| www.wkar.msu.edu |
|
Auction Sunday, April 22, 4-10 p.m. Mon.-Fri., April 23-27, 6-11 p.m. Saturday, April 28, 4-11 p.m on WKAR-TV WKAR-TV Prepares for its 30th and Final Auction WKAR-TV will kick off its 30th annual television Auction on Sunday, April 22. The event, which continues through April 28, will also be the station's final Auction. "After several years of evaluation and much deliberation, WKAR has reached the decision to cancel future WKAR-TV auctions," says Cindy Herfindahl, WKAR's development director. "The challenges faced by WKAR are not unlike those faced by many non-profits who make responsible, strategic decisions with their resources. This decision falls in that arena." The Auction, which airs April 22 from 4-10 p.m.; April 23-27 from 6-11 p.m. and April 28, from 4-11 p.m., was the first of its kind in mid-Michigan, and over the past 30 years has brought WKAR-TV more than $6 million in revenue. Managed by WKAR, the event is staffed largely by community volunteers, some of whom have been with the event since it first started in 1978. All items sold during the Auction are donated by area businesses and individuals. "We are grateful to the community, our volunteers and the businesses who have generously donated merchandise for making this a significant community event for the past 30 years," Herfindahl added. The Auction team was alerted to the decision on Monday, April 16, in a meeting with WKAR General Manager DeAnne Hamilton. Donated value of merchandise has experienced a significant downturn since 2001, which is essential to the bottom line success with Auctions. In 2006, Auction Revenue was $220,752. After direct costs, production and overtime, the actual net direct revenue comes to $73,227. This figure does not reflect the indirect costs for producing Auction, such as staff time, website building and maintenance, pre-Auction video editing and production, and staff time in promotion and corporate underwriting departments. Because direct costs of producing Auction increase every year, the Auction experiences a high cost to raise a dollar. Total Auction revenue has fluctuated over the past five years. "WKAR can raise more money by putting our resources into other development activities and by redeploying staff in more effective ways," Hamilton says. "This could involve anything from new events with lower overhead and higher net potential to expansion of underwriting and major gifts." WKAR's financial situation currently includes the upcoming digital conversion mandate which places a tremendous financial burden on WKAR and all other public broadcasting stations. "Because of the challenges that WKAR faces, we have to be strategic about how we use our resources. We have to work smarter, more efficiently and more productively," she adds. The downturn in Auction donations could be due to many factors. Certainly the downturn in the Michigan economy has occurred over a number of years and has had an impact on the willingness of businesses to donate. The three staff members primarily responsible for managing Auction and getting donations coordinator Barbara Beers, assistant coordinator Deb Dunham and office assistant Rebecca Scheel will remain on WKAR's staff and be reassigned to other areas. Auction producer Mike Mihalus, who is also a television producer (and producing "The War: Michigan Voices," scheduled for September 2007), will also remain on staff in production. No jobs will be lost due to this change. WKAR plans to develop a large core of volunteers under the leadership of volunteer coordinator Mary Wright. This group would assist WKAR with a variety of activities. "We are hopeful our volunteers will consider sharing their expertise, skills and energy with us in other capacities," says Hamilton. The 30th WKAR-TV Auction promises to be an exciting one, with an array of items ranging from exotic Caribbean vacations, a pontoon boat, Lasik eye surgery, and a handcrafted violin to gift certificates from area restaurants, retail stores, and regional bed and breakfasts. In addition, the annual Premiere Collection a series of accent tables designed by Steve Klein/Dovetail Designs and built by Bill Allender's Material Processing II class at Leslie High School and made unique by area artists will be sold each evening. The Premiere Collection tables are on display at Meridian Mall/Macy's Wing April 17-19. A list of items up for bid, many with photographs, is available at WKAR's Online Auction Warehouse at WKAR.org. |