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Tuesday, February 04, 2003

By Tom Barnes, Post-Gazette Staff Writer

Prices for pretzels, soft drinks and hot dogs at the David L. Lawrence Convention Center are not out of line compared with prices at the city's sports venues and at convention centers in other cities, the director of the Sports & Exhibition Authority said yesterday.

	Online charts Food price comparisons Concession prices compared in Pittsburgh

Director Stephen Leeper said it's not fair for state Sen. Jack Wagner, D-Beechview, to demand a street pricing policy for food and beverages at the Downtown center, similar to one at Pittsburgh International Airport. Street pricing means prices are no higher than those charged in stores outside the building.

Leeper, who is responsible for construction and operation of the new $375 million center, said the airport is open for business every day, while the center depends on heavy usage -- often by out-of-towners -- at a limited number of meetings, trade shows, conventions and public events.

Two weeks ago, Wagner, in a letter to Mayor Tom Murphy and county Chief Executive Jim Roddey, raised questions about the prices of some items sold to the public at the convention center. He specifically complained about jumbo pretzels and bottled soda and water.

He said yesterday he's not satisfied with Leeper's response.

"The convention center is being paid for by the public," he said. "City and county government should be more sensitive to the prices being paid by the public."

Convention center operators "need to make a profit but they are making too much," he said. "They're gouging the public in some cases. I've gotten a lot of phone calls and e-mails about this.

"I'm not talking about using street pricing for private events held in the ballroom or for companies that use the private meeting rooms. I'm talking about what is sold on the convention floor at events open to the public. The convention center is a magnificent building, but let's make it a people friendly place."

Wagner may have a point when it comes to the price of pretzels. A large, salted pretzel costs $3.50 at the convention center but only $2.75 at Heinz Field, PNC Park and Mellon Arena -- places not known for bargain prices on food and drink.

The pretzel price is also more than the $2 charged at convention centers in Columbus and Cincinnati, the Rhode Island Convention Center and the Meadowlands Expo Center in New Jersey, and more than the $2.50 charged at convention facilities in Atlantic City, N.J., Knoxville, Tenn., and Long Beach, Calif.

Wagner also complained that $3.25 was too much to pay for a large soda at the convention center. But it's less than the $3.75 charged at the two stadiums and $4.25 at the arena.

The Pirates operate PNC Park and the Steelers run Heinz Field and Aramark is the concessionaire for both venues.

The sports authority hired SMG of Philadelphia to run the convention center, and it brought in a firm called Custom Cuisine Catering to operate food and beverage stands. The authority owns both stadiums, the convention center and the arena.

Wagner's criticism didn't hold up for hot dogs, which cost $4 at the convention center -- less than the $5.25 charged at the stadiums and the $4.75 at the arena. A premium draft beer is $4.25 at the center, vs. $5 at the stadiums and $5.50 at the arena.

"In most cases, the convention center price for a comparable item is less than the other [local] venues," Leeper contended in a letter to Wagner.

Leeper said the center, which still isn't fully open, has begun comparing per capita spending on food and drink at events to those of the previous year. For the just-ended recreational vehicle show, per capita spending dropped slightly this year from last year ($2.36 vs. $2.44).

"This is not a statistically significant trend," and could result from factors other than prices, Leeper said.

Local officials see premium prices for food and drink at the convention center as a way to tap out-of-towners' wallets, because many people going to trade shows and conventions are from outside Pittsburgh.

Roddey said that if food prices are lowered at the convention center, it's likely to increase the center's hefty operating deficit -- already expected to be $3 million to $5 million this year. Any deficit has to be made up by the city and county governments, which means taxpayers would foot the bill for lower concession prices.