Much like the city of Chicago, Cook County is drowning in billions of dollars of government-worker pension debt, and just like Mayor Emanuel, the Cook County Board of Commissioners is looking for any way to raise the money it needs to close its budget deficit. The latest victims in the search for more money are Chicago's music venues, which are suddenly being asked to pay back taxes that they've been exempt from for years.
The Chicago Reader broke the story last week, revealing that Cook County is attempting to collect thousands of dollars of back amusement taxes from several small Chicago music venues, including more than $200,000 from Beauty Bar in Noble Square. The county collects a three percent amusement tax on admission fees for "live theatrical, live musical or other live cultural performances" in Chicago, but venues with a capacity of less than 750 have traditionally been exempt from the tax. According to the Reader, the county is justifying its demand for back taxes by arguing that rock, rap and DJ performances do not qualify as "fine art."
At a hearing on Monday morning, the Cook County Board continued to argue that genres like rock, hip-hop, rap and house music do not qualify as "fine art," and that any venue that hosts performances by artists who play these types of music should not be exempt from the county's amusement tax. The Tribune revealed that Noble Square club Evil Olive is also being asked to pay more than $200,000 in back taxes and, along with Beauty Bar, is fighting the county in court. The venues are going up against Cook County administrative law judge Anita Richardson, who stated in court, "I think you're going to be hard-pressed to prove that the commissioners meant for rap music to qualify as the fine arts. None of the definitions that I've come across have included the activities of DJs doing what they do as fine arts." At a hearing on October 17, representatives from both venues will argue their case, presenting evidence that rappers and DJs actually do create art.
It's shocking enough that the Cook County Board suddenly considers itself to be a cultural arbiter, with the power to determine what does and does not qualify as "art." What's even more disconcerting are the repercussions that this attempt to collect taxes could have if it's successful. Venues like Beauty Bar and Evil Olive cannot afford to pay a hefty $200,000 tax that, until recently, each business was unaware it owed—the cost of paying these taxes could put them out of business. And if Cook County successfully collects these taxes, it will likely set its sights on Chicago venues such as the Empty Bottle, the Hideout and Schubas Tavern—all of which hold fewer than 750 people and regularly present concerts featuring rock, rap and electronic performers.
If you're a fan of live music in Chicago—the kind that doesn't happen in giant arenas or on corporate-sponsored stages in a park—Cook County's cash grab could be devastating. Much of what makes Chicago's music scene so special is developed and showcased in small venues across the city, which provide a platform for local musicians and lesser-known touring acts from around the world—losing even a few of these venues would make Chicago a far less welcoming place for musicians and music fans alike.
Instead of going after big businesses with exponentially greater revenue than a typical music venue, the Cook County Board has clearly decided that Chicago's venues are an easy target. If you believe that rockers, rappers, electronic musicians and DJs are worthy contributors to the cultural fabric of Chicago, it couldn't hurt to contact your commissioner and let them know how important Chicago's small music venues really are.