WILLMAR -- Willmar Fests Inc. is seeking financial assistance from the Willmar City Council to overcome a 2006 festival budget deficit.
Willmar Fests Executive Director Chad Johnson told the committee Monday night the organization's books for 2006 and planning activities for 2007 will show a negative balance.
He blamed the problem on a decline in donations, inclement weather, which reduced attendance, and additional costs for the Saturday beach party and concerts. Johnson said Willmar Fests incurs costs in September for planning the following year's program. He said the organization ended 2005 with a $3,800 reserve, compared with a negative balance this year.
He said $4,000 would get the organization through 2006 and the first part of 2007. He said the city has been a very generous contributor to Willmar Fests, and he asked that the request be a prepayment from the expected 2007 contribution.
Over the past several years, the city's annual contribution has increased from $5,000 to $10,000 to $15,000, said City Administrator Michael Schmit. He said the request would have to be funded from the 2006 budget. The council could reduce the 2007 contribution, but he said the council could not spend money that's not appropriated.
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Johnson said general donations, which "had been there in the past,'' were down for the first time this year.
He said the Willmar Fests Board will be looking at ways to increase donations from other sources. Finance Committee member Jim Dokken said finding a sustainable source of funding is important.
Committee member Steve Gardner suggested Willmar Fests consider the Willmar Convention and Visitors Bureau as a source of funds. He offered a motion, seconded by Rick Fagerlie, to direct city staff to find $4,000 in the 2006 budget to assist the organization.
Committee Chairman Denis Anderson said the council can discuss the possibility of reducing the 2007 contribution during the budget process later this year.
