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Main Street may become a non-profit
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MONROE - The time has come for Monroe Main Street to become its own entity, according to the group's board of directors and Monroe Mayor Bill Ross.

The board voted unanimously Monday to develop a plan to become an organization separate from the city, most likely a tax-exempt 501(c)(3), by Oct. 1.

"What we've done will let Main Street operate more independently without city committees," Ross said. "The city doesn't want to be involved with what Monroe Main Street does."

Main Street's mission and purpose have not changed since its inception in 2005, said Ross.

"Main Street's purpose is the revitalizing of Monroe," Ross said. "It's a great platform for economic growth and development."

With a branding and marketing plan, it can bring people to the city, which promotes business and more jobs, he said.The board will discuss its reorganizing plan and filling the chairman or the vice-chairman positions at its next monthly meeting July 12. Vice-chairman Ryan Wilson is currently filling role of chairman, following the resignation of chairman Dr. David Riese June 15. Riese remains a member of the board.

"All organizations go through changes, and it was time for Monroe Main Street to make a change, so that's why I stepped down," Riese said Monday.

Main Street's current charter with Wisconsin Main Street ends June 30. Wilson said it will not hurt to delay re-signing the agreement with the state, so this is a good time to make any changes.

Another change on the horizon is who is at the helm of Monroe Main Street.

Main Street executive director Barb Nelson said June 10 she is resigning, effective July 3. The board decided to delay hiring an executive director until it determines what duties and responsibilities the position requires.

Ross said he called the public meeting Monday to see what Main Street's intentions are for its future. With the city donating $25,000 a year to the organization, it was appropriate to do a check-in, he said.

Ross and Rex Ewald, the city's attorney, were part of the effort to get Main Street started. Both were in favor of Main Street cutting its ties with the city.

The city was to "act as a bridge for two to three years until it could function as an entity of its own," Ross said.

Ewald said the city became responsible for the internal structuring legally "at a time when the Main Street initiative was a fledgling."

"We thought it was wise to get its feet on the ground and see if it could fly," he said.

The organization was not established with 501(c)(3) status at that time, Ewald said, but was set up with the city to help support it.

"The affiliation with the city was never meant to be more than that," Ewald said.

Being on its own doesn't mean Main Street will automatically lose its funding from the city. Since Main Street began in July 2005, the city has funded $25,000 annually.

For the past two years, this money has come from the downtown tax increment district (TID) fund. At least five of Wisconsin's 36 local Main Street organizations use TID funds as a financial source, according to Riese.

Ewald said TID wording specifically names Main Streets as one of the potential recipients for its funds.

Ross said the city will discuss its funding in the future when the 2011 budget is set up. The city has begun working on its 2011 budget and is set to approve it in November. But, Ross said, the board can expect the city will continue its financial support for at least the next two months.

Riese emphasized the need for better fundraising efforts for Main Street, and a marketing strategy for getting a portion of the $160 million that leaves every year. That's the amount a survey conducted several years ago estimated consumers from Monroe and outlying areas spend outside the city.

"Even 10 percent is $16 million into our economy," he said.

Board member Mike Doyle questioned whether Monroe Main Street can sustain a budget of more than $100,000. The 2010 budget is almost $106,000.

Doyle also questioned the organization's ability to afford $43,500 for a full-time director, a position that the state organization requires of its charter members. The city has paid health care and other benefits for that position; Riese questioned what the separation from the city would mean to the Main Street's budget.

Because competition with other organizations makes it hard to raise money, Doyle suggested letting Main Street drop its charter, thus eliminating the need for a full-time employee. It could continue its structure and work, but purchase administrative services from the Monroe Chamber of Commerce.

Main Street needs a permanent funding process, something it has never had, except to send out request letters, which is the "softest and most inefficient way to fund-raise," Riese said.

"If we would get off our behinds and do proper fundraising," he said.

Board members said they don't want to lose the progress Monroe Main Street has made over the past five years. A highlight of the past five years is a $4.2 million downtown reconstruction project, accomplished 10 to 12 years ahead of schedule, Riese said.

Besides the reconstruction project, "little things in fulfillment of the initial charge" have been met, Wilson said.

"Design (Committee) took a big step (with the reconstruction project), but that in no way means we can expect" the same stride for the other committees, he said.

Wilson said the TID fund established for Main Street is showing good success, and it paid for the downtown project.

The other three committee areas of Main Street programs - organization, promotion and economic development - have programs in place and are making progress, Wilson said, who has served on several of the committees.