Parks board hires consultant to study fund-raising election for 2016
July 24, 2013The Valley Center Park & Recreation Board at its July meeting unanimously approved the first phase of evaluating receiving financial assistance from the community.
According to Board Pres. Marcia Townsend, "PSOMAS, is a professional financial group with expertise in special district financing. They will be gathering data that defines the financial profile of our Valley Center district."
They will then report the various methodologies to sustain the needs of the Valley Center Park & Recreation District.
According to board member Larry Glavinic, "If after their preliminary assessment it looks feasible, it will probably be on the ballot in 2016, about two years from now."
Meanwhile, members of the parks board are still hashing out details of a preliminary budget that Glavinic, board member John Schibilia and Gen. Mgr. Doug Johnsen gave to the board recently to discuss.
The proposed budget, unlike the last two budgets for the cash-strapped district, would actually be slightly in black. The income and expenses for the proposed budget along with the last two budgets is shown below.
2012 2013 2014
12 mo 12 mo Budget
Income $326,800 $290,600 $282,650
Expenses 370,447 307,300 273,600
Net loss -43,600 loss -16,800 gain $9,050**
Glavinic said that many financial problems remain, even if the board adopts a budget that is not running deficit.
However, the budget assumes that the parks district will be able to persuade the VC Fire Protection District to pay $12,000 a year rent, even though the 99 year lease only requires a payment of $1 a year.
It also assumes that the district is able to negotiate a higher lease from the school district for Adams Park Pool and that it can raise user fees for VC Community Hall.
"[T]he negotiations about the pool, athletic fields (Little League), and fire district are incomplete and the board has not developed any hard backup plan," said Glavinic. "Albeit, the preliminary Fiscal Year (FY) 2014 budget looks non-negative, we are still in tough financial shape. I state this because it makes our job even more pressing because our financial position is critical remember in FY 2012 and 2013 we lost $43,000 and $16,000 respectively. Our current financial reserves may not last 2 years. Our challenge in addition, to finding new income opportunities, i.e., more events, better utilization of existing venues, and donation sources, we may still need to make some hard financial decisions."
However, Glavinic said he was encouraged because they are moving account in house and doing CPA audits every other year instead of annually—which will save some money.