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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