Go Cedar Rapids to cease operations
Go Cedar Rapids will cease operations on Monday, October 15, 2018, according to a statement from GoCR interim CEO Jim Hadadd and the organizations board of directors.
The statement says the organization has been working on a plan to keep GoCR going and pay its obligations related to the newbo evolve festival held in August.
The organization says the $2.3 million debt created by newbo evolve was too much to overcome.
The City of Cedar Rapids announced shortly after the announcement was made, that they will take over marketing, tourism and convention functions.
Go Cedar Rapids is a private and separate non-profit corporation. The city has provided funding from a hotel-motel tax to support them financially.
“In light of Go Cedar Rapids’ decision to cease operations, the city recognized the need to undertake its own activities to fill this important gap to help support our local hotels, restaurants and businesses,” Cedar Rapids Finance Director Casey Drew said.
Schedule events already planned by GO Cedar Rapids are expected to be taken up by VenuWorks, who the City of Cedar Rapids is contracting to oversee future tourism ventures. The management company is already being contracted by the city to manage events at the Cedar Rapids Ice Arena and the U.S. Cellular Center.
"What we want to do is provide the services that promote Cedar Rapids, so we're looking at hiring a staff right now and then kind of defining what we do over the next twelve months," Drew said.
Right now VenuWorks is looking at how to properly staff the team for this newest venture.