EKB News

State Auditor Crit Luallen released a report today which shows that the Eastern Kentucky Exposition center ran up a nearly $800,000 operating deficit in one year and faces more red ink. The audit, released today found the expo center had a shortfall of $785,846 for the fiscal year ending last June. The deficit was covered by using interest earned on funds appropriated by state lawmakers for the center’s construction. Auditors projected another deficit in the current fiscal year, which the center’s managers plan to cover by using remaining interest from construction funds plus $250,000 in coal severance money appropriated by the Pike County Fiscal Court. While meeting immediate cash-flow problems, those funds are not a recurring revenue source and will not take care of long-term budget needs, the audit said. The audit looked at the finances of the Eastern Kentucky Exposition Center Corp., created to develop and operate the expo center. Luallen noted that improvements are being made by the corporation.