Tulsa World: BOK Center continues successful run

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BOK Center continues successful run
From July 1 to Sept. 30, the arena generated more than $1 million in both sales tax revenue and profit.

By BRIAN BARBER World Staff Writer
Published: 11/8/2009 2:25 AM
Last Modified: 11/8/2009 4:21 AM

Visit the Tulsa World’s BOK Center Web page for more arena-related stories and special features.

Not all financial news coming out of Tulsa is bad.

The BOK Center had a stellar first quarter of the fiscal year, generating more than $1 million in sales tax revenue for government coffers and posting a nearly $1.1 million venue profit, financial reports obtained by the Tulsa World show.

That three-month tally compares to $2.8 million in sales tax revenue and $1.1 million profit that the arena brought in for all 12 months of its inaugural fiscal year.

The first quarter ran from July 1 to Sept. 30, when the BOK Center hosted such big-name acts as Paul McCartney, Taylor Swift and Aerosmith, as well as the four-day Rock N' Rib Festival and the three-day Professional Bull Riders, among other money-making events.

But despite the venue's success, its managers are remaining cautious.

"Our first quarter was exceptional and our team celebrated that fact for about a day," BOK Center General Manager John Bolton said.

"We don't know what the future holds since ticket buying is mostly a function of one's discretionary income. This first quarter gives SMG (the arena's private management company) and the city a contingency should our regional market area take a wrong turn."

BOK Center Finance Director Tom Simpson said there's still

a long way to go before the June 30 end of the fiscal year.

November is light on events, with an Alan Jackson concert and a few Oilers hockey games, he said. But every month, there are more than a half-million dollars in expenses.

"We will go into our excess this month," Simpson said. "There will be some lows and highs this year. As long as they balance out in a positive number."

The arena's budget is based on earning a $285,597 profit for the entire fiscal year.

Bookings for the rest of the year look good, Bolton said, citing Kiss, Daughtry, Bon Jovi, Curious George Live! and the George Strait and Reba McEntire double bill as some examples of the entertainment variety they are working to bring in.

"We are hoping the latest economic reports coming out indicating that the recession may have ended will convince more arena-level artists to tour," he said. "We can make a pretty compelling case that any artist should play Tulsa and the BOK Center."

The $1,007,385 in sales tax revenue — derived from $12,795,648 in purchases of tickets, T-shirts, concessions and other items at the venue over the three months — is split by the city, county and state.

Of the 8.517 cent sales tax rate collected in Tulsa, 3 cents go to the city, 1.017 cents go to Tulsa County and 4.5 cents go to the state.

So of the BOK Center's first quarter total, $354,600 was remitted to the city, $120,886 to the county and $531,899 to the state.

The $1,088,538 profit is based on the venue earning $2,652,666 in income from rent, food and beverage sales, and other sources, which offset $1,564,128 in operational expenses.

Like last fiscal year, officials said, any profit at the end of the fiscal year will go into the BOK Center's contingency fund to help pay for the building's upkeep so the city doesn't have to be asked for money.

Top 5 BOK Center events

July to September

	Tickets Sold	Sales Tax Revenue
1. Rock N' Rib Festival	23,701	$4,634
2. Pro Bull Riders	16,790	$76,136
3. Paul McCartney	15,287	$237,367
4. Aerosmith	12,769	$151,119
5. Taylor Swift	12,418	$65,758

Brian Barber 581-8322
brian.barber@tulsaworld.com By BRIAN BARBER World Staff Writer

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	Report Comment livinintheburbs, (11/8/2009 12:46:43 PM) BOK is great...Parking not an issue....Oh I love the smell of Napalm in the morning..
	Report Comment Mar, Tulsa (11/8/2009 11:47:44 AM) Good morning naysayers, A Tulsan and Charley. Boy, you will continue complaining and questioning forever. Give it up. The BOK Center is a success and will continue to be a success. So just get in line, purchase your tickets and enjoy some great entertainment.
	Report Comment Few Clothes, America (11/8/2009 3:51:23 PM) Is this enough for the rest of you Tulsans who can't afford to go to events?
	Report Comment aint missbehavin, .. (11/10/2009 7:45:29 PM) Good luck to the BOK,want them to be sucessful.
	Report Comment A Tulsan, (11/8/2009 7:15:19 AM) I honestly think that the $ figures thrown out in this article are inaccurate as applying to economic stimulus. Shouldn't the report be on comparative levels of tax monies brought in (as a whole) by entertainment in Tulsa County last year to date vs 2009 ytd. Example, the PBR is a regular event to Tulsa in years past - meaning the fairgrounds lost monies. The Mabee Center I'm sure is also being impacted between BOK and Spirit Centers openings. In short, are we attracting more new customers with the glitz and glitter of the new outlets? And if we are getting a bigger draw, how much more money is coming into the City - now apply those new dollars to the cost of the center...how long will it take to pay it off...that's net income for the city. Like I said initially...reports can be swayed and candycoated to look like we're doing well and hopefully we are but I'm skeptical of that.
	Report Comment Charley, (11/8/2009 9:23:11 AM) Just about everything smells good when it's fresh. Time will tell the real story.
	Report Comment tulsaGuy, (11/8/2009 8:53:42 PM) hardwright, Too bad for you the BOK Center has been a success. You could rely even more on your sarcasm for self-assurance that you are much smarter than the powers that be.
	Report Comment seymore1965, Tulsa (11/8/2009 8:43:26 PM) The BOK Center is better than I imagined it would be.

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