Revenues
Airfield 115,151
Airfield Suport 225,680
Terminal Building 162,815
Misc 136,291
Total 639,937
Expenses
Salaries 629,303
Ordinary Maintenance 720,361
Capital 3,669
Fringe 272,961
Total 1,626,294
Operating Loss
Less Debt Service 986,357
MassPort (85%) 838,404
Worcester (15%) 147,953
Debt Service 486,776
(100% Worcester)
Total Cost To Worcester 634,729 (15% of the loss plus debt service)
During the first nine months of fiscal 2006, the cost to the City of Worcester to run ORH was $634,729. Keep in mind our percentage increase to 32% in two months (July 1st, 2006) from 15%. Couple of other very interesting numbers comparing the the first nine months of fiscal 2006 to fiscal 2005:
- Revenues have dropped from 674,654 to 639,937.
- Salaries have increased from 548,760 to 629,303.
- Operating loss including debt service has increased from 1,295,473 to 1,473,133.
The actual losses for the first 9 months of this fiscal year (2006) compared to the first 9 months of last fiscal year (2005) have increased 177,660. The thing I find the most disturbing is that the cost of ORH for the first 6 months of 2006 was $403,257 and now it increased to 674,654 after 9 months. This past qtr, with the arrival of Allegiant, was actually worse to the bottom line then the prior two quarters without Allegiant??
I have the actual spreadsheet which I will post on http://www.flyorhcom under the minutes page.
10 comments:
I believe wages and benefits were 1,050,000 for FYE '05. Please correct me if I am wrong.
Wages benefits are 903k for the last 9 months and that is 1,200,000 annualized for FYE '06. This is a whopping 14% increase year over year. This is not tolerable.
Is it possible to get an anonymous wage and benefits breakdown by employee/position? Ten (?) positions up there are costing the city an average of 120,000 per employee, yet our so called elected reps are busy with Yellow Boxes, out of state passenger rail service, and shopping cart ordinances.
The city of seven hills burns (cash)whilst ****** fiddles
I agree a 14% a year pay raise is ridiculous! I'm lucky to get any raise year after year and I am expected to show results from the work I do...where is the justification for these salaries? More airlines? No...More marketing? No. A website that is not an embarassment to ORH? No. I have flown recently out of ORH and loved it. I want it to succeed and only want justification for some of it's expenses.
Someone told me about this site and it is exactly as they said- a lot of dialogue from about three or four people-one of whom may be the same person. Read the budget there are 17 positions up there with most of them being security which is 24/7 and the staff that takes care of the airfield. You really need to do your research before you continue the negative track you take.
I am happy to see we have a poster (new?) who seems to be in tune with ORH and has infomed us there are 17 positions at ORH who says "most of them being security".
Please give us a detailed break of positions by occupational category.
How many clerks, security personnel, mechanics, air traffic controllers, custodians, etc? Please give us a breakdown so we can better understand the operation of ORH. Are all 17 positions full time?
17 positions divided by $1.2M salaries and benefits = 71,000 per employee. This still too high, if as you say, most of these positions (8+??) are in security.
I am not trying to be negative. I, and possibly others here are only trying to help ORH succeed, but this will not happen until certain realities come to pass.
These realities are the continued and apparently ignored deficit MUST be addressed NOW and a real marketing effort WITH RESULTS MUST be made ASAP.
With the warm weather season fast approaching and quite possibly fewer people flying to the Orlando area, I am concerned about an increasing quarterly deficit in the current quarter ending June 30 and the subsequent quater ending Sept. 30.
I agree. Let's do research before we take a negative track.
1. How many positions are @ airport
2. What are their salaries
Anonymous:
First of all I believe the airport has tons of potential but simply is being wasted. Whether there are 17 or 11 employees, the fact the airport has cost the City of Worcester over $600,000 during he first 9 months of this fiscal year while 85% of the operating deficit is not a "negative track" but the truth.
How can we keep this airport open if we keep losing money like this and the MassPort percentage will be dropping to 68% in two months? Where in the budget do you see 17 postions?
Not saying it is not there, but I did not see it..
Thanks
Bill
I have just double checked all the information that I have access to and I see nothing about the number of employees.
The "anonymous" person who commented 17, please let us know where in the budget that you saw this.
What we really need to see are the line items that comprise things such as airfield support, ordinary maintenance, wages, terminal building and so forth. A person looking at terminal building revenue might ask for example: "Just how does a terminal building generate revenue and from what sources/customers".
The devil is always in the details and the details are clearly lacking, unless of course the details are on the City website?
A private $2-3M+ enterprise that bleeds copious amounts of red ink year in and year out and that shows a cash report with only 9 line items is an enterprise that will soon be looking for a new BOD and a new CFO.
If the airport is run as an enterprise, let's see ALL the enterprise line items. These should be available with the push of a button.
This not a negative spin, nor is it a shot at this website, but instead is an attempt to flush out ALL the financial details.
Also if there are in fact 17 positions budgeted and only 11 or 12 of them are filled, then what's with the other 6 or 7? Any of these folks out on IOD and if so, are their IOD payments being properly charged to ORH or is it buried somewhere else in the city budget?
Let's have 100% financial transparency. Good decisions CANNOT (marketing or financial) be made without it.
As far as the salaries go, I am curious as to the positions and how much they pay. Personally, I have no problem with salaries if they are going toward security, let's face it, ORH will not close, that's a fact, they will remain a part 139 airport. Security is necessary, After the cowardly attacks of 9/11, how can you not justify it? Jet's will fly into Worcester, jet's will fly out of Worcester, that's a fact. Spending money on salaries, well, I would like to see a breakdown, however security, I am not concerned with, let them spend as much money on them as they want, it's the other positions that are alarming.
Dave H.
A lots of anonymouses around here. Hey, anonymous who posted saying "someone" told you about this web site. Who is this someone? Or do you want to protect them from the public eye as well? And what's negative about asking for accountability from our government?
Come on...grow a pair. Who are ya? It's okay. We're all just trying to get along. All you anonymouses are MOUSES! Scared, weak little mouses! Squeak squeak! Except you, Dave. You're not a mouse anymore.
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