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City staff cannot find county IGA governing transient lodging funds; allocation under review
Summary
Budget staff told the committee she cannot locate an intergovernmental agreement that would specify how the county’s transient lodging tax apportions funds to Westfir; without the IGA staff cannot determine whether the city must dedicate 70% of funds to tourism or may use them discretionarily.
Nicole Chitten told the committee she was investigating whether Westfir’s share of the county transient lodging tax (TLT/RTMP) is restricted by an IGA. "I don't have a copy of that IGA, I've checked... I'm checking right now with the county board of commissioners to see if they happen to have a copy," she said, and added that LCOG advised the IGA language determines whether the funds must be spent on tourism or can be used as discretionary general-fund revenue.
Chitten said she conservatively allocated 60% of the TLT funds to tourism in the proposed budget (noting a 50/50 split is anticipated for 2027) but that the missing documentation adds uncertainty to the draft budget and increases the projected general-fund deficit by about $7,800 in the current schedule. She said staff will continue to search county records and consult LCOG and counsel to confirm the legal treatment of the funds before finalizing allocations.
