Published on July 23, 2026
Read Time: 3 Minutes
By Jason Shenefield, President and CEO of Phelps Health
As Rolla voters consider Proposition S on August 4, I want to speak plainly about Phelps Health's role at The Centre. Phelps Health is not taking a position on Prop S. That decision belongs to voters. What follows is a candid explanation of why we are involved, how the finances work and what changes depending on the outcome.
Why We Got Involved
The Centre gave Phelps Health a way to connect medical fitness programming directly to the community. Since we took on operations, participation in MyFitRx, our program for people managing nonspecific health conditions, has grown significantly. We have also expanded access to our dietitians, who provide diet and nutrition education, much of it at no cost. Overall membership has grown too.
Why Power Wellness
Power Wellness does not set membership rates. Phelps Health does. What Power Wellness provides is prebuilt medical fitness programming, membership management software and a mobile app for members who cannot get to The Centre in person, infrastructure Phelps Health does not have on its own. Partnering let us focus our resources on the medical and clinical side, where Phelps Health adds the most value.
The Numbers
Some of this is already public, so I will not dance around it. Of membership dues, Phelps Health retains 87.2%, and the City of Rolla receives 12.8%. On its own, that sounds favorable to Phelps Health. It is not. Since assuming operations 6 months ago, Phelps Health is on pace to absorb a loss of roughly $375,000 for the year, money that is not coming from the City's General Fund. I will note that Phelps Health receives zero tax support from Phelps County or any other governmental entity, and has not for many years. We believe this is a reasonable investment in a healthier community, but it is not unlimited. Continued pressure on healthcare reimbursement could eventually make a growing loss unsustainable.
Why Dues Are Not Lower Today
Both the City and Phelps Health currently draw on membership dues to cover operating costs, including a natatorium that is more than 25 years old. If Prop S passes and the new sales tax covers day-to-day natatorium operations and maintenance, the City will no longer need its current share of dues, and Phelps Health intends to lower membership rates at that point. Lowering dues now, without that change, means growing the loss Phelps Health already carries or asking the City to absorb more of a shortfall it has carried for years without ever charging rent. Neither is sustainable.
If Prop S Fails
The natatorium's aging pool and mechanical systems do not get fixed, and the pool may have to close, since neither the City nor Phelps Health has a funding source to replace equipment of that scale. Phelps Health's operating loss does not disappear either way, but the path to lower dues gets longer without the relief Prop S would provide.
On Rent
Phelps Health does not pay a typical market rent. Our rent is structured to pay back capital improvements to the dry side of the building, aging HVAC, roofing and other infrastructure. The City ran The Centre at a loss for years without collecting rent at all. Phelps Health is now paying into those improvements while also absorbing an operating loss on membership.
Where This Leaves Us
The Centre has lost money for years, parts of the building need attention, and people want more from it at a lower cost. A normal business calculation might say walk away. We do not think that is right.
The public-public partnership between the City of Rolla and Phelps Health gives us a real way to improve how the Centre performs and to elevate it as an asset for this community. Prop S offers a real path to funding the pool improvements it needs while helping make membership more affordable.
We will keep working to make membership more affordable and expand programming that moves the needle on community health. What we cannot do is commit to an open-ended, growing loss regardless of what happens with healthcare reimbursement. We are asking the community to meet us with growing membership, the same way we are asking you to make an informed decision at the ballot box.