A new agreement between Chicago Park District board and Lollapalooza's promoters, C3, will keep the music festival in Grant Park through at least 2021 with the requirement that C3 pays millions of dollars in annual city and county amusement taxes and state liquor taxes.
This new agreement will boost the local economy but concert goers will most likely have to pay more for their tickets this year. Lollapalooza's ticket prices in 2011 ranged from $90 for a one day pass to $215 for the entire weekend. This year's ticket prices and lineup will be announced on April 9th.
“This is a good deal for the city and we felt it is the right thing to do,” said Charlie Jones, a co-owner of Lollapalooza promoters C3, to Chicago Tribune. “But it will affect ticket prices. There will be an increase. How much? To be determined. But it's been keeping me up at night,” he said.
When Lollapalooza first contracted with Chicago Park District in 2005, they agreed to give a certain percentage of their revenue to Parkway Foundation, a nonprofit with the goal to enrich Chicago's parks. In exchange the promoters didn't have to pay city, county and state taxes. Lollapalooza was not profitable for its first three years, according to Jones, but last year the festival had an attendance of 270,000 making it the largest music festival in the country. The festival has brought in more than $20 million annually in revenue the last four years.
“We knew our tax-exempt status would change as the scale of the event changed,” said Jones to Chicago Tribune. “The (success of the festival) greatly exceeded all our expectations.”
Under the new deal Lollapalooza would have to pay the park district to repair any damages caused by the festival. Also, the Park District's shares of tickets sale will increase this year from 10.2 percent to 11 percent and it will escalate annually until it reaches 15 percent in 2021 according to the Tribune.
Lollapalooza was created by Perry Farrell, lead singer of the band "Jane's Addiction," in 1991 as a farewell roadshow for the group. Twenty-one years later the festival has grown both in popularity and in size, now spanning over 115 acres in Grant Park with multiple stages and 130-plus artists.
For more information about Lollapalooza visit: http://www.lollapalooza.com/
Taste of Chicago visitors may have to pay for a seat at the food festival's concerts this summer. Under a proposed ordinance by Mayor Rahm Emanuel anyone who wants to enjoy the Taste of Chicago music from a seat at the Petrillo Music Shell has to pay $25.
The Petrillo Music Shell seats 3,000 people and the city is hoping to raise $375,000 from the sale of concert tickets to help offset the festival's losing money.
“I told you during the campaign we were going to reform, rethink, the Taste of Chicago, because year in and year out it has lost money that the taxpayers paid, and not everybody went,” Emanuel told Chicago Tribune.
The lawn seating for 30,000 people will still remain free. Taste of Chicago will take place in Grant Park, July 11-15, 2012. The lineup for the festival's musical acts has not yet been announced.
For more information about Taste of Chicago visit: http://www.explorechicago.org/city/en/supporting_narrative/events___special_events/special_events/mose/taste_of_chicago.html