Official: LV won’t use tax money for concert

Wednesday, Aug. 10, 2005 | 10:58 a.m.

A ranking Las Vegas official says the city will not use taxpayer dollars to reimburse Clear Channel Entertainment $627,209 for what the company claims were unexpected costs related to producing the July 2 free Red Hot Chili Peppers concert.

Such funds would have to be approved by the Las Vegas City Council, which to date has stood firm that no tax dollars be spent to produce the city's year-long 100th birthday celebration.

"That (allocation of tax dollars) would not be a staff recommendation," said Deputy City Manager Betsy Fretwell.

She said the money that would be considered for reimbursement would come from money raised through the sale of special centennial license plates, donations, the sale of centennial merchandise and the remainder of the $1.9 million Clear Channel paid the Las Vegas Centennial Committee to serve as a co-sponsor.

Fretwell said that just $400,000 remains unspent from the Clear Channel money.

That, Fretwell said, is a major reason why the centennial committee on Monday at its monthly meeting put Clear Channel's request for reimbursement on hold until the end of the year.

"We have a slate of centennial events remaining that need to be funded," Fretwell said.

She noted that between now and December, Clear Channel could still profit from centennial merchandising and 20 percent of pending donations, which could reduce the amount of money the company would need for reimbursement.

Clear Channel Chairman Bruce Eskowitz, in a letter to the centennial committee, requested reimbursement for unexpected expenses related to the free-to-the-public event that drew a crowd of more than 47,000 to the soccer fields adjacent to Sam Boyd Stadium.

The Texas-based company is asking for $119,631 to cover parking management, $68,285 for stage hands, $51,335 for insurance and $23,846 for barricades.

Sponsorships for the concert and other Clear Channel-produced events that included five hours of centennial-related programming on cable TV and a 10-city summer music tour promoting the centennial fell below the company's expectations.

Fretwell said the centennial brand "was untested," which could have contributed to the company's shortfalls.

She noted, however that Clear Channel did a "very solid job" producing the "quality, well-attended and successful" concert. "It was a new event, new weekend, new venue. Still, they did not sacrifice quality," Fretwell said.

Attempts to reach Eskowitz for comment were not successful.