HomeMy WebLinkAbout2018.08.21 LTAC MinutesLODGING TAX ADVISORY COMMITTEE
August 21, 2018
MINUTES
CALL TO ORDER:
The meeting was called to order at 4:05 pm, by Matt Watkins, in conference room #1 at Pasco City
Hall.
ROLL CALL:
Board Members Present: Matt Watkins (Council); Colin Hastings (Chamber); and Hector Cruz (Visit
Tri -Cities).
Excused: Allison White (Sleep Inn) and Monica Hammerberg (Hampton Inn).
Also Present: Stan Strebel, Deputy City Manager; Dan Dotta, Interim Administrative and Community
Services Director and Facilities Manager; Angela Pashon, Policy Analyst; and Brent Miles and Derrel
Ebert, Tri -City Dust Devils.
BUSINESS:
Matt Watkins presented the September 26, 2017 minutes of the Lodging Tax Advisory Committee.
Motion was made by Colin Hastings and seconded by Hector Cruz to approve the September 26
2017 minutes as submitted. Motion passed unanimously.
Stan briefly reviewed the following: historical allocation of lodging tax receipts; current contractual
commitments; 2017 JLARC reporting; 2014-2017 document, combining JLARC reporting, as well
as 2019 tax allocation requests. Stan also suggested that a restructuring of the funds (#191 — TRAC
and #195 — Stadium Convention Center) to combine all lodging tax revenues and expenditures (as
approved by LTAC and the City Council) into a single fund would provide less confusion in tracking
and provide LTAC with a clearer picture of resources in coming years, especially for one-time project
requests.
Committee discussed the requests for use of 2019 Lodging Tax receipts, estimated to total $613,222.
Stan noted that with the 2018 payment the balance of stadium debt ($127,000) will be retired. All
requests are similar to those approved for 2018, except for: an increase in the DPDA request of an
additional $1,000; and a proposed new expenditure, for administrative expense, which has been paid
in prior years, although not specifically listed for LTAC. Also, proposed are new stadium
improvements as outlined below.
As discussed last year, the baseball stadium is in need of a number of upgrades both to meet
Professional Baseball standards as well as due to the age (23 years) of the facility. Stan discussed the
concept of an internal City loan of $2m to fund improvements. This would require annual debt service
of approximately $160,000 but would avoid the expense of bond issuance, marketing, etc. Brent and
Derrel discussed the need for improvements. Stan explained that while the 2019 requests slightly
exceed expected revenue for the coming year, estimated fund balance in the Stadium/Convention
Center fund will cover the projected shortfall, if needed.
Motion was made by Colin Hastings and seconded by Hector Cruz to recommend the 2019 allocation
estimate, as outlined below. Motion carried unanimously.
• TRAC, 50% of actual operating costs ........................................... $275,000 (est)
VCB Promotion Services (50%of2%) ........................................$143,122 (est)
Pasco Chamber Ag Show................................................................$20,000
• Baseball Stadium Improvements Debt Service ($2m/20 yrs) ........$160,000
• Fund Administration Expense..........................................................$7,100 (est)
• DPDA Event Marketing..................................................................... 8 000
TOTAL...........................................................$613,222
Stan indicated that the committee's recommendation for 2019 will be presented to the City Council
at their meeting sometime after September 10, when the Council is scheduled to review the proposed,
6 -year Capital Improvement Plan, which will include a discussion of the Stadium Improvements
Project.
ADJOURNMENT:
Committee meeting adjourned at 4:40 pm.
Respectfully submitted.
Stan Strebel, Deputy City Manager
LTAC Minutes 8/21/18
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