The YMCA may be coming to town. On April 24, Duluth YMCA president and CEO Chris Francis discussed with the county board the results of its recent feasibility study. The study, which includes conservative projections according to Francis, predicts annual operating deficits of $175,113 to $192,183 in the first five years, not including any subsidies from the city or the county.
“The Y alone could not make this project work,” Duluth YMCA president and CEO Chris Francis told the county board on April 24, but he also said, “We can certainly enhance the programming and work together and make it work.”
The county is investigating the possibility of having the YMCA manage operations for the proposed new community center to be built with Cook County 1 percent recreation and infrastructure sales tax revenue.
SEER Analytics of Tampa, Florida, hired by the Y to gather demographic data and come up with predictions on how much use a YMCA might get here, found that the 15-square-mile radius around Grand Marais contains 1,046 households and 2,181 people. Francis presented financial projections that estimate a firstyear membership of 210 people paying an average of $46 a month in membership dues, generating $115,920 of an estimated $363,464 to operate. By the fifth year, the study predicts that 250 members paying $49 a month would generate $147,000 of the $428,987 operating cost.
Commissioner Bruce Martinson asked Francis how he would deal with the annual operating deficit. Francis said bringing the deficit to zero would require a collaborative effort, but the Y is experienced in fundraising for operating expenses. The city and the county have already been funding an operating deficit of about $225,000 a year at the Grand Marais Municipal Pool. Other sources of operating income listed in the projections include program service fees, contributions, special events, the United Way, government grants, and investments.
Francis said he would expect the facility to require four fulltime employees: a branch executive director, an aquatics coordinator, a programming coordinator, and a facilities manager. He estimated that the community could make use of a 30,000 square foot facility and said, “We tailor the program to meet the needs of the community.” Francis and the board discussed their expectation that the current Community Center building would still be needed for large group events such as sports banquets and the annual Emergency Management Conference.
Comments from the public
During the public comment period of the county board meeting, Garry Gamble of a group called Citizens for Cook County appealed to commissioners “to follow a disciplined process” in making decisions regarding how to use the 1 percent revenue and recommended that they survey the community on its interest in a new community center and the kinds of programming citizens might like to see in such a facility.
Commissioner Jan Hall asked Commissioner Sue Hakes, on the Community Center Steering Committee, if the committee would be open to conducting a survey. Commissioner Hakes said the committee is not questioning whether to build a new community center, but they might want input on what people would want in it and what they would be willing to pay.
Molly Hoffman expressed concern about proceeding with the project after seeing the results of the SEER Analytics study. It is “simply not a practical thing to do,” she said.
Commissioner Johnson weighs in
In his newsletter dated April 26, Commissioner Jim Johnson stated, “There is … a perception in the community that there is little or no support for some of these projects and we need to ‘stop the madness.’ We have been given marching orders by the power of the electorate, who voted by a two-thirds majority to collect the added sales tax for the express purpose of making those projects a reality. We need to honor the democratic process. It will still take much more time and planning, but we are making progress and community input continues to inform plans as they are being made.”
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