SANDPOINT — After serving the area for more than 20 years, the Bonner Humane Society is bowing to economic pressures and will cease operations on Thursday.

The organization, which offers discounted rates for spay, neuter and vaccination services, is funded by grants, donations and income collected from customers.

Velta Ashbrook, who serves as secretary for the society’s board of directors, said donations have dried up since the recession hit.

“Our main problem now, with the economy, is that donations have stopped. And we relied heavily on donations,” she said.

While the poor economy can partially be blamed for the society’s financial woes, Ashbrook said the problem can be traced back even further. In 2004, the Bonner Humane Society lost a substantial share of its savings when Metropolitan Mortgage & Securities Inc., which the Humane Society invested in, was investigated for running a Ponzi scheme and eventually filed for Chapter 11 bankruptcy. Ashbrook said the organization lost most of its money, but did not know the exact amount.

“It was the Northwest version of the Madoff business,” Ashbrook said, referencing the infamous Ponzi scheme allegedly perpetrated by Bernard Madoff.

The Humane Society currently employs a veterinarian, a veterinarian technician and an office manager. In February, the organization cut its hours of operation and laid off an employee in an effort to stay financially solvent.

Ashbrook said a relatively small amount of money could temporarily keep the business afloat, but it would need approximately $50,000 a year in additional contributions to remain viable in the long term.

“The problem is, for the past couple of years, the money has gone out faster than it’s coming in, so even if we had a donation of, say, $10,000, it would save us temporarily, but it would not keep us in business,” she said.

While it would not be a long-term solution, Ashbrook and others are asking members of the community to contribute anything they can spare to keep the Humane Society operational until a permanent solution is found.

If the organization cannot rebuild its financial model, Ashbrook fears the number of unwanted animals in Bonner County will skyrocket.

“If there’s not a way to work it out, you’re going to see a lot more people at Safeway and Yoke’s and Wal-Mart with a box of free puppies and kittens to give away,” she said.

To contribute to the humane society, send checks to Bonner Humane Society at 900 Westwood Drive in Sandpoint. To learn more about how you can help, leave a message at 263-9282 and a Humane Society representative will get back to you.