Mountlake Terrace weighs $70 million‑plus options for aging Recreation Pavilion, FST favors metropolitan park district as possible funding path
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Summary
City staff said the 33,000‑square‑foot Recreation Pavilion is deteriorating and that a full replacement could cost upwards of $70 million; the Financial Sustainability Task Force recommended exploring a city‑only Metropolitan Park District and other partnership financing instead of bonding solely on residents.
City officials told attendees that Mountlake Terrace’s 33,000‑square‑foot Recreation Pavilion is a regional asset that is showing serious facility decline and would be expensive to replace.
"We have a 33,000 square foot recreation pavilion, which our community strongly identifies with and the facility itself is failing miserably," Carolyn Hope, deputy city manager, said during the presentation.
Why it matters: Staff said the pavilion supports aquatics, childcare, recreation programs and community gatherings, and that many users come from other cities. A 2009 facilities study updated to current dollars showed replacement costs could exceed $70 million, a total staff described as fiscally imprudent for the city to shoulder alone.
Staff outlined financing options including a bond/levy, increased sales tax, special districts or partnership models (developer financing, donations, grants). Because of those limits, the FST discussed metropolitan park districts (MPDs) as a potential governance and funding option. An MPD is a separate taxing authority that can fund operations and capital and can bond; a city‑only MPD would require a simple‑majority vote and could be structured to cover specific facilities or the city’s parks and recreation portfolio.
The FST said it preferred a city‑only MPD as the basis for revenue projections but cautioned that bonding a full replacement is not recommended without external partners. Staff emphasized a range of hybrid options — e.g., developer partnerships or a rent‑to‑own model where a developer finances a building and the city makes payments — and said any approach would require conversations with potential partners and careful outreach.
Staff also discussed program‑level choices such as increasing cost‑recovery targets for programs (the council goal is an 80% overall cost‑recovery rate) and alternative service‑delivery models (third‑party operators, partial partnerships with non‑profit providers). The FST did not recommend eliminating youth or life‑safety programs but suggested continued evaluation of program cost recovery and facility options.
What’s next: Staff will continue outreach and research on MPD and partnership options. The FST’s recommendations go to the City Council for consideration ahead of any ballot measures or binding financial decisions.
