Commission explores community event grant pilot, lodging-tax limits and possible city support for Thurston County Pride

The Lacey Commission on Equity on Feb. 24 discussed a proposal to research and design a community event grant pilot to support cultural celebrations and community programming, and heard a request to partner with an existing Pride organizer for a Thurston County Pride event.

City staff explained that some city-supported events are resource-intensive and that the city already administers several funding avenues — including lodging-tax-supported events, a neighborhood-matching grant program and a human-services grant program — each of which has different eligibility rules and purposes. Staff emphasized that lodging-tax dollars are restricted by state rules to tourism marketing and events designed to attract overnight visitors.

“Those dollars need to meet state requirements on how they’re spent,” said Shannon Kelly Fong, assistant city manager, describing lodging-tax rules and the committee that recommends lodging-tax disbursements. She noted that most city-run events are labor- and resource-intensive and that a grant pilot would need clear eligibility criteria and a sustainable community partner model.

Commissioners discussed existing models they could use for criteria and example programs. Staff presented examples from other jurisdictions — including Bend, Ore., a Wellington, New Zealand framework, and Broward County, Fla. — that publish transparent eligibility criteria, application processes and award reporting. The commission asked staff to return with a detailed proposal and draft application language.

Commissioner Annie Clay asked whether the city could provide visible civic participation at regional Pride events. “I would love to see the City of Lacey stand up for LGBTQ trans, especially trans community, in the in that kind of way,” Clay said, proposing a City of Lacey banner for participation in an Olympia Pride parade.

Commissioners also heard from Commissioner John Hedgewood, who described his meeting with a local organizer referred to as Lady L (Lady L Productions), who produced a Thurston County Pride event at the fairgrounds in 2024. Hedgewood said the organizer drew roughly 1,500 attendees in 2024 with minimal budget and asked commissioners to consider low-cost city support to amplify reach this year. “She had 1,500 people, in and out of the fairgrounds in, I think, a period of 6 hours,” Hedgewood said.

Staff said a longer-term community event sponsorship or grant program would require council approval and likely a budget allocation; as an interim option, staff suggested low-cost, near-term civic participation and outreach to support existing community-led events. Several commissioners favored pursuing both: immediate, symbolic city participation this year and a transparent grant pilot for 2026 budget consideration.

Handouts and examples will be refined and returned to the Commission for recommendation to the City Council; staff said they will research eligibility criteria and report back with a draft program for commissioner review.