Gold Country Fairgrounds requests assistance from Placer County

Gold Country Fairgrounds CEO Don Ales provided the Placer County Board of Supervisors with a presentation of current operational and fiscal challenges due to the COVID-19 pandemic during the March 9 meeting. Ales said the fairgrounds' revenue has been impacted over the last year due to public gatherings and events being cancelled as a result of COVID-19 restrictions. He said the fairgrounds has survived by cutting expenses and utilizing the $250,000 cash reserve the Fair Board established in 2018 in the unlikely event the annual Gold Country Fair would be canceled. "We did everything we could to streamline the loss," Ales said. "What we didn't anticipate was that all events were going to be canceled." According to Ales, the total revenue lost in 2020 was $1.3 million due to a decrease in interim rentals and parking revenues, and the cancellation of events, including the Gold Country Fair and Fast Fridays motorcycle races. Ales said the Mandarin Festival and Auburn Home Show were able to be streamlined to meet COVID restrictions. "It didn't stop in 2021. It seems like we got a little bit of a hangover," Ales said, noting some events have already been canceled in 2021. According to Ales, as of Feb. 16, those events include: Meadow Vista Lions Club Crab Feed Placer High School Music Boosters Crab Feed Gold Country Pro Rodeo Antique Craft Faire Saint Joe's Crab Feed Celebrity Chef Native Sons of the Golden West Crab Feed Kingdom of Harron Placer Veterans Stand Down Income opportunities that were secured include the fairgrounds being a home to PG&E Public Safety Power Shutoffs, opening the Thursday Farmers Market , creating the Drive-In Live events and producing a live and virtual Junior Livestock Auction. Ales said other financial options, such as the Paycheck Protection Program, Economic Injury Disaster loan and state assistance, were pursued but denied. Ales confirmed the fairgrounds received its annual state allocation of $42,900 and plans to apply for the Shuttered Venue Operators Grant once available. According to the current cash burn analysis, Ales said the fairgrounds will have a negative cash balance of $120,081 by September. As there are no plans in Gov. Gavin Newsom's budget to aid fairgrounds, Ales requested assistance from the board in the amount of $149,027 to cover expenses for three months and help offset preliminary fair expenses such as advertising. "There's things that we have to do to make sure we have attendance at the fair," Ales said. "I'm very optimistic, as we're planning for a fair. … So by September, we should be in good shape, but I obviously can't predict the future, but I want to have the opportunity to make that happen. "I don't know what would happen when we run out of money, because we've never been there. So far, the state has indicated they wouldn't be supportive. I don't know because I haven't been there, and I don't want to be there. I don't want to be the first CEO to sit over a fairground that has no money." Following the presentation, the board showed its support for the fairgrounds and Ales' work to continue operations. "I just have to say since you've taken over as executive director, it's been amazing what you've done," District 3 Supervisor Jim Holmes said. "I dare say that if it hadn't been for you, this fair probably would've been closed earlier this year." Noting the importance of organizations being able to fundraise and conduct public outreach during events, District 4 Supervisor Suzanne Jones said, "That's amazing the things that can be done there so I appreciate what you do there. I would really hate to see anything happen to it." Said District 5 Supervisor Cindy Gustafson, "Thanks for all you've done and what a great facility, and I think the frustration, you know on our behalf and certainly yours as well, is that the state isn't adequately funding their own facility because they own it and it's that much more challenging for us when we're asked to bail out big brother. And so that is frustrating, but we see it as helping you and helping our community and our fellow businesses." District 1 Supervisor Bonnie Gore added, "Thank you so much for trying to find ways to make your budget and keep the operation going, but really providing what's needed in our community is a gathering place that people, we see, have desperately needed. I am supportive of us trying to find a way to assist you all. I don't know what additional CARES dollars we might have, but I want us to find a way to assist you all so that come the fair time in September, your doors are wide open, you can advertise and it's a successful event." Board Chair Robert Weygandt directed county staff to return to the board at a later date with a recommendation on how the county could provide assistance. Placer County CEO Todd Leopold confirmed county staff would return to the board with a recommendation at the March 30 meeting.