Problems at the Playhouse rest on shoulders of board, which should hire Lenhoff
EDITOR:
When I concluded my three-year commitment to act as managing director at the Youngstown Playhouse on June 30, 2003, I decided I would allow the board to "get its act together" without making any public statements or accepting calls from the media regarding The Playhouse and specifically, its board of directors.
Last Sunday's article, which resulted from a meeting at The Vindicator with board members, is so misleading and intentionally skewed that I am compelled to finally respond with a bit of the truth.
Mr. Maluso states "we" inherited a "mess" when he came on board. The "mess" I inherited from a caretaker board was well on its way to solution when Mr. Maluso came on as a board member. A reported $35,000 deficit listed by the then business manager turned out to be in excess of $300,000, discovered through my examination of the books. Through my cuts in operation, front office practices and a close monitoring of operation and policies, I was at the point, in the first season, where shows were paying their way and morale was at a high not enjoyed since the departure of Bentley Lenhoff.
The board, however, was NOT fulfilling its obligations to fund the operation of the Playhouse. There is currently much talk, many complaints and defensive finger-pointing, but make no mistake: I raised the funds, I got the sponsorships and maintained the operation through the perilous 9/11 attacks and the subsequent slump in the stock market, which siphoned off much of our support from grants and foundations.
Yes, there were outstanding board members; but they were forced to sit, meeting after meeting, shaking their heads in disbelief at the inaction and impotence of the board and its leadership. Talk, talk, and more talk ... but no money! When I pointed up their lack of conforming to nonprofit standards and even their violation of their own bylaws and reiterated the long-standing obligation of a board to fund the operation of the organization, they responded with attacks and attempts at micromanagement. This tactic makes it look like you're doing something when, in reality, you're not!
Bragging that the payroll is down from nine to two is misrepresentative and indicative of total ignorance of sound operating principles. Professionals must be paid for their work. Volunteers fill in the gaps. NO arts organization is operated totally by volunteers. The board fails to realize that during Bentley Lenhoff's tenure there were more than 20 employees -- all of them needed. When I walked in the door in 2000, I immediately cut the payroll by more than $50,000 a year. While giving the board every break and as much lead time as possible. I kept the doors open single-handedly, working with the staff to continue the operation and restore a quality of stage productions not seen since the Lenhoff era.
The resignation of board members referred to in the article came from their frustration over the lack of commitment and action by the board as a whole and because many of the new members brought on board were the WRONG people. One banker wanted to close the facility. I was there to keep it open. Another banker wanted to oversee the purchase of toilet paper but would be unavailable to handle creditors and immediate problems that needed to be addressed.
The quote by Ms. McLaughlin (who read little provided her during my tenure and who could not follow the spread sheet provided), is false in its summary. My statement was; "The day to day business of operating the Playhouse is not board business. The establishment of a budget and funding are the board's first job."
During my tenure, the Playhouse was fully operational. I did all the fund raising, hiring, oversight and day-to-day operations (even though this was not part of my agreement). When there was not enough funding to pay directors, I directed almost all the productions and raised funds through sponsorships to cover my fee (which found its way back into the operation of the organization).
Morale was strong and growing with new volunteers appearing at the door for each show. The massive debt, not even recognized upon my arrival, was diminished and on its way to elimination; about $60,000 remained as of June 30, 2003.
When the board failed to pay staff for EIGHT pay periods, I paid some from my own pocket and even paid utility bills to keep the lights on and gas flowing right before a major show opening. During the last months of my agreement I, along with my assistant Jonathan Emerson, literally cleaned restrooms and the parking lots -- the employees had walked out!
All that has come to pass, has come to pass in the year since I departed. This is both telling and condemning of the board as a whole and its inability to govern.
I add my voice to those who call for the total acceptance of Lenhoff's offer. He will do what needs to be done, and he has my total support.
ROBERT VARGO
Managing director, 1999-2003
Youngstown