Title
Approval of a Resolution Adopting a Funding Strategy to Address The Washington Center for the Performing Arts' First Quarter 2020 Budget
Recommended Action
Committee Recommendation:
Finance Committee met on June 17 and moved to approve appropriating $80,000 of Lodging Tax Reserves to The Washington Center for the Performing Arts to cover 2020 operating expenses; and to relieve The Washington Center of their obligation to replenish the Endowment Fund $200,000 for funds used to replace the stage rigging system and forward to City Council.
City Manager Recommendation:
Approve a Resolution Adopting a Funding Strategy to Address The Washington Center for the Performing Arts' First Quarter 2020 Budget
Report
Issue:
Whether to Approve a Resolution Adopting a Funding Strategy to Address The Washington Center for the Performing Arts' First Quarter 2020 Budget
Staff Contact:
Debbie Sullivan, Administrative Services Director, 360.753.8499
Presenter(s):
None - Consent Calendar Item
Background and Analysis:
Lodging Tax is collected by hotels, motels, and other similar facilities in the City of Olympia. The purpose of collecting Lodging Tax is to generate revenue that can be used for activities and operations to increase tourism. The total tax charged is 4%. The first 2% of the revenue generated from the tax is allocated to The Washington Center for the Performing Arts (The Center) and is documented in their Operating Agreement (Section C.4).
...the City shall pay or allocate, as provided herein, to The Washington Center during each calendar year of the agreement an amount equal to the 2% Lodging Tax authorized by RCW 67.28.180 and collected by the City from all lodging establishments located within the City limits.
The 2020 Adopted Operating Budget appropriated $520,000 in Lodging Tax to The Center. However, due to the severe reductions in hotel/motel stays the amount of revenue available has been significantly reduced. At the April 15 Finance Committee meet...
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