YOUNGSTOWN — Despite 20,000 in attendance for the Y-Live concert, the city-owned Covelli Centre, Youngstown Foundation Amphitheater and Wean Park had an operating loss of $30,166 for the third quarter.
But the July 29 concert featuring Kid Rock, Lee Brice and Buckcherry at Wean Park generated about $90,000 for the city from a 5.5 percent admission tax on tickets.
Overall, the access tax for the third quarter was $122,439, city Finance Director Kyle Miasek said.
That’s the second-highest admission tax for a neighborhood, said Eric Ryan, president of JAC Management Group, which operates the entertainment facilities in the city.
While the Y-Live event was the biggest show this year — as it was in 2022, when Luke Bryan headlined — it “costs a tremendous amount of money to produce,” Ryan said.
The plan for next year, Ryan said, is to “expand Y-Live into a multi-day event.”
While there were concerts, primarily at the amphitheater, in the third quarter, Ryan said, “We just didn’t have enough big money events. We fell short of the money-making events.”
The facilities were budgeted to have an operating profit of $97,133 in the third quarter.
On the other hand, the facilities had an operating profit of $15,847 in the second quarter, when it was expected to lose $156,777.
“We had a lot of events at the amp in the second quarter when our budget was going to lose a lot, and we did a lot better,” Ryan said.
Thanks to a record first quarter, the facilities have an operating profit of $368,269 in the first nine months of the year. They were budgeted to have a profit of $110,609 during the first three quarters of the year.
“At the end of the day, we’re still in good shape for the year,” Ryan said. “The entrance tax is growing for the city and we are happy with where we are. We are ending the year fantastically.”
The city has collected $269,757 in admission tax through the first nine months of the year.
The facilities are budgeted to have an operating profit of about $104,000 for the fourth quarter, Ryan said.
“I don’t know if we’ll get there exactly, but we’ll be in the money,” he said.
The largest profit was $485,234 in 2008 when the city had only the Covelli Centre.
Profits have exceeded $400,000 two other times: $435,183 in 2016 and $412,684 in 2019.
The center was built in 2005. The amphitheater and park opened in 2019.
“The expectation is that the fourth quarter will add to the overall profit, which is exciting,” Miasek said. “We will have a very strong 2023, which bodes well for 2024.”
The city borrowed $11.9 million in 2005 to pay its share of the building of the $45 million center. Most of the funding came from two federal grants.
The city owes $1.7 million on that loan and will pay it off in full in January, Miasek said.
The city paid only interest until its first principal payment in 2011. It paid $1.7 million in principal in both 2022 and this year.
Youngstown also borrowed $4 million in 2018 from the US Department of Housing and Urban Development to pay for the $8 million amphitheater and park, which opened a year later. The rest of the money came from naming rights deals.
The municipality repays that loan over 20 years.
Third quarter financials
Here are third-quarter operating losses and profits for the Youngstown-owned Covelli Center, Youngstown Foundation Amphitheater and Wean Park. The center opened in October 2005, while the amphitheater opened in June 2019 and the park later in 2019.
2006: $253,998 loss
2007: $220,938 loss
2008: $141,775 loss
2009: $67,177 loss
2010: $56,294 loss
2011: DKK 35,320 in profit
2012: $36,814 loss
2013: $1,221 loss
2014: $83,111 loss
2015: $3,658 profit
2016: DKK 4,040 in profit
2017: $18,739 loss
2018: $135,802 loss
2019: $115,558 loss
2020: $3,565 loss
2021: $128,294 profit
2022: $144,279 profit
2023: $30,166 loss