Newbo evolve preliminary numbers estimate a $2.3 million loss
GO Cedar Rapids says preliminary numbers estimate $2.3 million was lost from the Newbo evolve event.
"This outcome goes well beyond any reasonable estimates and reports provided to the board," said Board of Directors Chair, John Myers.
Myers is accusing top leadership of mismanaging funds following an audit of their finances. Myers announced at a news conference Tuesday morning their CEO, Aaron McCreight, had been fired. This comes only days after Director of Community events Scott Tallman was also let go.
Myers didn't mention McCreight or Tallman by name but says they were let go because the board's financial rules were broken and that there were vendor contracts that had been not fully approved or reviewed.
Ticket sales were also far lower they claim than had been reported to the board. Only 9,000 tickets were sold in all for the event that had a capacity of 32,000. And of those 650 were two day passes.
The City of Cedar Rapids had agreed to pay GO Cedar Rapids $500,000 of taxpayer money to ease the financial burden before the event was put on. But GO Cedar Rapids now says it plans to ask the city to withhold that money from future allotments to the group.
Myers tells TV9 the future of Newbo Evolve is uncertain at this point.
TV9 has tried to connect with both McCreight and Tallman for comment on this story but we've been unable to do so at this time.