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Federal Way approves $75,000 lodging-tax award for Pacific Raceways; council asks for better hotel-stay data

5128570 · July 2, 2025
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Summary

Council approved a $75,000 Tourism Enhancement (LTAC) award for Pacific Raceways after questioning promised hotel room nights and asking staff to track overnight stays with cell‑data and other metrics.

The Federal Way City Council on July 1 approved a $75,000 lodging-tax (LTAC) tourism enhancement award to Pacific Raceways and asked staff to improve how event-driven hotel stays are tracked.

Meredith Neal, the city’s economic development director, told the council the event is projected to generate “close to 6,000 overnight stays within the region” and estimated about 26,000 attendees for the three-day race weekend. “Of those, 50% of them, a little over 50% come from more than 50 miles away,” Neal said.

Jason Fiorito, representing Pacific Raceways, described the track as a regional draw. “Race tracks are regionally beneficial,” he said, and said the venue fills hotels in Auburn and Federal Way throughout the season. Fiorito asked the council to increase Federal Way’s contribution from prior-year awards of $50,000 to $75,000 this year to help mitigate operating losses at the track.

Council members pressed for verification of the lodging impact. “What is our plans for being able to verify… how many people stayed?” Councilmember McDaniel asked, noting earlier claims that the event would generate roughly 100 rooms at a nearby Courtyard by Marriott. Neal said staff will pursue better data, including cell-phone–derived location data, to determine where event attendees actually stay. Councilmember McDowellby said the city should “get some reporting… how many rooms might be going to be rented” across the season, and Councilmember Honda asked whether the track will run ads that mention Federal Way; Fiorito said yes and noted broadcast opportunities with NHRA.

Councilmember McDaniel moved approval of consent agenda item J, the Pacific Raceways award; the motion passed unanimously.

The council granted the LTAC funding and directed staff to work with Pacific Raceways, hoteliers and LTAC to produce stronger post-event metrics showing hotel room nights attributable to the race weekend and related seasonal events.