Prior to deciding if the fate of a Yelm-based YMCA should be turned to voters, Yelm City Councilors met with representatives from the city’s financial advisor and the South Sound YMCA for a first hearing on July 9.
A second hearing about whether to ask residents if they want to vote on building a local YMCA through a bond will be held at 6 p.m., Tuesday, July 23. Resolution No. 648 states that the proposition would ask qualified voters, or residents within city limits, to approve a construction bond not to exceed $10 million over 28 years.
“It would go to the voters on the Nov. 5 general election. It would cost the city $4,200, which we do budget up to $6,000 each year,” Mayor Joe DePinto said. “I do want to stress that the council will not be raising anyone’s taxes, they will simply be allowing residents to make that choice.”
Jim Nelson, managing director of D.A. Davidson, the city’s financial advisor on the bond, said the estimated bond levy rate is 30 cents per $1,000 of assessed value. Nelson said it ran over a 25-year financing term, but the organization recommended that the ballot title states 28 years or less in the resolution.
“The reason we add a few years to it is just in case interest rates move up. We’re just coming off the period where the Federal Reserve hiked interest rates, so it was a strategic thing to do, especially last year,” Nelson said. “I think it will probably stay at 25 years, but in the ballot title, it should state a few years longer just to play it safe.”
He added that the resolution doesn’t specify the levy rate, but instead specifies the amount. According to Nelson, homeowners of a house valued at $450,000 possibly see a monthly tax increase of $11.25.
Nelson added that, from a debt capacity standpoint, the City of Yelm is in a great position with it’s “AA-” high-investment grade, which will help lower taxpayers’ interest costs.
Nelson said if the council does want to put a YMCA bond measure to the voters, the city would begin the voter information campaign shortly afterward. Also, on July 24, the mayor and City Administrator Todd Stancil will schedule presentations with community groups on the ballot measure. On Aug. 1, the “vote yes” campaign would begin with sign holders, mailers and statements on social media. Also on Aug. 1, the city would file the bond election ordinance with Thurston County Elections Department.
Nelson added that Yelm voters would receive ballots by approximately Oct. 18, and they would vote on the measure by Nov. 5. He said city officials should consider Oct. 18 as the actual election date because about one-third of voters immediately fill out and return mail-in ballots the first week after they receive them.
South Sound YMCA President Kyle Cronk said the YMCA is excited about residents voting on whether a Yelm branch of the organization is wanted. He said the YMCA is all about youth development, community building and creating strong communities.
Councilor Trevor Palmer said that the YMCA hasn’t been interested in coming to Yelm in the past due to a previous school district levy failure and asked whether the YMCA is still interested in coming to Yelm following the last levy failure this spring.
Cronk said the YMCA is “definitely” ready to work with the City of Yelm, and that he and DePinto spoke several times throughout the process of the levy failure.
“My understanding is that the levy did pass in the city limits, and, again, we want to support kids and families and everyone in the community,” Cronk said. “We’re going to stand with the City of Yelm for sure. If this is the route they want to go, we will definitely be there every step of the way.”
He added that the South Sound YMCA has provided over $ 1 million in scholarships across its three branches every year. Yelm would serve as the fourth branch.
“If you tell me that you need aid, we give you aid,” Cronk said.
Palmer said there’s a lot of local organizations that offer youth outreach and recreational activities like the YMCA and asked if the YMCA would be interested in partnering with these different organizations across Yelm. Cronk said the YMCA would be “1000%” interested in forming partnerships, adding he’d be interested in having a conversation with representatives from YARD in Yelm.
“The YMCA has been in operation for 187 years. Two things about the YMCA that are unique, it’s all about the local community,” Cronk said. “The YMCA does not go into a local community and say, ‘Here comes the Y.’ The community invites the Y to come in because it has specific needs to be met, and what I’m understanding is there’s a lot of youth development needs in the City of Yelm, and there has been way before I got here. Absolutely, we’d be 1000% interested in working with anybody.”
He added that a local board of advisors would be established to direct the Yelm-based YMCA on what’s important to the area if the local branch is built.
