It was foreseeable that the Los Angeles Gay and Lesbian Center was in for a challenge when it chose to withdraw from Pallotta Teamworks' California AIDS Ride. The fundraising event had been known to bring in more than $3 million apiece to the center and the San Francisco AIDS Foundation (SFAF) annually. When SFAF and the center decided to host their own bike ride known as AIDS/Lifecycle -- which first had to endure a lawsuit in order to go forward -- it was evident that the bitter feud would overshadow both fundraisers, taking money from nonprofits in need.

News reports about the center's recent elimination of 60 jobs put the cost of its legal battle with Pallotta Teamworks at $600,000, and a center employee disclosed that the new AIDS/Lifecycle would not make nearly as much money as anticipated. Many in the Bay Area are concerned that SFAF, the center's partner in the Pallotta battle and the new AIDS/Lifecycle event, would face a similar fate.

"We're nowhere near that," was the word from SFAF spokesperson Gustavo Suárez, who said the agency had already made cuts in non-client services. "We knew when we went into it that it would be an investment in the future, that there might be a short-term loss for future long-term gains." Suárez would not put a dollar figure to SFAF's legal costs, which he believes could be lowered after arbitration with Pallotta Teamworks is completed. But he did acknowledge that AIDS/Lifecycle has enlisted fewer riders than the agency had expected. About 1,000 riders have signed up, he said, but organizers are hoping for another 500 participants.

"When people are confused, they tend to sit out the event," Suárez said. That is evidently true of Pallotta's event as well, which is also short of projected riders and pledges. Each rider is expected to raise a hefty minimum for both Pallotta's AIDS ride ($2,700) and AIDS/Lifecycle ($2,500), so a shortfall of just a few hundred riders could mean a loss of $1 million or more. SFAF's Suárez acknowledged that his agency's budget could change next year based upon this year's AIDS/Lifecycle returns.

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