Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Economic Development topic
No spam. Unsubscribe anytime.
Olympia council approves $20.5 million bond plan to expand Hands On Children’s Museum
Summary
The City Council approved a $20.5 million bond sale using Public Facilities District (PFD) revenues to buy adjacent property and fund an expansion of the Hands On Children’s Museum; council and staff said the project is structured conservatively and the museum board will provide additional financing safeguards.
The Olympia City Council voted to approve a funding strategy and a $20.5 million bond sale to support expansion of the Hands On Children’s Museum, City Manager Jay Bernie and museum CEO Patty Belmonte told council members on June 17.
The council action authorizes using Public Facilities District (PFD) revenues — a state-authorized diversion of 0.33% of state sales tax that can only be used for designated PFD projects — to finance a 30‑year bond. City staff said the bond proceeds will cover property acquisition from the Port of Olympia and core expansion costs while the museum pursues additional private fundraising and grants.
City Manager Jay Bernie said the city and museum took a conservative approach in modelling PFD revenue growth and debt service, and that bond counsel and municipal advisors reviewed the plan. Bernie said the museum has agreed to establish a $1.7 million security fund that the museum would use if PFD receipts fall short of debt payments. He added the PFD account is forecast to remain positive, with a cushion for facility maintenance.
Patty Belmonte, the museum’s chief executive officer, described the expansion as a response to long‑running overcrowding. She said the museum serves about 315,000 visitors per year and is already providing extensive access programs; the expansion would double exhibit square footage, add a traveling exhibit/event space, expanded parking and bus areas for school tours, a STEAM lab for older children, and a culinary program.
Belmonte said the museum has nearly $900,000 committed toward a $1 million board fundraising goal, $1.6 million in a secured Building for the Arts grant, multiple grant applications being prepared, and a federal request that was recently included in Senator Patty Murray’s submissions. The museum is pursuing a progressive design‑build contract to lock a total project cost with the design–builder and reduce cost uncertainty.
Council members who served on the Finance Committee said they had reviewed the funding strategy in depth and recommended approval. Council Member Green moved the funding strategy recommendation and bond sale; the motion passed by voice vote.
According to staff the next steps include Council adoption of enabling ordinances in early July, public facilities district board approval in August, rating agency outreach, and a goal of receiving bond proceeds in September so design and procurement can proceed.
Council and staff stressed flexibility in phasing exhibits if fundraising gaps emerge and emphasized that PFD funds may be used only for approved PFD purposes.
