Portland City Council OKs entertainment venue fee born out of Live Nation debate

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PORTLAND — Large entertainment venues in Maine’s largest city will be required to contribute a portion of every ticket sold to a trust fund to benefit the local arts community.
The City Council voted unanimously Monday to create a new license for venues with a capacity of over 2,000 that would require them to contribute 1%-2% of ticket sales to an Entertainment Sector Trust Fund.
The amendment to the city’s code calls for the council to determine how the fund would operate, but suggests local artists and businesses could use it to help improve entertainment, rehearsal and event spaces, purchase equipment and services, and enhance education and training.
The new license was developed in response to public outcry against a proposed Live Nation concert venue downtown. Councilor Ben Grant said the proposed venue has “unleashed a torrent of comments from the art community here in Portland,” which identified a lack of support for young artists and small venues.
“I think it’s a pretty elegant way to get some money into the entertainment sector without having to go to direct taxation,” Grant said.
The Portland Music Hall would be a 3,300-seat concert venue at the corner of Cumberland Avenue and Myrtle Street, just around the corner from Merrill Auditorium. The City Council enacted a moratorium in August on large performance halls and theaters and later had its Housing and Economic Development Committee explore a number of related proposals, including the fee that passed Monday.
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Before the project was stalled by the moratorium, the developers had already agreed to contribute $1 per ticket as a condition of approval, with half the money going to Greater Portland Metro to improve bus service and the rest going to the city to benefit local arts organizations. Mary Costigan, a lawyer representing the developers, said on Monday that contributions to Greater Portland Metro will be addressed when the project comes before the planning board again.
The planning board tabled the project until March 24, 2026 — its first meeting after the moratorium is set to expire.
The new license and fee on tickets do not apply to city-owned venues. Other than the proposed Live Nation venue, affected facilities would include Cross Insurance Arena and Thompson’s Point.
Venues with a capacity of 2,000 to 2,499 will provide 1% of base ticket sales to the fund, while venues between 2,500 and 2,999 will provide 1.5%, and venues with a capacity of 3,000 or more will contribute 2% of sales.
The percentage contributed to the fund applies to the base ticket price, before taxes and third-party service fees are added.
Portland resident Martin Lodish asked the council to delay the vote, noting “Live Nation’s not here,” and it would impact venues already in the city, such as Thompson’s Point and Cross Insurance Arena.
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Ryan Vangel, president of Live Nation New England, took to the podium to highlight the company’s support of local arts.
“I think we all want to raise money for these organizations that need it,” he said.
The amendment to the city’s code takes effect Feb. 4, but it will take time to impact existing venues.
According to the amendment, existing venues will not have to enter into the new agreement until “the second termination” of their annual license after the enactment date. For example, a venue whose current license ends this May will not need to sign on to the agreement and begin contributing to the fund until their next license renewal in May 2027.
FIREFIGHTERS RECOGNIZED
Gov. Janet Mills appeared at Portland’s City Council meeting on Monday to honor the Portland Fire Department and neighboring agencies that responded to the blaze on Custom House Wharf last month.
“Be it resolved,” Mills read aloud, “the governor of the state of Maine hereby recognizes the Portland Fire Department and its mutual aid partners for their valiant efforts to extinguish the fire on Custom House Wharf and for their dedication to serving Portland residents and the entire state of Maine.”
Mayor Mark Dion followed with a similar decree, honoring the firefighters’ heroism the night of Dec. 26.
Fire Chief Chad Johnston thanked the lawmakers, but also highlighted the response of the community they serve.
“We’re overwhelmed by the amount of thanks we’ve received,” Johnston said. “(It’s) really humbled us and made us realize it’s truly not about the fire department, it’s not about just the waterfront, it’s that our community has the ability to pull together when they’re in need.”