As reported in the Wall Street
Journal:
"
The Detroit
Symphony Orchestra's 85 musicians walked off the job in late
September after negotiations broke down over a proposed contract
calling for the salaries of veteran musicians to be cut by nearly a
third while new players would start at 42% below the current base
of $104,650. Pension and health benefits also would be
cut.
The players had offered an initial cut to $82,000,
but wanted pay partially restored over three years, to
$96,600.
The orchestra's management contends the cuts are
needed as the DSO faces a $9 million loss this
year in its budget, after two seasons in which it had
deficits totaling more than $10 million. The orchestra has also
said it faces rising interest payments on more than $50 million in
bank loans. Revenue shortfall has been unusually severe as the auto
industry has shrunk, spurring a drop in ticket subscriptions and
decline in donations."
What is the answer? Taxpayers to the rescue! As reported
in Gongwer:
"The House is
expected to take quick action on a local tax financing
package for the Detroit Institute of Arts and
Detroit Zoo when it returns from break, but there is talk the
chamber could add a third beneficiary: the Detroit Symphony
Orchestra.
The Senate surprised
many when it moved fast on SB 1578 and SB 1579, after previously
declining to act on anything close to a tax increase, but
the bills are being fast-tracked through the
Legislature in general because of the shortened lame-duck session.
The House skipped its usual referral of the bills to
committee and just put them on second
reading.
The legislation allows voters in Wayne, Oakland and
Macomb counties to create a new property tax to
fund the DIA while increasing the existing levy for the
zoo.
But unlike the DIA
and zoo, which are owned by the city of Detroit but are run by
independent nonprofits, the DSO is an independent body reliant
purely on ticket sales and donations.
Without a
resolution, the DSO expects to run out of endowment money and be
broke in two years, according to its website."
If you are not from the
Detroit area, you may not care bacause this is a local taxing
issue. But, you must ask the question, "when will my local zoo, art
museum, or symphony orchestra be added to the lame-duck Christmas
tree?"
Perhaps a quick note of
encouragement to Senate Leader Mike Bishop and House Minority
Leader Elsenheimer would be appropriate. They are both unlikely to
support such a tax boondoggle, but some positive reinforcement
would likely go a long way. To send them an e-mail, just click on
their names.
Mike Bishop Kevin Elsenheimer
Have a
blessed Thanksgiving!
