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BBHC cuts 10 jobs in budget crisis
By Richard Reeder
This document was published online on Wednesday, August 13, 2008
Declining revenues and visitation have forced the Buffalo Bill Historical Center into unprecedented layoffs.
On Wednesday, BBHC CEO/Executive Director Bruce Eldredge announced the elimination of seven full-time and three part-time positions.
“Eliminating jobs is a difficult, but necessary, step for us to take,” Eldredge said. “This is probably the largest single job elimination in the museum's history.”
He said additional operating cuts are possible.
“We've identified about $50,000 more in savings we may need to do,” he said. “That will include travel and program expenses.
“Our gate is 40 percent of our revenue and we'll be watching the fall numbers closely,” he added. “If they stay low, we'll be looking at making some deeper cuts.”
Eldredge said visitation and revenue figures have not met what they forecast for this year.
“We had hoped this year would meet or exceed last year in terms of visitation, and last year was one of the better years the museum has had,” Eldredge said. “But the high gasoline prices have kept people away, especially RV traffic, which is one of our largest visiting populations.
“There's been a drop off in general visitation, which has led to less gate, gift shop and cafe revenue,” he added. “We're one of the first discretionary expenses a visitor will drop to pay for that extra tank of gas.”
Eldredge said staffing cutbacks were needed to bring the overall budget closer to being balanced.
“Right now our personnel costs are 67 percent of the budget,” he said. “Museums of comparable size around the country operate at about 50 percent for personnel.
“In a tight budget year we had to find ways to reduce those costs and still provide above average guest services,” he added. “We need to be more in line with museums of our size.”
The job cuts are expected to save the BBHC about $127,000 this year.
“That number is arrived at after severance pay and other benefits for those being eliminated,” Eldredge said. “That savings will be significantly greater moving into 2009.”
He said some of the jobs would have been eliminated anyway as he continues to restructure BBHC operations.
“Some of the jobs might have been eliminated as we change how we operate,” he added. “But the tight budget year forced us to move forward on them before we'd planned to.”
The job cuts are from various departments and include some retirements.
“We are fortunate that a couple of our upper management people are retiring, so they are part of this process,” he said. “Those retirements will be coming between now and December and we'll announce them as they happen.
“But all departments of the museum were looked at and changes are being made,” he added. “This isn't a reflection of anyone's performance, but a reflection of how we need to operate.”
The jobs eliminated were selected as Eldredge met with department heads and discussed how they could work more efficiently.
“The department heads drew up plans how they could continue to provide high-quality guest services, but more efficiently,” he said. “They all drew up plans how they could do that and brought them back to me.
“I decided which were the right moves and then presented them to the trustees,” he added. “The process was a total examination of how we do business.”
Eldredge said earlier this year $125,000 had been cut from other operating expenses.
“As we saw the numbers not going as high as we hoped, we eliminated some travel and program expenses,” he said. “But in the end that wasn't enough and we knew we had to move forward with cutting personnel expenses.”
Eldredge was unsure if tightening past budgets could have lessened the current cutbacks.
“I can't really comment on things that happened before I got here (in January) and had no control over,” he said. “In hindsight you can say maybe not enough attention was paid to personnel expenses and the monitoring of programs.”
The BBHC will proceed with filling “critical positions” despite the job cuts.
“We'll be hiring a chief development officer to handle fundraising,” Eldredge said. “Our contributions are down, so we need someone with experience and knowledge to help build that up again.”
The people being eliminated have been offered severance pay, continued health insurance and work space to search for a new job, all based on length of service.
“These are good people,” Eldredge said. “They would be welcome to apply for another job opening they are qualified for and we'd be glad to have them back.”
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Lone Rider wrote on Aug 16, 2008 10:21 PM:
How much money could be saved by having all the board meeting at the museum here in Cody as opposed to spending the money to fly board members and their spouses all across the country or the globe for 2 day board meetings where they stayed and played for a week. And putting those board members up and feeding them here in Cody would have helped the local economy while saving the BBHC tons of money. "