Two items of note may affect the business and wine industries in far-reaching ways. First of all, as you probably heard, big changes were announced at COPIA, the American Center for Wine, Food and the Arts, in late October. There have been some rocky points in the center’s five-year history, and its elitist label clearly hasn’t resonated well with many Napa locals.
After losing about $5 million per year, COPIA decided to bite the bullet and make some major changes. As a start, COPIA slashed entrance fees from $12 to $5 this year to draw more foot traffic. But the bigger news is COPIA will be laying off 30 employees, selling off property and restructuring the cultural center and museum.
“For all the wonderful things we’ve accomplished in the past years, we’ve been economically unsustainable,” admits Arthur Jacobus, COPIA president. “There was eternal optimism that money would be raised through philanthropy or an angel would show up. It’s painful to reorganize the staff; they’re innocents and do a good job. But the bottom line is, it was absolutely necessary.”
The cultural center announced it will lay off one-third of its staff, slice its operating budget by nearly $3 million in 2007, sell an underused-but-valuable piece of riverfront real estate and scale back its visual arts programming. The South Gardens will reportedly be sold to well known and respected developers. “The edible gardens will stay,” says Jacobus. “In fact, all the important components—like the children’s garden, wedding pavilion and pizza ovens—will be moved to the North Garden.”
Hopefully these changes will help make COPIA an economically viable enterprise in the long term.
The timing is good. COPIA could soon be the foundation piece of a vast new development in downtown Napa. Soon, the Oxbow Public Market—a project similar to San Francisco’s Ferry Building Marketplace—will be born. Oxbow has, in fact, just broken ground and is scheduled to open by fall of 2007. Other major developments, such as the Westin Hotel, new housing and future upscale hotels, are also coming to the area. If COPIA can hang on, which no doubt it will, it should be set.
Steve Carlin, founder and CEO of the Oxbow Public Market, says, “I think COPIA is working hard to get on the right track, to be successful and to begin serving locals. The recent announcements demonstrate to me that they’re serious about making the changes necessary to become a long-term player in the Napa Valley. They’re acknowledging past failures, and I think we should recognize them for their contributions and accomplishments.
“Many of the good things that have happened in Napa over the course of the last few years can be traced, in one way or another, back to COPIA,” Carlin continues. “I view the recent changes as a very good sign of things to come.”
The future looks brighter, according to Jacobus. “We put together a balanced budget—a budget approved by the insurance company involved with the project.”
I covered the opening of COPIA in November 2001 for the San Diego Union-Tribune. It was a grand gala event with Julia Child and many other big time foodies and winemakers present. I remember two things in particular from my article research and event experience. I interviewed various Napa locals for a reaction to the debut of COPIA. To my surprise, many hated the idea of the American Center for Wine, Food and the Arts coming to town. One man told me, “We don’t want people like that coming to Napa.”
“What people?” I asked.
“Oh, those rich people.”
Unfortunately, this provincial sentiment is still alive and well in Napa. For proof, just read the Napa Valley Register’s online message boards. Many are positively gleeful about COPIA’s troubles. Here are two examples of recent Register bloggers’ comments: “It’s obvious it took COPIA management way too long to realize its plight, and I hope the changes it has been forced to make are not too little, too late to save the reformed institution and what it could do for the Napa community,” and “Quit pinning Napa’s economic hopes on tourism. Make it a convention center. Think outside the tourist box.”
Arthur Jacobus disagrees with protestors’ claims that the city or county contributed toward COPIA’s original financing. “The $55 million that was raised was completely from private sources,” he insists. “Absolutely no government money was involved.”
After covering the COPIA opening in 2001, my wife and I decided to go for a stroll and get something to eat in nearby downtown Napa. The city was completely dead; we couldn’t find one place open that Sunday afternoon. My, how times have changed. COPIA has been a huge draw to the city and, particularly, to downtown Napa.
ABC changes its mind
Well, it turns out you can fight city hall—or in this case, the state—and win. California’s Bureau of Alcoholic Beverage Control (ABC), the agency in charge of all alcohol-related licenses, has changed its mind (or at least its opinion) about Type 17 and Type 20 virtual wineries donating wine to nonprofits. This is an issue I’ve been covering for some time, and I’m happy with the sensible result.
In response to strong lobbying efforts, the ABC wrote, “It is the Department’s interpretation that the meaning of ‘licensee,’ as used in section 24045.6, is ‘any person holding a license, a permit, a certification, or any other authorization issued by the department’ (BPC §23009). Consequently, it does include all persons holding a license authorized to sell wine, including retail and supplier type licenses.”
What this means is that Type 17 and Type 20 wineries can donate wine to charitable and nonprofit causes. They still can’t pour the wines, according to the rules, but can use these donations as marketing tools. “This interpretation is specific to wine donations only and doesn’t affect any current law or interpretation regarding a Type 17 or 20 licensee’s ability to pour wine at charity events,” says Rex Stults, industry relations director for the Napa Valley Vintners Association.
This is an about face from the ABC’s previous interpretations of the law and is great news for small wine companies throughout the state. Stults gives credit for the ruling to the hard lobbying, in-depth research and multiple meetings with the ABC. “Our attorney, Richard Mendelson, was instrumental,” he says, “plus the efforts of Elkhorn Peak, Stonefly and Eagle Eye wineries.” Personally, I happen to know Eagle Eye owner Bill Wolf and must say, if disturbed, he’s absolutely a force to be reckoned with.
Wines of note
I sampled Hess Collection’s Artezin recently and was impressed. It’s a very well-crafted Zinfandel blending Napa, Amador and Mendocino fruit. It’s one of the mildest, least tannic Zinfandels I’ve tasted, yet it still exhibits ample fruit, complexity and lasting mouthfeel. A good value, too.
A wine I’m enjoying, and that seems to be getting more popular, is the Sémillon-Sauvignon Blanc blend. Houghton’s Western Australia blend comingles the grapes to produce a grassy, light fruit with a delicate sweetness. Here in Napa, the refined Ariadne, produced by Clos Du Val, is an elegant combination of Sauvignon Blanc and Sémillon that’s a pale golden amber with hints of honey, oak and pear.
And Napa rolls on…. See you in 2007!
