HomeMy WebLinkAboutCity Council Committees - Lodging Tax Advisory Committee - 05/18/2006 KENT LODGING TAX ADVISORY COMMITTEE
May 18, 2006
Committee Members Present: Tim Clark,Andy Wangstad, Vickie Molzer and Greg
Haffner. Others Present: Nathan Torgelson, Bob Nachlinger, Sylvia McDaniel, Robin
Hasbrouck,Katherine Kertzman, Kari Gallaway, Ben Errez, Steve Crowell, Scott Brown,
and Kristin Lamson.
The meeting was called to order by Clark at 2:15 and introductions were made.
Update from Torgelson. Nathan Torgelson announced that he will be leaving the City
of Kent.
Financial Report. Nachlinger distributed the budget analysis and noted that almost
$139,000 in lodging tax dollars was taken in,plus interest, for a total available funds of
$212,000. He said$103,000 was spent ending the year with a fund balance of almost
$109,000. He estimated funds of$244,000 for 2006, expenditures of$160,500, and
ending the year with$83,000 available funds.
Kertzman passed out the Washington State Department of Revenue year-to-date
comparison for the last seven years and noted that there will be some spill over in Kent's
direction.
Proiect Springboard Update. Ben Errez, developer for Springboard, explained that
Phase I includes the garage and approximately 6,700 feet of retail has demo and clearing
permits and the building permit is eminent, and construction is anticipated to begin in
early June. He said that Phase II includes the condominium building and 18,000 square
feet of retail, is in final drawing and will be submitting permits at the end of the month
or early June and expect the building permit in about 8-10 weeks. He also said that
Phase III includes the hotel and water features, and construction is scheduled to start in
June 2007. He noted that in terms of financial scope Phase I is estimated to cost
approximately$7.8 million, Phase II about$15 million,Phase III about $10 million and
the water park approximately$2 million. Mr. Errez went on to explain retail space,
condo sales and income for the different phases of this project.
Kent Station Update. Torgelson stated that Phase II is well underway and named some
of the tenants and that Phase II is projected to open November 1st. He also stated that
Phase III of Kent Station is the housing component and Tarragon is hoping to start
construction before the end of the year or beginning 2007. Torgelson said that the phases
are coming on line quicker than originally anticipated. He explained that Phase IV is the
Green River Community College who is sole tenant of that building and will begin four
year programs. He also explained that Phase III will be self-park on the first two levels
but exclusive to the residents, there will be no public parking.
Cancer Treatment Centers of America Update. Torgelson noted that the appeal
scheduled for May has been delayed until September and will be heard before an
Administrative Health Judge.
Lodging Tax Advisory Board May 18, 2006
Page 2
Kent Lodging Association Update. Hasbrouck explained the status of the Chamber of
Commerce deliverables. She also explained the status of the kiosk development and the
visitor's map status and sales. Hasbrouck noted that the Kent Downtown Partnership and
the City should promote the visitor's map as it is not just a Chamber project.
Seattle Southside Visitor Service Update. Kertzman asked the that Public Works look
at the vacation planner map for feedback on the placement of streets and explained the
layout. She also passed out the First Quarter Report for 2006 and spoke about the
strategy for all tournaments.
Replacement for Two Vacant Board Positions. Torgelson mentioned the two
vacancies and said Scott Brown from the Best Western may be a candidate and Denise
Gray's replacement would be another potential candidate. Torgelson said he would
speak to Denise Gray and find out about her replacement.
Approval of the Minutes. Wangstad moved to approve the minutes of February 2,
2006. Haffner seconded and the motion carried.
Potential Request for Lion's Club Dragon Boat Races. Kristin Lamson explained the
legal qualifications of the letter from the Kent Lions Club Boat Races. Steve Crowell,
Kent Lions Club, explained that the restrictions were the same as last year. He gave an
overview of visitors last year and potential visitors and that participants of these races are
mainly visitors. He explained how this event was publicized and he handed out a sheet
with all the teams statistics He said that marketing has been great and that the dragon
boat races are very popular. He asked for$8,000 which would be spent for promotions.
A discussion took place and Haffner moved to support the dragon boat races request with
$5,000 as long it complies with the new guidelines as submitted by the opinion of the
Attorney General regarding the use of lodging tax dollars. Wangstad seconded. Another
discussion took place and both agreed to change the dollar amount to $6,000. The
motion then carried.
Next Meeting Date. Clark suggested 2:00 p.m. on Thursday, August 17, 2006, as the
next meeting time and date, all agreed.
Adiournment. There was no further business and the meeting adjourned at 3:55 p.m.
Mary Simmons
Deputy City Clerk