Peru mayor suggests hotel tax to pay for swimming pool

Peru Mayor Ken Kolowski believes the city can pay for a new municipal swimming pool at Washington Park from hotel and motel taxes.

He suggested Monday during the city’s committee meetings if the tax remained the same, the city could pay off a pool in 20 years. If the tax was increased $5 to $8, the city may be able to pay off a new facility in 10 years.

His pitch was met with some skepticism and several questions from Peru aldermen, but Kolowski said Monday’s presentation was more about exploring the idea, figuring out what questions exist and deciding if the idea is worth pursuing.

He said hotel and motel taxes, which have generated $418,000 per year the past few years despite the COVID-19 pandemic, have been used for three projects recently — the new splash pad at Washington Park, Midtown Road and Venture Drive. By utilizing this source of revenue, he said out-of-towners would foot the bill on the swimming pool, which could cost anywhere from $5 million to $8 million.

Aldermen pointed out taking away that revenue source as an option for the city could cost taxpayers by forcing the city to pay for other projects out of revenues generated by taxes or fees.

Each alderman weighed in on the proposal.

Alderman Dave Waldorf said he was against the idea. He was concerned a pool could cost in the vicinity of $8 million and the cost of maintaining and staffing it could be expensive.

Alderman Jim Lukosus also said he was against the pitch, noting there are pitfalls, such as staffing shortages with opening a public pool. He believes the project doesn’t make sense given it’s open 60 to 66 days per year, saying he’d rather see a sports complex.

Saying he was OK with the project, Alderman Jeff Ballard said funding was his biggest issue, saying a sports complex suggested by his colleagues would need private investment to get off the ground.

Alderman Jason Edgcomb said he believes hotel taxes should fund projects that attract residents to the community, and he doesn’t see how a pool would do that. He also said more information is needed how the city would pay for the pool’s maintenance.

Alderman Aaron Buffo agreed the pillow tax should go for tourism, adding a sports complex would be a more suitable project to reach that goal.

Alderman Mike Sapienza said society isn’t the same as it was decades ago, believing residents may be wanting to build a municipal pool because that’s how they grew up, but he said times have changed. He highlighted a program at the Illinois Valley YMCA where children can use the pool for a fee, and if they complete swim class over the season, they get their fee returned.

Alderman Bob Tieman said he’s not against the project, but he would need more information. He said a municipal pool project in Iowa utilized donations to help offset costs. During the meeting, it was reported the city has $132,000 invested in certificates of deposits from the Friends & Family for the Peru Pool community fundraising group.

Alderman Tom Payton concluded he doesn’t believe building a swimming pool is the best use of the city’s funds, but he would continue the discussion. He said he favored a sports complex, because of the potential for businesses to grow around it, such as hotels and restaurants.

Kolowski apologized for putting the issue on aldermen’s laps without many one-on-one talks, but he said he wanted to start the dialogue on the topic, because he remains passionate about bringing a pool to the city. More future discussion is expected. Kolowski said in his campaign he was in favor of building a pool.

The municipal pool was removed in 2012. Two members of Friends of Peru Pool spoke during public comment in favor of the city pursuing the project. Neighboring Ottawa recently announced it would invest $5 million into the construction of a new municipal pool utilizing tax revenue from recreational marijuana sales.