Loading...
HomeMy WebLinkAboutPCD 2025-03-10 Item 1B - LTAC - Lodging Tax Funding: 2025 Juneteenth CelebrationCity of Tukwila Thomas McLeod, Mayor INFORMATIONAL MEMORANDUM TO: Tukwila City Council FROM: Brandon Miles, Director, Strategic Initiatives CC: Mayor McLeod DATE: March 4, 2025 SUBJECT: Lodging Tax Funding Request ISSUE Review of lodging tax funding requests from the City of Tukwila for the 2025 Juneteenth Celebration. BACKGROUND The City collects a 1 % lodging tax on certain qualifying overnight stays in paid accommodations (hotels/motels/Airbnb) in the City. State law limits the use of these funds to tourism promotion'. There is currently just over $2.5 million in lodging tax funds available for use. The City's Lodging Tax Advisory Committee (LTAC) reviews all requests for use of lodging tax funds. LTAC then forwards a list of recommended applications to the City Council for its review and consideration. If LTAC does not recommend an application be funded, that application is not forwarded to the City Council. The City Council may approve or deny any of the applications recommended by the LTAC. The City Council may also approve an application and increase or decrease the dollar amount awarded'. The City accepts applications on a rolling basis, with the LTAC reviewing requests monthly. i RCW 67.28.080 (6) defines "tourism promotion" as "...activities, operations, and expenditures designed to increase tourism, including but not limited to advertising, publicizing, or otherwise distributing information for the purpose of attracting and welcoming tourists; developing strategies to expand tourism; operating tourism promotion agencies; and funding the marketing of or the operation of special events and festivals designed to attract tourists." 2 On August 17, 2016, the Washington State Attorney General's Office issued an informal opinion regarding whether a municipality could change the dollar amounts recommended by the local lodging tax advisory committee. Specifically, the informal opinion states: "When awarding lodging tax revenues pursuant to RCW 67.28.1816(2)(b)(ii), a municipality may award amounts different from the local lodging tax advisory committee's recommended amounts, but only after satisfying the procedural requirements of RCW 67.28.1817(2), according to which the municipality must submit its proposed change to the advisory committee for review and comment at least forty-five days before final action on the proposal." 37 INFORMATIONAL MEMO Page 2 Pending Applications At its meeting on February 8, 2025, the LTAC recommended approval of the City's request for funding for the 2025 Juneteenth Celebration. 1. City of Tukwila, Juneteenth (Not to Exceed $10,000) The City of Tukwila is requesting lodging tax funds to support the City of Tukwila's 5th Annual Juneteenth Commemoration. Juneteenth is the oldest historical celebration in the United States remembering the end of enslavement of African American people and the continued fight against racism. In 2020 the City of Tukwila Council adopted Resolution 1992, declaring that Juneteenth will be recognized in our community every year. The City is committed to honoring the legacy of the Juneteenth Commemoration and Tukwila's African American community by supporting this signature event for residents, community members, businesses, and guests. This year's event will occur on June 19 at the Sullivan Center on Tukwila International Blvd. LTAC Recommendation on Application: Approval. Staff Recommendation on Application: Approval. FINANCIAL IMPACT The total request for the lodging tax application will not exceed $10,000. No general funds dollars will be used for these funding allocations. The funding allocation is consistent with the six -year financial plan for the lodging tax fund and the City's adopted budget. Any unused funds will remain within the lodging tax fund. RECOMMENDATION Staff recommends that the City Council approve the three applications as presented. ATTACHMENTS 1. Juneteenth Application LTAC Application 2. Staff report to the Lodging Tax Advisory Committee 38 fThbvi1a Staff Memorandum Lodging Tax Advisory Committee Funding Request Name of Applicant: City of Tukwila, Administrative Services Address: 6200 Southcenter Blvd. Tukwila, WA 98188 Total Funds Requested: $10,000 About the Applicant: The City of Tukwila is a non -charter City organized under the laws of the State of Washington. Founded in 1908, Tukwila is one of the oldest cities in King County. Since its founding, Tukwila has always been a community at the "crossroads." Tukwila lies at one of the busiest freeway interchanges in Washington State. The City has a small bedtime population of just under 20,000. During the day the City's population swells to over 150,000 people, with people coming to the City to work, shop, dine, stay in hotels, and to visit once in a life time experiences, such as the Museum of Flight or iFly. Funds Previously Awarded: In 2021 the City provided $5,000 for a digital event and in 2022 $10,000 for the event. Funding Request Narrative: The City of Tukwila is requesting lodging tax funds to support the City of Tukwila's 5th Annual Juneteenth Commemoration. Juneteenth is the oldest historical celebration in the United States remembering the end of enslavement of African American people and the continued fight against racism. In 2020 the City of Tukwila Council adopted Resolution 1992, declaring that Juneteenth will be recognized in our community every year. The City is committed to honoring the legacy of the Juneteenth Commemoration and Tukwila's African American community by supporting this signature event for residents, community members, businesses, and guests. City of Tukwila 6200 Southcenter Blvd. Tukwila, WA 98188 39 fThbvi1a Staff Comments: As part of the City's branding strategy, it was identified that the City should work on creating events tied to the City's multicultural population. The City of Tukwila lacks an authentic large community event that could be a draw for people from around the region. Juneteenth could be that event that the City grows overtime. Key metrics for the event will be total attendance, third party sponsorship participation, social media metrics, and web visits. Consistency with Six Year Financial Model: 2025 Sponsorship Funds Provided in Six Year Financial Plan: $175,000 PAC NW Soccer (Approved) ($25,000) Seawolves (Approved) ($90,000) City of Tukwila, Juneteenth (Pending) ($10,000) Remaining Funds: $50,000 For 2025, the Six Year Financial Plan shows the City spending $175,000 for sponsorship, such as this. There will be sufficient funds remaining in the budget for other 2025 other sponsorships opportunities that might arise. City of Tukwila Staff Recommendation to LTAC: Approval Notes: None. City of Tukwila 6200 Southcenter Blvd. Tukwila, WA 98188 40 Application to the City of Tukwila for Use of 2025 Lodging Tax Funds Event or Activity Name (if applicable): City of Tukwila's 5th Annual Juneteenth Commemoration Amount of Lodging Tax Requested: $10,000 Applicant Organization: City of Tukwila Federal Tax ID Number: 91-6001519 Mailing Address: City of Tukwila ATTN: Jo Anderson — Inclusion & Engagement Manager Administrative Services and Community Engagement 6300 Southcenter Blvd, Suite 115 Tukwila, WA 98188 Primary Contact Name: Jo Anderson Primary Contact Phone: 206-658-7849 Primary Contact Email Address: Jo.Anderson@TukwilaWA.gov X Check all the service categories that apply to this application: X Tourism promotion or marketing X Operation of a special event or festival designed to attract tourists Operation of a tourism -related facility owned or operated by a non-profit organization Operation and/or capital costs of a tourism -related facility owned by a municipality or a public facilities district X Check which one of the following applies to your agency: Non -Profit (Note: Attach a copy of your current non-profit corporate registration from the Washington Secretary of State Office) X Municipality For Profit Corporation 1 am an authorized agent of the organization/agency applying for funding. 1 understand that: • I am proposing a tourism -related service for 2025. If awarded, my organization intends to enter into a services contract with the City; provide liability insurance for the duration of the contract, naming the City as additional insured and in an amount determined by the City; and file for a permit for use of City property, if applicable. • My agency will be required to submit a report documenting economic impact results in a format determined by the City. Signature: Jo Anderson Date: 12/5/24 41 1. Describe your tourism -related activity or event. The City of Tukwila is requesting lodging tax funds to support the City of Tukwila's 5th Annual Juneteenth Commemoration. Juneteenth is the oldest historical celebration in the United States remembering the end of enslavement of African American people and the continued fight against racism. In 2020 the City of Tukwila Council adopted Resolution 1992, declaring that Juneteenth will be recognized in our community every year. The City is committed to honoring the legacy of the Juneteenth Commemoration and Tukwila's African American community by supporting this signature event for residents, community members, businesses, and guests. To ensure a successful and collaborative event, the City will reach out to previous partners. This includes the Tukwila School District/Foster High School's Black Student Union, the King County Library System, King County Public Health, the Urban League of Metropolitan Seattle and Tukwila community members to plan the in -person event at the Tukwila Sullivan Center. If an event, list the event name, date(s), and projected overall attendance: - City of Tukwila's 5th Annual Juneteenth Commemoration - Thursday, June 19, 2025, from 11:00 AM to 1:00 PM - Tukwila Sullivan Center and Plaza, 14350 Tukwila International Blvd, Tukwila, WA 98168 - Attendance: 250+ 2. Is your event/activity/facility focusing on attracting overnight tourists, day tourists, or both? Primarily day tourists attending regional Juneteenth events and experiences. Describe why visitors will travel to Tukwila to attend your event/activity/facility: The City of Tukwila is centrally located in the transportation corridor that provides access to public light rail, King County's Metro bus system, and the Seattle -Tacoma International Airport. Tukwila is a destination for tourism, entertainment, shopping, and its diversity. Describe the geographic target of the visitors you hope to attract (locally, regionally, nationally and/or internationally): The geographic target of visitors is primarily a 50-mile radius, including summer month travelers staying in area hotels. Page 2 of 6 42 3. Describe the prior success of your event/activity/facility in attracting tourists: The City of Tukwila's 1st Juneteenth Commemoration in 2021 was adapted to an online program featured on the Experience Tukwila website. The hour-long commemoration was available in six segments, allowing viewers to explore different elements. Beginning in 2022, the annual event moved to an in -person format at the Sullivan Center outdoor plaza. Each year, important traditions are upheld, including the singing of the Black National Anthem. Further, event participants learn the story of Juneteenth, visit community resource tables, and enjoy educational and musical presentations from a keynote speaker and local artists as well as food from Black -owned businesses. Participation in the 2024 celebration exceeded expectations and drew well over 200 celebrants. This is attributed to moving the event to the actual holiday (as opposed to the following Saturday), gaining recognition as an annual celebration, and caliber of speakers and performers. The intention is to develop a program that will draw a wide audience and provide an experience that is distinctly Tukwila. This will include a mix of speakers and artists that are regionally and locally known. The event location is a community -centered space for residents and guests to visit the Tukwila library, frequent the small business, and take advantage of the open space where families and friends gather. See photos on page 6. 4. If this your first time holding the event/activity/facility, provide background on why you think it will be successful. N/A 5. Describe the media strategy you employ to promote your event/activity/facility to attract overnight and/or day tourists? Please list any digital or print media (newsletters, e-blasts, social media, etc.) your agency uses or intends to use to promote your event/activity/facility. The commissioning of a commemorative poster featuring a local African American artist has become an integral part of the event. In addition to the poster, the City creates a more detailed flyer announcing the program schedule. City staff and partners will promote the Juneteenth Commemoration on the City of Tukwila's Experience Tukwila website, social media platforms, community contacts, and print materials — the Hazelnut newsletter and posters. Additionally, the City will work with community -and faith -based organizations, the Tukwila School District, and the Southside Seattle Chamber of Commerce to assist in promoting the event on their social media platforms and through word-of-mouth. The program participants — speakers, artists, performers, educators, etc. will be asked to help spread the word to their networks as well. Page 3 of 6 43 6. Describe how you will promote lodging establishments, restaurants, retailers and entertainment establishments in the City of Tukwila. City staff will promote this event through the Experience Tukwila website and social media, word-of-mouth, and free online and print calendars through ethnic media channels. Event posters will be disseminated to partners and lodging establishments, restaurants, retailers, and entertainment establishments. 7. Is the City able to use your digital and print media for collaborative marketing? Yes. 8. Describe how you will use the name "Tukwila" in publications, promotions, and for your event? The event will be promoted as being sponsored and held in Tukwila. 9. Measurements and Metrics (Note: You will be required to report these metrics as part of the close out of the agreement between your organization and the City.) As a direct result of your proposed tourism -related service, provide an estimate of: A. Overall attendance at your proposed event/activity/facility. 250+ in -person B. Number of people who will travel fewer than 50 miles for your event/activity. 225 C. Number of people who will travel more than 50 miles for your event/activity. 10% D. Of the people who travel more than 50 miles, the number of people who will travel from another country or state. unknown E. Of the people who travel more than 50 miles, the number of people who will stay overnight in Tukwila. unknown F. Of the people staying overnight, the number of people who will stay in PAID accommodations (hotel/motel/bed-breakfast) in Tukwila. unknown G. Number of paid lodging room nights resulting from your proposed event/ activity/facility (for example: 25 paid rooms on Friday and 50 paid rooms on Saturday = 75 paid lodging room nights) unknown Page 4 of 6 44 10. What methodologies did you use to calculate the estimates and what methodologies will you use to track outcomes, such as total participants, estimated visitor spending, etc.? City staff will monitor, evaluate, and assess this event as part of planning the campaign to determine the 2026 Juneteenth Commemoration. 11. Are you applying for lodging tax funds from another community? If so, which communities and in what amounts? No. 12. Are you applying for funding from Seattle Southside Regional Tourism Authority (SSRTA)? If so, in what amount? No. 13. What is the overall budget for your event/activity/facility? What percent of the budget are you requesting from the City of Tukwila? 50% of the budget. Total costs for the event are estimated to be $20,000; $10,000 of which from the City operations budget. The requested funds in the amount of $10,000 will be used towards artist and performer honoraria, commissioned poster artwork, and food and beverage. Food/Bev $5,000 Poster Artwork $3,000 Honoraria $2,000 1) What will you cut from your proposal or do differently if full funding for your request is not available or recommended? Adjust/scale program costs. Applications are considered on a rolling basis. Please contact staff to discuss the process for having the application reviewed by the City's Lodging Tax Advisory Committee. Completed applications should be submitted to: Lodging Tax Advisory Committee c/o Brandon Miles City of Tukwila 6200 Southcenter Blvd Page 5 of 6 45 Tukwila, WA 98188 or Brandon.Miles@TukwilaWA.gov Questions? LTAC Contact: Brandon J. Miles (206) 431-3684 Brandon.Miles@TukwilaWA.gov 2024 Juneteenth Commemoration Tukwila Commemorates Celebatlngthe brilliance JOIN US�WEDNf the fESDAY, JU�NE !7auck&za� Wrea vncken t tSar 819-8256 ufarine (Aga ws wragoh@$nfaie.com e any � slit 7rcris k Page 6 of 6 46