Regina YMCA buys more time ahead of big decision on avoiding insolvency

The YMCA in Regina is continuing to search for solutions to its ongoing financial challenges.

In June, it announced serious financial troubles, adding that if significant changes aren’t made, the YMCA will become insolvent by June 2020.

In that announcement, the YMCA revealed it’s operating an annual deficit which is expected to be $4.4 million over the next five years. Its business model has been deemed unsustainable, as it does not expect revenues to offset expenses beyond the five-year window.

On Tuesday, CEO Steve Compton said the YMCA will make a big decision in November to find a long-term solution. Meanwhile, it has found some internal efficiencies, buying another year before the insolvency date. He believes it can make it until April to June, 2021.

“We can schedule more efficiently, we can manage certain expenses (and) we can reach out to our vendors and partners,” Compton said. “People are picking up some extra duties in tandem with their regular work.

“The staff and volunteer team have been great. We’ve been able to gain a little ground on that basis.”

The YMCA spent the summer holding engagement sessions with various groups and gathering feedback from its members on several possible solutions to its financial problem.

Compton said he appreciates the feedback provided by members and that the YMCA wants to make sure the final decision reflects all the voices going forward.

“That sense of community at the place that you visit on a regular basis looms large with members and they obviously want to share that they have a strong connection to facilities and programs but they really have a strong connection to the people that they meet there,” Compton said.

The YMCA is taking a hard look at the future of its three facilities: Downtown on 13th Avenue, in the east on Victoria Avenue and in the northwest on Rochdale Boulevard. It’s considering the closure, sale and/or lease back of some of those locations as possible solutions.

It’s also exploring a strategic capital campaign.

“You’re going to see some active fundraising starting up in the very short next while around our Strong Kids Campaign which supports our charitable activities. We are going to be more present in the philanthropic space and talking to the community on that basis too,” Compton said.

The YMCA is also looking to form partnerships with other groups who want to step forward to help through its programs or the use of its facilities. At this stage, Compton would not reveal yet with which groups or organizations the YMCA has had discussions.

(EDITOR’S NOTE: This story has been amended to reflect the YMCA is still seeking solutions to its financial issues.)