06/27/1988 Meeting - Laserfiche WebLink

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e VIII. RESOLUTION CONCERNING TRANSIENT ROOM TAX FUNDS City Manager Mike Gleason introduced the item. Ms. Calkins presented the staff report. She said the resolution allocating transient room tax revenues was updated last year to include Hayward Field. She said staff is recommending the resolution be updated again this year by adding new guidelines for allocations. Those include changing the Parks and Recreation's Cultural program allocation to a set dollar amount instead of 7.5 percent of net revenues. Ms. Calkins said the major change this year is that the adopted budget has set aside a $97,000 reserve for contingencies for special events such as the World Veterans Games. Because the Strategic Financial Plan has not been completed yet, she said staff is unsure whether the plan will have an impact on destination point activities such as the Eugene Celebration. Once the audit is completed for FY88, staff will come back to the council and the Budget Committee with a recommendation for use of those reserve funds. In response to a question from Ms. Bascom, Ms. Calkins said the Room Tax is a 7.5 percent: 4.5 percent goes to the City and 3 percent goes to Lane County. Ms. Wooten asked if the $40,500 allocated for the Parks, Recreation, and Cultural Services Department (PARCS) is reserved for only PARCS events or also used for other cultural events that may need assistance. Ms. Calkins said the money is used for a diversity of cultural events. e In response to other questions from Ms. Wooten about reserve money for small, independent cultural events, Ms. Calkins said there was no change in the allocations from last year. Mr. Miller asked how much is included in the remainder of the fund. Ms. Calkins said $34,812 has been budgeted for the Conference Center for FY89, and $187,640 has been budgeted for the Hult Center. If additional money comes in, she said it is added to the previous allocations after the audit is completed and the fund balance has been determined. She said the Hult Center and the Conference Center are the only two funds that do not have set dollar amounts for FY89. Mr. Miller asked what impact that kind of changing amount can have on the budget. Mr. Gleason said that was the reason for the reserve being created this year. He said this year's figures stem from a formula that was developed by a group headed by Mayor Obie that tried to sort out what funds were going to go to the Arts Commission, the Cultural Arts Commission, and the Eugene Arts Foundation. Mr. Miller said he is concerned that there are not fixed dollar amounts. Mr. Gleason said he will research the agreement reached between the three major arts organizations and report back to the council. e MINUTES--Eugene City Council June 27, 1988 Page 8