10/22/1998 - Laserfiche WebLink

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tightening up and the need for an actual plan to run the building started fast to approach, the Council sought outside altematives. Requests for management proposals were advertised. The City received proposals from the YMCA, the -City of New Brighton and from Innovative Images, a business owned and run by Mounds View resident Sharie Linke. Budgeting Before reviewing the proposals, some understanding of the need for considering proposals should be reviewed. First, the real concern about not being able to balance the operations budget is where to take the funds to pay for those operations if the building cannot break even on its own. The general fund is the most likely and logical source for those funds, but recognizing the potential for competing with other city services for the tax levy is a serious concern. The city has put general fund money aside over the past two years which can act as a cushion for start up shortfalls. Second, the existing personnel in Parks and Recreation come mostly from the general fund and therefore evaluating how the city conducts recreation services and adjusting to meet the needs of the community center would affect the general fund budget as well as the community center budget. However, it would mean looking at traditional parks and recreation services and staffing differently. Knowing that the community center would be open more hours than existing staff could cover, additional personnel would need to be hired and the additional responsibilities of managing the activities of the building would require some change in management approach by the city. Additional programming within the community center would be expected and activities designed to generate revenue for the building would be needed. In essence, the facility and the department would have to run as a business would, always considering revenue options in tandem with service and expense options. This meant understanding the potential for revenue create from the building like banquets, receptions, business meetings, and making time and space available for city residents for programs, recreation and gatherings. Other communities' experiences showed that a balance could be achieved that met with local preferences and that gradually the community could improve on narrowing the gap between revenues and expenses. This would be a goal of the Mounds View community center. Management Options The City of New Brighton submitted a thorough proposal that was based on their experience in building and operating the New Brighton Family Service Center. Their proposal was clear in outlining their abilities to manage a building. They also capitalized on the economies of sharing building management staff. With their ability to- utilize their existing management to oversee and direct a Mounds View facility staff', administrative savings would be incurred for both communities. But their proposal also brought up some larger questions. First, while the administrative cost savings would assist both communities, the same could be said if the two communities could share recreation programming costs. But this seemed a separate and larger discussion item for the two city councils at a later date. Recognizing the unique qualities of each community and the desire for self identity, muddling the discussion of community center management with a joint department seemed premature.