Cincinnati Recreation Commission details $1.17M supplemental ask after FY25 variance

The Cincinnati Recreation Commission told the Budget & Finance Committee on Monday that weakened fiscal controls and understaffing drove a FY25 budget variance and asked the committee to consider two supplemental appropriations to close gaps.

Director Betts said CRC identified the problems after new leadership and an internal review, and that CRC will not repeat the lapse. "We realize that April 15 clearly was not — we were not as prepared," Betts said, adding that the presentation would show a clearer plan and stronger controls.

Assistant Director Tiffany Stewart outlined CRC's revenue mix and the variance. CRC reported total revenue of $6,218,889 through June 30 in FY25, with recreation activities accounting for roughly 96.9 percent of that revenue. Stewart told council that revenue has increased from about $3 million five years ago to the current level, driven in part by expansion of licensed childcare sites and higher program activity.

The commission requested two supplemental appropriations: a recreation-fund request totaling $1,174,000 to cover FY25 carryover costs (fleet and facility maintenance, personnel), state-mandated automated external defibrillator requirements, $30,000 for winter warming operations, $55,000 for credit-card processing fees and about $15,000 for RecTrak software; and a golf-fund supplemental discussed as $480,000, of which $280,000 was described as fleet, insurance and contractor costs and an estimated $200,000 tied to increased utilities from higher rounds.

Interim CFO Austin Lubbers said the $200,000 golf figure reflects expected additional utility and maintenance appropriation for higher rounds and related activity; he said revenues from extra rounds and maintenance will offset some of those costs in seasonal reporting. "There are revenues generated from these additional expenses that will more than cover these increased costs for the extra rounds and the extra maintenance," Lubbers said.

Council members pressed CRC on sustainability and details. Council member Jeffries asked whether the $400,000 in vacancy savings the commission said it had captured was durable; Betts said those vacancies were temporarily held to close the gap and that most positions would be recruited in the new year. When asked about the personnel portion of the $1.17 million request, the commission confirmed personnel accounted for $906,000 of the appropriation request.

Council members also questioned the large revenue increase over five years; CRC said the growth stemmed largely from expanding licensed childcare operations (from one licensed site to 13) and state subsidies that reduce family costs while increasing program revenue.

Betts described corrective steps already under way: hiring an interim CFO, running internal audits of prior practices, restoring finance staffing, tighter monthly check-ins, training staff on budgeting tools and partnering with the Office of Performance Data Analytics to provide near-real-time monitoring of center budgets. Betts said CRC had begun withholding some hires voluntarily and working with its board and foundation to raise more non-tax revenue.

The committee filed the CRC presentation (item 12) and placed related ordinances on for passage. The presentation and the supplemental requests will proceed through the council process for formal consideration.