Gig Harbor council approves amended YMCA lease for sports complex phase 1A with $2 million city contribution

The Gig Harbor City Council on March 10 authorized the mayor to execute an amended lease with the YMCA of Pierce and Kitsap Counties for phase 1A of the Gig Harbor Sports Complex, including a $2,000,000 contribution from the city's Hospital Benefit Zone (HBZ) funds and changes to ownership and use terms.

The amended lease keeps the YMCA's ability to construct and operate two artificial turf fields on city-owned land, establishes a 35-year initial term with up to three 20-year extensions, and sets an annual lease charge of $1. The agreement also allocates the parking lot and associated driveways and landscaping to city ownership while retaining YMCA maintenance responsibilities.

Parks Manager Jennifer Harrow delivered the staff report, saying the YMCA and city have worked on the project for several years and that delays—largely tied to fundraising and COVID—required changes to the original agreement. "The term is 35 years with up to three 20-year extensions, and they will be charged a dollar a year for that," Harrow said, describing the amended timeline and funding shifts. Harrow also summarized changes from the 2021 lease: the city will contribute $2,000,000 from HBZ funds; a 2017 state legislative appropriation of $499,820 is being assigned to the YMCA; a $120,000 Pierce County reallocation is included; and one previously listed Recreation and Conservation Office grant has expired and was removed.

During council questions, Council member Henderson asked about a provision in the rules for field users that forbids food and drinks; Harrow said the YMCA would enforce those rules because "it can damage the turf." Council member Rodenberg asked for clarification on HBZ restrictions; city administrator Katrina Knudson and Harrow said HBZ funds are restricted to capital public facilities within the Hospital Benefit Zone and cannot be used for city operations, and that the sports complex is an identified HBZ project.

A member of the public, Edward Nadler, told the council he was concerned about the increased cost estimates and the expanded city funding share. Nadler said the city's role has grown since the project's early visioning and cautioned against further requests for citizen funding. "With this amendment, the cost estimates have doubled while citizen funding will increase 650%," Nadler said during public comment.

Council deliberation was brief. Council member Storrsett moved to authorize the lease; Council member Rodenberg seconded. The motion carried 5 to 0 with Council member Henderson recorded as abstaining. The record shows the city will own specified surface improvements and the YMCA will manage field scheduling, low-income financial assistance for YMCA programs, designated public-use times, and a YMCA-managed capital reserve for future field maintenance.

The lease removes prior language that would have allowed the YMCA to purchase the land at the end of the lease; under the amendment the land will revert to city ownership when the lease terminates. Harrow said a future services agreement between the city (as landlord) and YMCA (as tenant) will be negotiated to detail scheduling, shared facility maintenance, use rates, rules and capital reserves. The council's approval authorizes the mayor to execute the amended lease; funding and the services agreement will be addressed in subsequent staff work and contract approvals.

Article ending: The council's authorization lets the YMCA proceed with phase 1A under the amended financial and operational terms described; staff flagged further negotiation and a services agreement as follow-up actions that will determine the fields' day-to-day public-access rules and longer-term capital management.