Stafford Center surplus of $771,171.03 reported; officials say transfer rules limit net gain

A speaker representing the Stafford Center told the council that changes to the city's HOT (hotel occupancy tax) transfer formula—dating to a policy review around 2017—have turned the center from a net operating loss into a net revenue generator. The representative said the center is projecting a surplus of "$771,171.03," noting the transfer approach has generated additional funds available to the general fund.

The same speaker cautioned that moving Stafford Center money into general operating funds can be a technical, zero‑sum adjustment for accounting and compliance purposes. "If you reduce Stafford Center, you have to reduce the corresponding amount in the hot funds, so it's a 0 gain proposition," they said, urging council to consider the auditing and statutory constraints around HOT transfers. The representative also noted the funds are audited by the state and that changes to Stafford Center allocations affect general‑fund accounting.

Councilmembers asked staff to prepare documentation showing how the Stafford Center amounts were calculated and to confirm whether the surplus was already included in the mayor's packet; the discovery prompted requests that the finance committee reconcile the numbers and provide clear line‑item detail.