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Lakeway council unanimously approves HOT grants for local youth sports, Special Olympics and arts committee
Summary
The council approved three hotel-occupancy-tax grants: $60,000 to Lake Travis Youth Association (sports tournaments), $350,000 to Special Olympics Texas, and about $70,783 to the City Arts Committee; council attached a condition about 'stay-to-play' arrangements for some tournaments.
Lakeway City Council on Monday unanimously approved three hotel-occupancy-tax (HOT) grant requests funding events the city says attract out-of-town room nights and promote local tourism.
What council approved
- Lake Travis Youth Association (LTYA): The council approved $60,000 to support youth sports tournaments after staff reported the group generated 464 room nights in the previous year. Council members asked that tournaments be organized under a “stay-to-play” arrangement to ensure hotel occupancy from participants traveling from outside the area. Staff said the application met HOT criteria and that the tournaments historically use Lakeway hotels.
- Special Olympics Texas: The council approved a $350,000 request to host the state Special Olympics events in Lakeway in February 2026. Staff said the event previously generated more than 900 room nights in Lakeway, and the applicant said organizers plan a full buyout of the Lakeway Resort & Spa for conference activities and to host opening and closing ceremonies at local venues.
- City Arts Committee: The city council approved $70,781.72 for arts programming run by the City Arts Committee after staff obtained guidance from the Texas Hotel and Lodging Association that HOT funds may support municipal arts events that have demonstrable tourism and hotel impacts. Staff said the committee agreed to follow the promotional and hotel engagement requirements for arts HOT grants.
Reasons and council discussion
Staff recommended approval of all three grants, citing post-funding reports, prior room-night counts and use of local businesses. Council members asked whether room nights were actually booked within Lakeway hotels; staff and applicants confirmed the bulk of room nights were in Lakeway properties and that event organizers coordinate with local hotels.
Votes and outcome
Each award passed unanimously; no further council action was required.
Ending
Staff will continue to monitor hotel occupancy and submit post-funding reports on room-night performance as required by city HOT guidelines.
