Financing for two major Rockford institutions takes center stage at Monday night's city council meeting. The Rockford Public Library may take a big funding hit, while MetroCentre leaders must wait another week to learn their financial fate.

The announcement that the city of Rockford is proposing to cut some funding to the public library sparks strong reactions from one local resident. She says, "How can you say education is one of your platforms Mr. Mayor, and then take out a valuable tool for students and adults."

Starting next year, city administors are proposing to no longer offer the library a 680-thousand dollar subsidy. It paid for the organization's Illinois Municipal Retirement Fund, or employee pensions.
Mayor Larry Morrissey says the state has been increasing pension benefits for years. At the same time, pension revenues have plummeted since the economic downturn.

Mayor Morrissey explains, "The funds have less money to start with, that means they generate less money each year. That means our annual payments are larger because we have to pay folks who are retired whether or not the fund goes up or down. If we don't have the money in the fund that means there's additional contributions that we have to make as a city."

Morrissey says what's left in the pension funds must now be directed to the city's core services.

Meanwhile, MetroCentre administrators have to scrape by another week as aldermen delay a vote to give the arena some immediate cash and a three-year subsidy.
The centre's interim director Brian Luther says the most pressing issues are they owe local vendors around 300-thousand dollars. Plus, without some risk capital, they're having to rent shows, instead of buying them outright.

"I'm in a very competitive environment when it comes to booking, so you definitely want to have every advantage possible and when you're in a position like this it definitely puts you at the disadvantage," says Luther.

Rockford Alderman Carl Wasco counters, "We all want to get it right and I understand their need for funding, but I also understand the aldermen's need to have their questions answered."

Alderman Wasco says some additional financial concerns came up Monday and the city's finance director is out of town, along with three aldermen.

The funding deal would give the MetroCentre about a million dollars a year for three years, with a few requirements. The arena must cut 300-thousand dollars from its budget. Plus administrators have to explore private management, make regular financial reports to the city and make two aldermen voting members on the MetroCentre board.

Another option is to release 800-thousand dollars to the MetroCentre that Rockford aldermen approved last week, when they authorized the sale of eight million dollars in bonds. Aldermen might then hold off on the subsidy until a second committee report comes back analyzing longterm funding for the arena and other Rockford entertainment venues.