(Arnolds Park)– The Iowa Great Lakes Maritime Museum Board of Directors Monday adopted a new set of bylaws downsizing the board from 28 to nine members. The vote was 21 to seven. A petition was presented with 366 signatures calling for a general election to determine the new board. A motion to adopt the bylaws but not allow the 28-member board to elect the new board failed, setting the stage for an election among the 28. Elected to the new board were Mardi Allen, Fred Dowden, Rick Johnson, Al Maser, Mike McDonough, Bob Schneider, Dennis Ward, Mike Zenor, and by contractual agreement, a representative from the city of Arnolds Park. Two members of the original board, Terry Yarns of the city of Spirit Lake and Jeff Thee of the Iowa Great Lakes Area Chamber of Commerce, did not sign papers to voluntarily step down from the board. Iowa code states such persons cannot be forced to resign and must be allowed to serve out their terms. Yarns lost in his bid for re-election to the Spirit Lake City Council and will be replaced by a new representative who, along with Thee, will serve as additional members of the new board until the next general meeting in August, 2004.
The Maritime Museum Board was presented with an up to date audit that includes the nine-month period ending September 30th. Larry Hardin of Williams and Company reported the findings were a “qualified opinion” because the board had not yet satisfied a million dollar note that was due November 1st and that cash reserves are not sufficient to fund off-season operations. The report illustrated 143-thousand dollars in true operating cash; almost 12 million in total assets and a total debt of 1,741,389-dollars. Hardin added that 539-thousand dollars in pledges are receivable from the original Save-The-Park Campaign, of which 323-thousand will be due in one year and 215-thousand in subsequent years. The figures show a net operating loss for the park, after depreciation, of slightly more than 302-thousand dollars for 2003. The figures don’t reflect the final three months of the year when the park will still have operating expenses and essentially no income. Al Maser, Chairman of the Maritime Museum Board’s Finance Committee, said they’ll continue to negotiate refinancing plans with area banks and will request a 500-thousand dollar loan that’s needed to reopen the park in 2004.
The board also approved a recommendation from Park Operations Committee Chair Fred Dowden to hire Jim Frost of Roseville, Minnesota as Chief Executive Officer of the Iowa Great Lakes Maritime Museum on a month-to-month basis at a salary of seven thousand dollars per month. Frost will begin his new duties immediately. He says his first objectives are to raise revenues and cut expenses.
