Commission adopts 50% upfront option for tourism grants while keeping reimbursement path

The tourism commission voted to add a 50% upfront option to its tourism grant program while keeping the existing reimbursement option.

The Chair opened discussion by saying staff had reviewed the ordinance authorizing the commission to set rules and that changes to the grant program were within the commission’s authority. Staff warned the group that the ordinance includes criminal penalties for knowingly approving an improper transfer of public money. “There are things in here that ... if something would happen, it’s addressed in here,” the Staff member said, describing the ordinance’s safeguards.

Members argued the 50/50 model could help smaller nonprofits that lack cash to front project costs. “Smaller nonprofits ... don’t have the funding,” a Committee member said, arguing that splitting payments “helps some of these smaller organizations” because they would only need to raise half the amount before a project.

Other commissioners urged caution about releasing funds before work was completed. One member warned that even if misuse of funds is criminally punishable, that outcome “still doesn’t return the funds to us.” Commissioners discussed mitigation measures including paying vendors directly, requiring receipts before releasing the remainder, and requiring bonds or other protections for very large awards.

After discussion, a motion was made and seconded to modify the grant application to add a 50% upfront option for tourism grants while retaining the reimbursable option and to return a detailed written policy for final approval at the May meeting. The Chair put the question and the motion passed by voice vote.

Commissioners directed staff to draft the updated grant application and to include clear documentation requirements (quotes, receipts, vendor commitments) and program rules for when a vendor or a nonprofit receives the initial 50% payment. The commission also agreed to reserve the 50/50 option for tourism grants only and to bring specific language back at the May meeting.