MONROE - Monroe Main Street is looking to become a separate entity, independent of the city, but hiring a full-time director and an expected decrease in funding from the city is holding the move at bay.
Ryan Wilson, chairman of the Monroe Main Street board of directors, said the board may separate from the city by early October.
"The city is pushing it," he said in a Main Street meeting Monday. "They want it."
The board is now looking at options for a full-time director, which is required by the Wisconsin Main Street organization. Monroe Main Street has been without a director since former director Barb Nelson was released from that position in early July.
One option being considered to fill that position is purchasing services from Monroe Chamber of Commerce and Industry (MCCI).
The arrangement, as Wilson explained, would have Monroe Main Street providing enough funds for MCCI to hire extra personnel to help Pam Christopher, MCCI director, cover the duties of Main Street director.
None of the other 35 Main Street organizations in the state have tried a shared-staff arrangement, said Jim Engle, director of Wisconsin Main Street. He told the board he would check on how contracting for the staffing arrangement might work.
But Engle is opposed to a merger.
"I detest Chamber-Main Street mergers," Engle said. "Others have tried; two have worked, 22 are failures ... but a shared staff might be OK."
Engle is worried about Monroe Main Street maintaining a full-time director which "Monroe needs for a city its size," he added.
Last year, Monroe Main Street paid its director about $40,000 to 45,000, about half of its total budget. The position came with city employee benefits.
Monroe Main Street's financial situation is part of the reason the board is considering contracting for director services. Main Street has had fewer community donations, except for event sponsorships, in the past year, according to several members of the board, which is responsible for raising those funds.
The Monroe Business Improvement District gives Monroe Main Street about $28,000 yearly from the taxes it raises.
The City of Monroe gives about $25,000 per year, with its portion coming out of the Tax Increment District No. 7 funds (TIF 7) for the past two years.
The city will not be able to use the TIF 7 funds this year, and may not be able to give much, if any amount, from the general funds, according to Mayor Bill Ross and Cathy Maurer, city treasurer.
Maurer told the board that TIF 7 will need to use its surplus funds, saved from previous years, to help pay its debt obligation this year. Tax Increment Districts across the county suffered a blow to their equity property values this year because of the economy and the new way the state determines equity values, said Maurer.
"It's the worst case scenario," Ross said.
Until the city can established its 2011 budget, it won't know how much it can contribute to Monroe Main Street's budget, Ross said.
"We have your best interest in mind," he told the Main Street directors. "If the economy picks up steam, then we can re-evaluate."
Monroe Main Street is considering becoming a non-profit entity but that status raises some concerns with directors. Contributions to Main Street are now tax-deductible because of its status with the city government. But becoming a non-profit entity increases book-keeping and federal forms, and any arrangement with MCCI would require separate paperwork.
Separation from the city will release Main Street from open meeting laws.
"Sometimes Main Street communities think, maybe it's not working for us anymore," Engle said. "I don't want Monroe to do that (dissolve), but maybe it's an option."
Wilson said board members strongly support continuing Main Street.
The Monroe Main Street board expects to meet with Engle in about two weeks to discuss updated information about working with MCCI.
Ryan Wilson, chairman of the Monroe Main Street board of directors, said the board may separate from the city by early October.
"The city is pushing it," he said in a Main Street meeting Monday. "They want it."
The board is now looking at options for a full-time director, which is required by the Wisconsin Main Street organization. Monroe Main Street has been without a director since former director Barb Nelson was released from that position in early July.
One option being considered to fill that position is purchasing services from Monroe Chamber of Commerce and Industry (MCCI).
The arrangement, as Wilson explained, would have Monroe Main Street providing enough funds for MCCI to hire extra personnel to help Pam Christopher, MCCI director, cover the duties of Main Street director.
None of the other 35 Main Street organizations in the state have tried a shared-staff arrangement, said Jim Engle, director of Wisconsin Main Street. He told the board he would check on how contracting for the staffing arrangement might work.
But Engle is opposed to a merger.
"I detest Chamber-Main Street mergers," Engle said. "Others have tried; two have worked, 22 are failures ... but a shared staff might be OK."
Engle is worried about Monroe Main Street maintaining a full-time director which "Monroe needs for a city its size," he added.
Last year, Monroe Main Street paid its director about $40,000 to 45,000, about half of its total budget. The position came with city employee benefits.
Monroe Main Street's financial situation is part of the reason the board is considering contracting for director services. Main Street has had fewer community donations, except for event sponsorships, in the past year, according to several members of the board, which is responsible for raising those funds.
The Monroe Business Improvement District gives Monroe Main Street about $28,000 yearly from the taxes it raises.
The City of Monroe gives about $25,000 per year, with its portion coming out of the Tax Increment District No. 7 funds (TIF 7) for the past two years.
The city will not be able to use the TIF 7 funds this year, and may not be able to give much, if any amount, from the general funds, according to Mayor Bill Ross and Cathy Maurer, city treasurer.
Maurer told the board that TIF 7 will need to use its surplus funds, saved from previous years, to help pay its debt obligation this year. Tax Increment Districts across the county suffered a blow to their equity property values this year because of the economy and the new way the state determines equity values, said Maurer.
"It's the worst case scenario," Ross said.
Until the city can established its 2011 budget, it won't know how much it can contribute to Monroe Main Street's budget, Ross said.
"We have your best interest in mind," he told the Main Street directors. "If the economy picks up steam, then we can re-evaluate."
Monroe Main Street is considering becoming a non-profit entity but that status raises some concerns with directors. Contributions to Main Street are now tax-deductible because of its status with the city government. But becoming a non-profit entity increases book-keeping and federal forms, and any arrangement with MCCI would require separate paperwork.
Separation from the city will release Main Street from open meeting laws.
"Sometimes Main Street communities think, maybe it's not working for us anymore," Engle said. "I don't want Monroe to do that (dissolve), but maybe it's an option."
Wilson said board members strongly support continuing Main Street.
The Monroe Main Street board expects to meet with Engle in about two weeks to discuss updated information about working with MCCI.