National Newsletter: June 2, 2009 Volume 1 Number 6
WV Senate Passes Adult Entertainment Bill
ISSUE for Entire State
1 WV Passes
State Bill to According to the Register Herald and reporter Mannix Porterfield, all 55
counties in West Virginia could regulate adult clubs in a new Senate bill, but
Regulate Adult Majority Leader Truman Chafin was dismayed it couldn’t deal with billboards
Clubs along Interstate highways.
“That’s a separate, freedom of speech type issue,” Judiciary Chairman
the Country Jeffrey Kessler, D-Marshall, advised Chafin. Kessler said the bill, one of 13
sought by Gov. Joe Manchin in this special legislative session, intends to clarify
3 The Annals of
Porn Hypocrisy an earlier law on how counties can regulate clubs that feature nude dancing. A
4 New Adult Club
state Supreme Court ruling decided that only counties with a planning
Taxes Pose commission could regulate such nightspots. Manchin’s proposal is that all
Issues for county commissions could regulate such entertainment, commonly known as
“gentlemen’s clubs,” regardless of whether they have planning
5 ACE National
Reception Chafin pressed Kessler on whether the bill could be expanded so that
6 National outdoor advertising of exotic dancing could be regulated. “Most billboards are
Defense regulated by federal highway funds that may play into this,” Kessler told him.
Council Asks The bill allows existing clubs to be grandfathered in, but subjects them to
You for Help
regulation if they close and the facility is reopened. “We cannot amend this bill
7 2009 ED EXPO to regulate billboards we have to read up and down the Interstates?” asked
Chafin, D-Mingo. “I don’t think so,” Kessler said. “It doesn’t do anything with
billboards, senator, whatsoever.” Kessler reminded him that billboards carry a
variety of messages, including ads by attorneys and physicians.
The majority leader added,
“…If we’re going to regulate these clubs, we at least
ought to be able to regulate the signs along the roadways.” The measure cleared on a 32-0
Board of Directors
vote, ADULT of Delegates, with Chafin not convinced that it couldn’t
and was sent to the House ENTERTAINMENT NEWS AROUND THE COUNTRY:
President be amended to embrace outdoor advertising. “We’ll take a look at it,” Kessler said.
VCG/PT's Showclub Chain Texas: Wading again into a bitter dispute about how to tax adult clubs, the Texas Senate took a highly
David Fairchild unusual vote to reverse its approval of one version of the tax so that lawmakers can see what happens to
The Men's Club Corp. the other version. The adult club industry has taken sides in the debate, and so far the industry is winning.
Jerry Reid But that’s not what sparked the move in the Senate. The issue is that two Democratic state representatives
Treasurer from Houston — Ellen Cohen and Senfronia Thompson — are sponsors of competing bills. Cohen’s bill
Pure Gold Club Chain
Kathy Vercher would slap a mandatory $3 entry fee on strip clubs. Thompson’s legislation, favored by the club owners,
Secretary would impose a voluntary tax on sexually oriented businesses. Both women said they work well together
Spearmint Rhino Inc.
in the Legislature. But Cohen said her proposal would bring in $16 million to $18 million a year, while
Odyssey Entertainment Thompson’s would raise between $500,000 and $1.2 million. Cohen all but conceded defeat, saying she
David "Slim" Baucom would pull her bill if it meets parliamentary challenges and bumps up against a looming House deadline
Jerry Westlund to pass bills. "I’m unhappy because I think we had a good bill this time," she said. "This is not a personal
Fantasy Castle thing at all." In choosing between the two versions, the Senate essentially cast its lot with Thompson, one
Don "Weasel" DalPonte of the most senior members of the Legislature. The senator carrying Thompson’s bill in the upper
Dennis DeGori chamber, John Carona, R-Dallas, made it clear that he got involved not because of a great policy goal but
Scores of Chicago & Las because he wanted to see Thompson prevail.
Toychest/Katzman Ent. Montana: The Playground Lounge and Casino in Great Falls, Mont., owes four exotic dancers $26,828
Eric Langan in back pay, penalties, and reimbursement of “stage fees,” the Montana Supreme Court rules, finding that
Jim St. John the women were employees, not independent contractors, and entitled to be paid at least the minimum
Deja Vu Consulting wage (Smith v. TYAD Inc. d/b/a Playground Lounge & Casino, Mont., No. 07-305, 5/20/09). Although
the four dancers signed a “rental agreement” stating that they were independent contractors, Montana law
Glenn Smith prohibits agreements between employers and employees that circumvent applicable wage law, Justice
Imperial Showgirls Cotter writes for the Supreme Court. She agrees with the Montana Department of Labor and Industry that
La Fox Club Group the agreements were void and that the stage fees were impermissible withholdings and constituted illegal
Jim Halbach kickbacks. The agreements were designed by TYAD Inc., which owns and operates the lounge, “to
Diamond Jim’s circumvent Montana wage laws and to secure the services of the dancers in a manner that financially
Burch Management benefitted the Playground, and constituted contracts of adhesion,” Cotter says.
FALA Advisory Board
New Brittain CT
Ft. Lauderdale FL
Los Angeles CA
H. Louis Sirkin
Los Angeles, CA
Ft. Lauderdale FL
Warren, New Jersey
Jeff Scott Olson
Annals Of Anti-Porn Hypocrisy 2
By Mark Kernes
REXBURG, ID – Remember the good old days when, say, Citizens for Decent Literature actually
made a pro-censorship movie, distributed it to high schools and even got it shown in some movie
theaters, all about the menace of "hardcore pornography"? Or back in 2000, when CDL's daughter
organization, Citizens for Community Values, put on the "National Pro-Family Conference on
Pornography, Sexually Oriented Businesses and Material Harmful to Children"? Or in 2005,
when the "Kids First Foundation" put together their first (and so far only) "Victims of
Pornography Summit" in Washington, D.C.?
So perhaps it's no big deal that an organization calling itself "Citizens for Decency" put on an
"anti-pornography conference" at the Rexburg Tabernacle on May 9, supposedly inspired by a
"suffering widow" who claimed that her husband "at a young age became addicted to
pornography" and therefore, of course, committed suicide.
"There isn't a family gathering that they get together that they don't feel this void, this lack,"
reported Craig Cobia, alleged chairman of Citizens for Decency. "In a private moment, some time
ago, she reflected on this and she prayed, she said, I would like something good to come out of
this horrific event."
"Seems like it's kind of a quiet problem. People think sex offenders or child molesters just kind of
pop out of the woodwork but they don't. It all starts somewhere and we think a lot of it starts in
pornography," added alleged "volunteer" Sarin Cobia (no relation, we're guessing).
According to KIDK-TV in Idaho Falls, "The group has received much opposition but continues to
fight against pornography," and last year even got the Idaho legislature to support – unanimously
– a resolution saying, "Pornography is a concern that should be looked at."
There's just one problem: It looks like "Citizens for Decency" doesn't really exist.
Just check out their website: It consists of a "home page," no business or mailing address, with a
single message thanking the "550-600 people who attended the conference"; a 30-second "promo
video" about the dangers of porn and an invitation to attend the May 9 rally; a button to volunteer
either time or money ... and a "Resources" link to the "LifeSTAR Network," an organization
whose sole purpose is to treat "porn addicts" – well, and make a shitload of money doing it.
For instance, check the "bookstore" link, where you'll find the company selling their two-phase
course in "breaking free of porn" – and it only costs $646 including two "30-minute
consultations," or $526 without the consultations. Not in the same league as a Scientology rip-off,
but then again, LifeSTAR doesn't have an E-meter.
And if you're really inspired, you can even "Become A LifeSTAR Therapist"!
"LifeSTAR Network is a national association of licensed therapists dedicated to helping sexual
addicts and their partners," the site says. "Our licensees are committed and caring individuals who
have expanded their private practices to incorporate our innovative and highly successful
treatment program. Candidates for membership in the network should have an entrepreneurial
spirit, a willingness to learn, and a desire to work with sexual addicts and their families, and an
interest in expanding their private practice. It is also beneficial, though not necessarily required,
for candidates to have a background in addiction therapy-particularly sexual addiction therapy."
Yeah; all you need is to be a "licensed therapist" – hell, "Dr." Laura Schlesinger got her
therapist's license with only a degree is phys ed! – and with the proper amount of "entrepreneurial
spirit" (translation: A willingness to market the hell out of yourself), you too can take poor
obsessive/compulsives and get them to spend thousands of dollars "curing" themselves of one of
the most natural things in the world: Wanting to watch other people having sex.
AVN has nothing against people selling their product, even if it is a bogus "porn addiction cure";
we just think they should be honest about it.
NEW ADULT ENTERTAINMENT TAXES POSE ISSUES
From legalizing marijuana and then taxing it or charging gentlemen's club
patrons an extra $5 at the door, cash-strapped U.S. states and cities are rooting around for revenue
in some unconventional places. Yet, according to Reuters, most state and local governments will
still need federal help or traditional tax increases to recover from a 17-month recession that has
dried up revenue, drained spending capabilities and nearly obliterated the usual last resort of
borrowing. “Sin” seems most ripe for the taxing in a list of proposed revenue
initiatives compiled by the National Conference of State Legislatures.
A California state legislator has proposed making marijuana legal and charging a $50-per-
ounce tax on it, along with the state's sales tax. Oregon has considered levying a $98-per-ounce
duty on its legal medical marijuana. Adult entertainment too, may have to shoulder part of the
financial burden of some states. California lawmakers have proposed increasing sales taxes on
sexually explicit content, while Virginia will soon start taxing hotel movie rentals. Connecticut
may reduce the commissions to those who sell lottery tickets and New Jersey could take
unclaimed slot machine winnings. Georgia lawmakers call the $5 fee they could charge customers
at erotic dancer bars a "pole tax,’ while Texas, Pennsylvania and Tennessee all have some form
of admission fee for adult clubs on its session books this year.
"Many of these kinds of things that they do at the state level raise modest levels of money,"
said Donald Boyd, senior fellow at the Nelson A. Rockefeller Institute of Government. "They
want to avoid raising the marquee taxes. "Citizens may revolt against income tax increases he
said, and not notice smaller fees inching up. Also, when state governments ultimately raise the
larger taxes, they can say they have done so only after tapping all other alternatives. "There tends
to be more resistance to having a new fee than to raising an old fee," he said, adding that cities
often must receive approval for taxes from their states and states may not be eager to give cities
new revenue-raising powers when they are having their own fiscal problems. Even with
unconventional revenue methods in the works, many states are relying on tried and true tax
increases along with drastic spending cuts to keep their budgets balanced.
The nonpartisan think tank Center on Budget and Policy Priorities says that 19 states have cut
public health programs for low-income children and families, and at least 21 are cutting programs
for the elderly. Nearly half of the states in the union are also cutting education. At least 16 states
have raised income, business, sales and excise taxes already in 2009, and another 15 are weighing
taking the same step.
As one anonymous Florida representative stated, “No one likes to raise taxes or pay higher
taxes. Combing for revenue through unconventional resources such as adult entertainment could
be considered one step toward easing our state shortfalls and helping people, but we aren’t happy
about introducing such action.”
JOIN US FOR THE ACE NATIONAL 10TH ANNIVERSARY RECEPTION!
ACE National is pleased to announce the kick-off event for its 10th Anniversary at this year’s ED
Publications Gentlemen’s Club Owner’s Expo in Las Vegas!
Since 1999, the not for profit ACE National has helped hundreds of club executives and state
chapter leaders acquire the knowledge and skills necessary to be active, informed and responsible
citizens, voters and statesmen. The 10th Anniversary Reception is an opportunity to celebrate this
organization’s mission, honor its history and promote its vision.
Jim St. John, President of Déjà vu Consulting said, “It’s an exciting time to be involved in the
adult entertainment industry and our trade association. ACE is focused on empowering America’s
adult business community with one goal: participation in our Republic. We’re excited to work
with ACE National. It provides thousands of people every day with the education and means to
connect and engage in the process of building and maintaining a healthy business.”
ACE National is beginning its 10th Anniversary celebration by hosting a “MEMBERS ONLY”
Reception on Sunday, August 23, at 6:30pm in Mandalay Bay, Las Vegas. The event is free and
includes “flying elephants”, live music, refreshments, and celebrities and hors d'oeuvres.
As always, state chapter leaders will have access to a free conference room to host a meeting
during EXPO. Please contact Dave Manack @: email@example.com to reserve your room
as time slots fill up quickly. ACE National executive directors, advisory attorneys and national
board members are also available to attend your Vegas state chapter meeting.
ACE National is a non-profit, trade association, which provides administrative and educational
support for the adult club community. The association also administers annual meetings in
various locations throughout the U.S. and Guam. ACE National is led by a Board of Directors
which includes leaders in business, government, law and education and has offices in Naples, FL,
Aberdeen, NC, Clearwater, FL and Washington, DC.
Please mark your calendar for the upcoming 2009 Gentlemen’s Club Owners Expo, which will
be held Aug. 23-26 at the Mandalay Bay Resort and Casino. Following last year’s highly
successful “Year of the GM” theme, Expo 2009 will have a sports and teamwork theme and will
focus on ways club owners can field a “Winning Team” at their club using all their players,
including dancers, GMs, floor personnel, DJs, waitresses, bartenders, and House Moms. For the
latest news on Expo 2009, please go to our brand new industry website at:
ATTENTION ACE MEMBERS: PUT MONEY INTO YOUR POCKET AND
HELP YOUR ASSOCIATION!
ACE National is proud to announce its discount program with BEST CARD, LLC, which can
save club owners hundreds or thousands of dollars per year in credit card processing fees. This is
NOT an agent. They offer club owners a range of services. If you’d like more information about
this program please contact Mr. Brad Gibbons: 303-514-7555.
National Defense Council Asks You & ACE National to Help Our Injured
National Defense Council Foundation (NDCF) Chairman Jim Martin announced the launch of
their “Phone Home Program” that will connect wounded and injured soldiers directly with family,
friends and loved ones.
The program’s goal is to provide a free cell phone and one year of service to at least 15,000
wounded and injured veterans. The program's intent is to help link wounded and injured soldiers
with friends and family members who may be hundreds or thousands of miles away - a link to
support as they heal and recuperate.
“NDCF decided to make it our mission to raise $1,000 for every wounded and injured soldier,”
said Martin. “The Phone Home Program will provide a cell phone with a full year service plan
and over 3,000 minutes per month. We are excited about this project and the comfort it will
provide for our
wounded veterans as they recover.” “Studies show that emotional support from family and friends
is a critical element to the healing process, “said Jim Stockdale, Captain, Army JAGC active duty
1962-1966, and former Deputy Undersecretary at the Department of Health and Human Services,
as Phone Home Program Director. “After all that our veterans have given for our country, the
least we can do is ensure they have a direct connection to their friends and family.”
NDCF’s goal is to raise enough money to provide 15,000 phones by the end of 2009. The NDCF
staff is making this program “priority one” and will be working with Purple Heart and other non-
profits to help with contribution collections and delivery of phones to veterans. ACE National
was contacted directly and asked to aid the cause. Donations are fully tax deductible to both
individuals and businesses. Contributions can be made online via check or credit card at
www.ndcfcell.org or by calling 1-800-274-8702.
NDCF will also supply “Get Well” cards to each service member supplied with a phone through
the Phone Home Program and recognition of support will be documented to let the recipient
know who generously sponsored these gifts.
Additional PR and networking benefits will be arranged for larger donors and state chapters of
About the National Defense Council Foundation: NDCF, now in its 30th year of operation, is a
registered 501(C)(3) non-profit research foundation. NDCF briefs Congress, the media, and its
members on matters that affect the socio-economic, political, and military aspects of the Nation.
ACE National DONATIONS Graciously ACCEPTED!
Please help us help you…
Attention: Ms. Tammy Russell
1315 North Sand Hills Blvd.
Aberdeen, North Carolina 28315