Clallam County commissioners will grant a request from the Quillayute Valley Park and Recreation District to forgive the $205,710 it owes on a decade-old loan.
The three commissioners, Tuesday, Jan. 20, directed staff to draft an interlocal agreement and loan forgiveness documents for district board members to consider prior to final approval.
The QVPRD runs the Forks Athletic and Aquatic Club and community Center, 91 Maple Ave.
It received a $160,000 grant and a $225,000 no-interest loan from the county’s Opportunity Fund in 2004 to purchase land, rental homes and equipment to support the community pool and recreation center.
Citing tough economic conditions, district chairman Nedra Reed asked commissioners in a Jan. 11 letter to forgive the balance of the loan.
QVPRD board member Don Grafstrom announced the news about the decision at the Wednesday morning meeting of the West End Business and Professional Association. He stated that the QVPRD was the only entity that had received funds from The Opportunity Fund that had not later been treated as a grant instead of a loan.
The Opportunity Fund is a portion of a state sales tax that supports public infrastructure projects for economic development in economically distressed areas.
Voters approved a $2.9 million bond issue to build the pool in 2005, but a levy to fund its operations failed in 2006.
The pool was closed in 2007 after citizens voted down a measure to create a metropolitan park district to fund operations.
In retrospect, Commissioner Mike Chapman said the loan should have been restructured after the levy failed.
He said forgiving the loan is “clearly in the interest of the taxpayers” because it would be a burden for the county to take over the pool.
