Board of Fair Commissioners hears $41 million milestone on improvements; preliminary February finances show subsidy and operating loss after depreciation

Finance staff told the Board of Fair Commissioners that funds tied to fairgrounds improvements have reached $41,000,000 and provided preliminary February 2025 financial results showing roughly $2.5 million in revenues and an unplanned subsidy that changed the reported bottom line.

The subsidy appears on the report as an "other financing sources" line. Finance staff said the report showed a subsidy of $698,150 at the time the packet was prepared but that the total subsidy for the fiscal year will amount to about $1,300,000. Revenues through February 2025 were presented as approximately $2,500,000, expenses around $2,800,000, and depreciation expense of $796,200; the staff-calculated net gain before depreciation was about $333,400 and the net loss after depreciation was reported as roughly $462,738.

Why it matters: the unexpected subsidy and the month-to-month results could affect planning for fiscal year 2026, which the board already submitted on Feb. 7. Board members discussed whether to "unwind" the subsidy entry because the board had planned to use fund balance rather than accept a subsidy, and they indicated they may revise the FY26 submission once the subsidy is fully clarified.

Details and division results Finance staff broke results out by division. Flea market revenue showed a deficit of $263,341 compared with budget. Corporate sales was reported with a surplus of about $28,000. Contracts were reported with a surplus of about $60,000. An "other" category showed a surplus of roughly $795,200; staff attributed that surplus to the subsidy line. In the gain-and-loss breakdown, staff said flea market incurred a loss of about $190,000, corporate sales a gain of about $400,000, fair operations a loss of about $744,000, and contracts a gain of about $74,400.

Other figures noted by staff included a property tax proration balance of $339,500 and about $20,700 in outstanding invoices for promoters; staff said all promoters had been contacted and invoiced. Staff emphasized that the financial dashboards in the board packet are 45–60 days in arrears and that the packet numbers were current only through ledger posting as of March 10, 2025.

Board reaction and next steps Board members asked whether parking revenue is included in flea-market totals; staff confirmed parking is tracked separately. The board acknowledged the unexpected subsidy and discussed two options: unwind the transaction (remove the subsidy from the current-year report) or retain the subsidy and conserve fund balance into FY26. One board member said the board had planned to use fund balance and suggested sticking to that plan; another said the board should review how much of the subsidy would offset operating shortfalls before deciding.

No formal board action was taken on the subsidy during the meeting; staff said they would follow up with details and may request adjustments to the FY26 budget submission based on the clarified subsidy amount.

Ending Staff asked for any further questions; none were raised and the meeting moved on to other agenda items.