WTVP is at the center of a financial crisis. Here's what we know so far

PEORIA — Events of the last few months have revealed an ongoing crisis at central Illinois’ public television station, WTVP.

The crisis evidently began weeks before information was released to the public. It wasn't until the sudden death of WTVP CEO and president Leslie Matuszak on Sept. 28 - when rumors started flying through the community - that WTVP made public details of a financial crisis and possible mismanagement at the station. Many questions still remain.

The following is a timeline of events.

Sept. 6

A special closed meeting was held by the WTVP board of directors to discuss the results of a financial audit of the station. The results prompted Chairman Andrew Rand to recommend increased supervision of day-to-day operations at WTVP.

According to meeting minutes made available to the public Oct. 10, treasurer Helen Barrick revealed that the station had an unsustainable loss of $650,000 at the end of the fiscal year, June 30, 2023. The loss was actually $820,000 before auditors and the members of the executive committee worked to reduce it.

Additionally, auditors discovered that, without the knowledge of the treasurer or the executive committee, $320,000 in an investment account had been liquidated and $100,000 in credit used. Without that money the station would have had a cash balance of negative $45,000.

More: 'Questionable, unauthorized or improper' spending found at WTVP amid financial losses

There was also discussion about the financial viability of Peoria Magazine, which WTVP took over in 2021. When Matuszak said the magazine made $750,000, Barrick corrected her by saying that it grossed $750,000 — a figure that did not take into account operating costs.

The minutes do not specify who took those actions to keep the station afloat, but board vice chairman Sid Ruckriegel was assigned to supervise then-CEO Matuszak in a so-called "leadership-advisory relationship." The goal was to "continue working to better understand what actions need to be taken to reverse the negative cash flow," according to the board minutes.

Sept. 27

Matuszak resigned as WTVP's CEO and president, a position she'd held since 2019. The resignation was not announced to the public.

Sept. 28

Matuszak was found dead in her Moss Avenue home. Peoria County Coroner Jamie Harwood said foul play was not suspected.

Sept. 29

With rumors swirling through the community following Matuszak’s sudden death, former WTVP marketing and content director Julie Sanders told the media that Matuszak resigned Sept. 27 and that Sanders had temporarily assumed the leadership role at the station.

Sanders praised the work Matuszak did while at WTVP and called her a “force of nature.”

Oct. 3

Sanders was officially named as interim station manager of WTVP by the station's board of directors.

Oct. 10

WTVP board president Rand announced during a meeting that $1.5 million would be slashed from the public television station's operating budget, and that the station will operate on a break-even budget of $3.5 million in 2024.

The cuts were made because the station was seeing "continuously bad news” regarding its finances. The station lost $560,000 in 2022 and showed a reduction in cash from operating activities of $740,000.

Between July and August of this year, the station had a net operating loss of $121,000, Rand said.

More: Released WTVP board minutes show station borrowed money, liquidated assets to stay afloat

The board alluded to the cause of WTVP's financial losses in the following statement:

"In the last 60 days, working with the station's audit firm, accountant and employees, the executive committee has accumulated work papers, documents and other financial records that provide insight into the expenditures and uses of funds at WTVP that were questionable, unauthorized or improper. We believe such expenditures have been stopped and are closely reviewing every proposed or recurring expense the station makes."

Rand declined to take questions from the media following the meeting.

Oct. 13

WTVP announced the reduction of nine positions at the station.

The board approved the layoffs on Oct. 10 as part of a plan to reduce the 2024 budget by $1.5 million. Employees were laid off in all areas of business operation, according to a news release from WTVP.

“This is not an easy decision. However, it is a necessary step to ensure the long-term sustainability of WTVP PBS and to continue the impact the station has on our community,” Sanders said. “Each of our team members has played an important role in our success. We are committed to help assist through this transition each of those affected by this layoff.”

Severance packages were provided to those affected by the reduction.

Oct. 20

WTVP announced it would be "pausing" publication of Peoria Magazine, and the November edition of the magazine would be the last for the foreseeable future.

The station took over the magazine in 2021.

Oct. 26

Peoria County Coroner Jamie Harwood revealed that former WTVP President and CEO Lesley Matuszak died by suicide.

Matuszak, Harwood said, died of a single gunshot wound and was found dead in her home on Sept. 28, one day after she resigned from her role at the station.

Nov. 14

WTVP says it is being investigated by both the Illinois Attorney General's Office and the Peoria Police over its "questionable, improper, unauthorized" spending.

The station says it is cooperating with both investigations.

Dec. 12

Former CEO Lesley Matuszak and former finance and human resources director Lin McLaughlin were cited by the board of directors as the two who "appear" to have approved "improper, unauthorized, or questionable" spending that has sent the public television station into a spiral of controversy.

This was the first time in the WTVP controversy that McLaughlin and Matuszak were directly named as being allegedly involved in the questionable spending at WTVP.

Jan. 16

Eleven board members, including chairman Andrew Rand, resign as the controversy at WTVP continues into 2024.

MH Equipment CEO John Wieland takes over as new board chairman, saying WTVP will be returned to strong financial footing.

More: WTVP lays off nine employees amid financial losses and budget cuts

Leslie Renken can be reached at (309) 370-5087 or lrenken@pjstar.com. Follow her on Facebook.com/leslie.renken.

This article originally appeared on Journal Star: Timeline of events details what's happened at WTVP in Peoria IL