FORT WAYNE, Ind. (WANE) The decades old Three Rivers Festival (TRF) may have run its course as a staple of summer in downtown Fort Wayne. Whether the festival continues to exist at all is also uncertain. Letters festival organizers sent to the city and the business that provides fireworks for the festival asking for the forgiveness of debt as well as communications organizers have had with a local businessman and philanthropist paint a dire picture for the festival. The organization may owe as much as $350,000 with only $20,000 in the bank and could be on the verge of bankruptcy, according to letters and documents obtained by WANE 15. The organization is likely moving out of its office inside the Three Rivers Apartment complex as well, according to the letters. So what's the reason? If you believe TRF organizers, funding challenges, revitalization efforts downtown, a scarcity of parking and construction congestion are to blame. And because of that, the TRF wants the City of Fort Wayne to forgive debt owed and to pay back money that's already been handed over to the city as part of the expenses associated with running the festival. Back on November 8, TRF sent a letter to Deputy Mayor Karl Bandemer which followed up a meeting held with him in October. The letter indicated that funding is the festival's greatest challenge and that its future downtown is at risk. TRF noted that since its inception in 1969, the mission and goal has been to help revitalize downtown. The following quote from the letter sums up the board's concerns. The letter also asked the City to forgive a $38,225.97 in debt still owed and to return $30,425.00 that's already been paid. I think we all agreed at our meeting with you that our beautiful downtown area has been revitalized! So much so that it has brought about unintended consequences, resulting in prohibitive planning constraints for the TRF. We were forced to move a major component of our festival, losing critical infrastructure, and it was catastrophic for the festival this year. Sara Roach, Board President, Three Rivers Festival. The festival did move Junk Food Alley and the Midway from its previous locations. On November 18, Bandemer wrote back to the festival. He noted that the only plausible future location would "more than likely be Lawton Park," which is located just north of downtown. Agreeing to cancel debt would only be possible if a feasible business plan going forward was formulated. Accordingly, it is not clear to me what your plan is for the festival going forward. Karl Bandemer, Deputy Mayor, City of Fort Wayne The two sides have not communicated since then according to a spokesperson for the City of Fort Wayne. In its November 8 letter, TRF did indicate locations other than downtown might be an option and it's continuing to work on funding options. City officials are not the only ones TRF board members approached asking for help with the organization's financial situation. Chuck Surack, a local businessman and philanthropist and founder of Sweetwater Sound, told WANE 15 festival organizers approached him recently for help in keeping the festival afloat. In a text to WANE 15, Surack wrote: They did (approach me) a couple of months ago. The Board Chairman/Executive Director called me and asked if I wanted to purchase it, otherwise it was going out of business. They owed quite a bit and the city was going to forgive some of the debt but it sounded pretty dim. Chuck Surack According to the owner of Pyrotecnico, which provides fireworks for the festival, organizers still had an outstanding balance of $35,000 from this summer's fireworks show as of Dec. 5. When the owner contacted festival organizers about a clause in the contract that called for a 1.5 percent increase for every 30 days past due, organizers sent a letter asking for a comprise. Organizers laid out three options in the letter:   Pyrotecnico is the title sponsor for an event next year (fireworks, food alley, midway, etc.) and forgives the current balance.  We use your company for our fireworks for 2025, with the promise that 2025 will be paid in full by the end of August.    2.     Pyrotecnico forgives half of the current balance, using that half as a sponsorship, and the remaining half we make a payment arrangement.  We use your company for our fireworks for 2025, with the promise that 2025 will be paid in full by the end of August.    3.      Three Rivers Festival files bankruptcy and ceases to exist. Letter from TRF organizers to Pyrotecnico In that same letter, a TRF official wrote that the organization has about $20,000 in the bank and owes about $350,000 - with a large portion of that going to five creditors. The letter also laid out possible ways the festival was looking to save money. We've taken steps to lower our expenditures by laying off our staff, and have rolled them onto the Board, that saves us $130,000 per year.  We will be giving up our office which will be a savings of $48,000 per year.  We have negotiated a less expensive way to do the Midway, and have two plausible plans in lowering our expenses on our food offerings.   We have cut expenses on each event that would be offered next year and have decided that next year will be a 4-day event as opposed to 9 days, lowering costs and manpower even more.  Letter from TRF organizers to Pyrotecnico These are not the latest hints at the festival's financial troubles, however. According to the organization's latest tax documents, filed in August 2024, expenses for 2023 exceeded revenue by more than $150,000 - with the festival spending nearly $880,800 against just under $730,500 in revenue. In comparison, the festival brought in $1.15 million in revenue during 2022 while spending about $955,500 that year, according to tax documents. At the end of last year, the festival had $185,200 in assets. Tax records for 2024 have not been released or filed. When asked by WANE 15 about the organization's income this year, festival organizers declined to comment.