Firefly Club remains closed, but owner hopeful an agreement can be reached with the state
Two weeks after state Department of Treasury officials seized the Firefly Club in Ann Arbor for non-payment of back sales taxes, the popular jazz club remains closed.
Owner Susan Chastain said tonight that she's received an outpouring of support and donations - but thus far, no agreement has been reached to reopen the business.
Chastain said she's been working with state officials to explore her options, but declined to discuss specifics. Treasury officials could not be reached today, but previously said they could not divulge details in the case.
A treasury official told AnnArbor.com yesterday that the state generally tries to work with businesses to keep them open whenever possible.
Since the Firefly's plight came to light, Chastain said she's received more than 500 e-mails from the Ann Arbor community. Several people also have stepped forward to help.
The weekend of the seizure, a birthday party for jazz musician Tim Ries - which was scheduled to take place at the Firefly and relocated to the Kerrytown Concert House - dedicated all of its proceeds to the club.
And on Thursday, Sept. 3, from 8 a.m. to 8 p.m., Dr. Larry Baitch's Dakota Laser Vision and Family Eye Care is hosting a fundraiser on the Firefly's behalf.
Baitch and his team will be giving eye exams for a minimum donation of $75, which is $90 down from the usual $165 for an eye exam. All proceeds go to Chastain's legal fund.
Thus far, Dakota has taken five appointments for the 12-hour fundraiser. If that number reaches north of 20, Baitch will call in another optometrist to help. Baitch hopes to raise in the neighborhood of $2,500 to $3,000 toward the $120,000 debt Chastain owes the state. Appointments can be scheduled by calling Dakota Eye Care at 734-926-0196.
"We're not going to make Susan rich," Baitch said, "but for all she's done to keep jobs in Ann Arbor, we wanted to do our part to help. Besides, my wife's a musician and I'm a tremendous jazz fan."
To ease the wait at the eye clinic, Elements Massage will give free massages, while R & R Eyewear Imports will run a frame designer trunk show during the fundraiser and donate $25 from every purchase to the Firefly Club's till.Â
The day after reports of the Firefly Club's financial troubles first surfaced, University Bank president Stephen Ranzini stepped up to challenge the Ann Arbor community: If the Firefly's supporters could raise $1,800, the Joseph Louis Ranzini Charitable Trust controlled by the bank would match it.
That effort has outpaced expectations. Between community support and the bank's contribution, Chastain will receive about $4,100 toward her back taxes.
The charitable trust is named for the father of University Bank president Stephen Ranzini who, before his days as a lawyer and a judge, was a professional musician.
"I'm just doing what my dad would've done," Ranzini said.
"It'd be a shame to lose all those musicians" who call the club home, Ranzini said. Students at the adjoining Ann Arbor School for Performing Arts often cut their teeth performing in front of the club's live crowds.
Chastain is optimistic that the club she built over the last decade will return.
Signs at the Firefly Club's entrance today noted the club is "Closed 'til Labor Day weekend!" and "We are temporarily closed! Will reopen Labor Day weekend!"
Chastain said no arrangements have yet been made with the state to facilitate a Labor Day weekend re-opening. But she said her goal is to re-open the club permanently, not just for a one-time fundraiser.
"We've got a lot of shows booked," Chastain said after a three-hour meeting with her attorneys. "We're just trying to explore our options and see if we can re-open."
James David Dickson reports on human interest stories for AnnArbor.com. He can be reached at JamesDickson@annarbor.com, or (734) 623-2532.
Comments
aajeff
Sat, Aug 29, 2009 : 6:50 a.m.
The owner charged customers(and collected)the 6% sales tax on everthing she sold. It wasen't her money but she decided to use it as if it was hers. Very poor decision on her part. In AA it's okay to blame the State, the economy, landlord, and everyone else if it is deemed to be a business of "value". It's a last resort for the State to close a business for failure to pay.
eelliott
Fri, Aug 28, 2009 : 2:14 p.m.
Let's not forget that she moved to a larger, presumably more expensive location. This must have involved some hefty expenses. This sounds like a gamble to increase revenue that didn't payoff. In hind sight a bad business decision. If you are running at a loss, you're not in the best position to take on more risk - should have tightened her belt.
Ann Arbor Resident
Fri, Aug 28, 2009 : 11:59 a.m.
It is too bad Susan forgot that the State has to be paid first. She was probably trying to keep promises she made to the artists thus shorting herself on what she owed on taxes. I occassinally play out with a couple of bands and this is a constant struggle with bars: they typically want to pay less than discussed due to some reason like less beer/food sales than expected, etc. One bar expected us to pass the hat as our way to get paid. It is a debate that will never be resolved (Who is responsible for bringing in patrons, the bar, the band or both?) but is a constant struggle. Anyways, if I win the lottery tonight maybe I can buy the place and keep it going.
charis
Fri, Aug 28, 2009 : 8:13 a.m.
The money went to pay the performers, staff, rent, vendors, electricity... (not Susan)....because that's all that came in!
Dallas C. Dort
Fri, Aug 28, 2009 : 8:11 a.m.
The Firefly and live jazz played a role in my decision to move to Ann Arbor six years ago. What a wonderful thing, for a town this size to offer live jazz almost every night of the week. Ellen Rowe, Paul Keller, and Pete Siers are just three examples of the many local jazz musicians who are at the top of their profession. And the Firefly has also brought in the best jazz talent from everywhere else in the country. I believe live jazz is an important part of the Ann Arbor culture that so many of us value. Susan has given her all to keep the Firefly afloat, and I can only hope we're all in her corner as she struggles to reopen.
Chicagobob
Fri, Aug 28, 2009 : 5:46 a.m.
The Firefly Club is a community treasure and is one of many local businesses that make Ann Arbor unique. Let's hope that the State realizes the value of working WITH businesses to resolve any past issues rather than shutting them down permanently and guaranteeing they'll get NO future tax money from them. Given the State's financial problems and the economic problems that have affected many businesses, large and small, now is not the time for the State to further tighten the vice on small businesses that are struggling to pay their bills and that are working hard to build their potential to be financially viable in the future.
prairiesmoke
Thu, Aug 27, 2009 : 8:17 p.m.
Hmmm...what happened to the money that was collected for sales tax and never forwarded to the state? Isn't that how it's supposed to work?