Earlier in this string of posts, WRR was compared to what KUHF did with their classical audience by purchasing KTRU. I was in Houston at that point and recall thinking a little simple math indicated KTRU was doomed. KUHF effectively split their listener base across two stations, one that was rather pricey. I remember thinking KUHF moving the classical programming to KTRU and requiring it to support itself was failure about to happen. It seemed to me they were looking at a way to eliminate classical music. Indeed moving it to a satellite delivered format on a HD channel took it to a .1 rather quickly.
As for WRR, if the council actually acts, things do not have to be very drastic. There are a number of organizations that can operate WRR for the city. The library system comes to mind. The Friends of WRR is a natural. WRR does not have to become non-commercial. Simply put, the station can continue much as it has been under another organization and the employees can opt to go to the new organization. There may be existing arts organizations that can take on the station. Naturally the city must be willing to create a win-win scenario.
Consider this may be a political move to appease the complainers that don't think the city should be in the radio business. Politically, to take just enough action to get the complainers to settle down may be enough to move the issue off for a few years.
That WRR has operated at a loss for the past eight years is likely. Covid-19 killed lots of billing that is just now beginning to come back. In fact many potential advertisers are at a point they can't take on more business because of lack of product or lack of workers. I have car dealers that spent big amounts with me that cannot keep cars on the lot and restaurants that can't go beyond 50% capacity because they can't find the workers to do the job. The list goes on. My point is, WRR and lots of other broadcasters are in the red or are barely seeing that red ink go black at this point. It is likely WRR is not losing much money in an average year and it is likely trimming just a little fat will remedy this.
I'm going to compare KMFA in Austin to other Classical stations in Texas. Like WRR, KMFA has a long past in the format as a non-commercial station. While Austin and DFW are different animals, it is true KMFA's revenue universe is much smaller than WRR's but KMFA can support 24/7 live programming (although recently they have used Classical 24 in overnight hours at times). KMFA seems to be doing just fine. KMFA gets rather creative in obtaining dollars and more inclined to think outside the box a bit more than WRR or other Texas classical outlets.
Granted the classical format is akin to carrying a 50 pound box up the stairs to the 10th floor when other formats offer an elevator and maybe a dolly, but the format does not have to lose money or be relegated to a 24/7 satellite delivered format with the localism being the underwriting spots. You just have to step out beyond the conventional to make it.
It's much like a newspaper publisher I know. When circulation dwindled to 400, they were losing money. The dropped the printer and conventional format opting for a laser printer and 8.5 by 14 inch legal pages. After a few weeks the printer was paid off and they were making a profit. The hardest thing they did was change their mindset that they were still a newspaper even if they didn't look like a conventional newspaper. The news was still the same. They sacrificed nothing but the format of the printed word but this thinking outside the box took a financial loser to making a small bit of profit.