Bonney Lake officials ask for a multi-year plan as parks and recreation faces insurance and facility uncertainties

Jason Sullivan, public services director for the City of Bonney Lake, told the Sumner Bonney Lake School District board on June 9 that the city's newly integrated recreation division serves about 4,300 participants and depends on a mix of fees, district support and general fund transfers.

"I'm Jason Sullivan. I'm the public services director for the city of Bonney Lake," Sullivan said in his presentation. He said roughly 90% of program participants live inside the Sumner Bonney Lake School District boundary; about 23% live inside the City of Bonney Lake while roughly 62% live in unincorporated Pierce County (with the Tuhali area a prominent source of participants).

Why it matters: Sullivan said the program cost about $829,000 last year and depends on multiple revenue streams: 57% from charges for services, 22% from school district funding (including a $50,000 annual payment plus about $133,000 in waived facility rental value), 20% from a general fund transfer (about $140,000) and 1% from sponsorships. He warned that losing the district's cash or in-kind support would create about a $200,000 gap that could force fee increases or reductions in programming.

Board members pressed Sullivan and Alexis Latham, the city's recreation supervisor, on two operational issues that affect the program's viability: a new insurance requirement for coaches who contract with the city and the duration of the interlocal agreement (ILA) between the city and the district.

On insurance, Sullivan said independent contractors who run camps are required to hold their own policies because they are not city or school employees. He gave an example cost: "It's about $270," he said, adding that shorter single-camp coverage could be lower but minimum policy limits and administrative minimums drive that annual figure. Sullivan and Latham said some coaches have chosen to run programs through Associated Student Body (ASB) accounts or other vehicles to avoid the contractor insurance burden.

On the ILA, Sullivan said the current agreement expires at the end of August and that a one-year term prevents longer-term planning. "With a one-year interlocal agreement, we can only plan long-term for 1 year," he said. He described options such as a multi-year ILA with built-in milestone gate reviews so both organizations could reassess commitments and facilities availability at set points.

Board members asked the city to develop 2– to 5-year forecasts showing likely offerings, revenues and expenses under plausible assumptions, and to include milestone checks in any longer-term ILA. Sullivan said forecasting is possible but cautioned that some commitments would require review by the mayor and city council and that a 60-day turnaround is unlikely. He agreed to bring the board's request and priorities (longer-term ILA, facility reservation priority and continuation of the $50,000 and in-kind rental support) to city leaders.

Additional operational notes: Sullivan said the recreation division is near capacity with three recreation staff, added that the city will move registration to Civic Rec on Aug. 1 (eliminating paper registration), and noted limited grant opportunities for operating costs; he said the city applied for Pierce County grants but does not expect significant award amounts from those applications.

What happens next: The board did not take action on the ILA at the special meeting. Sullivan said he would relay the board's message to the mayor and city council and return with follow-up as those internal processes proceed.