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State's payment failure could affect fair
Published 3/10/2010 in Local News
By AMY BICKEL
Special to The Telegram
Shorted more than $1 million in the past 10 years by the Kansas Legislature, Kansas State Fair officials had to take money from another account to make a payment on a $29 million bond project that lawmakers approved in 2001.
Finance Director Amy Craig told board members Tuesday she had to move $13,000 from the fair's fee fund to cover a portion of next month's $511,000 bond payment.
Craig and Fair Manager Denny Stoecklein are traveling to Topeka today to talk to Senate Ways and Means Committee members about the matter. Legislators want to know the minimum the fair needs to keep the agency's capital improvement account from going negative.
"The $13,000 is something we can handle," Stoecklein said of the transfer but added future bond payments would be unmanageable if not taken care of soon.
Next year, the shortfall will increase to more than $225,000, and by 2012 it would be a cumulative $900,000 shortfall.
State legislators are required to match the fair, for up to $300,000, in its capital improvement fund. Money goes toward building upkeep and maintenance. Yet despite being a statutory requirement, the state has failed to make the match four times since approving the fair's $29 million master plan for improvements in 2001.
That includes last year, Stoecklein said. Dealing with a tight budget during the spring legislative session, then-Gov. Kathleen Sebelius recommended the Legislature not grant the fair its $300,000 payment. Legislators conceded to her wishes.
The Division of Budget and governor have both recommended against making the $300,000 match this year.
Stoecklein said earlier in the session he asked legislators to consider making last year's match, as well as covering another roughly $800,000 of the shortfall.
Grandstand facelift?
At age 80, the Kansas State Fair grandstand had had many a performer grace the stage, including the likes of pop star Britney Spears and comedian Bob Hope.
However, the structure built in 1930 is showing its age, said Fair Building Committee Chairman and Hutchinson native Brad Rayl.
And, he told board members, something will need to be done in the near future.
The committee didn't discuss timeframe or estimates on what such a project would cost.
"There's no funding to do anything right now," said Stoecklein. "But, down the road, we need to take a look at what we can do to make it better."
Rayl said the committee would begin looking at other outdoor venues to get ideas, including going to one being constructed at the North Dakota State Fair.
Addressing the grandstand means addressing the entire arena, Rayl said. That includes the racetrack.
"Ten years from now, I don't see auto racing as having a viable future here, but I may be wrong," Rayl said.
The grandstand was just one option on the table for improvement. Discussion included updating Bison Arena, an open-air agriculture building; installing giant fans in a few of the buildings to keep air moving; and a possible grant-funded sidewalk path that would go from the city's reverse osmosis plant to Plum Street.
A local group is researching the idea, Stoecklein said.
Meanwhile, Kansas Department of Wildlife and Parks is considering putting a permanent cabin at the fair, similar to those that grace many of the state lakes.
Each year, the department transports and installs a cabin for public viewing during the fair. To save money on hauling and installing costs, the agency would like install the cabin permanently, Rayl said.
Rayl said they were considering building the cabin off Lake Talbott. Wildlife and Parks will cover the costs for a structure ready for the 2011 fair. Wildlife agency officials suggested they could get it built by 2010 even if the fair helped with some infrastructure costs.
The fair would also be able to rent the cabin during the year, Stoecklein said.
Other fair improvement discussions:
* Hutchinson firefighters and police are still working out details on how to display a possible Sept. 11 memorial at the fairgrounds.
Stoecklein said the firefighters have a piece of metal from the site of the terrorist attack and are raising funds for a display and park. Possible sites include an area behind the fair's Sunflower buildings that could be seen from Main Street.
Rayl said the group would like to have something in place by the 10th anniversary of the attacks, but he noted talk was still preliminary and discussion would continue when the dollar amount is realized.
* Closed for several months and behind on rent, fair board members approved the $11,900 purchase of the Tee Box building located in the east parking area. Valued at nearly $19,000, the difference will cover the late rent, Stoecklein said. Besides rent, the building owner also was behind on taxes. The purchase amount would cover the taxes.
* Board members also approved for the fair's maintenance crew to concrete the grass area in front of the AT&T Arena stage, an area that gets soggy during rain events. Cost is estimated at around $5,000. Rayl also suggested fixing up the arena building itself. Some of the siding is rotting, and water seeps into the building when it rains. Estimated cost is around $35,000.
In other business:
* Board members re-elected Kansas Grain and Feed Association Director Tom Tunnell, Topeka, to another term as board president. Vice president is Jeff Deeds, a farmer from Goodland.
* The Family Motor Coach Association announced it would have its six-state rally at the fairgrounds in 2011. The rally could bring up to 800 recreational vehicles to the town.
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