Spokane Valley city staff and the Lodging Tax Advisory Committee (LTAC) reported Nov. 1 that hoteliers are seeking to accelerate an Innovia Foundation ice-rink project and are prepared to use lodging-tax resources to support early operational needs.
"The committee on behalf of area hoteliers are extremely excited about the ice rink facility coming forward, and they would like to speed up the process to get the project moving," City Manager John Holman said. Holman told council the LTAC is prepared to consider applications to reimburse operational losses and that the committee would entertain a city application of up to $2,000,000 toward an estimated $3,000,000 in supporting infrastructure (intersection expansion, new access road, sewer lift station and related utility work).
Holman said the pro forma from the city's sports-facilities consultant projects a roughly $445,000 loss in Year 1, improving toward a roughly $80,000 loss by Year 5; he emphasized that operational losses and equipment replacement would remain the responsibility of the entity that owns and operates the rink. Councilmembers expressed both support for accelerating the project and concern about committing lodging-tax or other public funds to potential ongoing operational liabilities. Councilmember Merkel urged the council to see land-lease details before finalizing financial commitments.
Council consensus, as recorded in the transcript, was to allow staff to pursue the LTAC special meeting and receive an application from Innovia; staff proposed a possible Nov. 20 special LTAC meeting. Any formal LTAC recommendation and the city's potential capital application would return to council for approval.
What happens next: staff will work with the Innovia Foundation on an LTAC application for operational reimbursement (if any) and prepare materials on a potential city $2,000,000 capital application toward infrastructure; council will consider LTAC recommendations and any city funding request before committing funds.