Independent clubs call for COVID relief

Venues ‘first to close, last to reopen’ say their existence is threatened

The Mekons perform before a packed house at the Hideout in Chicago a year ago. (One Illinois/Ted Cox)

The Mekons perform before a packed house at the Hideout in Chicago a year ago. (One Illinois/Ted Cox)

By Ted Cox

Independent clubs across the nation are lobbying for coronavirus relief, saying that without it they may never reopen.

The small clubs with intimate settings — generally featuring music, comedy, theater, and movies — say they were the first to close and will likely be the last to reopen in the restrictions on public gatherings meant to slow the spread of COVID-19. Even as restrictions ease on many businesses, as in the fourth phase of the Restore Illinois plan, small clubs such as the Metro and the Hideout in Chicago remain shuttered as social distancing is prohibitive in such spaces.

The National Independent Venue Association has launched a campaign under the social-media hashtag #SaveOurStages asking fans to lobby Congress for passage of a coronavirus relief package specifically targeting clubs and theaters. The organization points out that the Paycheck Protection Program and other COVID-19 relief packages “do not work for venues, which are completely shuttered small businesses in need of long-term support that provides flexibility for the use of funds due to high overhead costs.”

“Venues are experiencing upwards of 90 percent revenue loss and will be closed well into 2021 due to safety concerns posed by large gatherings,” the organization says in an online pitch for public support. It estimates that 90 percent of the clubs will never reopen without some government support.

It cites a Chicago study that estimated that “$1 spent at a small venue resulted in $12 of economic activities for neighboring restaurants, hotels, and retail shops. Venues drive revenue to other businesses in cities and towns across America.”

The Chicago Independent Venues League chimed in, issuing a statement saying, “We were the first to close and will be the last to fully reopen,” and adding, “Without inclusion in the next stimulus bill, this might be the last chance for your favorite independent venues, festivals, and promoters. Tell your reps that life support for independent venues and promoters must be included.”

The national organization urged a congressional letter-writing campaign in support of the Reviving the Economy Sustainably Towards a Recovery in Twenty-twenty Act, also known as the RESTART ACT. First introduced in May, it has rare bipartisan support in the Senate and has also been submitted in the House. Both houses of Congress are expected to take up additional coronavirus relief this month.

It also has the support of the National Association of Theater Owners, which issued a statement Tuesday with eight aligned organizations saying: “The RESTART Act provides a solution to the desperate need for capital faced by cinemas, theaters, live-music venues, and performing artists, agents, and touring teams, events management, restaurants, places of amusement, recreational businesses, and health and fitness clubs whose operations have been severely curtailed by the COVID-19 pandemic.

“Our businesses are integral to the social, cultural, and economic life of our communities, supporting local economies and the dreams of thousands of entrepreneurs,” the statement added. “Without a loan program such as the one contemplated in the RESTART Act, we fear our businesses simply will not survive this crisis. We urge Congress to pass the RESTART Act and save our businesses.”

“These venues closing permanently would also impact the entire music economy and ecosystem in America – artists, talent agents, stagehands, security, catering, artist managers, tour-bus industry, production, radio/social media/tv/print advertising, record companies, and many others,” the National Independent Venue Association stated. “The closure of these venues would be devastating for music lovers. The cultural impact of our venues on our local communities is priceless. We are the steadfast incubators and launch pads for the most popular talent in the world.”