The NJSIAA is projecting a loss of almost $409,000 in the 2012-2013 school year, according to a budget the association’s executive committee unanimously approved on Wednesday.
There will be no cuts to either the 32 tournaments the association runs or NJSIAA staff, executive director Steve Timko said.
Timko said each member of the NJSIAA’s staff will receive a two-percent raise after two years of salary freezes.
Gary Zarrilli, the NJSIAA’s business administrator, said the association projects revenue of $4,980,465 and expenses of $5,389,430 for a loss of $408,965 for next year.
“I’m always concerned if we’re losing any money whether it be $1,000 or the amount that Gary’s projecting,” Timko said.
Both the anticipated revenue and expenses are down about $45,000 from what Zarrill projected in June, 2011 in his budget for the current school year. Zarrilli projected the association would lose almost $405,000 this current year. However, he said, it looks like that loss will only be $250,000.
“That’s because of some of our in-cliient contributions,” Zarrilli said.
However, the revenue decreases of recent years have severley drained the NJSIAA’s surplus, which at one time was over $1 million.
With the anticipated loss of $250,000 for this year, that surplus will be down to about $550,000 for the next school year, Timko said. The loss Zarrilli is projecting for the 2012-2013 school year will drop that surplus to around $140,000.
“We have to continue to start thinking of alternate sources of income,” Timko said. “I don’t know what all of those answers are, whether it be corporate sponsorships, ticket prices. I think this organziation is such a great organization that somehow that things will work its way through. That’s my hope and prayer.”
The NJSIAA is exploring several alternate revenue streams.
It is about two weeks away from formally sending out a “Request for Proposals to host the association’s individual wrestling championships, Timko said. The individual wrestling championships have been in Boardwalk Hall, Atlantic City since 2002.
“We’re looking for size acommodations, similar to what we’ve had before,” Timko said. “We have had contacts with different venues.”
Also, a proposal to have those schools that host the NJSIAA’s 32 district wrestling tournaments take on all the financial responsibility for running those tournaments is in the works, Timko said. If that comes to fruition, any profit a host school makes on a district tournament will be theirs, as will any loss they incur.