Sunnyside lodging-tax advisory committee flags accounting gaps, sets RFP schedule for 2026 funds

Sunnyside City’s Lodging Tax Advisory Committee on Aug. 20 reviewed unfinished financial reconciliations, delayed reimbursements to event organizers and the scope of a city marketing contract, and agreed to a revised solicitation schedule for 2026 lodging-tax funds.

Committee members were told by finance staff that account reconciliations dating to May 2024 were not completed and that beginning balances were recorded as journal entries rather than as actuals, forcing staff to “undo and redo” prior work before the committee can rely on the ledger, Monica, finance department, said during the meeting. The committee discussed several consequences: missing months of reported lodging-tax receipts, delayed reimbursements to event organizers and uncertainty about the true beginning balance for 2026 budgeting.

The comment matters because the city’s lodging-tax fund is restricted for tourism and event promotion and committee recommendations feed the City Council’s funding decisions. Committee members referenced roughly $100,000 set aside for marketing and said they need clearer, auditable numbers before finalizing a 2026 spending plan.

Most important facts

Monica, identified in the meeting as a finance department staffer, told the committee she had “just got access” to the accounting journals and found that prior staff had not completed reconciliations: “None of the reconciliations were done. So I’m still undoing and redoing all reconciliations from 2024 forward.” The committee heard that some months of 2025 lodging-tax receipts were not yet posted and that line-item allocations from 2024 carried over as journal entries rather than actuals.

Committee members raised specific reimbursement problems. An organizer for a Rotary event has submitted a reimbursement request that staff said had not been processed; finance staff agreed to forward the paperwork for payment. The committee noted $27,000 budgeted in 2024 that was not spent and asked staff to confirm whether those obligations could still be reimbursed when invoices arrive.

Marketing contract and deliverables

The committee reviewed a city contract with a marketing/vendor consultant paid from the tourism fund. Jackie, city clerk, displayed the contract and said the packaged cost in the packet showed $48,500 for services including short videos, photography and a content library; the broader $100,000 marketing allocation to the city remains available but the committee requested clearer invoice breakdowns. Jackie said meetings and task lists with the vendor are tracked on Basecamp and much of the public-facing content appears on a Facebook account called Visit Sunnyside.

Tom Denley, a committee member, summarized the panel’s role: “Our job as a committee is to review these applications and to make a recommendation to city council.” Members said they want the vendor’s invoices and scope reviewed to ensure the tourism fund is paying for outside marketing that reaches beyond the immediate Sunnyside area.

Event awards and returns

Committee members reviewed 2024 awards and reimbursements for events that included El Fest, Sunshine Days, Northwest Nitro Nationals and a charity run. Using the reimbursement forms and P&Ls submitted by organizers, members questioned return-on-investment calculations tied to paid lodging nights. For example, one event reported relatively few documented paid hotel nights yet received a $4,000 award; committee members said they want clearer methods for estimating how many out-of-town room nights events actually generate.

Committee discussion also noted that some organizers underreport out-of-town stays because the reimbursement form is hard to complete; organizers present said they tend to undercount rather than overcount. Members suggested methods to approximate lodging impact, including asking hotels for day-by-day occupancy or comparing revenue for known event dates to surrounding dates.

Signature events, scope and security costs

The panel spent extended time on the city’s three “signature” events, including Sunshine Days and the market/parade combination. Members said the city needs clearer contractual scopes so responsibilities such as restroom provision, trash pickup, media coordination and security are assigned explicitly when an organization receives a signature-event award. Committee members asked staff to add a line item for security in event project budgets and to get an estimate of typical security/overtime costs from the police department for the next meeting.

RFP timeline and applicant process

The committee adjusted the 2026 RFP timeline during the meeting: staff will publish the RFP and notices beginning Sept. 3, make printed packages available through Oct. 1, and accept responses until Oct. 3 at 4 p.m. The committee set a public review meeting for Oct. 16 at 4 p.m. in the Law & Justice building (401 Homer St.) to hear applicant presentations. Staff were asked to change the reimbursement-window language in the packet from 30 days to 60 days to accommodate invoice timing for larger signature events.

What the committee directed and next steps

• Staff to reconcile 2024–2025 lodging-tax accounts and report corrected beginning balances before the next budget recommendation.

• Finance to follow up on outstanding reimbursements (Rotary and others) and to circulate invoices tied to the marketing contract for committee review.

• Staff to update the RFP package (pickup window Sept. 3–Oct. 1; responses due Oct. 3 at 4 p.m.), publish notices and notify past applicants, and schedule the applicant review meeting for Oct. 16 at 4 p.m.

• Staff to add a security line item to signature-event project budgets and provide police overtime/cost estimates for budgeting.

The committee closed the meeting after agreeing the adjusted timeline and asking staff to return with reconciled numbers and contract deliverables for review at the October meeting.