For downtown businesses such as Johnny’s and The Vault, the
Hollister Independence Rally is much more than motorcycle lore and
a good time.
For downtown businesses such as Johnny’s and The Vault, the Hollister Independence Rally is much more than motorcycle lore and a good time.

It’s a huge chunk of their revenues for the year.

So with the rally’s recent financial problems and talks of possibly ending the city’s biggest tourist attraction, those businesses and others are anxious – and some steaming – over the consideration.

The organized version of the rally began in 1997 to honor the 50th anniversary of the July 4 weekend of 1947 when it was reported thousands of bikers invaded the town.

Johnny’s was at the heart of the those origins, and remains so as a destination for many bikers riding into Hollister throughout the year.

Owner Charisse Tyson said the bar and grill has already begun preparation for the 2004 rally. During rally weekend, her business, she said, earns “more than double” a normal month’s sales.

“I think they’re crazy,” Tyson said. “I can’t even imagine after seven years of doing that they’re talking about stopping.”

In the past week, city officials and rally organizers have been meeting to discuss two major problems: attaining adequate security and a need to more than double revenues over previous years’ earnings.

The security issue arose in recent weeks. Outside law enforcement agencies are reluctant to send officers here without assurance Hollister would pick up potential workers’ compensation claims. City officials say Hollister can’t afford that risk.

The Vault owner Ignacio Valazquez said his restaurant earns about “a month and a half of business” during rally weekend. He was present at one meeting late last week between senior city officials and members of the Hollister Independence Rally Committee (HIRC).

“I think it’s disappointing the City Council would even consider canceling the event,” said Valazquez, who also owns another building at 500 San Benito St., which he expects to be occupied in the near future with other businesses.

In the past, the city has provided Hollister Police Department officers at no cost to HIRC. This year, Hollister and other jurisdictions informed HIRC they want compensation – the reason the rally must generate an additional $240,000 to break even.

Council members, though, say they can’t continue losing money on the rally, while implementing a layoff of 36 Hollister employees. City Manager Dale Shaddox said Hollister won’t sign a new contract without an assurance HIRC can earn those revenues.

That means local businesses – such as hotels and motels, which sell out at least the entire rally weekend – must wait, wondering whether those fixed revenues will disappear with the event.

“This town really needs the Independence Rally,” said Margaret Hyun, owner of the Wiebe Motel, which she said is fully occupied all three nights of the July 4 weekend.

Other restaurants and retail businesses – such as grocery stores – would also lose significant revenues. Nob Hill manager Randy Upchurch said his store experiences “some increase” during the rally, even being outside of downtown.

Hollister Downtown Association President Jeff Welch pointed out, though, that not all downtown businesses favor the event. He called it a “coin toss” – comparing those that like and dislike the rally – and suggested HIRC conduct a study to examine the overall benefits.

“We want everybody to make money downtown,” Welch said. “But I don’t know if this thing, overall, is a good thing or not.”

Local nonprofit organizations would also lose out, as HIRC and the Rotary Club – which runs a beer garden – donate to local groups each year. Rotary member Mark Vivian said the beer garden is the organization’s largest fund-raiser each year.

Jovenes de Antano is one of many organizations that receive donations from HIRC and Rotary each year – though overall donations were down in 2003 with the rally losing about $30,000.

Councilwoman Pauline Valdivia wears two hats, she said, on the issue. She’s also head of Jovenes de Antano, which has received donations from HIRC.

“If it doesn’t happen,” she said of the rally, “we’ll just have to look elsewhere (for funding).”

Councilman Robert Scattini said the Council plans to discuss the issue in closed session of Monday’s meeting. He believes the bikers will come, whether the rally dissolves or continues.

“They’re not going to stop coming just because they close the rally down,” he said. “They’ll have their own party.”

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A staff member wrote, edited or posted this article, which may include information provided by one or more third parties.

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