(September 23, 2009) - Opposition appears to have picked up steam in the days since the announcement of a state budget agreement between Pa. Governor Ed Rendell and leaders of three of the four legislative caucuses.
Not only is the arts community enraged by a plan to impose the sales tax on admission to its venues and events, but a group of Democratic House members – including David Levdansky of Allegheny County – is up in arms about a budget-related proposal that it says would result in far too much state forest land being leased for natural gas drilling.
(September 23, 2009) - Pennsylvania Gov. Edward Rendell and state lawmakers' proposal to raise $100 million in revenue by taxing arts and cultural institutions is being met with heavy criticism in Philadelphia.
"It's a profoundly stupid idea," said Edward Epstein, executive director of the University City Arts League, a nonprofit organization dedicated to arts education. "It's taxing an area that the government should be making more affordable [and] where there's the most vulnerability."
(September 23, 2009) - Leave it to the geniuses of Pennsylvania Legislature to find yet a new way to rob Peter to pay Paul and pretend it's responsible lawmaking. In this case, "Peter" is education and "Paul" is . . . education. And, the robbery is accompanied by an assault on the nonprofit model for supporting arts and culture.
...New York state decided against an 8 percent tax on tickets last spring, after performing-arts organizations pointed out that a reduction in ticket sales would cause a reduction in restaurant sales, parking, lodging - not to mention lost wages from thousands of people employed in the arts. Last year, Pittsburgh finally repealed its amusements tax on nonprofit organizations because it had seriously affected its arts-and-culture scene.
The Legislature's action represents a fundamental misunderstanding of how nonprofits are supposed to work. The reason that contributions to these organizations qualify for tax deductions is that they render a public service. Some in the arts community wonder: Can a sales tax legally be levied on a tax-exempt organization? If so, are other nonprofits also are at risk of being taxed?
(September 23, 2009) - ...Supporters of (the sales tax expansion on the arts) argue some of the money will go to a special state fund for the arts and cultural institutions.
This, they say, would provide constant funding even during unsure budgetary times. So far no one has made public any research that shows exactly how much money will be channeled into this fund and, if so, whether arts programs would be better off than under the current system.
Allentown Morning Call
John L. Micek and Scott Kraus
(September 23, 2009) - HARRISBURG - Ellis Finger knows little about the sales tax state lawmakers and Gov. Ed Rendell are thinking about slapping on the price of museum and theater tickets.
But he does know that, at first blush, he's not thrilled about it.
"Any additional tax on cultural organizations, paired with cuts [in state arts funding] is double jeopardy and will make our survival all the more difficult," said Finger, director of the Williams Center for the Arts at Lafayette College in Easton.
(September 22, 2009) - Filling Pennsylvania's budget gap with a new tax on the arts unfairly singles out a community that already is struggling.
Gov. Rendell and leaders of the legislature announced late Friday that they finally agreed on a budget for the fiscal year that began July 1. The deal would not raise the personal income tax or the statewide sales tax, but would impose several targeted tax hikes. One of the proposals, not aired in recent weeks, is to charge a sales tax on tickets at museums and performing-arts theaters....
It's not clear whether charging an extra $1.28 would deter the average patron from visiting the Philadelphia Museum of Art - probably not. But many arts organizations are teetering on the edge financially, after a sharp decline in private donations. For some, an increase in ticket prices could become the breaking point.
(September 22, 2009) - Pennsylvania’s arts organizations never dreamed the budget would be balanced on their backs, or their customers'. But to a large degree, that’s what happened in the state budget deal.
Local arts groups said the removal of their sales tax exemption came out of nowhere. “We are most disappointed that there weren’t any advanced discussions regarding the impact that this new tax would have on individuals and families who want to attend these cultural or live entertainment events,” said Garrett Gallia, a spokesman for Hershey Entertainment and Resorts Co.
“It would seem we ought to be promoting cultural family activities, not making them more difficult to attend.”
(September 22, 2009) - When Penelope Reed heard the state budget deal calls for adding a sales tax to performing arts tickets for the first time, she immediately thought of Hedgerow Theatre’s already stretched budget.
“We’re not in a position to add it to our tickets. … Am I going to have to pull back on personnel or quality on the stage? What are those factors when you lose a percentage like that on your budget?” said Reed, producing artistic director of the small, nonprofit theater in Rose Valley.
“If there’s a way to kill the arts, this is it,” she said.
The $27.95 billion budget deal would apply the state 7 percent sales tax to tickets for theater, dance and performing arts events, concerts, museums, historical sites, zoos and parks, according to Associated Press reports.
(September 22, 2009) - HARRISBURG -- Christopher Hahn, general director of the Pittsburgh Opera, is still reeling from the shock he got Friday night, when Gov. Ed Rendell and state legislative leaders announced they plan to extend the sales tax to tickets for live arts performances, zoos and museums.
"This is a big deal and I'm very concerned," Mr. Hahn said yesterday. "It's another barrier in our marketing attempts" because it will increase the price of tickets.
"Like many nonprofit arts groups, we are struggling. Opera and ballet companies are having trouble in this economic climate, and some are closing. We're all in a crisis mode, trying to stay alive and keep our artistic standards high while we beg and plead for support."
HARRISBURG -- Christopher Hahn, general director of the Pittsburgh Opera, is still reeling from the shock he got Friday night, when Gov. Ed Rendell and state legislative leaders announced they plan to extend the sales tax to tickets for live arts performances, zoos and museums.
"This is a big deal and I'm very concerned," Mr. Hahn said yesterday. "It's another barrier in our marketing attempts" because it will increase the price of tickets.
"Like many nonprofit arts groups, we are struggling. Opera and ballet companies are having trouble in this economic climate, and some are closing. We're all in a crisis mode, trying to stay alive and keep our artistic standards high while we beg and plead for support."
HARRISBURG -- Christopher Hahn, general director of the Pittsburgh Opera, is still reeling from the shock he got Friday night, when Gov. Ed Rendell and state legislative leaders announced they plan to extend the sales tax to tickets for live arts performances, zoos and museums.
"This is a big deal and I'm very concerned," Mr. Hahn said yesterday. "It's another barrier in our marketing attempts" because it will increase the price of tickets.
"Like many nonprofit arts groups, we are struggling. Opera and ballet companies are having trouble in this economic climate, and some are closing. We're all in a crisis mode, trying to stay alive and keep our artistic standards high while we beg and plead for support."
HARRISBURG -- Christopher Hahn, general director of the Pittsburgh Opera, is still reeling from the shock he got Friday night, when Gov. Ed Rendell and state legislative leaders announced they plan to extend the sales tax to tickets for live arts performances, zoos and museums.
"This is a big deal and I'm very concerned," Mr. Hahn said yesterday. "It's another barrier in our marketing attempts" because it will increase the price of tickets.
"Like many nonprofit arts groups, we are struggling. Opera and ballet companies are having trouble in this economic climate, and some are closing. We're all in a crisis mode, trying to stay alive and keep our artistic standards high while we beg and plead for support."
