To try to find a solution to the Jefferson Center’s financial predicament, the city of Roanoke plans to hire a management company to run the facility.

The city, which owns the Jefferson Center building, would pay the management firm — which in turn would oversee the day-to-day operations, market the facility’s events and shows and accept responsibility for the building’s upkeep.

“The goal is to increase building use, improve financial oversight, and explore new programming, partnerships, and revenue strategies,” the city wrote in a statement provided by spokesman Adam Fajardo.

The city issued the request for proposals on March 4 and set a June 2 deadline. The proposed contract does not specify how much the city would pay a management firm. Nor does it say anything about any change in the center’s foundation-based structure or what it could mean for the nonprofit’s four dozen employees.

Jefferson Center’s interim director, Kim Billings, wrote in an email that “we expect those conversations to unfold as the process moves forward, and we're committed to keeping our team informed along the way.”

She wrote that the pursuit of a management firm is an expected step that’s been part of ongoing conversations.

“We plan to participate in the process and are hopeful it will lead to an agreement that provides long-term capital support and allows Jefferson Center to continue enriching the Roanoke community through performances, education, and community programs for many years to come,” wrote Billings, who stepped into the interim leadership role from her job as the venue’s operations director.

Greg Brock, chairman of the Jefferson Center board of directors, said he believes everyone involved wants the facility to succeed.

“I am very encouraged and very hopeful that there is a path forward,” he said.

The proposed contract also does not detail if a new management firm would be involved in any way with about $6 million in repairs and other capital needs that the Jefferson Center administration cited three years ago. It was unclear this week how much of that amount remains. The city has paid for some repairs, but not others. 

The city decided to seek a management firm as the Jefferson Center’s longtime director, Cyrus Pace, announced his departure earlier this month to become director of the Academy Center of the Arts in Lynchburg. Attempts to reach him in recent days were unsuccessful, and the academy could not immediately provide contact information for Pace, who starts there on April 7.

The headlining issue overhanging a potential new operations model is the millions of dollars of capital needs. Using a consultant, Jefferson Center released a study in 2023 that identified those needs at the 104-year-old former high school, including a new roof and HVAC units and work on flooring, plaster and paint. 

At the same time, the Jefferson Center is on the hook for repairs to the four-story building, according to its lease agreement with the city.

A 2023 Jefferson Center document addressed the relationship: “There is a widening gap between the expectations created by an outdated lease with the City of Roanoke and the realities of maintaining a 100-year-old, 131,000-square-foot building.” 

Talks over several years led to no significant decision.

That led to Pace sending a letter in May of 2025 to city officials writing that “we project insolvency” by 2026.

"We are heartbroken," Pace wrote. "Our 2024-2025 season was our most successful ever with record-breaking attendance and real momentum. The loss will mark not only the end of vital programming and community services, but also the eventual disappearance of one of Roanoke's most cherished and historic assets."

Pace’s letter prompted what were deemed last year as productive discussions, including the possibility of ideas to help the facility.

Roanoke Vice Mayor Terry McGuire said Monday that a management firm could be an effective new model.

He said it’s important not to “recreate the same situation we got into” and to find a way for the city to keep ownership of a public asset.

McGuire said he doesn’t believe it’s imperative that the Jefferson Center make money, but it would be a win if it could pay its bills and break even. He pointed out that the city subsidizes its Berglund Center by millions of dollars annually.

McGuire said city officials have met with those such as staff at the Fralin Biomedical Research Institute at VTC, who voiced their support for the Jefferson Center.

“It’s one of the things that’s really attractive,” he said of the venue. “We’re a small town, but we’ve got the sophistication of a slightly bigger city.” 

The role of private investment for Jefferson Center is part of the ongoing discussion as well. When asked last summer if Jefferson Center has talked to donors about funding, Marketing Director Aaron Kelderhouse said those discussions have centered on people waiting to see what the city is going to do.

Jefferson Center reported operating deficits in the most recent past, according to financial filings. In 2024, expenditures exceeded revenue by $215,028.

The capital needs are not a reflection of Jefferson Center’s operation, its leadership has pointed out. It had its most successful ticket sales over the past several years and its current season is featuring performers such as Ricky Skaggs, Wynton Marsalis and Chris Isaak.

Describing itself as “Roanoke's premier performing arts and cultural center,” Jefferson Center hosts about 100 annual shows, from Opera Roanoke to Roanoke Ballet Theatre productions. It also rents space to other nonprofits and private businesses.

Formerly Jefferson High School, city leaders saved the 1922 building from demolition by pledging to create a center for arts, education, social services and small businesses. In 1989, the Jefferson Center Foundation formed, and the city and private donors eventually gave $9 million for renovations.