
• Savard speaking in Appleton, 8 PM, Wed., Jan. 13.
• Rahmlow: Savard, Bies frontrunners for State Senate
• Burri: Failing Political Correctness 101
• School contracts and Race to the Top
• Senator Feingold worrisome and big red flags
• Psephological?
• This is really important. Contact Rep. Kagen. Now. Please.
• This is exactly what we need from Governor Doyle
• This guy is my hero
• Why am I not surprised?
• Talk health reform with Feingold (Th), Petri (today)
• Give the Mayor power over MPS - if he can break contracts
• Burri: Yup, Dems really are going to bypass a conference
• The $2.7 billion Wisconsin deficit no one told you about
• Walker launches county accountability website
• Rahmlow: Why is Van Hollen dodging the Nebraska deal?
|
| 2009 |
December
|
November
|
October
• The Lawton-Bader files
• Yup, it’s the TAX LEVY, not the tax RATE
• Ellis: costly automobile insurance laws must be rolled back
• If not Barrett, who?
• The subsidy game
• Burri: Bailouts, Banks, Health Care, and the Mob
• Attend Appleton Schools budget meeting tonight
• A public option WON’T increase costs? That’s delusional!
• Appleton Schools budget meeting Monday
• Wisconsin should be screaming for accountability
• Burri: If anything, we need more obstructionism around here
• WI on the leading edge - in the wrong direction
• Rep. Montgomery: Utility Customers Join State’s Crime-Fighting Efforts
• Public Conservation and Recreation Lands Total 16.5% of State
• In the crow's nest of the Titanic, shouting 'Iceberg!'
• Is Rep. Nelson a political hack?
• Health care: The road ahead will be brutal
• Kagen's pandering again
• Birthers - good stuff for you
• How much do we bend over backward for seniors?
• The trouble with health care is paying for it
• Two-parent families: The Gold Standard
• Burri: Kids... the joys and blessings
• Very, very worried about health care
• Rep. Huebsch: Wisconsin is proof government health care isn’t the answer
• School district contracts push up tax levy
• What? Obama, the Peace Prize?
• TODAY - hearing on Campaign Finance Reform
• Appleton School District tax levy up way too much
• CBO report is out - and the bill isn't even written yet?
• So, how much do YOU budget for health care?
• Burri: Copenhagen trip was amateurish
• “Sotomayor, you have blood on your hands...”
• Cap and Trade. Always follow the money
• Rep. Kagen gets (almost) free health services
• I actually agree with Rep. Kagen
• Future Wisconsin Conference for Conservatives, October 10, Wauwatosa
|
September
|
August
|
July
|
June
|
May
|
April
|
March
|
February
|
January
|
| 2008 |
December
|
November
|
October
|
September
|
August
|
July
|
June
|
May
|
April
|
March
• Important votes Tuesday, including Appleton Common Council
• Democrats are becoming supply siders??
• Further debunking Hillary myths
• WEAC has created an unsustainable monopoly
• From Mark Gundrum: One of the greatest honors an American can experience
• 'Operation Chaos' working?
• Joe Martin the best candidate in Appleton's 8th
• State programs to cut? - Volume II
• Oh the naivete of youth
• Not just disingenuous - flat wrong
• Steve - you will be missed
• Make cuts only AFTER you're elected....
• Getting serious: What programs can we cut?
• Rep. Steve Kagen joining me on Jerry Bader Show today
• Rep. Van Roy: Dental Care Pilot Program
• Has Dave Obey turned the corner on earmarks?
• Speaker Huebsch: Governor turns down Federal Aid?
• Mark Rahmlow: "We're Broke."
• As taxpayers, how do we know if it's a Chevy or a Lexus?
• This is trash talk - about a veteran
• Frank Lasee: Take time to get the Compact right
• 'The Gableman Ad' - is it racist?
• Roth thankful, Kagen shaking money tree
• Gov. Doyle's office not enamored with Freedom of Information
• Governor Doyle will never do it
• Leadership on smoking ban? Not Hanna
• Rep. Van Roy speaks out about smear ads
• You're threatening me about potholes?
• Losing the Hastert seat is NOT a trend and NOT curtians for the GOP
• First suggestion for 'slashing' programs
• Big money-saver for municipalities
• More one time fixes. Nuts.
• Any chances???
• I'm doing the Jerry Bader Show, today, the 11th
• Representative Frank Lasee: Final Waltz of the Season
• Guest Blog: It's not the county's business to be in the nursing home business
• Yup, Hillary won Texas and Ohio
• Gableman/Butler race featured - and it isn't pretty
• Lies from Planned Parenthood and NARAL
• He who sacrifices liberty.....
• Duh.
• The Troha sentencing, Doyle and that $200K
• Guns, passion and "originality"
• How hard is it anyway, to shut down a government program?
• Voting is a PRIVILEGE. And so are property taxes....
• Guest Blog: Governor Doyle, cancel your Ireland trip
|
February
|
January
|
| 2007 |
December
|
November
|
October
|
September
|
August
|
July
|
June
|
May
|
April
|
March
|
February
|
January
• Lots of ideas. No money.
• The Cigarette Tax - "Poor Policy Instrument?"
• School budget Lite?
• Frankenstein - not in the library, but in the legislature
• A librarian, a legislator, a president
• $1.25/pack - NO, NO, NO, and NO
• Kagen and Reagan in the same breath?
• Menasha: behind the 8-ball, but not biting the dust
• Any way you slice it, Wisconsin government wants (further) in on health care
• The World is Flat...what about health care?
• The PAC - too precious to fail. Day 3
• News follow-ups: Appleton West, Kagen at the White House
• Fox Cities PAC - too precious to fail - Day 2
• Fox Cities PAC - too precious to fail
• New Transit Tax coming your way
• Rep. Petri has his finger in the dike - I guess
• AASD Retirement Costs Burdensome
• Health care, health care, health care, health care
• Water rate increase was no slam dunk
• Education for all is just a bad dream
• New Year's resolutions from a parade snob
|
| 2006 |
December
|
November
|
October
|
September
|
| 2000 |
May
|
|
