Cowlitz County seeks $16,000 supplement for Hall of Justice cafe; commissioners consider vending alternatives

County finance and facilities staff asked commissioners on Thursday to consider continuing the Hall of Justice (HOJ) cafe and to budget a modest general-fund supplement after the cafe posted startup losses in its first months.

Kathy Funk Baxter, Cowlitz County finance director, told the commissioners the cafe opened in April and through October had generated $13,431 in revenue; staff projected about $17,731 in revenue for a full year of operation. Direct cafe supply costs through October were $10,789 (staff projected $13,589 for the year after adding remaining purchases). Baxter said the cafe has used a temporary employee provided by a staffing agency; the county had paid about $12,604 through October for temporary staffing and projected an additional $4,500 for the year, producing a projected total temporary-services cost of roughly $17,100.

Baxter summarized the financial position this way: year-to-date (through October) the cafe showed a loss that she described as roughly $9,962; including year-end projections and startup costs, Baxter projected a total loss for the cafe in 2025 of about $19,552. She said the county has advanced general-fund cash to support the cafe this year and asked the board to consider a $16,000 supplemental general-fund appropriation for 2026. For ongoing operations she estimated the cafe would need about $20,000–$21,000 per year, largely for labor.

Baxter and other staff reviewed alternatives the county had pursued and rejected (a contracted vendor drew no responses and prior private operations were not profitable). She said the county tried renting higher-end equipment (espresso and ice machines) but found purchase was less costly given low volumes. Baxter suggested possible future options: modest price increases, continuing a county subsidy, relocating the operation to be managed by the Expo Center (staff noted the Expo Center’s gift shop uses point-of-sale and inventory systems similar to the cafe) or replacing the staffed cafe with additional vending machines or food-truck events.

Members of the board raised concerns about budgeting a subsidized food operation while other departments were being asked to cut budgets. One commissioner said he would consider permitting a two-year run but expected improvement in 2026 or stronger justification to continue in 2027. Others expressed concern that the elevator/entrance layout makes the cafe less visible to visitors and that vending alternatives (state-contracted vending or county-owned machines) could meet the basic need at lower cost. Mike Ross, public services director, offered to help find vending solutions and said existing vending machines (under state contract) currently place proceeds with the contractor and that county-owned machines could be an option if the board discontinues the staffed cafe.

No formal vote was taken Thursday. Commissioners asked staff to explore alternatives (vending, transferring management to the Expo Center, or adjusting prices/hours) and to include a $16,000 supplemental request in the 2026 budget packet if the board wants the cafe to continue through next year.

Quotes from the meeting

"Through October, we earned about $13,431 in revenue…year-to-date we are projecting about almost $13,000 loss for this project," Kathy Funk Baxter, finance director, said while reviewing receipts and projections.

"For 2026, because we've already infused some cash, I would only need about $16,000 of additional general fund for 2026. But on an ongoing basis, my projection is we'd need about 20,000, 20 to 21,000 a year to run this," Baxter said.

"If you guys are gonna scrap this operation ... it might be the best direction losing that much money per year. We'd be, you know, helpful in trying to find new vending machines," Mike Ross, public services director, said.