City To Disband Sacramento sports compensation After It Defaults On Loan
By: Steve Large, CBS Sacromento
November 16, 2012
SACRAMENTO (CBS13) – Sacramento is disbanding its money-troubled
sports compensation after getting stiffed on a $400,000 lending it granted
the commission’s foundation.
The Sacramento sports Commission, which recruits huge sporting events
to the region, has been in the red for years, as well as any type of attempt at a last
shot appears to be sunk.
They’ve cycled with the options; as well as now, Sacramento’s sports compensation has hit the surface line.
“Is it a black eye for Sacramento? I don’t believe so, if we make it an simple transition,” a city spokesperson said.
The Sacramento City Council will vote on cutting ties with the
commission as well as its non-profit foundation after defaulting on a $400,000
city loan.
“It was not expected that the city would be at danger here,” stated the
spokesperson. “So, yes, we were definitely looking for that money to
come back.”
A city audit determined the numbers did not add up, as well as that the
foundation mismanaged the lending money. It was supposed to be kept in the
foundation’s own account, however was commingled with other foundation
revenues.
No part of the lending has been repaid.
City personnel is recommending the Sacramento Convention as well as Visitors
Bureau handle the function of advertising Sacramento sports venues. In
exchange for the business, it would replenish the $400,000 lending amount.
“Obviously it’s not our loan, as well as it’s not our tons to repay. But
replenishing money into the civic coffers was the right thing to do, and
a method to make everybody happy with the agreement,” stated Mike Testa with
the Sacramento Convention as well as visitors Bureau.
As for the Sacramento sports Commission, after 25 years, it appears to be game over.