Counties, dealers still adjusting to Title Ad Valorem Tax

By Taylor West

Just over a year into the new Title Ad Valorem Tax system, the technical kinks are being worked out and people are adjusting to the changes, but those changes have created systematic winners and losers.

The TAVT, which officially began March 1, 2013, replaced the 7 percent sales tax and annual ad valorem tax, or Birthday tax — and is going to cost Georgia’s local counties and school systems millions.

“We are starting to see where the money is going to flow,” said Athens-Clarke County Tax Commissioner Mitch Schrader. Read the rest of this entry »

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Music makes a scene in Athens economy

By Taylor West

The doors of the 40 Watt Club open at 9 p.m and people trickle into the dimly lit venue to buy their first drinks of the night. The opening band takes the stage, the audience grows and two acts later the headliner, Reptar, walks on stage and looks out over a screaming, intoxicated full house.

It’s a typical Saturday night in Athens.

Athens is home to many music venues from the Georgia Theatre to the Caledonia Lounge and the Melting Point to the dozens of bars and restaurants that play live music multiple nights a week, and has produced countless bands, ranging from unknown groups to R.E.M., the B-52s and Widespread Panic.

There is no question Athens has a deeply engrained and widely known music culture that is an important part of the town’s identity. The New York Times even said the Classic City “might as well be known as Live Music Central” because of the “waves of fresh local acts and a growing number of live music sites” since the 1980s.

But what may go unnoticed is the strong presence of the music industry in the economy.

There are 52 total establishments for arts, entertainment and recreation in the Athens-Clarke County metropolitan statistical area in 2011 with a reported annual payroll of $13,209,000 according to the U.S. Census Bureau.

Athens outnumbers other comparable towns with downtown music scenes. For example, Lawrence, Kan., in the same category, has four fewer establishments and takes in  $6,588,000 less annually.

David Barbe, director of the music business certificate program at the University of Georgia, said the music’s affect on the economy in Athens is bigger than most people realize.

“It is a huge part of Athens’ economy. A normal, Friday night, packed rock band show there will be 1,000 people drinking $5 Bud Lights at the Georgia Theatre… so you know that beer sales downtown, in my opinion, are quite healthy,” Barbe said. “You see what I’m getting at.”

Jeff Humphreys, the director of the Selig Center in the Terry College of Business, said there are two ways to monitor the economy of the music scene — production, or money made from music produced in Athens, and performance.

“A performance impact would consist of attracting visitors to Athens,” he said. “The big economic impacts from performance are either putting heads in beds… plus there may be some day trip visitors that don’t actually spend the night but they may drive over from Atlanta and go to a restaurant and the venue.”

Barbe said with a band like the Drive-By Truckers, who played a three-night stand at the 40 Watt a few weeks ago, it’s believed 50 percent of the attendees to the concerts are from out of town.

“It’s fair to say that these 300 people are going to spend, between a hotel room for three days and food and beer and records and gasoline, it’s fair to say that these people spend $700 while they are here,” he said.

Drive-By Truckers, though they have a larger following than many bands playing in Athens, is just one of many groups that comes to town every year. Additionally, outside of downtown groups such as the Cleveland Orchestra attract hundreds of a different crowd when they play venues Hugh Hodgson Hall.

Though Hannah Smith, director for marketing and communications for the Athens Convention and Visitors Bureau, said she is “not aware of a specific study that has done an economic study that is tied back to the music scene,” the bureau does compile tourist information.

Smith in a subsequent email wrote that of people who signed in at the Athens Welcome Center and those who requested information online, 5 percent self-identified as having a primary interest in music.

“Destination marketers are most successful when they are able to promote what is most distinctive about their destination, experiences travelers can’t get closer to home,” Smith wrote despite the low percentage. “For Athens, that distinctive factor is the continuing vibrancy of our live music scene. Music is integral to our tourism product and definitely contributes to the local economy by bringing in tourists from around the globe.”

And Barbe said the music industry in Athens has been growing “exponentially” for the last 30 years.

“When I came here in 1981 there were about maybe 15 or 20 cool local original bands, now there are hundreds. There was no music business infrastructure at that time because for 15 or 20 local bands and a couple of bars you don’t need that,” he said. “[Now] with hundreds and hundreds of bands we’ve got record labels and artist managers and booking agents and concert promoters and t-shirt makers and all kinds of things.”

Click here for Barbe’s explanation of relationships between different facets of the music industry: Structure of the Music Industry

Athens is now home to the annual Athens Music and Arts Festival, which, for the last 15 years, AthFest has used to “showcase the best in regionally and nationally recognized Athens-based talent,” according to the Athens-Clarke County Economic Development Department website. This year, around 200 bands and artist will put on shows for the festival in local venues and on three outdoor stages.

Jeff Montgomery, an ACC public information officer and co-owner of athensmusic.net, said the music scene’s influence has grown with its numbers and the government is taking notice.

“Certainly I would say that it does affect policy,” he said. “We do things that support the Athens music scene. This office has always had a strong music tie. It’s not always official, but it’s a big interest we have, it’s a big tourist component to things, it’s a big economic boost for downtown.”

And the economic salience of the music industry in Athens, Montgomery said, is evidenced by the low closure rates of true music venues in Athens.

Montgomery said ACC pays attention to the arts in general as well — among other things, there is a public art component that is part of any capital program through our SPLOST program, which is the sales tax program, meaning a percentage of every project that’s done though SPLOST 2011, has to have a public art component to that.

“I would say there is a policy component to that,” he said. “In terms of when it comes down to laws or other things like that, sure that’s always considered when there are laws or ordinances that have the potential to affect the creative community; they tend to make their voices known. And then it is weighed against other factors, like public safety.”

Montgomery said on top of being a political consideration, the Athens government stands behind the music scene through little things.

“If you were to call City Hall, and you get put on hold, all our hold music is Athens bands. Also, the government access television that our office runs, Athens music is what plays in the background of that when we are on our bulletin board system,” he said. “We do things that support the Athens music scene.”


Downtown takes parking into 21st century

By Taylor West

Downtown in the Classic City — comprised largely of curbside parking — is making it easier for people to get where they are going.

A move to make simpler by replacing the old coin meters with modernized digital IPS meters had been on the table since before Downtown Athens Parking Director Chuck Horton took the helm, but it really gained momentum last year.

“It wasn’t anything new I just brought it back up — it was just something that needed to be done,” Horton said. “The machines that were on the street were just way past their time.”

Now, finding an old school meter in downtown Athens is next to impossible, a reality that will streamline the parking process for anyone who ventures out to one of the many bars, shops or restaurants.

Athens, however, is not the first city to follow the trend of convenience through modernization with the IPS meters.

San Diego introduced 51 of the high-tech devices for a four-month trial in 2009, according to the San Diego government website. And according to the City of Berkeley website, North Berkeley, a neighborhood in Berkeley, Calif., ran a pilot program with 30 of the meters in January 2010.

These new solar-powered meters, which made their way through downtown over the last couple of months, take credit and debit cards as well as the traditional pocket change.  Now those who find themselves in the historic city center can use the new meters on most streets.

Even the pay and display boxes are on their way out. Horton said it is in the works for Clayton Street and Broad Street to follow the lead of the rest of downtown and replace the boxes with the new IPS meters.

Horton said the boxes are a real problem for downtown Athens parking — just the act of having to find a box, pay, get a ticket and return to your car generates complaints.

“A lot of the folks don’t like them. It is not uncommon to have five complaints in a morning based on what happened the night before,” he said. “I just don’t get those kinds of complaints from the IPS meters.”

John McArthur, a downtown Athens attorney who works across the street from the courthouse, said he likes the new meters better than the old ones and better than the pay and display boxes.

“[The pay and display’s] are OK. I kind of like [the IPS meters] better because you don’t have to go looking for the box and print the receipt,” he said.

Scott Cassady, a retired Athenian, shares McArthur’s distaste for the pay and display meters, saying they are “a pain in the butt.”

“Whatever happened to where you just walked up and stuck your coins in and walked away?” he said. “[The IPS meters] actually look like they make sense. It’s way better than the other one.”

And on top of being a grievance for those who frequent downtown, the pay and display boxes are difficult and costly to fix when they break. Horton said Athens doesn’t have the in-house tools to fix the machines so the city has to call in people from Norcross.

The IPS meters pose much less of a problem. Horton said they break less frequently and are easier to fix and to monitor.

“It will send a message to my email if they are jammed if they are having some problems,” Horton said. “For us its easy to trouble shoot them you can switch them out pretty easy.”

In addition to the ability to pay with credit and debit cards as well as the traditional coins, users can pay for the new machines by calling in on an app and paying on the phone.

“I can pull up on their software and check the amount of money that’s coming in,” Horton said.

A given meter’s income varies by location — the area by the courthouse doesn’t get as much business until court is in session or there is an event at the Classic Center. On the other hand, Horton said the meters on Lumpkin Street, Jackson Street and S. Washington Street “really get used.”

Athens-Clarke County purchased 510 IPS meters at $465 a piece — a total of just over $230,000 — that arrived in the middle of last October. Horton said of the vote in favor of the purchase, “I think it was unanimous.

And the opinion on the amendment to the downtown landscape met with positivity from Athens’ citizens, too.

“They are well received,” Horton said. “I like them and I think the customers like them because … they can read them and it’s easy to use them. Your generation is going to use plastic; the older generation may not want to do that.”

Barbara Brown, an employee of Downtown Athens Parking, has the job of writing tickets for the vehicles which are illegally parked — whether in an off-limits parking space or with an expired meter.  She said the dual nature of the meters makes them easy to use for Athenians of all ages and backgrounds.

“They are easier for the older people and easier for the students, you know, it’s old school and new school,” she said. “Credit cards, five cents, ten cents and quarters — you can still get by with it.”

McArthur said he supports the new, high-tech meters’ downtown takeover because they are convenient and good for the price. His only complaint — “I wish they would take dollar bills too.”