Auditors of Olympic authority report operating losses but rosy outlook

New York’s ski centers hit record pass numbers, but costs escalate

By James M. Odato

The public authority in charge of the state’s skiing, sliding and skating facilities saw expenses and losses jump in the past year, its annual financial report shows.

The Lake Placid-based Olympic Regional Development Authority, whose big-ticket sites are the Belleayre Mountain, Gore Mountain and Whiteface Mountain alpine centers, disclosed operating losses of $47.3 million for the last fiscal year. That compared with losses of $29.3 million for the same period a year earlier.

The red ink happened amid a ramp-up of events and competitions, which tend to cost more than they bring in, and a buildup of capital improvements that readied the sites for more hosting.

An audited annual report for the 12 months that ended March 30, showed operating revenues rose to $63.5 million, up from $60.6 million. Sponsorships and in-kind service income brought in another $1.6 million in 2024 compared to $1.5 million. 

But operating expenses climbed to $112.4 million from $91.5 million.

Darcy Norfolk, the authority’s communications director, said the auditor’s report is different from a sheer profit and loss statement, and includes “paper” expenses such as depreciation of assets. When such items are removed from the analysis, the total loss is $17.6 million for the fiscal year, compared with a loss of $2 million for earlier period.

She pointed to commodity prices factoring in the losses. “Despite all of the efficiencies the Olympic Authority has undertaken to reduce its consumption of electricity and fuel, the cost of utilities and fuel rose by over $1.5 million between 2023 and 2024. This is attributable to outside economic factors that are unrelated to how well the Olympic Authority is managing its operations,” Norfolk said. 

“Operational costs have risen, along with the costs associated with the increased staffing needed to carry out the work the Olympic Authority is doing to run upgraded venues that see significant year-round public attendance, as well as to host the types of world-class events that should be held at venues of this caliber,” she said.

Event-related costs rose to $4.37 million in the 12 months, up from $3.9 million, personnel costs rose to $52.8 million from $40 million and residual expenses from hosting the Lake Placid FISU World University Games (WUG) in January 2023 continued to show up. 

The state invested hundreds of millions of dollars to prepare the Olympic facilities for the WUG. WUG expenses amounted to $1.23 million during the last fiscal year, compared to $1.4 million the year before when the 10-day event came to the Adirondacks. ORDA received $175,000 in reimbursement for WUG costs in 2024, and $3.1 million the year before, the report said.

ORDA board members, who approved the report on Wednesday, cast the results in a favorable light. It’s “amazing how well we are doing,” said member Betty Little.

The report showed that sales for the three downhill skiing mountains exceeded 29,000 passes, good for $13.7 million in revenues. That was an increase of 3,000 passes above 2023’s previous record. It also said the number of visitors to the authority’s attractions and recreational facilities topped 1 million for the second year in a row.

Beyond public use of the facilities, several competitors came to compete in events in the past fiscal year for the IBSF North American Cup, the Luge World Cup, the USSS Cross-Country Junior National Championships, the IBSF World Cup, the Holeshot Cross Tour, a variety of hockey and figure skating events and the FIS Ski Jumping World Cup. 

ORDA officials noted that the winter of 2023/2024 was the warmest on record in the Gore/Whiteface markets, yet all events on the authority’s schedule went well. 

More events are upcoming, including bobsled and skeleton races for the IBSF World Championships in March 2025 at Mount Van Hoevenberg. In 2026, the authority hopes to help Italy save money by hosting sliding events of the Winter Olympics, and it looks to stage the World Cup cross-country skiing finals.

The independent auditor, the Williamsville firm EFPR, provided a rosy outlook, noting the importance of ORDA’s development of non-winter offerings such as zip lines and coaster rides.

“The Olympic Authority is ideally positioned for a vibrant future,” it wrote. “Demand for recreation and tourism continues to increase, and the Olympic Authority’s modernized venues now appeal to a more diverse range of audiences than ever.”

The audit added that the authority must “stay focused on the ongoing challenges presented by labor and housing shortages, fluctuating commodity prices, and supply chain disruptions.”