I’m starting to think the one thing the Pavilion has been missing is a little business acumen. Gawd, never thought I would agree with Mayor Huether.
The Pavilion came out $492,422 ahead in 2o11.
If you substract the city subsidy, they are still $875,735 in the hole. This has been a sticking point with the Pavilion. My feelings on the subsidy? I think it will have to continue, but the Pavilion and the city needs to figure out a way to ween themselves eventually, especially with the opening of the Events Center. I will agree with the Pavilion on one issue, the entertainment tax funds the Pavilion, which makes sense. Citizens are not being taxed extra in retail taxes or property taxes to fund the Pavilion. Basically if you are paying for entertainment in SF (eating out) you are subsidizing the Pavilion. This isn’t a bad thing. Something that is not shown in this financial report: (washpav-2012) Is the fact that the city owns the building, so any repairs or upgrades must come out of the capital improvement funds, (UPDATED: according to Toll at the informational meeting today (Item C) any capital improvements comes out of the entertainment tax) this fund of course comes from regular retail taxes. The ultimate goal of the Pavilion shouldn’t be eliminating the entertainment tax subsidy, but it should be making them pay for their own upgrades out of that subsidy, the Washington Pavilion Management Co. essentially leases the building, if they want new windows, etc., they should HELP pay for them.
But that is an argument for another day.
I will say I have been impressed with Toll’s leadership and his effort to try to get a handle on the financials of the Pavilion. It is a beautiful facility and an asset to this city (A big F’ing a$$et). If I ever have had one complaint about the Pavilion (well I have several) is that I wish it was more inviting to everyone. Art means different things to different people. To some it is a quiet sonata, to others it is a bouncing mezzanine. You need both to succeed, and once the Pavilionites figure this out, they will always be in the black.
And now a little video of one of my favorite performers at the Pavilion;
[youtube]http://www.youtube.com/watch?v=R3__WmcmY1o&feature=fvst[/youtube]