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RIGA, Dec 23 (LETA) - The municipal working group, which is assessing the operations of the concert hall Gors in Rezekne, no longer considers the option of placing the concert hall under the management of a private company, but is ready to discuss handing the concert hall over to the state, Rezekne mayor Aleksandrs Bartasevics (Together for Latvia/Latvia First) said at a news conference Tuesday.

According to the Rezekne mayor, the working group is now considering two possible scenarios - amending the delegation contract with Austrumlatvijas Koncertzale or transforming the capital company into a municipal institution. The option of leasing Gors to a private operator is no longer being considered.

The task force is expected to complete its work by the end of the year.

However, the local authority is also ready to talk to the Culture Ministry about handing Gors over to the state.

Bartasevics believes that it would be best for the state to take over the ownership of the property. "The City of Rezekne is ready to pay off the loans," the mayor said without specifying the amount of the outstanding payments, and added that it could be between EUR 3 million and EUR 4 million.

"It is not our objective to hand it over to the state, but it is our proposal if they believe that we as a municipality cannot provide proper content or proper management," Bartasevics said.

He also criticized the state at the press conference for providing too little support to Latvia's regional concert halls.

As reported, the issue of the future of the concert hall Gors in Rezekne has been raised at the government level.

Culture Minister Agnese Lace (Progressives) said on Latvian Television that the Culture Ministry has approached the municipality of Rezekne, asking to include its representatives and those of the Music Council in the development of any future management scenario for the concert hall.

Also, following talks with the Environmental Protection and Regional Development Ministry and the Finance Ministry, the Culture Ministry is submitting to the government a draft decision calling on the Culture Ministry and the Smart Administration and Regional Development Ministry to engage in further dialogue with the municipality on the potential management of the concert hall and, if necessary, on the involvement of the state in it.

The municipal subsidy to the concert hall amounts to 38 percent of the total revenue, which is around EUR 700,000 per year, while the direct subsidy from the State Culture Capital Foundation is EUR 240,000. Through various events, it receives additional funding, the minister explained.

Asked whether the distribution of the municipal and state grants could be changed, the minister stressed that this would need to be discussed by all parties involved. "But the fact that the state is not actually involved in these negotiations at the moment prevents us from proposing this," she said.

As reported, Rezekne City Council earlier said that it was considering changes to Latgale embassy Gors management system. The local government emphasizes that it provides Gors a subsidy from Rezekne budget every year, expecting in return high quality and the concert hall's work aimed at increasing its revenues so that the subsidy could be reduced. A recent audit of the concert hall's functions though identified several problems in its operations.

In the light of audit results and recommendations, the municipality, in cooperation with Rezekne Culture and Tourism Center, has started to work on possible changes "that would ensure sustainability of the institution and reduce its dependence on the municipality's subsidy".

One of the main tasks is to identify a management system that will allow Gors to become more efficient, transparent, and significantly increase revenues from its operations.

Commenting on the situation, Rezekne Mayor Aleksandrs Bartasevics (Together for Latvia/Latvia First) said that the possibility of renting Gors premises to a private company of organization of different events at the concert hall was not being ruled out.