Music Trade Review -- © mbsi.org, arcade-museum.com -- digitized with support from namm.org
JUNE 10,
1922
THE
MUSIC TRADE
11
REVIEW
CONVENTION OF THE MUSIC INDUSTRIES CHAMBER OF COMMERCE—(Continued from page 9)
cipated actively. The National Bureau for the
Advancement of Music was particularly effective
in the work with women's clubs and musical or-
ganizations, and this widespread opposition of
women to the music tax forecast its doom. The
very necessary assistance of music merchants in
almost every town and hamlet of the country
was stimulated constantly by the National Asso-
ciation of Music Merchants. In the last analy-
Albert L. Smith
sis the music tax was eliminated because the
majority of Congress was convinced by constitu-
ents that it should be eliminated.
Why Test Suits Were Dropped
Prior to the passage of the new Internal Reve-
nue Bill, the Chamber bad instigated three test
suits which were then pending in the U. S.
courts, for the purpose of recovery of taxes
alleged to have been wrongfully collected on the
sale of player-pianos, on instruments sold to
boards of education and on packing cases in
which musical instruments were shipped. At the
meeting of our directors, January 13, 1922. these
suits were discussed particularly with reference
to the wisdom of continuing such action against
the Government at this time in view of the fact
that the music excise tax, which has been elimi-
nated, may be proposed again in the near future.
It was decided to withdraw the suits and abandon
for the present any action with respect to them.
Action Taken on Tariff Question
When the pending tariff bill was being pre-
pared by the House Ways and Means Committee,
the Chamber obtained the opinions of all its
member Associations and presented a brief on
behalf of the entire music industry. This mat-
ter has been followed up constantly with the re-
sult that the tariff bill, which is now in the Senate,
contains within it provisions which are in the
main in accordance with the tariff policy of the
Chamber and satisfactory to the various elements
of the industry.
During the year the Chamber has represented
the industry before the Interstate Commerce
Commission in the matter of the application of
the railroads for reduced rates for pianos in car-
load lots from Chicago, and Atlantic Coast points
to Pacific Coast points to enable the railroads to
compete with the water carriers. Western manu-
facturers and merchants on the Pacific Coast are
particularly interested. The application is still
pending.
Handling" Various Association Activities
Much of the time and attention of the paid
staff is devoted to the conduct of the routine af-
fairs and special activities of member Associa-
tions, particularly the National Association of
Music Merchants, National Piano Manufacturers'
Association and the Musical Supply Association
of America. The greatly increased demands upon
the Chamber in this respect during the past year
are very gratifying indeed, showing as they do
the growing activities of the member Associa-
tions. These activities will be reported upon in
the proper sessions.
The work of the various bureaus constitutes
the important basic activity of the Chamber. The
reports of the bureau managers speak for them-
selves. However, I call your attention to the
continued growtli in prestige and effectiveness of
the National Bureau for the Advancement of
Music and to the promising outlook for service
from the Trade Service Bureau, as shown by
things already done.
I am sure a visit to the offices of the Chamber
would well repay any member of the industry.
The maps, charts, literature and other material in
the National Bureau for the Advancement of
Music would prove particularly interesting. The
personal contact would be very helpful to th 1 .-
members of our staff. In the absence of a visit
to the office the statistics for outgoing mail which,
since the first of the year has averaged about
-1,000 pieces weekly, may help to visualize the
vohine of work.
It is a pleasure to express my personal ap-
preciation of the co-operation during the year of
the trade generally and the executive staff par-
ticularly.
Big Reduction in Budget
Next came one of the most important and inter-
esting reports of the session, that of the Finance
Committee, presented by Paul B. Klugh, chair-
man of that committee, which included a budget
covering the contemplated activities of the Cham-
ber during the coining year. The budget rep-
resented a $26,000 reduction from that of last
year and was passed on to the various member
Associations at their meetings during the week
for their approval. The report of the commit-
tee was as follows:
R E P O R T OF FINANCE COMMITTEE
On behalf of your nuance committee I submit
the following report with recommendations for
the budget for the coming year, which has been
approved by the board of directors.
When we consider the heavy demand placed
upon the Chamber during the past year to main-
tain its work for the advancement of music and
development and protection of the music indus-
try, and particularly to eliminate the music ex-
cise tax, coupled with a condition of curtailed
revenues due to business depression, your com-
mittee believes the members of the Chamber are
to be gratified over its healthy financial condition.
The financial problem of the Chamber during the
year has been doe solely to the greatly decreased
volume of business of members of the industry as
the revenues of the Chamber are for the most
part, at least indirectly, based upon volume of
sale. The problem has been met through a very
careful handling of the financial affairs of the
Chamber, keeping in mind all the time that the
effectiveness of the Chamber must be maintained
as much as possible under the circumstances.
As soon as the heavy demands incident to the
tax fight were over the directors of the Chamber,
after several conferences with your Finance Com-
mittee and other representatives of the trade, in-
cluding the executive management of the Cham-
ber, reduced the operating expenses of the
Chamber February 1 to an annual rate of $75,000,
by salary and wage decreases recommended
to meet the emergency, amounting to $6,500 an-
nually, and by the elimination of the Legal Bu-
reau and the retaining of counsel upon retainer
with a per diem fee and expenses for special
undertakings, making possible a further saving
of at least $12,000 annually, subject to demands
incident to unforeseen legal and legislative con-
tingencies. Many established activities had previ-
HENRY KELLER & SONS
Pianos and Player-Pianos
The dependable
high grade line for
critical dealers.
156th Street and Whltlock Avenue, New York
Established 1892
ously been curtailed, and all plans for new or
enlarged activities were held in abeyance.
On account of financial conditions the Chamber
has been unable to meet many suggestions and
requests for new activities for promoting music,
practical advertising and selling assistance to
merchants, traffic work, compilation of informa-
Paul B. Klugh
tion and statistics of the industry and publicity.
Plans for activities along these lines can and
should be carried out during the coming year, if
the Chamber receives the revenue anticipated by
your committee.
Budget of $103,400 Recommended
We recommend a budget of $103,400, which is
$26,000 less than the budget for the past year,
to be raised as follows :
From the National Piano Manufacturers' Associa-
tion and National Association of Music Mer-
chants, the proceeds of the sale of combination
stamp, estimated minimum
$60/100
Phonograph industry (manufacturers and jobbers,
including the National Association of Talking Ma-
chine Jobbers)
20,000
Musical Supply Association of America, proceeds of
the regular compulsory assessment of that asso-
ciation, estimated minimum
12,000
Music Publishers' Association of U. S
5,000
< >rgan Builders of America
2,000
Hand Instrument Manufacturers' Association
2,000
National Musical Merchandise Association
1,000
National Piano Travelers' Association
200
National Association of Piano Tuners
200
Individual members and miscellaneous receipts. . . .
1,000
$103,400
The suggested assessments in the above sched-
ule have been recommended with due regard to
both the resources of the various branches of
the industry as shown by experience in making
the assessments, and anticipated future business
conditions.
In preparing the recommended assessments
>our committee has had in min,d the following
budget of maximum expenses:
Proposed
budget
1922-3
General office expenditures, including sal-
aries, wages, rent, traveling, printing,
postage, telephone and telegraph, insur-
ance, sundries, and executive, clerical
and stenographic expense for member
associations
$35,000
National Bureau for the Advancement of
Music
40,000
Trade Service Rureau
4,500
Export Rureau (Expense merged for the
present in the general office).
Legal and Washington expenses
4,000
Retter Business Rureau
2,250
Monthly Bulletin
3,000
Convention expenses 1923
2,000
Miscellaneous and unforeseen
2,650
Payment to Reserve
10,000
$103,400
The old
budget
1921-2
$37,000
35,000
500
17,750
5,000
3,000
750
5,400
25,000
$129,400
With the above budget the work of the Na-
tional Bureau for the Advancement of Music can
be materially expanded, the Trade Service Bu-
reau developed and the regular activities carried
(Continued on page 13)