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Residents urge Lead commissioners to preserve funding for local nonprofits; B&B tax proposed as alternative
Summary
Dozens of residents told the Lead City Commission cutting general-fund support for city-backed nonprofits would damage child care, the Hanley Center, arts programming and small businesses; several speakers suggested using the Bed & Breakfast (B&B) tourism tax instead of the general fund.
Dozens of residents spoke at a special Lead City Commission meeting on the evening of the twentieth urging commissioners not to cut funding for city-supported nonprofits and offering alternatives for balancing the budget.
"Defunding local nonprofits will remove access to vital medical services, decrease transportation for Lead residents and reduce access to food pantry services," said Emma Garvin, identified in the record as lead at Dunwood Economic Development Corporation. Garvin told commissioners the city funds 11 nonprofits through the general fund and that those organizations receive an average of $7,136 annually.
Speakers representing the Hanley Center, the Northern Hills Alliance for Children, the Lead Area Chamber of Commerce, the Lee Debit Arts Center and other groups described how relatively small city grants support programs that attract visitors, provide youth activities and leverage larger state and private grants. Lexi Wilson, program coordinator at the Hanley Center, listed regular programming and events — vendor markets, youth nights, yoga and an annual basketball tournament — and said the center provides affordable services that fill performance and recreation gaps in winter months.
Several speakers proposed using Bed & Breakfast (B&B) tourism-tax revenue to preserve nonprofit funding. Sharon Chaffley cited an audit showing the B&B fund carried over $316,624 at the end of 2023 and suggested allocating some of that balance to nonprofit grants this year rather than drawing from the general fund.
Child-care advocates described operational pressures that depend on the city subsidy. "We are the only licensed nonprofit childcare center in the area," said Kaylee Lynn Wofford, director of the Northern Hills Alliance for Children. She said the center serves up to 56 families in five classrooms and relies on city funding, grants and foundation awards to cover recurring deficits.
Other speakers, including Richard Chapman and Daniel Ward, urged fiscal caution and prioritized infrastructure, arguing that aging sewer and street systems require investment. At least one speaker suggested more rigorous review of nonprofit accounting based on past management concerns.
Procedurally, the commission opened the public discussion by unanimous voice vote after a motion to begin the public-comment portion was moved and seconded. Commissioners did not take a final funding vote at the meeting; the session focused on collecting public input and hearing proposals for alternative revenue sources.
The next steps were not decided during the meeting; commissioners acknowledged the public testimony and indicated the topic would be reviewed as part of budget planning.
