By Marney Simon | Bugle Staff
Joliet’s majestic downtown theater has had its fair share of financial difficulties in recent years. Now, the board of the Rialto Square Theatre is again asking the city of Joliet for a half-million dollar donation to keep things running, in an era that board members said is turning around.
Valerie Devine, Executive Director Rialto Square Theatre, presented the theater’s financials to the city council this month.
During the Rialto’s 2018 fiscal year (FY18), which ended on June 30, the theater showed income at 68 percent higher than anticipated during the budgeting process. The theater’s board projected $1.7 million in income for FY18, but instead raked in $2.8 million, a number that Devine attributes to “the Seinfeld effect.”
The Rialto Square Theatre has been able to secure income through sponsors, including the Miller Lite box office lobby and the First Midwest Bank entrance. (Photo by Marney Simon)
The theater is still struggling to balance those numbers with overall expenses however. Budgeted expenses for FY18 were $2.1 million, but actual expenses came in at $3.2 million, representing a total loss in the budget of $406,487.
While that might sound grim, it’s part of an upward trend for the theater, which has faced scrutiny over the past several years for how it operates
For the first quarter of the current fiscal year, the theater has pulled in $56,663 in income, but spent $649,507. While those numbers still show a deficit, the theater has been able to reign in expenses, spending approximately $25,000 less on expenses than budgeted.
“We have continued to advance our community outreach with participation in numerous local events,” Devine said.
Those events included local music Mondays, the RTS Beer Bash, Paws on 66, and Star Wars days.
“We are encouraged by the complimentary comments by those long time and new patrons to the venue. We love to see the response of our guests as they enter the esplanade and rotunda for the first time, as they marvel at the beauty of our wonderful theater,” she added.
Ticket sales exploded in FY18 over the prior year. In 2018, the theater sold 44,116 event tickets, versus 18,990 in 2017, a 366 percent growth in sales. Gross sales in FY18 were $2.6 million, but the theater does not retain all that cash. For example, shows like Jerry Seinfeld represent a rental, where the theater only earns rental income and its associated expenses, while the reminder of the ticket sales revenue goes to the performer.
The theater also saw more than $182,000 in revenue through sponsorship and foundation revenue in FY18, including $15,000 in event sponsorships and $78,425 in memberships.
The theater was also able to add cash into its coffers with sponsors, such as the First Midwest Bank entrance, and the Miller Lite box office lobby.
Board members said its all a sign that the theater is returning to its roots as a major venue and draw for visitors.
“We’ve made considerable progress, and I know that [the city council] has really helped us out with your contributions,” said Jeff Pierson, vice president of the Rialto Board. “We see a lot of you individually down there, enjoying the successes of the Rialto, and seeing other people who really enjoy it.”
Two years ago, the city had opted not to contribute an annual sum to the Rialto, but council members revised that decision after public calls to support the venue. The money contributed by the city is used to help balance the books and pay expenses.
Jim Roolf, Chair of the City Center Partnership, urged the council to continue their financial support of the Rialto as well as other City Center revitalization projects.
“It’s been kind of a bumpy road, so to speak, with the Rialto on some fronts,” Roolf said. “I think it has been very positive for downtown and certainly for the entire region, because the guests at the Rialto come from all over. It’s no question that it is, and continues to be, the jewel of Joliet, tarnished in the past perhaps, but polished again and poised for a bright future.”
The city receives monthly and quarterly financial statements from the theater.
“You guys have done an amazing job at rebuilding and reforming and coming back,” Councilwoman Bettye Gavin said. “I see you are on a great path, and we just want you to keep up the good work.
The contribution will be included in the city’s annual budget, which goes before the board for later this month.