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DuPont council votes to apply for county LTAC design funds for event center option 2 after lengthy debate
Summary
After a multi-hour feasibility presentation and council debate about parking, operating deficits and funding risk, the DuPont City Council approved a motion to submit a Pierce County lodging-tax (LTAC) application to fund design and engineering for Option 2 (renovation plus 600 sq ft addition). Vote was to apply only for the study; future funding would be required for construction.
The DuPont City Council voted May 20 to authorize staff to apply for Pierce County LTAC design and engineering funds for Option 2 of a tourism and events center feasibility study, a move that commits the city only to seeking a study grant and not to construction.
“Bottom line upfront, we're looking to get the council approval to move forward with Phase II, which would be design and engineering of either Option I or Option II,” Keith (city staff) told the council during the presentation of the feasibility study, explaining the LTAC process and the study goals.
Johnston Architects presented three options. Their high‑level cost estimates were: renovate existing building (Option 1) — about $3.2 million; renovate plus an approximately 600‑square‑foot addition to reach a 200‑person banquet capacity (Option 2) — about $3.8 million; and a new building on a new site (Option 3) — about $6.7 million in today’s dollars. The consultants said the renovation would require structural and systems replacement and that converting the current community center into a 200‑person banquet facility would approach the scale and complexity of a new build.
The market analysis estimated cost recovery in many feasible scenarios at roughly 50%–60% of operating costs, with an aspirational high end near 65%–70% under favorable bookings. Presenters warned the city to expect annual operating deficits in conservative scenarios and said larger events tend to produce better revenue-to-cost ratios.
Council debate was extensive and split. Some members pressed for Option 1 or additional alternatives; others urged pursuing the LTAC opportunity to recapture Pierce County lodging-tax dollars directed to other cities. Council Member (Jugal) presented a separate, larger vision for a multiuse recreation complex on a different site and urged a long-term approach and consideration of bonds or developer contributions for the construction phase.
Deputy Mayor Winkler moved that staff submit a Pierce County LTAC grant application for design and engineering for Option 2; Council Member Barrow seconded. Winkler clarified during debate that the motion committed only to applying for the county grant to pay for a study and not to any construction spending. The motion passed after a voice/roll-call sequence; several council members expressed reservations, one council member abstained from the final recorded position in the transcript, and some members voted no.
Council members directed staff to include parking analysis and to ensure any LTAC application addresses the county’s “beds and heads” requirement for hotel-room nights. Staff reminded the council the LTAC application deadline was June 5 and that a successful study grant would be followed by a separate application and decision process for construction funding.
Next steps: staff will submit the LTAC design/engineering application for Option 2 and return to council with study results and recommended next actions if the study and eventual construction funding are pursued.
