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Testimony of Public Advocate Betsy Gotbaum for Parks Department Hearing on Proposed Membership Fees at City Recreation Centers, 4/20/06

Good afternoon. Thank you for holding this hearing.

I am here today not only as the Public Advocate but as a former Parks Commissioner. I believe I can honestly say that few understand better than I do the need to find new sources of revenue to ensure the upkeep of our parks and facilities. After all, when I was Commissioner my budget was cut by 30 percent.

But to impose membership fees that stifle use of our recreation centers by New Yorkers of limited means for the sake of a marginal boost in revenue—that is simply unjustifiable.

And make no mistake: membership fees do stifle attendance at city-run recreation facilities. At my request, the Independent Budget Office analyzed changes in usage resulting from the new fees instituted at most recreation centers in 2003. The results are clear- cut:

After the fees were introduced, attendance at 20 recreation centers fell by 13 percent, while membership at five free centers soared by 23 percent.

Obviously, the prospect of a $50 to $75 membership fee was enough to drive many New Yorkers away from their neighborhood recreation centers. Now the city is targeting the six centers that were exempted from the fees, centers located in low-income neighborhoods in the Bronx, Manhattan, and Brooklyn. These are neighborhoods where residents are least likely to have discretionary income to spend on recreation fees, meaning we are likely to see another sharp drop in rec center attendance if the new fees take effect.

These are also neighborhoods with alarmingly high rates of health problems such as diabetes and obesity.

According to the Department of Health and Mental Hygiene, in Hunts Point and Mott Haven, where the Hunts Point and St. Mary’s recreation centers are located, one in three adults gets no physical activity, and one in four is obese. The rate of heart disease is 45 percent higher than in the city as a whole; diabetes two times higher.

In Central Brooklyn, where the Brownsville and St. John’s recreation centers are located, one in three adults gets no physical activity and one in three is obese. The rate of heart disease is 30 percent higher than in the city as a whole; diabetes two times higher.

In East Harlem, where the Thomas Jefferson recreation center is located, one in four adults gets no physical activity and one in three is obese. The rate of heart disease is 5 percent higher than in the city as a whole; diabetes two times higher.

On the Lower East Side, where the Hamilton Fish recreation center is located, one in five adults gets no physical activity and one in 10 is obese.

By making it more difficult to access recreation and exercise precisely in those neighborhoods that most need an increase in access, the administration is directly contradicting Mayor Bloomberg’s commitment to promote public health in his second term.

The administration has made the argument that people who pay fees make more regular use of the city’s recreational facilities. As far as I’m concerned, New Yorkers who view membership fees as a worthwhile motivational tool are welcome to pay them in the form of a suggested donation. I am more concerned about the New Yorkers who can’t afford to pay the fees and therefore will lose the opportunity to improve their health and fitness.

The administration has also argued that imposing membership fees on these six centers is a matter of fairness, that all city recreation centers should be subject to the same policy. But is it really fair to expect low-income neighborhoods with serious health problems and little access to recreational facilities to take on the burden of a policy that was bad to begin with?

The truth is, there is only one credible reason for the city to charge these fees, and that’s to raise money. As I said before, I am not indifferent to the challenge of finding revenue to maintain and upgrade our parks and facilities. But the revenue these membership fees will produce is negligible.

The Parks Department has projected that the fees at these six centers will bring in $2 million in 2007. The IBO report I requested estimates that the actual revenue will be less than $1 million. In either case, the revenue will be far too minor in the context of an approximately $300 million parks budget to justify the impact on low-income neighborhoods with high rates of obesity, heart disease, and diabetes.

There are better ways to raise money for our parks and rec centers. In a meeting with Commissioner Benepe last week, I proposed that, instead of imposing mandatory fees, the Parks Department take immediate steps under Section 18 of the City Administrative Code to gain corporate and community sponsorships for its rec centers. In 2003, the City Council passed legislation providing for an Adopt-A-Park program that also applies to rec centers.

An aggressive Adopt-A-Rec-Center program has several advantages over the mandatory fee policy. First, it is likely to generate significantly greater revenue.

Companies like Time Warner, ING, Snapple, and Starbucks have demonstrated their willingness to give hundreds of thousands of dollars to improve conditions at neighborhood green spaces like Marcus Garvey Park in Harlem and Herbert Von King Park in Bedford-Stuyvesant. There is no reason that the recent upsurge in corporate support for city parks could not be extended to rec centers.

Mayor Bloomberg created NYC Marketing specifically to raise funds to support city agencies through public-private partnerships. A collaborative effort with the City Parks Foundation to solicit corporate support for city rec centers would seem to be an ideal project for NYC Marketing.

Second, sponsorship agreements are treated as private grants under the law. Unlike membership fees, which are deemed city money and therefore under the City Charter must be deposited into the city’s general fund, donations from corporate and community sponsors can be used directly by the Parks Department for the improvement of its facilities. Put simply, when New Yorkers pay membership fees to city rec centers, the money doesn’t necessarily stay at those centers. When companies agree to sponsor rec centers, the money stays with them.

Which leads me to the most important difference between my proposal and the mandatory fee policy: Mandatory fees discourage widespread usage of the city’s recreational and exercise facilities. They exacerbate health problems in the neighborhoods that need the most help. A well-executed Adopt-A-Rec-Center program, on the other hand, would open up a world of possibilities for promoting neighborhood usage.

Last October, a $60,000 promotional campaign at Starbucks stores helped attract 7,000 people to volunteer to clean up city parks as part of the semiannual “It’s My Park! Day.” That was an increase of 3,000 people compared to two years earlier. Imagine what could be accomplished if the Parks Department were to aggressively seek out the same kind of support for its recreation centers.

Imagine a successful Adopt-A-Rec-Center program that could not only help improve public health and even save lives in these six neighborhoods but also create an opportunity to remove the mandatory fees that have driven down attendance at the city’s other twenty centers.

Commissioner Benepe has proven himself to be an astute and capable administrator of the city’s parks and recreational facilities. I urge him to reconsider mandatory fees and to imagine the possibilities for greater funding and better public health raised by my alternative proposal.

Thank you.

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