The Georgia International and Maritime Trade Center Authority on Wednesday gave final approval to its budget for the year that begins July 1.
The authority’s budget covers both the Savannah International Trade & Convention Center and the Savannah Belles water ferries.
Trade Center revenues for the upcoming year are projected to be $2.67 million, compared to this year’s $2.35 million. Operating deficit is expected to be $630,958 for next year compared to this year’s $968,880.
“Trade and convention centers typically operate at a deficit because the majority of the revenue they create is outside their own walls and therefore doesn’t show up on their balance sheet,” said Bob Coffey, the trade center’s general manager.
Examples are hotel/motel room nights, retail and restaurant revenue generated by conventions and festivals booked through the trade center, Coffey said.
“Both the state, which owns the building, and the authority, which is responsible for running it, accept the operating deficit as the cost of doing business, although we try to keep it as low as possible,” he said.
The 2014 water transportation budget is expected to finish in the black — albeit by only $360 — for the first time in four years.
“We underbudgeted 2013 and ended up taking some fairly substantial hits in unexpected maintenance, but this year coming up is looking much better,” Coffey said. “Our new boat is taking some of the pressure off the three older boats, which are now in much better shape.”
In all, Coffey said, he’s anticipating a good year in terms of keeping the deficit lower and room nights high.
Fredia Brady, senior director of sales and marketing for the trade center, reported top bookings for June include the Georgia Municipal Association annual meeting and the YMCA National Gymnastics Championships, expected to draw 2,000 and 1,000 attendees, respectively.
The six day municipal association meeting is expected to account for 5,200 room nights, while the gymnastics championships will require some 6,000 room nights.
Brady reported 60 definite bookings for the upcoming 12 months — 19 conventions, 3 trade shows, 11 public shows/sports events/festivals, 14 meetings and 13 food and beverage events — with an expected attendance of more than 100,000 and room nights totaling more than 72,000.
Tentative bookings for the year stand at 52 events, including 18 conventions and 26 public shows, with the potential to bring another 23,000 attendees and add another 10,200 room nights.
The trade center board also voted to retain its current slate of officers for the coming year: Mark V. Smith, chairman; Ben Polote Jr., vice chairman; George Jackson, secretary; and Henry Monsees, treasurer.