Harrisburg Midtown Art Center announced its closure on Tuesday, stating it couldn’t procure essential operating licenses from the city after failing to pay its entertainment taxes.
“We acknowledge that entertainment tax is owed,” HMAC, which initially opened in 2009, wrote on Facebook.
The venue has already been effectively closed for the past two weeks, according to John Traynor, one of the concert venue’s co-founders, when reached by telephone. Without essential licenses, like health and mercantile licenses, it cannot legally operate, he said.
In Harrisburg, entertainment taxes constitute 10% of each ticket sold for any amusement, with the city and school district taking 5% each. While city Solicitor Neil Grover said that while he couldn’t disclose the amount of unpaid entertainment taxes HMAC owed, unless the city goes to court with the venue, “it’s substantial.”
Traynor meanwhile estimated the amount owed is somewhere around $250,000 or $300,000.
Grover said that the city was lenient with HMAC last year for “the exact same issue.”
“If they would pay their bills like most taxpayers do, most good corporate citizens do, then that would solve the issue,” Grover said. “This is their issue of their making.”
According to Grover, HMAC also owes the city for unpaid trash bills.
Traynor added that he and HMAC’s legal representatives have asked the city to negotiate payments for the outstanding entertainment tax balance, but received no response from the city.
Grover said this is because HMAC’s offer, as of last week, constituted “pennies on the dollar” for what it owed.
“And it’s money that the court already ordered be paid to us, so I don’t consider that working with us,” Grover said.
“The city has done everything it can within reason to work with HMAC,” he said. “HMAC has not worked with us.”
Traynor meanwhile said it is possible the venue could reopen if “we have a willing advocate and partner in the city.”
He added that, as a small, live entertainment venue coming out of the COVID-19 pandemic’s prolonged shutdowns, HMAC has struggled in recent years.
“HMAC’s closure during COVID caused significant financial harm to the company,” Traynor said, adding that he thinks that the venue, which includes a restaurant and bar, brings value to the Midtown community.
The closure has put bartenders, security, lighting and sound technicians, production crews, and administrative staff out of work, HMAC said.
“It’s been really hard,” said Traynor. “For all the staff, everyone has lost their jobs like that.”
He added that HMAC doesn’t just do music shows. It is open seven days a week.
“We do fundraisers all the time for free for people, we do poetry nights,” he said. “Those have been hugely successful in the courtyard outside during the summer. It brings a sense of community.”
Grover indicated that perhaps the venue could reopen if it paid off its balances, owed to the city, in full.
If you like what we do, please support our work. Become a Friend of TheBurg!















