The High Point Market could become a high-profile victim of the state of North Carolina's aggressive cost-cutting efforts as the trade show prepares for its 100th anniversary in April.
The N.C. Office of State Budget and Management released a list yesterday of $74.6 million in potential program reductions and eliminations that could be taken to lower a projected $3 billion revenue gap.
On the list was the $866,250 that the General Assembly has provided to the semiannual trade show to help with its marketing costs in recent years. The market received an extra $600,000 this year.
The list came out two days after Brian Casey, the president of the High Point Market Authority, went to Raleigh to appeal to legislators to continue their support of the trade show's marketing efforts.
The authority also gets more than $1.2 million from the state to support its transportation programs, which means the state supplied 44 percent of the authority's $5.85 million budget for 2009.
"This is just an options list," said Chrissy Pearson, a spokeswoman for Gov. Bev Perdue's office. "The recommended amount listed could be the amount taken, or there could be a lesser amount or nothing at all.
"The governor has not acted on any of the recommendations. But she has said she is considering all of her options, and that balancing the budget will require a lot of pain across the board."
The ax over the trade show's marketing financing comes at a time when the economic downturn and credit crunch has taken a major toll on the furniture industry and recent attendance at the market.
The market also is trying to fend off a rival trade show in Las Vegas, which also has struggled with attendance and filling its showroom space.
Casey said he doesn't believe that Perdue and legislators will make a major cut to the marketing money.
"We represent a $1.2 billion annual economic impact," Casey said. "When you mess with the market, you're also messing with the 60,000 jobs related to the furniture industry in North Carolina."
That includes companies that recently opened manufacturing, distribution and headquarters operations in the Triad to be closer to the region's furniture sector.
Casey said that former Gov. Mike Easley never included the marketing money in his budget plans, "yet there were committees that were able to put it in there."
"We have a lot of champions in the General Assembly, including the governor," Casey said.
Ken Smith, the director of furniture services for Smith Leonard PLLC in High Point, said that there is no doubt that the market "is one of the most important events in North Carolina" and that "any reduction in marketing money from the state would certainly be missed."
"The authority could really use more money to help get more people to come to market, as well as make it a better experience for market guests," Smith said.
■ Richard Craver can be reached at 727-7376 or at rcraver@wsjournal.com.
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