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Big E receives $9M federal grant to make up for lost 2020 revenue

Date: 11/2/2021

WEST SPRINGFIELD – Since 1916, the Eastern States Exposition (ESE) on Memorial Avenue has served as New England’s gathering grounds to showcase agriculture, industry, education, commerce and, of course, entertainment.

Not in 2020, however, as the COVID-19 pandemic canceled the annual Big E and other shows at the West Springfield fairground for the first time since World War II. Eastern States Exposition President and CEO Gene Cassidy says the organization lost $9.6 million, mostly from canceling the fair.

“Eighty-five percent of our gross recipients are made in 17 days from the fair,” said Cassidy.

This fall has seen a reversal in fortunes: the 2021 fair saw 1.4 million visitors – just 8 percent less than the record-setting attendance of 1.8 million 2019 – and the federal government last week announced a $9 million grant to help the Big E make up for its lost revenues in 2020.

On Oct. 25, Cassidy was joined by Congressman Richard E. Neal and Robert Nelson, director of the Small Business Association’s Massachusetts office, to announce the Shuttered Venues Operators Grant. The federal grant program provides aid to concert halls, theaters and entertainment attractions that suffered “significant” losses of over 70 percent during the COVID-19 pandemic. The Eastern States Exposition applied for a grant citing a 100 percent loss.

Nationwide, $16 billion is available for grants of up to $10 million each. Neal said he pushed for the Eastern States Exposition to receive aid.

“For more than 100 years, the Eastern States Exposition, home of the Big E, has welcomed millions of visitors to enjoy exhibits, entertainment and agriculture,” said Neal. “Due to the pandemic, the Big E was forced to close its gates for the 2020 season, resulting in extensive loss. I advocated fiercely on their behalf to the Small Business Administration for swift approval of the Big E’s SVOG application. Congratulations to Gene Cassidy and his team for this tremendous award.”

Cassidy extended his gratitude towards Neal for his efforts in supporting and advocating through the grant process. He said this grant “breathes life into the fair,” as it continues to recover from the pandemic.

Following the announcement, Cassidy told Reminder Publishing that there are some limitations on how the grant funds can be spent. For instance, he explained that it cannot be used to pay bank debt.

“It will help with some recovery … [we] had to lay some people off [during the pandemic],” said Cassidy.
He added that the organization is trying to build its permanent staff back to a pre-pandemic level of 30 employees. At one point, it was down to 24.

“We still have four positions that have not been rehired,” he said.

A few of the Big E’s current employees plan to retire at the end of the year, and the fair will now be in a position to hire new people. Cassidy is hopeful to be back to “full contingency” within the next 45 days.

In addition to laying off full-time staff and not hiring seasonal workers in 2020, the exposition zeroed out its capital budget, which usually averages $4.4 million per year, Cassidy said. He said across the 175 acres of the fairground, there are 44 buildings, 36 of which were built before World War II. For instance, the Better Living Center and the Coliseum were built when the ESE opened. Cassidy added that nine of the buildings in Storrowton Village date back to the 19th century. Grant funds will help with essential repairs that were postponed during the pandemic.

“[The grant] is a tremendous lifeline for our organization and will help us preserve for 2022 and beyond,” said Cassidy.

Cassidy said he doesn’t yet know how much money the Big E made in 2021, but based on attendance and comparisons with 2019, estimates a profit of nearly $3.5 million this year. In 2019, the fair cleared $5 million in profit. Cassidy added that pandemic-related cleaning requirements added a “dramatic increase” in this year’s costs.

He added that beyond the Big E’s loss of fair revenue in 2020, the region as a whole lost money, taking into account the spending and tax payments that surround the fair. He said the fair has a $681 million impact on the local economy.

The fairground also makes money hosting trade shows, such as the recent EASTEC manufacturing show. The show brings $14.5 million to the region each year. Cassidy said this is due to people traveling in from all over the country and staying at nearby hotels, visiting restaurants and doing other business here. Losing out on the show last year was a part of the regional economic loss.

Mayor William Reichelt added that receiving this grant was crucial, and local leaders need to work to keep the exposition’s doors open.

State Sen. Adam Gomez, D-Springfield, congratulated the exposition for this grant and looks forward to not only working with the partners, but to see tourism come back. With all the opportunities in Western Mass., Gomez believes the Big E is always “paramount.”