Sunday, April 22, 2012

South Shore Center - Benefit vs. Cost?

4/22/12

The Shorewood City Council will hear a report on the South Shore Center's 2011 operations during the meeting on Monday the 23rd. The report is in the council packet. See agenda item 6B at http://weblink.ci.shorewood.mn.us/weblink8/docview.aspx?id=159167&dbid=0

Of particular interest to the Insider is the usage information on pages 3 and 4 of the report. 65% of non-senior users resided in the five communities that own the Center while only 49% of senior users were from owner cities. When senior and non-senior users are combined, Shorewood residents' use of the Center is only 28%.

The report shows an operating loss of $14,939. Additionally,  Shorewood provided City staff support valued at an $18,236. So, Shorewood spent $33,175 of resident tax dollars for the use of 28% of the facility. The other owner cities, other than some small donations for the new digital sign, spent zero. Nothing was contributed by cities outside the five owners' borders. Looking at it another way, Shorewood had to subsidize $109 for each of the Shorewood residents making up the 28% of use.

The Insider's conclusion is that Shorewood is subsidizing residents of other cities because someone on Shorewood's Council thinks spending the City's money for the benefit of non-Shorewood residents is a good deal. Both Lizee and Zerby have tried to hide the financial reporting for the Center. It appears there is good reason.

Happy Reading!
The Insider

9 comments:

  1. Insider: Thank you for again providing us with more of the same low-thought foggy vs. transparent governance tales. Week after week we read this and there are no new surprises, just different twists.

    Defense of the council's actions on this blog have shown up only in the form of attacking the "dissenters."

    So, now that we know what we know, how do we do something constructive and elevate the important conversation of this blog to the next level which is: eyes on and action for the 2012 election?

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  2. It is recommended Council cover the full $34,261 2011 deficit-- So,when is it time to pull the plug and conclude the Center is not a good business venture?

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  3. Now, now... we are all in this together aren't we? I thought we were the "Southshore Community" - at least that is what ONE city's signs read.
    But when the bill comes due, there is no community whatsoever. Except in the utopian visions of a few councilmembers.
    One has to wonder if drugs are involved to induce the hallucinations. Not that I'm suggesting any such thing. ;-)

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  4. Lizee should be out knocking on doors and drumming up support for the Senior Center, instead of attending Rotary Clubs and Excelsior Chamber of Commerce meetings.

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    1. While The Shorewood People's Investment struggles, you will see her promoting art fairs, 4th of July, Apple Days, libraries, rotary, chamber of commerce (might have missed something)...all in ANOTHER CITY!

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  5. Zerby states the Center should be looked at no differently than a ball field or swing set -- if the majority of the Council thinks so, move forward-obtain title and 100% ownership of the building. It's time to be up front with taxpayers that cost doesn't matter - you're willing to fully fund this 'community asset'. Excelsior paid $24/pp; TB paid ZERO. Deephaven and Greenwood paid $75/100 per user. Subsidies need to end - STOP this open check book -- Council, state your case/intentions and take a vote. This 3-year project is almost over.

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  6. Personally, I wouldn't mind Shorewood actually owning it if we ran it like an actual business. That means a written business plan with a 12 month cash flow and managerial compensation linked to achieving results stated in the plan. And I am happy with break-even.

    Clearly it is not being run that way and this whole concept of "sharing" has been proven over and over to be a failed strategy. Zerby and Siakel are experienced business people. Get on this you two!

    And please lets stop calling and treating it like a "senior center." Those days are over. It didn't work then and its certainly not going to work going forward. If it looks and acts like a "senior center" that is what people will perceive that it is. That is another discussion.

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  7. No different than a ballfield? Has all critical thinking gone out the door? Help!

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