Music to My Ears

Marc Kilmer Jun 21, 2010

Maryland doesn't have enough money to pay for its Medicaid program, but it can hand out $4 million to Montgomery County to build a music venue for for-profit Live Nation. Thankfully for Maryland taxpayers, the owners of the District's 9:30 Club is suing to prevent this from happening.

Seth Hurwitz, co-owner of the 9:30 Club, points out a few things wrong with this deal: the state has a budget crisis, Montgomery County didn't provide the required level of information to the state about the project's cost, and his company is willing to open a similar music facility in Silver Spring without using taxpayer money. To further pile on to this bad deal, the Washington Post points out this subsidy to live nation is the first in Montgomery County to go directly to a for-profit corporation.

As someone who is big on fiscal responsibility, it's amazing to me that the state would hand out this type of corporate welfare. But those of us who want public officials to be careful with taxpayer money are in a distinct minority in Maryland, so it's no surprise that the state is squandering $4 million. But in a liberal state like Maryland, and in a very liberal county like Montgomery, it is somewhat surprising that a for-profit company is getting the money. Where are all the Prius-driving, Whole Foods-shopping anti-corporate types who populate Bethesda out there protesting about this giveaway to Big Business? And for those who say this subsidy is needed to bring such a venue to Silver Spring, what about Mr. Hurwitz's offer to build such a facility using his own money?

When I lived in DC, I was within an easy walk of the 9:30 Club and attended many concerts there. I loved going to the place and am now even more enamored with it that it's standing up against Maryland's corporate welfare. Sure, it's doing this not because the 9:30 Club's owners have a principled beef with wasteful government spending but because the venue for Live Nation would compete against it. Whatever. If this lawsuit succeeds Maryland's taxpayers will be better off.