Title
Review of 2027 Lodging Tax Funding Tourism Service Proposals
Recommended Action
Move to create a set of funding recommendations for City Council approval.
Report
Issue:
Whether to recommend funding of all, part, or none of the 2027 Lodging Tax Funding proposals
Staff Contact:
Amelia Layton, Senior Program Specialist, Community Planning, 360.570.3808
Presenter(s):
N/A
Background and Analysis:
Annually, the Olympia Lodging Tax Advisory Committee (LTAC) makes recommendations on use of the City’s Lodging Tax Fund.
An open call for tourism services funded by the Olympia Lodging Tax Fund was advertised beginning, August 31, 2026. The application deadline was October 2, 2026. LTAC members have reviewed and scored individual applications using the published set of review criteria.
Thirty-nine (39) applications were received for a total of $2,296,282.44 in requested funding. The City’s Finance team anticipates new Lodging Tax revenue for 2027 to be $1,050,000 and the estimated fund balance to start 2027 (also referred to as reserves) is estimated at $507,348.
Climate Analysis:
Tourism inherently has a climate impact due to the requirement of travel.
Equity Analysis:
The inclusion of questions around accessibility considerations is the first step to encourage applicants and funded organizations to build their event/activity/facility to be inclusive to everyone’s participation. The addition of the non-discrimination language in the application indicates the seriousness of which the City of Olympia takes discrimination and that failure to comply will impact funding. Along with the inclusion of the applicant’s mission statement helps reviewers to ensure values of the organizations are in alignment with the values of Olympia.
Neighborhood/Community Interests (if known):
Many community events and facilities receive funding from this program supporting participation from locals and tourists alike. For some events and facilities, the Lodging Tax funding is critical for their continued operations.
Options:
1. Create and Approve a funding recommendation.
2. Continue discussion at a future meeting.
Financial Impact:
Lodging Tax is a restricted resource to be used for tourism activities.
Thirty-nine (39) applications were received for a total of $2,296,282.44 in Requested funding. The City’s Finance team anticipates new Lodging Tax revenue for 2027 to be $1,050,000 and the estimated fund balance to start 2027 is estimated at $507,348
Attachments:
Chart 2027 Lodging Tax Applications
Chart Olympia Lodging Tax Award History