Despite some reservations, members of the Oak Harbor City Council deferred to a volunteer board’s wisdom in doling out $150,000 in lodging taxes.
A total of 11 entities received funds, which are supposed to be used to encourage tourism, or as has been often repeated, to put “heads in beds.”
The biggest winners this year were the Oak Harbor Chamber of Commerce and Oak Harbor Music Festival.
During the regular council meeting Tuesday, Councilwoman Beth Munns argued that Race Week was “shortchanged” in the recommendation from the Lodging Tax Advisory Committee. She pointed out that the regatta is the only week-long event in the city and has new owners who are expanding the events surrounding the sailboat race.
“I felt like they were being shortsighted,” she said of the advisory committee.
The advisory committee recommended that Race Week receive $3,000, down from $4,000 last year.
Munns recommended that the council send the Race Week recommendation back to the advisory committee and ask the members to reconsider the funding.
Munns proposed that the council could authorize the committee to allocate a few thousand extra dollars; the council previously capped the total award at $150,000.
Under law, a Lodging Tax Advisory Committee is composed of representatives of those who collect the tax and those who receive the money. The tax, also known as the hotel/motel tax, is a 2 percent tax on lodgers.
Under state law, the money may be used for promotion of tourism or construction and operation of tourism-related facilities.
Councilman Rick Almberg said he was reluctant to second-guess the committee, but found that the allocation list “seem like it’s out of balance.”
“I would be inclined to send it back for reconsideration,” he said.
The other council members, however, were against the idea. They pointed out that the committee spent a great deal of time going through the applications, listening to presentations, scoring the applicants and discussing the proposed awards.
Councilwoman Tara Hizon said she was afraid that some applicants would be unhappy when the council decided to limit the award to $150,000; the council members felt that some of the money should be set aside for possible Windjammer Park improvements associated with the new sewage treatment plant.
Hizon pointed out that none of the applicants received as much as they requested. She said she, for example, was disappointed that the Deception Pass Foundation received nothing.
Councilman Joel Servatius noted that the scores on the rating worksheets didn’t correspond with the award amounts, but he added that he didn’t know the committee’s reasoning since he wasn’t involved in the process.
Councilman Bob Severns said he supports the committee, which worked hard to arrive at its recommendations.
Severns also pointed out that Race Week is the only for-profit business to receive lodging taxes.
Councilman Jim Campbell, chairman of the advisory committee, said the council should either accept the entire list or send the whole thing back for reconsideration.
Campbell said that he believes it isn’t fair to single out one applicant for reconsideration.
In the end, the council unanimously approved the funding recommendations.
The city also has a second lodging tax of 2 percent. The chamber will receive $100,000 from that fund next year.
The Oak Harbor City Council approved funding recommendations from the city’s Lodging Tax Advisory Committee. The list of awards are as follows:
* Joint 2 percent Advisory Board: $10,000
* Megan McClung Race: $5,000
* North Whidbey Lions Club – Annual Car Show: $3,000
* Oak Harbor Main Street: $3,500
* Oak Harbor Music Festival: $26,000
* Whidbey Island Bicycle Club – Cyclocross Race: $1,000
* Whidbey Island Marathon/ Elks Lodge: $10,000
* Chamber of Commerce – Marketing: $67,500
* Chamber of Commerce – Biking at the Bay: $0
* Chamber of Commerce – Movies in the Park: $0
* Chamber of Commerce – Island Ice: $0
* Deception Pass Foundation: $0
* Fidalgo Avenue Merchants – Pig Fest: $6,000
* PBY Memorial – Tourism: $0
* PBY Memorial Foundation – Marketing: $15,000
* Whidbey Island Race Week: $3,000
