SFist received a call from the LGBT Center over the weekend regarding our and the Chronicle's stories about their financial difficulties, which they say were grossly misrepresented.
"We're not in foreclosure, we're not seeking a bailout, we're not a million dollars in the hole," says center Director of Community Development Roberto Ordeñana. Like many non-profits in this economy, Ordeñana says, the Center has been looking for ways to cut expenses to balance their budget. One of the ways they've done that has been to renegotiate the terms of their $3 million dollar construction loan.
Last year, with operating revenue of $2.1 million of which 70% comes from donations and government contracts for multiple programs they ran a relatively tiny overall loss of $6,000. "As part of the loan modifications," Ordeñana clarifies, "the bank is requiring us to have a reserve fund of $157,500 in cash, and that's what we're asking the City to help us with. We're not asking for a million dollars, and we're not asking for a grant. This is just a low-interest loan from the City to satisfy the bank's terms. We have every confidence we're not even going to have to dip into that fund, and that we'll be able to pay the City back within a reasonable amount of time."