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HomeMy WebLinkAbout08/19/2025 06.A. Lodging Tax Advisory Committee (LTAC) Report r:- � ljlt kalig&I ii! 'I!I/ ,....\\\.:...,,,,,.._.11 i _..._ , s. . r J BUSINESS OF THE CITY COUNCIL YAKIMA, WASHINGTON AGENDA STATEMENT Item No. 6.A. For Meeting of: August 19, 2025 ITEM TITLE: Lodging Tax Advisory Committee (LTAC) Report SUBMITTED BY: *Patricia Byers, Chair, LTAC Committee Craig Warner, Director of Finance and Budget Gary Bellew, Assistant City Manager SUMMARY EXPLANATION: The Lodging Tax Advisory Committee (LTAC) met on August 14th to deliberate on the 2026 Budget, review Lodging Tax grant applications, and propose an allocation recommendation. LTAC recommended a revenue forecast of$1,800,000. Of the revenue $490,000 is designated for debt service, $3,274 for administration, with the remaining $1,306,726 allocated per committee's recommendation. Council approving the recommendations will be reflected in the 2026 budget and staff will prepare funding agreements with the recipients. ITEM BUDGETED: N/A STRATEGIC PRIORITY 24-25: A Resilient Yakima RECOMMENDATION: Approve LTAC recommendations as outlined. ATTACHMENTS: LTAC memo to Council 6 Lodging Tax Advisory Committee August 15, 2025 City of Yakima City Council 129 North 2nd Street, Yakima, Washington 98901 Dear Council, On August 14th,the Lodging Tax Advisory Committee (LTAC)convened to review applications for the Lodging Tax. The committee received several applications during the publicly announced application period, which ran from May 13th to July 12th. The committee's recommendations were based on a forecast of Lodging Tax revenue for 2026, estimated at $1,800,000. This forecast was derived from actual revenue figures through July 2025. The debt service for the convention center expansion was treated as a fixed allocation, along with $3,274 designated for City of Yakima administrative fees related to the Lodging Tax program.All other allocations were adjusted according to the committee's judgment to maximize the resulting tourism benefits for the City of Yakima. The committee's budgetary recommendation is as follows: LTAC Recommendation LTAC Revenue Projections $ 1,800,000 Debt Service $ 490,000 COY Admin Fee $ 3,274 Subtotal $ 1,306,726 Recipients-Historic and Existing Convention Ctr-Capital $ 300,000 Convention Ctr-Operations $ 641,226 Visitor Services $ 60,000 Sports Commission Operations $ 95,500 Capitol Theatre Operations $ 150,000 Sundome $ 60,000 City of Yakima $ - Total awarded funds $ 1,306,726 Revenue avail less award variance $ - 7 Respectfully, r Patricia Byers Chair, Lodging Tax A.visory Committee 8