It’s not a rosy picture.
The Center of Anna Maria Island’s finances are nearing a critical stage.
Treasurer Jim Froeschle said while the center’s programs have expanded by a third in recent months, there’s been little to no increase in attendance by full-time resident.
Seasonal residents boost memberships and attendance, but it’s not enough.
“The staff has been working overtime,” Froeschle said. “If you don’t give this place a chance, then there’s no hope.”
He said they’re hoping to prove the center’s worth and earn a second chance from full-time residents.
“Financial problems exist at the center because the community is not supporting the center,” executive director Kristen Lessig said, adding that lack of attendance reduces employee morale, as well as the bottom line.
“There are many who have and are supporting us right now,” she said. “It is with their support that we continue to push forward despite those that continue to doubt.”
“If the community wants a community center, they need to come out,” Froeschle added. “Every person counts.”
Since the start of the fiscal year July 1, 2015, he said the focus of center staff has been to cut costs, and provide “a better product for the community.”
Froeschle identified three areas that continue to plague the center — decreasing private donations, slow increases in city funding and lack of community involvement.
While some newer programs address needs identified in the past, including adding SilverSneakers for qualified Medicare participants, upgrading the fitness center and improving functionality, residents have been slow to react.
The center assumed in its budget planning that more money would come from the three island governments, but the cities did not budget additional funds, causing a $29,200 loss on the center budget.
It was a gamble that didn’t play out in the center’s favor despite receiving $7,000 more than the previous year. Combined, the island cities funded $45,800 in the current fiscal year.
Private donations for the past seven months — $107,500 — also are down from what was planned in the budget. The loss amounts to $23,800.
Halfway through the 2015-16 fiscal year, the center reported a $90,000 loss in cash reserves, something treasurer Froeschle and the board hope to correct in the next four months.
At the end of January, the center had a net loss of $115,100 for the first seven months of the fiscal year, $57,600 worse than anticipated in the organization’s budget.
Despite the ongoing issues, Froeschle plans to end the fiscal year with a $70,000 reduction in debt.
Increases in income are expected from special events, including the tour of homes. The Islander produces a special section on the tour and shares a portion of its proceeds with the center.
In the meantime, the center is focused on diversifying income streams to reduce its dependence on private donations.
One such revenue stream will come from vacation rental companies, who have committed to user “facility fees” that won’t be fully realized until next year’s rental contracts produce guest check-ins.
The vacation rental fee plan was conceived during former executive director Dawn Stiles’s tenure.
“We have to struggle through this time,” Lessig said. “We have to keep it going through financial controls and diversifying revenue.”
Another of the center’s financial struggles is operating without cash reserves.
“It’s like having your car break down and not having a savings account to pay for it,” Lessig said of the center’s struggles through the ups and downs.
Past debts, a combined $1.2 million over the course of six years, eliminated the center’s reserves.
“A business can’t be financed on a shoestring,” Froeschle said.
Lessig said her focus is on day-to-day operations and a second priority is building cash reserves.
“If the community center fails,” she said, “it’s because the community doesn’t come.”
“It’s a self-fulfilling prophecy,” Froeschle added.
The center is located at 407 Magnolia Ave., Anna Maria.
It seems “The Center”, now wants the community to come to its rescue after it distanced it’s self from the community, going so far as removing the word community from its name. It raised prices beyond what the community could or was willing to pay. It spent money it didn’t have to make changes no one asked for or wanted. It fired people who were loved by the community. It pushed away the community who now prefers to use G.T. Bray where they have much more to offer at better prices. It has chosen to align its self with businesses that the community doesn’t want more of. It claims that the cities didn’t increase their budget and therefore it caused a $29,200.00 shortfall. Why are the city governments responsible to bail it out? Why is it not spending within its means? This after some of the cities funded their entire 2016 portion at the beginning of the year. Why not cut costs from the top down – lower the salAries of the director on down, how about they “donate” their time for the sake of the community. Stop trying to shame the community for voting with its checkbook, no more second chances. The community left when The Center cut the COMMUNITY from its name. We heard you and we left. If you fail it’s because you failed us – The Community.
Other than not providing your name and standing up for yourself, your points are well taken. Arrogance flows downward from the top. Spend within their means like business owners? I can’t imagine how they make payroll. — Bonner