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I I I ~ i I I I I , I i I I I I I ST. PAUL PIONEER PRESS WWW.TWINCITIES.COM INVER GROVE HEIGHTS "-11-05 Community center to be subject of audit ,'.City Council acts to stem its losses + BY BRIAN BONNER Pioneer Press A top-to-bottom financial study . of the Inver Grove Heights community center will be undertaken, the City Council decided this week. The study group will be led by Jack Skoog; who chairs the city's advisory parks and recre- ation commission. Skoog expects the study to be complet- ed in July. The task force will include other commissioners, top city managers and possibly a representative from local Independent School District 199. "Everything is on the table, and there's going to be recom- mendations coming out at the end about what we need to do to close the (financial) gap," Skoog said Monday. "Every- thing is fair game. It will be a complete overview of where the money's coming from, where we're successful and where we're not." , The 205,Ooo-square-foot cen- ter, formally known as Veterans Memorial and The Grove Com- munity Center, is losing money. This year, $643,245 is expected to be transferred from other city funds to balance the cen- ter's $2.6 million budget. The shortfall includes debt service payments, the last of which end in 2021. . Closing the financial gap could mean adjusting rates for users or developing new pro- grams to increase use, particu- larly during nonpeak hours. But one such revenue-boost- ing program, a day care for 65 children, ran into criticism from some on the five-member City Council, particularly Vance "Chip" Grannis ill and Rose- mary Piekarski-Krech. They have questioned whether the city should run a day-care cen- ter. Other questions have been raised about whether the local $chool district, a heavy user of the center's pools, locker rooms, ice rinks and other amenities, is paying its fair share. , The city will review its leas- es with the school district. Rather than paying rent, the school district pays a portion of the debt service. This year's iiIstallment was supposed to be $237,200. PIONEER PRESS But because of, state- imposed restrictions on school spending, the school district has not been able to fully meet its lease obligations this year or last year. The two-year shortfall in school payments will total $55,000, according to city fig- ures. One estimate is that the school district could be charged as much as $220,000 more each year, based on market-rate prices for the amount of time and space that students use. But community center manager Anne' Wilkins said that assigning market value is speculative, because the center might not be able to find replacement clients if students stopped coming. Additionally, Wilkins said, the school district helps attract other clients to the center. Wilkins said the proper amount to charge the school district is part of "what we need to figure out." Others in the city have said they can accept deficit spending on selected programs. Piekarski-Krech, for exam- ple, said that she can live with financial losses to provide rental space for senior citizens and swim lessons to students. Given all the questions, com- peting visions and fuzzy priori- ties, city officials and residents welcome the study. , "I'm excited to get it done," WIlkins said. "We believe that it will (lead to consensus) or we wouldn't waste the time," Skoog said. Brian Bonner can be reached at bbonner@pioneerpress.com or 651-228-2173.