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This is an archived story posted by Jesse Helmer. You can view the original
here. Fed Hall and the Bomber have been closed for almost six weeks, and lawyers on both sides are negotiating by correspondence. According to the Feds, as of 18 February 2003, the bar closures have cost the organization $181,925 in revenue. Approximately 10 non-student and 15 student events have been cancelled.
Students unemployed
The bar closures have reduced the number of shifts available to the 139 staff members of the bars. These students are still employees of the Feds, but there are only a few shifts available at Fed Hall and no shifts at the Bomber. The Feds and the university are working to help these students.
Vice-President Administration & Finance Chris Di Lullo explained what the Feds are doing for these unemployed students. "Aside from the staff support fund, we have also been working with other bars/restaurants in the area to find other jobs for our staff."
This effort has provided jobs for a few staff members. Di Lullo suggested that more openings probably won't be available until the Spring term. "A few of the staff have been successful in finding employment, but many local businesses have already done their hiring for this term and likely will not have any openings until the spring term."
Di Lullo also said that Feds is trying to book as many non-licenced events as possible to provide shifts for its employees. "Though we might only break even on these events, at the very least it gives our staff the opportunity to work."
Director of Business Operations Bud Walker explained what the university is doig to help these students. "Students who are unemployed because of the bar situation, who have approached the university about interim work, have been offered jobs. I think that there are 4 or 5 who have been given work in various UW departments in addition to those who already had a second job with a UW department."
Short term impact
The bar closures have significantly affected the operations of the federation. Di Lullo outlined the short term impcat. "Presently it means that we have had to put plans on hold for possible renovations, replacing assets and more importantly we have had to suspend programs for staff, volunteers and students because we cannot afford to have them continue." He added, "At this point we are tightening our belts, hoping that if we spend less now, there will be more money available in the near future."
The short term impact of the bar closures is only part of the problem, however. If the bar closures extend into the next fiscal year, which starts 1 May 2003, Di Lullo expects that "the way in which our organization serves students will change drastically." He elaborated, "It is fair to assume that we will have to make a large number of cuts to student programs and our budget in general, especially on the service side of the organization."
He added that the Feds are exploring other revenue streams to help Feds offset its losses.
Negotiations, now, and in the future
When asked, Di Lullo outlined the ideal result of the negotiations between the Feds and the university, but Bud Walker did not. Said Di Lullo, "Ideally we would like to come out of negotiations with our name on the license (jointly or solely held), this would allow the Federation to share in any future liability or AGCO related responsibility. We would also want to ensure that we continue to oversee the operation and management of both of our establishments without (unwarranted) interference from the University."
As the negotiations drag on, the upcoming change in leadership of the Feds becomes more important. Di Lullo speculated about the impact of the change in leadership on the negotiations: "Should the negotiations continue into the next executive's term, I believe there will be little, if any change. Though a new face may help initially, it still does not change the way the University has approached and dealt with this issue. I'm not sure if this is a scar that time can heal, the University has irreparably damaged the working relationship that we believed existed between our two organizations.
He added, "They have forgotten that we are here for the students, and the students are not here for us."
Bud Walker declined to answer any questions about the negotiations.
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