09-13-2013, 05:42 AM
(This post was last modified: 09-13-2013, 05:45 AM by Prospector. Edited 1 time in total.)
Quote:Commissioners give fairgrounds final ride.
Daily Courier
The Josephine County Fairgrounds is on its own.
County commissioners voted unanimously on Wednesday evening to award the nearly century-old institution a grant not-to-exceed $340,000 from the county's general fund -- enough to wipe an estimated $315,000 in fairgrounds' debt from the books. Commissioners were clear this would be the last bailout.
Last fall, commissioners gave the Fair Board until September to turn things around, and the fairgrounds has made progress since then.
Although last month's Josephine County Fair made a profit of $60,000, it was not enough to make a significant dent in the debt or offset large operational expenses during the rest of the year. County finance reports show the fairgrounds monthly expenses for utilities alone are $8,000, with payroll costs running around $13,000 a month.
"There is no more 'next year challenge,'" Commissioner Keith Heck said. "Next year is dead in the water."
Commission Chairman Simon Hare said the county is in dire financial straits and no longer has the "luxury" of rescuing the fairgrounds if it ends up in financial trouble. He said estimates suggest a $140,000 shortfall for the department in 2013-14 unless something changes fast.
"The general fund dollars are running out," Hare said.
Nearly 150 people came to Wednesday evening's meeting at the Anne Basker Auditorium, many taking the opportunity to plead with commissioners not to close the fairgrounds.
After nearly two hours of public comment and discussion, Heck said it is now in the hands of the community to decide the future of the facility. He admired the audience members, many of whom are part of 4-H and other agriculture-focused groups, for making an appeal, but asked where they've been for the past two or three years as the fairgrounds has struggled.
Commissioners also commended Interim Fairgrounds Manager Mary Groves for her hard work.
Groves was hired in September 2012 after Wes Brown resigned. Groves owned and managed a trucking dispatch service before spending more than 20 years in the banking industry. When she joined the Fair Board earlier that year, people were speculating that the fairgrounds "didn't have anybody who could balance a checkbook out there," she said during a presentation to the Grants Pass Rotary Club Wednesday afternoon. When she really started examining the fairgrounds' finances, she learned the rumors were true.
Declining attendance at the fair, financial losses during horse racing at Grants Pass Downs and the cost of upkeep on aging infrastructure left the fairgrounds in the red.
Groves said she has spent the past year trying to chip away at the debt. She coordinated Motor Metal Madness mud racing events, a weekly farmers and crafters market, a pet fair and other events. She enlisted volunteers to clean, paint and repair the dilapidated facility. Most recently, she organized the 99th annual Josephine County Fair that included live entertainment, a carnival and "tuff trucks" -- as well as traditional livestock, food and quilting displays.
Josephine County Finance Controller Arthur O'Hare has worked closely with Groves to get the fairgrounds finances in order and is impressed by the progress she's made.
"Mary did what the commissioners wanted her to do and what she said she would do. She cut costs quite a bit and produced a fair that made a profit," O'Hare said.
"She deserves kudos for that."
Among the first cost-saving steps the fairgrounds took was to end subsidies for horse racing at Grants Pass Downs, which is part of the fairgrounds. In 2012, the nine-day event lost about $22,000. In 2011, it lost $50,000.
The Southern Oregon Horse Racing Association took over the 2013 event and leased Grants Pass Downs for $18,000 -- guaranteed revenue for the fairgrounds. SOHRA President Rod Lowe told commissioners this year's race meet was a success with a handle (amount wagered) of $302,000 compared to $293,000 in 2012. The group is ready to do it again.
"We have money for next year," Lowe said. "We just need a place to race."
Hare said if the fairgrounds is to remain open the public needs to step in.
Groves said she plans to mail 42,000 letters requesting donations, with a goal of raising $200,000. She believes this would be enough to fund operations for another year.
Audience members at the commissioners meeting suggested pursuing a tax to fund the facility, obtaining grants and other money-making options.
Hare said, "We need a discussion pronto" to determine if the fairgrounds will continue to rent space to community groups that hold events there, or go completely black until next year's county fair rolls around.
Josephine County is not alone in its struggle keep its fairgrounds open. The Jackson County Fairgrounds & Expo Park in Central Point faces similar obstacles.
In the early days of fairs, funding was provided by local ranchers and business people. Beginning in 1840 state legislatures across the country began forming agriculture boards and allocating funds for state and county fairs. The Jackson County Fair was founded in 1859.
Jackson County Commissioner Don Skundrick said the county attempted to make the venue for concerts, fairs, equestrian events, and any other large-scale events self-supporting, but it has continued to be a drain on the county's dwindling general fund.
Commissioners in Jackson County gave the Fairgrounds & Expo Park Board until later this month to find a solution.
Skundrick said although commissioners support the facilities "we are not going to give them any more money. We've drawn a line in the sand."