SEQUIM – The Sequim City Council, in a Special Executive Session Tuesday, came up with what they believe is a fair way to resolve a debt owed to the City by the Jamestown S’Klallam Tribe.
The Tribe and the City entered into an interlocal agreement last year in which the Tribe would pay the costs to hook up their entire Blyn campus, including their new hotel, to the Sequim sewer system. A balance of approximately $1.6 million dollars has been due to the City since the Spring of last year, meaning penalties and interest have accumulated on that balance totaling around $210,000.
Last week the Tribe paid the $1.6 million and Tribe CEO Ron Allen asked for a waiver of the penalties and interest, citing difficulties due to the covid-19 closure of their casino. He also requested that the City activate the sewer system by June 8, the date by which they intend to begin testing systems at the new hotel. Here’s Sequim Finance Director Sue Hagener.
“Yeah, that’s correct. He requested a covid relief waiver of the 10% penalty as well as interest charges. Also, just a good-faith effort between our two partnerships and to get that hotel up and running, which is really, you know, it’s in the best interest of our community workers and our economy.”
Tuesday night’s council meeting was called by city officials to get the council to decide how to go forward.
Their decision was not to forgive the penalties and interest, but to give the Tribe time to pay it off by the end of the year, interest free. Here’s Councilman Tom Ferrell.
“And we want the casino to open. We want the tourism. We want to have the advantages of this. We are good partners. We want that to happen.”
The Council agreed unanimously that if the Tribe pays $50,000 now and signs a contract with that understanding, the system would be turned on immediately.
It remains to be seen whether the Tribe agrees or makes a counter offer.