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1/16/2007
The PAC - too precious to fail. Day 3
The Fox Cities Performing Arts Center was researched and planned for years and years prior to its building – and was the sugar plum of countless dreams and hopes for decades before that.
In earlier articles, I shared my concerns about the PAC’s financial condition, reviewing figures from its recent annual report to the government.
In looking at the current funding dilemma, it may be instructive to dust off the plans that formed the foundation of moving ahead so many years ago.
Just a few hundred words can’t possibly do justice to the many years, the hundreds of pages of research and the pounds of passion that went into planning for the PAC. But I can try to illustrate that in the beginning certainly, the city and the community worked together to plan a venue that was magnificent but not luxurious, affordable and not a burden for city taxpayers.
Preliminary Project Cost Estimates
According to the Ellerbe Becket “Funding Management, Alternatives, and Preliminary Design and Cost Estimates Study” presented to the City of Appleton November 2, 1999, “Total Project Cost” was estimated to be $29,074,000.
In contrast, current PAC reports indicate land and building costs ended up totaling $56,000,000 (in 2001).
Operating Costs and Funding Shortfalls
Before moving forward, studies were undertaken by the City of Appleton (actually, the studies were paid for by the Appleton Redevelopment Authority and Appleton Development Council) to assure, as much as possible, that the market would financially support ongoing operations of a performing arts venue.
In the “Market and Financial Study Related to the Proposed Performing Arts Theatre” (July 7, 1997), a wide number of comparable facilities throughout the country were reviewed, as well as competing facilities (read - “Weidner”).
“Based on a preliminary analysis, a potential new Fox cities performing arts theatre is estimated to generate a net operating loss before debt service and capital reserve funding of approximately $261,000 in 2000 dollars” (projected to be $304,000 in 2004 dollars).
Yikes. That was a lot of money at the time city fathers, the arts community and the Common Council were trying desperately to find a way to move forward.
Well, $300,000 ain’t nothin’ now.
We don’t know what the annual operating deficit is today. We know last year’s plan was to raise $1.25M from the community to help fund operating costs. ($900,000 was actually raised.) Analyzing the PAC’s annual reports to the community and to the government, we know the annual funding need could be as high as $2M. Though very quiet about it, we know local arts groups and arts venues struggle to raise the monies they need annually, after PAC contributions are made by many of their past donors.
$300,000 projected vs. $2,000,000 actual. That’s a pretty huge difference – every darn year. Can we in this community continue to support those kinds of needs at the PAC, in addition to our many active (and truth be told, struggling) performing and visual arts groups?
Business groups and prominent charitable organizations say resoundingly “YES.” The life of the PAC, this precious community asset will depend on it. Can we do it?
COMMENTS
Interesting commentary Jo. And as I see it---very accurate. Perhaps someone should do a history of theatre/musical attendance for the past 30 years and decide if it was time for the PAC to be built.
Look at the high school use of the PAC.
Dale (Tue Jan 16 10:16:54 2007)
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