Citing decreased attendance, the Chokwe Antar Lumumba administration is requesting $130,000 from the city’s coffers to cover payroll for the Jackson Convention Complex for the end of September.

It’s the first time the convention center has requested funds to cover payroll in its 10 years of operation, officials said at a Tuesday City Council meeting. It comes on the last month of the fiscal year as city officials continue to fine tune next year's budget and determine future funding.

"If we do not give them this loan, this bridge funding for the rest of this fiscal year, the currently scheduled events might not happen," said Robert Blaine, the city's chief administrative officer.

The mayor said the city is reconsidering its contract with SMG who manages the center. Lumumba said SMG, which bills itself as the world's leader of event management, might not be a good fit for Jackson.

The company has been managing the center since it opened. An agreement in October 2013 called for two additional three-year extension options after the initial term.

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He also acknowledged that many convention centers across the country don't turn a profit and have as an ultimate goal breaking even financially.

"Heads and beds. That's where the revenue comes in for most convention centers in the country," he said.

Still, as his Chief of Staff Safiya Omari pointed out, it's the first time the center has requested a bailout since it opened in 2009.

Councilman Ashby Foote was among the several council members who protested the request and questioned why no officials from the center were present at the City Council meeting when the agenda item came up for a vote.

"Let me get this straight," Foote said. "They're asking for $130,000 with no presentation from the people asking for the money. We can’t just sit here and be an ATM."

No hotel ongoing concern

The request to cover payroll is unusual but not entirely unexpected. Officials have expressed several concerns with the center over the years about its ability to bring in revenue.

At the top of the list is the fact it doesn't have an attached hotel, which is widely seen as the best way to increase event attendance. Most out-of-town convention attendees expect a convention center to have an attached hotel, or one within walking distance to the center. The closest hotel to the center is the Westin Jackson about half a mile to the east.

The city and the Jackson Redevelopment Authority, which owns some of the complex property, have failed three separate times to land a development deal that would bring in a hotel.

In 2010, the city and JRA negotiated a deal to cosign a $90 million hotel proposed by Dallas-based Transcontinental Reality International.

Former Mayor Harvey Johnson Jr. then attempted to bring in a hotel, but negotiations again broke down.

Most recently, JRA decided to drop Washington, D.C.-based Engineering Design Technologies' proposed 300-plus-room hotel.

Center criticized for lack of marketing

Another problem with the center's attendance, which legislators recently addressed, is its lack of marketing.

Legislators in December threatened to cut off funding to the city's main tourism and marketing arm, the Convention and Visitors Bureau, in part due to this reason. The bureau is tasked with marketing the city, including the convention center.

Then, consultant Steve Powell called the complex one of the city's greatest assets and said the center should be bringing in more events from outside Jackson and more prominent events from inside the city — even without an attached hotel. He said the complex is generating about a third of the revenue it should.

The requested bailout also comes as city of Flowood officials confirmed a separate conference center is slated to open next summer in Rankin County, about a mile from the Jackson airport, raising questions of whether it will affect attendance in Jackson even more.

Attendance on steady decline

Attendance at the center has dropped precipitously in the 10 years since its opening.

When the center opened in 2009, a consulting firm predicted it would host 164 events with an estimated 79,600 attendees in its first year of operation. The same study projected 279 events a year with over 175,300 attendees annually, which would boost business for hotels, restaurants and businesses in Jackson.

In 2012, the first year the center produced an annual report, it hosted 295 events with 141,000 participants.

It has seen a sharp decline since.

Four years later in 2016, the center hosted 223 events and had 180,000 guests.

The numbers from 2017 showed even more of a plummet. Center Executive Director Al Rojas said the year saw 151 events, due in large part to a church group's decision to not use the space for its Sunday worship, which accounted for 45 separate events, or roughly 30% of the total of all events from October 2016 to September 2017.

Rojas said the center last year hosted 135 events and had a total attendance of 107,967 people. Rojas was not immediately available for comment Wednesday morning.

There are currently six events scheduled for September, including a Muscle Mania Bodybuilding Competition on Saturday and an annual scholarship banquet for the 100 Black Men of Jackson on Sept. 21.

Council to revisit payroll request at next meeting

The council tabled the payroll matter until its next meeting on Sept. 17. Council members said they hope convention center officials will be present.

"We need to force transparency from the convention center," said Ward 6 Councilman Aaron Banks.

The mayor attempted to stem the backlash.

"To some extent this is preaching to the choir," he said.

"This doesn’t represent us giving them a new contract. We're trying to see it come to its conclusion. To what extent is it the management company, the visitors bureau, and how much is the committee to blame?"

These are all things we need to consider," Lumumba said.

Contact Justin Vicory at 769-572-1418 or jvicory@gannett.com. Follow @justinvicory on Twitter.