The administration of Louisville Mayor Greg Fischer doesn't believe that reported staff cuts to Greater Louisville Inc. will harm economic development initiatives for the city.
Greater Louisville Inc. officials confirmed that the organization had endured “organizational change.” GLI board chairman Kerry Stemler blamed the situation on the economy and a new agenda for GLI under CEO Craig Richard, who arrived in November 2012.
“We’ve been able to identify efficiencies within the organization and create a structure with an increased focus on economic development and member services,” Stemler said in a statement.
Richard added: “Like most companies in the new economy, we’re learning to do more with fewer resources. I am confident that our organizational changes will result in a more focused, tighter operation with an increased capacity for long-term success.”
Media reports say top GLI executives—some of its top-paid staff—are no longer with the organization.
They include chief administrative officer Tracee Troutt (who led the organization after former GLI CEO Joe Reagan left for a similar post in St. Louis) and chief financial officer Mark Klein, Insider Louisville reports. Insider Louisville's reporting also calls into question GLI's compensation and spending practices under Reagan's tenure.
“I think what you’re seeing is they’re reallocating their resources and they’re looking strategically at where they are going as an organization. And so, the mayor is supportive of the work that they’re doing over there,” said Fischer spokesman Chris Poynter, adding that the mayor didn't believe that the situation would harm the city's economic development work.
The city budgeted about $950,000 for Greater Louisville Inc., Poynter said. That money was targeted for specific projects and GLI is responsible for meeting benchmarks tabbed to each initiative, he added.