Sighs of relief after voters overwhelmingly approve sales tax increase for Town Toyota Center

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Sighs of relief after voters overwhelmingly approve sales tax increase for Town Toyota Center

Tuesday, April 17, 2012

WENATCHEE — It was hugs and smiles all around at the Chelan County Courthouse as a crowd of local officials were told that voters approved a tax measure to rescue the Town Toyota Center from financial disaster.

041712 World photo/Mike Bonnicksen ---- Town Toyota Center Regional Events Center Public Facilities District chairman Tim Cetto, center, hugs PFD attorney Pete Fraley after the reading of the Proposition 1 results by Chelan County Auditor Skip Moore at the Chelan County Courthouse on Tuesday evening. At left is PFD vice chairman Dick Erickson.

“We’re on to the final chapter,” Pete Fraley, attorney for the Greater Wenatchee Regional Events Center Public Facilities District, told Wenatchee Mayor Frank Kuntz, as the two hugged.

“Good for the region for stepping up,” Kuntz said. “None of this is easy. But it had to be done.”

Here's what will happen next

WENATCHEE — It may still be another six to eight months or even longer before the Town Toyota Center’s debt is paid off, even with the apparent passing of a regional tax increase.

Here’s what will happen next:

Soon after the election is certified on April 27, the Greater Wenatchee Regional Events Center Public Facilities Board will meet and vote to impose the 0.1 percent sales tax in the cities of Wenatchee, East Wenatchee, Cashmere, Entiat, Chelan, Rock Island, the town of Waterville and unincorporated areas of Chelan and Douglas counties.

Thirty days after that, a new board will be appointed by the nine jurisdictions that make up the PFD. Wenatchee Mayor Frank Kuntz is expected to sit on the board.

The new PFD board and the city of Wenatchee will work out a financial package, using the proceeds from the regional sales tax and the 0.2 percent sales tax imposed without voter approval in Wenatchee, to pay off the current outstanding bond anticipation notes.

The 0.2 percent tax hike in Wenatchee will go into effect on July 1 and the 0.1 percent tax increase across the nine jurisdictions will take effect on Oct. 1.

If all goes as planned, new bonds would be sold in six to eight months to pay off the bond anticipation notes that have been in default since Dec. 1.

— Michelle McNiel, World staff

About two-thirds of the votes tallied so far in Chelan and Douglas counties were in favor of a measure that will raise the sales tax by 0.1 percent to help pay off the arena’s nearly $42 million debt, which went into default last December.

The measure needed a simple majority to pass.

Chelan County Auditor Skip Moore said that while the election is never final until it officially closes in a couple of weeks, it’s not likely that the result will change. He said ballots that are dropped off or mailed on election day and are counted afterward tend to follow the same trend as the election night totals.

More ballots will be counted in both counties at 4:30 p.m. Friday.

“That’s great,” said Al Lorenz, a Lake Chelan area businessman who was outspoken in his opposition to the tax increase. “There’s a solution in place, and this puts the issue, at least for awhile, behind us. I hope the community stays happy about this a few years from now.”

The crowd gathered at the Chelan County Courthouse on Tuesday was all in support of the tax, and consisted mostly of city of Wenatchee and PFD officials. Most expressed surprise that the vote was not closer.

“There was a lot of emotion, a lot of strongly-held beliefs on this issue,” Fraley said. “In those cases, you never know how it’s going to ultimately break down.”

Tim Cetto, chairman of the PFD board, added, “It’s been a long year and a half for this board, with twists and turns every time you turn around.”

“In the end, the voters held the wild card and they voted ‘yes,’” he said.

Kuntz thanked voters “from Chelan to Rock Island, and unincorporated areas around Leavenworth to Wenatchee” for supporting the tax measure.

“Wenatchee needs to be thankful,” he said. “Wenatchee needs to be humble. We got into a real problem and the region bailed us out. As long as I’m mayor, we’ll never forget that.”

He added, “Today is a day to celebrate. This is a huge step for us.”

It is estimated that the tax will bring in about $1.7 million a year in the nine jurisdictions that make up the Greater Wenatchee Regional Events Center Public Facilities District. Those areas are the cities of Wenatchee, East Wenatchee, Cashmere, Entiat, Chelan, Rock Island, the town of Waterville and unincorporated areas of Chelan and Douglas counties.

Josh Tarr, a Wenatchee businessman and a leader of the tax-support effort, was enjoying a celebratory beer at Columbia Valley Brewing with other supporters on Tuesday night. But he said he didn’t see the election results as something to celebrate.

“I’m more excited for this day to have come and to get past this point,” he said. “My real dream is that we can eventually be incredibly proud of this place (the Town Toyota Center) as a community.”

He added, “We’ve finally put the cart behind the horse, where it belongs. We should have had the tax in place before we built the arena. ... Maybe we should looking at changing the way government works and not have such a powerful mayor position that can potentially steamroll something like this through.”

Tarr applauded Kuntz for his leadership in finding a way to pay off the arena’s debt.

“He knows numbers and he found a way to fix this,” Tarr said. “It’s not a very popular way. But obviously the voters got behind it.”

Lorenz, who set up a Website and Facebook page to oppose the tax measure, said he doesn’t begrudge its apparent success.

“I hope they make it work,” he said. “But the history with sports stadiuims is that they tend to become obsolete before they are paid for. ... I just felt like I needed to speak out because things weren’t being spoken. But whatever the public wants is good with me.”

Michelle McNiel: 664-7152

mcniel@wenatcheeworld.com

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davebugg 1 year, 1 month ago

My congratulations to those behind the 'Yes' campaign. The public has made its choice known. On to other issues.

Suz 1 year, 1 month ago

AMEN!

wenatcheeguy 1 year, 1 month ago

now if we could just get rid of those darn chairs on Orondo street.... and the billboards within city limits........and the 1000 foot tall taco sign.....

1nprayers 1 year, 1 month ago

? is - y would we ever doubt! ;}

God has blessed us with the type of Council to lead us into the next era of fiscal maturity; it's word spoken by our mayor kuntz that speaks volumes such as, “Wenatchee needs to be thankful,” he said. “Wenatchee needs to be humble. We got into a real problem and the region bailed us out. As long as I’m mayor, we’ll never forget that.”

Makes me happy that we have him leading this ship called Wenatchee!!!

Seven 1 year, 1 month ago

Great!!....every "yes" vote was important to our community...and like others have said.."Its time to move on"...

Valley_Fish 1 year, 1 month ago

This special election was a complete and utter FARSE and FRAUD, and those who scheduled it should be RUN OUT of office. When you want a tax hike to fail, you put it on the November ballot. When you want it to pass, you hold a special election and slide it through when the fewest hard-working folks are paying attention. Evidence: yesterday only 17,705 people turned out to vote. In the November 2010 general election more than 27,000 Chelan County citizens turned out! If you look at the 2010 results, Republicans outvoted Democrats 63% to 36% - almost exactly opposite of yesterday's elections. Everyone attached to this tax increase should be run out of town. We'll remember in November you tax pigs.

FredB 1 year, 1 month ago

Didn't realize this was a Democrat/Republican vote.

FootballNut 1 year, 1 month ago

It wasn't. It wasn't a partisan issue for the most part.

wenmoose 1 year, 1 month ago

So are you insinuating that Republicans didn't turn out to vote? And if they had turned out, the measure would have been defeated? Where did you get the info that more Democrats than Republicans voted? Sorry Fish, I think you've been out of the water too long.

Valley_Fish 1 year, 1 month ago

Did you READ the post? Go back and look at the Rossi/Murray numbers from November 2010. That's a good indicator, no?

Seven 1 year, 1 month ago

BOOOOOOOO!!!

Peggy 1 year, 1 month ago

Please. No one had to "turn out" to an election place. All they had to do was open their mail, fill in a space and return the ballot either by mail or by dropping it into a conveniently located Ballot Box. If one cared about the issue one voted.

This was a contentious issue and those in favor of adding on a small tax won. Let's get on with life now, shall we?

JimboBear 1 year, 1 month ago

My thinking exactly Peggy. Well said!

stevensgs 1 year, 1 month ago

It wasn't a D/R vote, it was a vote between those who want to go into the future with eyes wide open, with a plan to at least attempt to solve the TTC problem, and those who prefer to put their heads in the sand and hope the problem goes away.

FootballNut 1 year, 1 month ago

No, you're wrong. It was a vote between those who wanted 8 other jurisdictions to bail out Wenatchee and those that didn't. Simple as that.

Valley_Fish 1 year, 1 month ago

That's right... Keep whistling past the graveyard and pretend there's some greater, future good in hanging this albatross around the necks of the entire region. The council KNEW going in there was NEVER any way this thing could be financially viable. To use your words, they went in with "eyes wide open" and scammed us then, like they're scamming us now. The council thought they'd clean up the mess later passing along minor tax increases every other year when taxpayers weren't looking, but when that didn't happen and the balloon came due... OH IT'S ABOUT THE FUTURE OF THE VALLEY, THE GOOD OF THE VALLEY. That smells like the north end of a southbound mule. If you're so confident it's not a D/R thing, then put it on the November ballot! You want a TRUE vote of the Valley? Put it on in November!

Wenatchee = Greece. We'll remember in November you tax pigs.

fitzsimmons 1 year, 1 month ago

"Tax pigs" is not a civil way to talk. Please refrain in future posts from using such language.

Valley_Fish 1 year, 1 month ago

Civil this. Wise up and become a student of US and world history. We have this thing called the First Amendment. It protects my right to speak freely and characterize public figures as I so choose.

Peggy 1 year, 1 month ago

Give us all a break. Rudeness is unnecessary and uncalled for. Also, last time I checked the Wenatchee World was not the government and thus they can remove your post if it is not in accord with its posting guidelines. Our 1st Amendment restricts the government's actions not the action of our local newspaper.

FootballNut 1 year, 1 month ago

Thank you Peggy. You hit the nail right on the head.

FredB 1 year, 1 month ago

I wouldn't say albatross around our neck but maybe canary, which is also a nice song bird.

Valley_Fish 1 year, 1 month ago

LOL! FredB is funny!

Suz 1 year, 1 month ago

Wow, "whistling past the graveyard, albatross around the necks of the entire region, eyes wide open and smells like the north end of a southbound mule," you managed to squeeze in four colloquialisms in one paragraph.

Valley_Fish 1 year, 1 month ago

Suz is awesome.

pschock 1 year, 1 month ago

Έχετε μια κακή κατανόηση των οικονομικών οικονομία.

Thinly veiled Guy Fawkes references aside,(by the way, did you know that Alan Moore, the writer you are likely unwittingly referencing, is an anarchist? Food for thought.) the long-term effects of near or complete bankruptcy on a city ultimately would lead to a higher marginal tax rate for citizens who live in the city than would have existed had the city taken appropriate action to curb the problem beforehand. This also increases the financial burden on the surrounding area, have negative effects on regional economic growth (Inman, How to Have a Fiscal Crisis: Lessons from Philadelphia). This means that no matter where you live in Chelan County, the detraction from your yearly earnings potential that would result as a function of a Wenatchee bankruptcy would likely be greater than the pittance fee passed by the measure($132.03 on average per year per family unit, assuming you spend every dollar in Chelan County).

No one is arguing that the TTC isn't a huge, splattery bull crap sandwich, but unfortunately it exists, and has outstanding debt that the PFD is responsible for. Something had to be done about its financing to secure the financial future of the city. I assure you, the taxes that would accrue after a local public bankruptcy would be much higher than this meaningless figure.

Seven 1 year, 1 month ago

GO WILD!!!!

Stever 1 year, 1 month ago

Uh, Mr. Fish, sir: Your First Amendment rights to not attach to this private forum. I suggest you ingest copious amounts of Xanex.

Valley_Fish 1 year, 1 month ago

This comment was removed by the site staff for violation of the usage agreement.

stevensgs 1 year, 1 month ago

I doubt that there are enough Democrats in the region to swing the vote by the margin that Prop 1 is passing, even with a small turnout. I do know than most of my Republican friends and family supported it.

Valley_Fish 1 year, 1 month ago

My point is, with such a controversial issue why not hold the ballot when you know the most voters are going to turn out? Why slip it under the carpet in the middle of April, on Tax day of all days?! Hard working folks expect two elections a year: primary day and general election day. These specials are a farce and the results should be stricken.

Midauter 1 year, 1 month ago

Surely no one in the area who had the least interest in public affairs could have missed the fact that there was an an election. It's been in the news incessantly for months. Are you saying you didn't vote because you missed the election. I think that the people who cared about the issue, pro AND con, made the time to fill in their ballots and get them returned. If you didn't vote, you can hardly quibble with the results now. If you did vote, this is a democracy. You were not on the winning side of this issue. Low voter turnout is not a sign of a conspiracy - it's the sign of apathy.

Valley_Fish 1 year, 1 month ago

Midauter: Your pedantic analysis overlooks the ceremony of biennial elections. People don't exist for government; it's the other way around, and special elections are the tools of political foxes. What's apathetic is the stance of elected officials spending our money on a special election to slide a tax increase on the entire valley for a mistake Wenatchee should have eaten all by itself (and choked, if need be). This is exactly what happened with Obamacare. The very small minority of ivory tower dwellers thought they knew what was best for America, and they rammed it through Congress on a partisan vote held a day and a half before Christmas, when folks weren't focused. Before we knew it Obamacare became the law of the land. I suppose people who cared about that issue should be quiet now, too because that was signed into law after a democratic process. Right?

JimboBear 1 year, 1 month ago

Do you really see a similarity between the passage of Obama-care and the passage of this tax measure Mr. Reider? I think you'll have to explain that to me before I can agree with you. The first was a legislative action that was voted on and signed into law only by a sitting legislature. The other was a proposed tax measure that was voted on by the populace of the affected region. How do you conceive of those being one and the same? I think you'll have to come up with a better analogy than that.

By the way, did YOU vote on this matter? Where is it you live where you still have to go to a polling place? Don't they have mail-in voting where you live? How can there be "low voter turnout" if they don't even have to leave their homes to vote?

algionfriddo 1 year, 1 month ago

...better 'turn out'... as opposed to what? We vote by mail. Sour grapes much? "Democracy is the worst form of government, except for all those other forms that have been tried from time to time." (Winston Churchill Nov. 11, 1947)

Stever 1 year, 1 month ago

Before you eat that Xanex, Mr. Fish, why would we whistle past a graveyard? What does that mean anyway?

Valley_Fish 1 year, 1 month ago

Seriously? Am I now conversing with the left side of the WenWorld newsroom?

fitzsimmons 1 year, 1 month ago

Not sure what that means, Dan, but I am not conversing with you, I'm pointing out that we try to keep things as civil here as possible.

You're new here so I understand you may not be so familiar with how that works but please avoid name-calling.

Valley_Fish 1 year, 1 month ago

fitzsimmons - if you can't take the heat of public debate, then get out of the public fire. This is a public forum. I respect your right to protest my description of those stealing our tax dollars; please respect my right to call them tax pigs. If I could submit an editorial cartoon, there'd be a fancy-dressed pig with a top hat diving in a trough of dollar bills. Sound familiar? Look back in our political history and see how many times that 'toon appears. Boo-yah.

robbins 1 year, 1 month ago

It's a forum for members of the Wenatchee World user community, and Cal FitzSimmons, whom you are addressing, is the Wenatchee World's managing editor.

JimboBear 1 year, 1 month ago

Hmmmmmm! That sounds pretty much like you stepped in something with that comment, Valley-Fish. Probably best to get to know the names of the players before you start booing, huh?

Suz 1 year, 1 month ago

Whistle past a graveyard: To attempt to stay cheerful in a dire situation; to proceed with a task, ignoring an upcoming hazard, hoping for a good outcome.

Stever 1 year, 1 month ago

Thank you Suz. Now I have a phrase to describe how I live!

lonedog3 1 year, 1 month ago

I am actually less insulted by his prase describing the greedy public officials that feel a need to finance private projects with our tax money than how offended I am at those stories that insult our intelligence with less than half truth. They are, after just two words put together in a descriptive nature. with nothing personal meant unles??

lonedog3 1 year, 1 month ago

"Thirty days after that, a new board will be appointed by the nine jurisdictions that make up the PFD. Wenatchee Mayor Frank Kuntz is expected to sit on the board." Conflicting interest? Shouldn't this board be made up of impartial people rather than elected city officials? Especially the elected mayor of the city receiving all of the benifits of the PFD? There seems just something very wrong about this.

mcniel 1 year, 1 month ago

The amended agreement between the nine jurisdictions that make up the public facilities district states that the board would be appointed by all those jurisdictions if the 0.1-percent tax increase passed. (Currently, four of the nine board members are appointed by Wenatchee and the other three are appointed by Douglas County, Chelan County and East Wenatchee). I think the idea with the change is that the jurisdictions that are now contributing through the sales tax increase should have an equal say in what the district does with that money. Michelle

douglas 1 year, 1 month ago

Correct. One of the bones of contention (at least with me) was that the smaller jurisdictions were completely unrepresented by the PFD board. I'll grant you Rock Island, Waterville and Entiat aren't big (but perhaps had the most to lose in regards to their individual budgets had Prop. 1 failed) won't have individual board members, but with a shared member for the first time have a real seat at the PFD table.

iansfolks 1 year, 1 month ago

Maybe the WW could add a new comment section, similar to craigslist, called "Rants and Raves". Put a language warning in it and let the fur fly!

Stever 1 year, 1 month ago

Good idea. Perhaps allow anonymous posting too.

wenmoose 1 year, 1 month ago

Mr. Ichthys--The outcome of this vote would be the same if it was held in Nov. Your rant about remembering how elected officials supported the TTC will be meaningless in this fall's elections. I suggest acute rehydration, your gurry is becoming offensive to everyone's sense of olfaction.

Valley_Fish 1 year, 1 month ago

Don't know what you're saying wenmoose, but I respect your use of gurry, olfaction, and acute rehydration. Let's agree to reballot the issue in November in front of the entire electorate and see if you're right.

douglas 1 year, 1 month ago

Every registered voter eligable to vote in this election had a ballot delivered to them. Casting or not casting a vote was their choice.
Am I to assume that your position is that a regularly scheduled election should not have taken place because of the potential for low turnout, and that other bond and millage elections should not have been held? By your reasoning the Cascade School District levy, the Ephrata Hospital bond and other elections that took place at the same time should be revoted in November. Correct?

JimboBear 1 year, 1 month ago

Right on Doug! Well said!

LokelYokel 1 year, 1 month ago

I think the reason that this vote happened in the spring is because the default occurred in December, and the new Mayor who ran on a platform of solving this problem took office in January. Like most things involving gov't, action is only the result of necessity, and before the default there was no necessity. Not to mention that the state had to step in a create that led to this vote. Add in a mayor who wants to get things done, and a citizenry who refuses to cut off its nose to spite its face, and I'm laughing all the way to the TTC.

Finally, if you don't like it then move to Leavenworth; those liberals had the sense to stay out of the whole mess!

Don 1 year, 1 month ago

Technically, the new mayor ran on the platform of solving the problem by defaulting on the debt.

Don 1 year, 1 month ago

Well, it has passed. Regardless of which side of the fence one sat, it hardly matters at this point.

I do take exception to many of the quotes in the article about the community rallying together and supporting Wenatchee, blah, blah. I talked to a lot of people prior to this vote and not one of them gave half a rat's fart about Wenatchee's predicament. The overwhelming reason people I talked to voted yes was because they understood that vote to mean the arena would stay open. Those who researched know that isn't necessarily the case, but those who are managing TTC should keep that in mind. The overwhelming support you received was because people like what the arena is providing for their families. If you 'manage' the money to the point where you pay off the bond anticipation notes but do not manage to keep the facility open you will have a lot of very angry people who feel extremely betrayed.

davebugg 1 year, 1 month ago

Absolutely right, Don....The yes vote was based on fear and/or what was in it for the voter. Few, if any folks in the other 8 jurisdictions voted 'Yes' because it would "save" Wenatchee.

The 'YES' votes won, that's all. The only discussion worth having now is how to hold Wenatchee accountable so that there are no more increases of taxes or fees levied on taxpayers. After trampling on the old promises, the new promise was that this vote would solve the problem.

grbadave 1 year, 1 month ago

Hey, think about the good side of all of this. Facing a crisis, we actually allowed a majority of the people who showed up make a decision. Imagine how much nonsense we'd save if the US Senate followed this same common sense. Not to mention the many states which arbitrarily require supermajorities to raise taxes but not to cut them, even though we all supposedly care about public debt. Great to see that once in a while our most basic aspect of democracy and decision making can still function.

davebugg 1 year, 1 month ago

"Not to mention the many states which arbitrarily require supermajorities to raise taxes but not to cut them,..."

Following your major point, though, the supermajority requirement was made by the voters in much the same way that the increased sales tax for the White Elephant Arena was made by the voters. Both decisions would seem to meet what you say are "our most basic aspect of democracy and decision making...".

rocknroll 1 year ago

oh boy...what's gonna be next? a little research would of saved this community all the headaches and mistakes made by aprroving the center in the first place. the only reason the vote was put in place because of the plan to build some thing else they wanted to build...just wait people they are in the works for something else. ...voting yes doesnt even come close to covering the debt....they will be another vote watch. not everyone got to vote...it was way to fast...this town is famous for making to many quick decisions...oh byu the way did you know the city overpays there employees....so funny they can afford ten 500 dollar microwaves in there lunch room. ..2 2500 bbq's...this is what tax money is spent on...do your research people before you vote...the taxes are being wasted....ask to take a tour of the so called city works building...whjat a joke on what they spend city dollars on....