HomeMy WebLinkAboutM110216
Lodging Tax Advisory Committee Special Meeting Minutes
November 2, 2016
Jefferson County Commissioners Chambers - 9:00 a.m.
Attendees: Debbie Wardrop, Bill Tennent, Larry McKeehan, Kyle Forgey and Kathleen Kler
Staff: County Administrator Philip Morley and Executive Assistant Leslie Locke
Chair Kler called the meeting to order at 9:03 a.m.
Fund 125 Financial Status and History:
The Committee reviewed a Municipal Research and
Services Center (MRSC) handout explaining the RCW regarding the disbursement of capital
funds. Philip Morley stated the balance of Fund 125 is approximately $480,000. In the past, the
Committee has allocated funds and supplemental awards with the extra revenue. The County sets
aside an amount to off-set beginning of year expenditures to assure cash flow. He explained the
history of the Gateway Visitor’s Center capital improvement project and noted that a balance has
been carried forward year to year earmarked for that project. Due to the high cost to develop, the
project has not progressed forward. The Fund 125 balance will need to be redirected to another
capital contingency project. Member Wardrop stated that the remaining balance does not have to
be used on a capital contingency project, it could be used to promote tourism.
Philip Morley discussed the 2016 actual and projected lodging tax revenue. He stated that the
funding available for disbursement in 2017 is approximately $445,000, not the amount referenced
in the RFP ($425,000).
Member Wardrop voiced her concern that the ending fund balance is so large and a portion of
those funds should be used to fund 2017 requests. Philip Morley suggested that prior to disbursing
the capital fund balance, that a strategic plan be developed.
Discussion And Possible Recommendation re: 2017 Lodging Tax Funding Allocation
Requests:
2017 Lodging Tax Proposals: The members discussed the following concerns regarding certain
2017 lodging tax funding requests:
Centrum: The Committee concurred that Centrum events promote tourism in Jefferson County.
Due to the limited amount of funds, the Committee recommends funding a reduced amount of
$20,000.
Tourism Coordinating Council (TCC): Due to the limited amount of funds, the Committee
recommends funding a reduced amount of $135,000.
HiYu Audio Projects (3): These three (3) projects are considered Capital Expenditure
improvement projects, which are not eligible to receive lodging tax funds per RCW 67.28.
1
Lodging Tax Advisory Committee Minutes: November 2, 2016
Quilcene/Brinnon Dollars for Scholars: Even though the date of the Oyster Run has been changed
to coincide with the Quilcene Fair and Parade, the Committee does not feel this event brings
overnight visitors to Jefferson County. Member Wardrop suggested the organization find sponsors
to fund this event. Based on poor attendance for the Oyster Run event, the majority of the
Committee recommended not to fund this request.
Quilcene Fair and Parade: The fair and parade is a local event and participants have been local
residents. During the presentation it was the hope of the organizers to draw visitors to a full
weekend of fun. Member McKeehan stated that he does not want to discourage new applicants
from requesting funds and suggested the entire amount be funded. The $5,000 request to improve
the parade route is considered a capital improvement project and not allowed per RCW 67.28.
Discussion ensued regarding the advertising costs. The majority of the Committee recommends
funding a reduced amount of $3,500.
Jefferson County Public Works – Olympic Discovery Trail: This request is considered a capital
improvement project, however, funding is allowed because the requestor is a municipal agency.
The State would match the amount allocated from lodging tax dollars. The Committee
recommends funding a reduced amount of $7,714.
Jefferson County Parks & Recreation – Local Campgrounds: Philip Morley discussed the future of
the Jefferson County Parks & Recreation program. Adequate funding is a concern and alternative
methods are being explored. Currently, the County operates 22 parks. The Committee recommends
funding the total requested amount of $28,140.
Jefferson County Historical Society: Member Tennent stated that his request included changing the
lights, which could be considered a capital improvement. The Committee concurred that this
request is considered maintenance/operations and is allowable.
Member Wardrop asked if the total funding amount of $445,000 could be increased an additional
$5,000? Philip Morley responded that if the total amount of funding is increased in 2017, then the
funding amount for 2018 could potentially decrease.
Member Wardrop moved to approve the following recommendation for allocation of lodging tax
funds:
Final 2017 Lodging Tax Proposal Funding Recommendation:
Requested Recommended
RequestorAmountAmount
Jefferson County Historical Society (JCHS): $64,076 $64,076
Olympic Peninsula Gateway Visitor Center/JCHS: $65,000 $65,000
North Hood Canal Chamber of Commerce: $53,800 $53,800
Centrum: $25,000 $20,000
Jefferson County Chamber of Commerce: $17,250 $17,250
Tourism Coordinating Council: $144,000 $135,000
Forks Chamber of Commerce: $29,535 $29,535
Quilcene Historical Museum: $15,985 $15,985
2
Lodging Tax Advisory Committee Minutes: November 2, 2016
Quilcene/Brinnon Dollars for Scholars: $8,000 $0
Quilcene Fair & Parade: $10,100 $3,500
HiYu Audio Party Truck: $22,175 $0
HiYu Audio Fort Worden Facilities: $32,000 $0
HiYu Audio Quilcene Museum: $15,106 $0
WSU Extension Farm Tour: $5,000 $5,000
JC Public Works Olympic Discovery Trail: $25,000 $7,714
JC Parks & Recreation – Quilcene/Lake Leland Campgrounds: $28,140 $28,140
Member Tennent seconded the motion. Member McKeehan respectfully asked the Committee to
consider allocating funds to the Quilcene/Brinnon Dollars for Scholars event. He suggested
reducing Centrum’s allocation by $2,000 and giving it to Quilcene/Brinnon Dollars for Scholars.
After discussion a vote was called for on the motion. The motion carried with a 3 to 1 vote with
Member McKeehan voting no and Chair Kler abstaining.
2017 Annual Capital Contingency Allocation:After discussion, Member Wardrop moved to
approve the following capital contingency recommendation: $6,000 Capital Contingency –
Olympic Peninsula Gateway Visitor Center. Member McKeehan seconded the motion which
carried by a unanimous vote.
Costs for County Staff to Administer Fund 125 (Lodging Tax):Philip Morley discussed the
estimated amount of staff time to support LTAC in preparing the annual request for proposals,
preparing annual funding agreements, inputting invoices for funding allocations, preparing
meeting agendas and minutes, etc. Member McKeehan moved to approve $3,700 to be reimbursed
to the County for the cost for County staff to administer the Lodging Tax Fund 125. Member
Tennent seconded the motion which carried by a unanimous vote.
Discussion and Recommendations: 2016 Lodging Tax Fund Allocations:
Quilcene Historical Museum (QHM) Request to Redirect 2016 Lodging Tax Funds: Member
McKeehan submitted a spreadsheet that outlines services and materials that were included in the
2016 budget, but were donated and not spent in 2016. The QHM is requesting the remaining funds
be redirected to be used for future projects. Philip Morley will review the agreement and this issue
will be handled administratively.
Excess Costs for Gateway Parking Lot Repair: The costs for repairing the Gateway Visitor’s
Center parking lot exceeded the amount allocated. There is a remaining balance of $6,048.39 to be
paid to the Jefferson County Public Works Department. Member McKeehan moved to approve the
overage in the amount of $6,048.39. Member Wardrop seconded the motion which carried by a
unanimous vote.
3
Lodging Tax Advisory Committee Minutes: November 2, 2016
Discussion: Future Strategic Use of Capital Fund Balance:
The Committee discussed the
following potential uses for capital funding:
Upgrading Gateway Visitor Center:
Restroom Facility Improvements
Road Signage
Electric Vehicle Charging Station
Lodging Tax Strategic Plan: The Committee discussed the possibility of forming a strategic plan
sub-committee who would hold open public meetings and make recommendations for potential
capital investments.
Discussion ensued regarding improvements to the intersection leading to the Gateway Visitor’s
Center. Philip Morley suggested that once the Central Services Director is hired, they can meet
with the Washington State Department of Transportation and determine the improvement plan for
the intersection of Highway 104 and Highway 19 (Beaver Valley Road).
Discussion: Future Lodging Tax Funding Application Improvements:
The Committee
discussed updating the funding application and the possibility of providing it digitally. Member
Forgey suggested an online workshop to assist with filling out the request for proposals.
Member Wardrop requested the Committee members provide her with samples or suggestions for
improving the funding application. She will present a draft to the Committee for their review.
Member Wardrop suggested publishing a press release outlining the 2017 Lodging Tax funding
awards once approved by the County Commissioners. Member Tennent volunteered to draft a
press release and send to Philip Morley for final editing and publishing.
Future Agenda Items:
The Committee concurred to meet in January, 2017 to discuss a work
program.
The meeting adjourned at 11:42 a.m.
Respectfully submitted by:
Leslie Locke, Executive Assistant
Jefferson County Commissioners’ Office
4