On Dec. 2 and 6, the Penobscot Bay Regional Chamber of Commerce circulated an urgent funding appeal, with a $50,000 goal. On Dec. 9, the Chamber said in a letter to members that it was suspending operations Friday, Dec. 13. On Dec. 11, the Chamber cancelled its monthly Business After Hours that was to happen that night at a local bank. Those After Hours had been a popular gathering for members that changed locations, with different businesses hosting the evening with food and beverages.

And on Dec. 12, the Chair of the chamber's Board of Directors said the nonprofit is in the process of unwinding, with the chamber out of money and ceasing operations Friday, Dec. 13.

"As you can imagine, the decision was not made lightly, and despite our best efforts to rebuild membership and secure financial support," said Chair David Gogel. " we really did try everything."

The chamber communications, abrupt and decisive, have been unexpected to the general membership. And the reasons for the closure were attributed to a shrinking membership — from a high of 1,000 to the current 400, which has diminished the annual dues revenue line, as well as reduced attendance at chamber events.

Gogel said nine members of the board met via Zoom prior to the Dec. 9 suspension announcement and voted unanimously to close the doors to both the Rockland and Camden offices of the Chamber on Dec. 13.

The chamber's two employees, President and CEO Shannon Landwehr and Membership Services Director Matt Roderick were let go, and landlords were informed that the chamber would be terminating leases. The Town of Camden owns the real estate occupied by the chamber on the town's Public Landing. Camden National Bank owns the Rockland location of the chamber at 25 Park Street.

But Gogel, who is also president of the nonprofit Rockland Main Street, Inc., said the situation remains active and fluid. And those left tending to details have retained the Portland law firm Murray Plumb and Murray to help with the dissolution. If that is what it is.

"The organization has run out of money," said Gogel. "We are engaged with counsel to follow an appropriate and legal process. We are mindful this is a shock for members."

The $50,000 fundraising effort initiated Dec. 3 was to cover unpaid member dues. In a Dec. 12 phone conversation with Gogel and Landwehr, both said the lack of revenue from member dues had affected the bottom line.

"We invoiced our membership July 1," said Gogel. "If membership payments had come in a reasonable timeframe after receiving invoices, things would not have been so urgent."

He said that the chamber, whose fiscal year runs from July 1 to June 30, had heard from members who could not pay, or wanted to delay their dues.

"As a community organization, we rely on our members," said Gogel. "Being unable to pay drastically hurt our organization."

The chamber's region extends from Washington in western Knox County to Cushing and Friendship, Thomaston, Rockland, Camden and Lincolnville. It is set up to be governed by an 18-person Board of Directors, although the number of directors listed at the chamber's website is 11.

The Chamber has historically been active, and is the product of a merger in 2011 of the Rockland Chamber of Commerce and the Camden-Rockport-Lincolnville Chamber of Commerce. Back then, each chamber had approximately 630 members, according to a 2011 article in MaineBiz. That merger was controversial at the time, but the new chamber set up offices in Rockland and in Camden, both open to the public, and served locals and visitors with a wide range of services.

Over the past decades, the Chamber has produced its annual gala event at the Samoset Resort, an evening of dining and awards, including the ever-anticipated designation of the Community Person of the Year. The Chamber also produced its annual print tourism publication, The Jewel, with member advertisements and articles about recreating in and touring the region.

Its events have included the State of the Economy Luncheon, Paid Family and Medical Leave webinar and the Annual Business Expo. And, the monthly Business After Hours, which was regularly attended by a core group of members for networking and friendship.

The Chamber's mission, according to its income tax Form 990 is to, "promote the interest of its members by advocating for the commercial and economic development of the region."

It is also, according to its Dec. 3 appeal letter, to promote tourism, create networking opportunities, and, "advocate for the issues that matter most to you and our community."

The Chamber's 2022 990 tax form reported a total revenue of $418,225 in 2021. Its 2023 990 reported total revenue of $558,736 in 2022. 

Salaries in 2021 totaled $224,660 and in 2022, $243,916.

Other expenses, such as accounting, rent, payroll taxes, office expenses, informational technology, and printing, subtracted from the revenues, and the chamber ended both of those years with negative balances of -$130,637 and -$78,244, respectively. 

Those negative balance lines were similar in 2017 and 2018, at -$94,326 and $-129,684. 

But the 990s do not reflect cash flow, and with diminished membership revenue flowing in during the summer, as well as events, the financial pressures on the chamber dramatically increased over the summer and fall this year.

"Despite our best efforts to rebuild membership and secure additional financial support, the economic realities of our times have proven insurmountable," wrote the Chamber, in its Dec. 9 letter to members. "Since the COVID-19 pandemic, our revenue—primarily derived from membership dues and event participation—has declined sharply.”

The chamber also said rising operating costs were a factor in the final decision. 

With the lag in membership dues arriving after the July 1 invoicing date, the Chamber put out its appeal, in an attempt to, "turn over every rock," said Gogel.

"However, we had limited time to get an amount of money we needed to stabilize," he said. "Within the first week of our campaign, and with anecdotal feedback, it was apparent there was not a roadmap for financial support."

He said that the Chamber relies on small businesses in the the region that have been under market pressures.

"We need to pause and reimagine the future," he said.

What the future looks like remains up and the air. Right now, the chamber, through its attorney, is figuring out how to close shop. That includes deciding what to do with the membership dues that did come in, and the donations. It has been said that a few donations of $1,000 each were made when the appeal circulated.

Gogel declined to comment about funds of the organization, "as we go through operations of ceasing," he said. “We are in active conversations with counsel, trying to avoid giving statements of fact when two days later things might shift.”

Next steps

While little is clearly outlined, Gogel and Landwehr said there would be conversations with other entities about how the chamber, or the chamber efforts, might evolve.

Landwehr said she did not know if she would be involved but said, “there is a lot of enthusiasm about the reimagining could look like.”

Gogel said the plan is to talk with regional and statewide stakeholders, including the Maine State Chamber, other regional chambers, and the Maine Downtown Center, a division of the Maine Development Foundation.

There are, “ a number of options on the table and a lot of opportunity for the community to engage,” said Gogel. “This certainly will not be a [case] Dave or Shannon go into a room and come back and say what will happen. Something new will emerge.”

Questions that need to be addressed include whether the chamber model itself is outdated and what the mission is of a representative business organization is.

Gogel said those tending to current details will try to keep the camdenrockland.com website active for businesses that list there, and for tourist traffic. That is the website that is geared for booking rooms and maintaining listings of places to visit, eat and shop.

He is not so sure, however, that the chamber website itself will remain extant.

As for communications from the chamber, Gogel said they will come from a cochair or a facilitator of the process.

In the meantime, a vibrant thread about the chamber’s dissolution continues on Facebook on the Rockland, Maine page. 

Opinions on the chamber’s actions are running strong, from criticism to support. It is also serving as a forum on the chamber’s recent performance, in general. Some have said the focus on cruise ships and city policy was misdirected, and failed to represent membership values.

Remarks also mention the nearby chambers of Belfast and St. George as being a strong resources.

The chamber’s vice-chair Chris Austin said on the Facebook thread: “Stay tuned, everyone! We’re excited to collaborate with amazing community leaders who understand the importance of having a strong chamber. Big changes are ahead and we need the support and partnership of municipalities, business groups. School systems, state and local economic development organizations, and tourism, retail and hospitality groups.”

While the intention of starting a new effort remains, the execution of that remains to be seen. In the meantime, the business of running businesses goes on.

Reach Editorial Director Lynda Clancy at lyndaclancy@penbaypilot.com; 207-706-6657