LEWISTON – The Colisee will get a financial hand from the city, but Mayor Larry Gilbert said it may be about time to look for a different group to manage the ice arena.

Councilors on Tuesday gave the Colisee $650,000 to cover two years worth of operational losses at the ice rink. The Colisee’s board of directors would agree to pay the money back if the arena is able to show a profit.

“It’s called a loan, but I disagree with that,” Gilbert said. “I call it a bailout.”

The money is designed to pay operating losses from two years – $300,000 for the current fiscal year and $350,000 for the 2008 fiscal year, due to begin in July. Councilors have already approved $200,000 in support for the current fiscal year, and City Administrator Jim Bennett said the ice rink will end the year with $600,000 in total losses.

The city assumed ownership of the former Central Maine Civic Center in February 2004, agreeing to take on $4.2 million in debt and management of the center. That includes day-to-day operations and repairs.

Since then, the Colisee’s Board of Directors have taken on $5.7 million in debt for the Colisee and improvements. They hired Global Crossing to manage the arena and help market it.

Global Crossing’s Jason Blumenthal, manager of the arena, estimated the losses for next year at $350,000. That was after $250,000 in cuts – reorganizing budgets and eliminating jobs.

“Public arenas all operate at a loss,” Blumenthal said. “Look at the Cumberland County Civic Center, which books many more shows. It operates at a loss.”

Blumenthal said he does not expect the Colisee to ever show a profit.

“Then I have serious concerns about the support the company gives to the Colisee,” Gilbert said.

He said the operating losses for 2008 were also understated, noting that Blumenthal has no additional concerts or shows scheduled for the year.

“If we’re going to talk losses, I wish we would talk about what the real losses are going to be,” Gilbert said.

Broken window

Councilors said they had frustrations, too. But they agreed to the loan.

“If I was trying to sell a house, would I pay to fix a broken window just to get it sold?” Councilor Paul Samson said. “I guess I would, so I’m voting yes.”

Councilor Norm Rousseau urged Blumenthal and Global Crossing to find creative ways to fill the Colisee’s calendar.

City Administrator Bennett said Global Crossing’s management contract expires this year.

“I expect we’ll be having some very interesting discussions in the next six months,” Bennett said.

The city has not had any takers so far on bids to purchase the arena. Gilbert led that effort in May, advertising for private parties interested in buying the Colisee. That includes the ice arena building, the land under it and the parking lots.

The city will take bids through June 29.

“We haven’t had any, but that’s normal,” Bennett said. “I don’t expect we’ll get any until the last day. That’s usually the way public bids work.”