From the Yakima Herald-Republic Online News.
YAKIMA, Wash. -- Yakima County commissioners on Tuesday authorized the sale of more than $5 million in bonds to make capital improvements at State Fair Park, the Yakima Convention Center, The Seasons Performance Hall and the Capitol Theatre.
The bonds, which will help repair the roof at the Yakima Valley SunDome and pay for remodeling at The Seasons, must be repaid by 2021 with revenues from an existing 2 percent sales tax on hotel rooms in the city of Yakima.
The bond sale marks the end of a 10-month, behind-the-scenes political struggle over how the funds from the room tax should be allocated. State Fair Park directors found themselves pitted against advocates for the convention center and hotel operators who argued that the convention center was a more worthy recipient of money designed to draw tourists.
Ultimately, commissioners agreed to give the bulk of the money -- $3.8 million -- to State Fair Park, which is owned by the county.
The Central Washington Fair Association will use about a half million dollars to upgrade the SunDome roof, install a new sound system and make upgrades in lighting, among other things. The rest of its share will be spent to install new electrical systems in the fairgrounds' aging exhibit halls, including Pioneer Hall, Modern Living and Agriculture Buildings, and the animal barns.
County Commission Chairman Rand Elliott said drawing tourists -- also labeled as "heads in beds" -- was only one criterion commissioners used in considering requests that initially amounted to $17 million from the ultimate recipients.
Other factors involved return on investment, structural need and historic value.
Elliott said the county-owned State Fair Park was able to show it had a greater need, in his mind.
"Is wallpaper in the convention center as vital as preserving the exterior of Pioneer Hall? If it goes too much further, it won't be habitable," Elliott said.
The hotel/motel tax, which both the city and county collect, was set to expire in 2009 after bonds for construction of the SunDome were retired.
But the Legislature agreed to extend the authority through 2021 after much lobbying by the Central Washington Fair Association.
Hotel operators backed a push by the convention center to tap more of the hotel/motel tax money, noting that its primary focus is to draw out-of-town visitors. If any money goes to State Fair Park, they said, it should be limited to the SunDome.
But commissioners and Fair Park supporters argued that the aging fairgrounds exhibit halls were in dire need of renovation. Plus, they pointed out, the State Fair Park supporters were the ones who lobbied the Legislature to extend the tax so the fairground property should benefit from the tax revenues.
Each side offered conflicting statistics about which entities were drawing hotel stays.
Tuesday, Elliott said commissioners are happy the projects can move forward.
"It's a nice boost for tourist facilities in Yakima. We remain convinced tourism is a huge part of the local economy," he said.
Elliott said the recipients won't be given the money upfront, but must incur the costs and submit invoices to the county for payment.
The convention center will receive $563,000 and plans to improve a sound system, lighting controls, restrooms, carpet and vinyl flooring replacement. It will also reroof a portion of the center at Eighth Street and Yakima Avenue.
Assistance to the financially struggling Seasons, at North Naches Avenue and East A Street, was in doubt until ownership of the former church building was turned over to the nonprofit Seasons Music Festival last month. The move made the facility, a vision of the Strosahl family of Yakima, eligible for funding.
Commissioners agreed to allocate $333,650 to the music hall, which has a number of projects on its to-do list, from upgrades in sound, lighting and plumbing, to a new banquet room, heating and air conditioning, and exterior building improvements.
Pat Strosahl, vice president and chief executive officer of United Builders, the family business that launched The Seasons, said the improvements will help attract funding for programming. He said programming is always a problem for arts organizations.
"This solves the problem by creating momentum," Strosahl said. "The actual problem Seasons has is funding, basically funding for programming."
With its $300,000 from the county, the Capitol Theatre plans to purchase new seating.
The Yakima Valley Museum and the McAllister Museum at the Yakima Air Terminal did not make the final cut for county funding.
The bond sale, for a total of $8 million, also will include refinancing an existing county bond issue of nearly $3 million in hopes of obtaining a lower interest rate. The existing 1999 bond was sold to remodel the former bowling alley that became the county jail for minimum-security inmates on South 18th Street in Union Gap.
County Treasurer Ilene Thomson said the county is paying more than 5 percent interest on those bonds.
* David Lester can be reached at 509-577-7674 or dlester@yakimaherald.com.