Buffalo temporarily pauses amusement license fees after concerns from venue owners

BUFFALO, N.Y. (WIVB) -- After concerns from bar and entertainment venue owners in Buffalo regarding amusement license fees, the city has opted to temporarily pause the fees while they work to make adjustments to the system.

Buffalo's Department of Permit and Inspection Services began warning local bars and concert venues last week about the rarely discussed fee for hosting events and other entertainment. The letter the city sent to Buffalo venues raised some eyebrows, as its arrival came as the city is looking to fill a $40 million budget hole.

In a letter to venues about the pause, the city said it would "work with the Common Council to resolve any issues" regarding the fees.

Some business owners reported never being aware of these fees, while others have been paying them for years. These fees could also amount to tens of thousands of dollars per year, depending on the business.

Tim Walton, the manager of VENU on West Chippewa Street, joined News 4 last week and said the club had been paying the entertainment fees since 2017. He added that he understands the need for a fee because events require added resources, but he said the city should use a different system.

In a statement to WIVB News 4 on Wednesday, Walton said VENU is "happy to hear that the city is reconsidering these fees that add up every year."

"We appreciate them listening to the small businesses," Walton said in the statement. "Many of us are still recovering from COVID and despite the fact that we’ve been paying these, this is relief that will help us that we are able to pass onto our customers and employees. We know this decision will help others as well, who would have been put in a difficult situation if they had to pay them and add them to their bottom line as well."

Buffalo Common Council President Chris Scanlon said last week he was aware of the city's letter and he understands the concerns from business owners.

"While the amusement licensing fee is on pause, I will be meeting with small businesses and venues from across the city to gather input and feedback, working with them to ensure these vital venues and our arts and cultural scene continue to thrive and remain assets to our city and region,” Scanlon said in a statement to News 4.

The City's Department of Permit and Inspection Services also said they were reviewing the system at the time.