Thursday, January 26, 2012

South Shore Center Agreement Busts Budget

1/26/12

A previous post reported that a new agreement for operating the South Shore Center was being negotiated. The operator is Community Rec Resources who is really Kristi Anderson, a person whose been working as a contractor for the City for many years. In 2011, Kristi was the "staff" person working with the Parks Commission, the one who worked with sports teams on field scheduling as well as managing the Center.
Kristi is also one of the "buddies" of Mayor Lizee and Council Member Zerby.

On 1/23 the new agreement was approved  4 to 1 (Woodruff voting no). The Insider listened to Woodruff's objections (see http://lmcc.granicus.com/MediaPlayer.php?publish_id=378 and click on agenda item 10C). The Insider then did some calculations of the new deal's potential affect on the 2012 budget. Having done this, it's clear why, in part, Woodruff objected.

The budget assumed a CCR cost of $60,000, but with incentives and revenue reaching the budgeted amount, the total cost would be at least $75,000. So, instead of a budgeted tax dollar subsidy to the Center in 2012 of $13,600 the subsidy should be budgeted at $28,600 (of your tax dollars), indicating a $15,000 additional subsidy needed. Of course, Mayor Lizee and her 3 council buddies chose to ignore the additional cost and the budget shortfall it causes. These folks are really good at spending your tax dollars!

As previously predicted, the savings from assigning the non-Center work done by CCR in 2011 to in-house staff for 2012 now have been neatly eliminated by increasing the CCR pay for 2012. Yes, there's some hand waving about CCR being more able to market the Center, but is this work needing to be done? The Insider asks because the community survey showed low usage by Shorewood residents and low interest in the Center in general. So, if you don't want it, why should you be paying someone to convince you you actually do want it?

Happy Reading!
The Insider

7 comments:

  1. If this site were not so biased against the entire city council and staff except Mr Woodruff this would be interesting and I would look more into it. People did vote for this mayor over Mr Woodruff, but he did not get our message that we are more tired f the fighting than the taxes. Nothing is being accomplished by Mr Woodruff feeding the Insider one sided information. I don't understand how one council member can work so hard to let us know how terrible every component of our city council and staff Shorewood is. Although the Insider is not willing to sign anything, it is pretty easy to figure out a group is involved. It is also easy and fun to begin to level it down. I know it's a friend of Mr Woodruff, has served on a commission and possibly a council. I am getting close! This is actually fun!

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  2. For $75,000, and only 50% ownership in the facility, who does this facility actually serve? Based on the survey, 70% of Shorewoodians have "never" visited the Center, 24% have been there "once or twice". Council eliminated the oversight committee, hence no transparency or accountability required by Lizee and crew. Zerby's wife is on the SouthShore Senior Partners board that doesn't want to pay the $600/mo in rent to utilize space on a daily basis -- any conflict of interest here? This business plan is broken and the majority of Council doesn't have the business acumen to fix it.

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  3. Before you write any more of your insider info you should think about the people you might be hurting and how your slanted information might be affecting them. The human spirit is nothing to mess with.

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  4. Insider: I believe the focus of your comments should be on council policy and oversight, not on the employees and contractors. Show us the weak links there. After all employees and contractors alike strive for the best wage/fee and if they are given such, are likely not to turn it down. It's the council's responsibility to be sure policies are sound, and oversight of those policies and performance is thorough and transparent.

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  5. Perhaps stick with the facts and leave out the editorials. People are smart enough to understand when actions don't meet their expectations.

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  6. Shrwoodian Resident - The Council could all be CEOs of fortune 500 companies and they still would not be able to fix the "business plan" for the Center. It's an expensive white elephant. After Lizee and gang ran their last campaign based on half truths, scare tactics and falsehoods regarding the future of the Center, they now are desperate to make it at least appear successful. It won't happen.

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  7. Isn't the SSC supposed to be a business? Last I checked, a business has a plan with monthly cash flows, a marketing plan and a budget within which the business must live. Revenues must cover expenses.

    The majority of taxpayers who were polled have said they do not use it, never have used it nor plan to use it. Its small, drab and it needs some work to make it more attractive for expanded venues and rentals. Ka-ching.

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