Spokane Valley Invests Lodging Tax Funds in Exciting Capital and Entertainment Projects

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Spokane Valley Invests Lodging Tax Funds in Exciting Capital and Entertainment Projects

Spokane Valley will fund capital and entertainment projects with lodging tax funds

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Rendering courtesy of Spokane Valley

Spokane Valley leaders hope a new cross country course will draw guests to the city.

Spokane Valley is focused on boosting tourism with funding for various projects. On January 7, the City Council approved almost $3 million from lodging taxes for tourism initiatives.

The Lodging Tax Allocation Committee, led by City Council member Rod Higgins, reviewed applications and recommended funding. This five-member committee includes two hotel representatives and two grant recipients.

Spokane Valley collects a 3.3% lodging tax from hotel stays. This money is divided into 2% for annual events and 1.3% for capital projects.

Priority is given to projects that promote tourism, cover event expenses, and support tourism-related nonprofit facilities.

Higgins emphasizes the importance of impactful projects to attract visitors and enhance the local economy. “The revenue comes from visitors staying in hotels, and as tourism increases, we have more funding available,” he explained.

At a recent meeting, the committee heard pitches from 21 applicants and prioritized 11 projects for funding. These recommendations were presented and approved by the City Council.

This year, thanks to previous savings and an additional $500,000 transfer, $2.5 million was earmarked for capital projects. However, requests for non-capital projects exceeded the $393,000 available.

Notably, Spokane County’s request for $1.5 million for Plante’s Ferry Sports Complex renovations was among the projects not funded this year.

One significant project that received funding is the new cross country course, designed for running competitions and training. This $2.5 million course expects to draw participants for cyclocross events too. The total cost for the first phase of the course is estimated at $7 million, with additional phases and facilities to be planned.

This 62-acre course, owned by Spokane Valley and Washington State Parks, is slated to open this fall. It is set to host the NCAA 2027 Division I Men’s and Women’s Cross Country Regional, as well as local school events and training clinics.

Higgins believes this cross country course will significantly boost local tourism. “It’s the perfect project to attract visitors who will stay beyond just a few hours,” he said.

Other projects that received funding include $35,000 for the Spokane Valley Summer Theatre to celebrate its 10th anniversary. The theater is preparing for a future move to the Idaho Central Spokane Valley Performing Arts Center, expected to open in 2026.

Additional funded events range from square dancing conventions to quilting shows, all aimed at enhancing Spokane Valley’s reputation as a vibrant destination.

Higgins is optimistic about differentiating Spokane Valley from nearby areas. “We want to establish our own identity, focusing on what makes us unique,” he shared. “With adequate funding and exposure, we’re set to grow.” ♦

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Spokane Valley, Lodging Tax, Expansion