YMCA receives fee waiver, but denied additional funding in heated discussion
The Downey City Council deliberates an additional $1.5 million funding request from the YMCA. (Photo by Vincent Medina)
DOWNEY — The new YMCA facility in Downey received an additional fee waiver from the city council, but was denied more funding after a heated discussion erupted between the council and YMCA chairperson Tuesday night.
The council unanimously approved waiving nearly $66,000 in fees during the meeting, in addition to the previously approved $300,000 fee waiver. The city has also pledged $1 million to the building project.
Constructing the facility is estimated to cost approximately $22 million. The YMCA has secured about $21 million for the project, according to chair of the YMCA capital development committee Steve Roberson.
However, the funding includes a $5 million tax credit that is contingent upon the YMCA closing the remaining funding gap of $1.5 million by the end of January 2025.
The development committee asked the city to fill the funding gap, but council members expressed concern with dipping into the city reserves and reallocating funds from other city services.
Despite the issue not being a public hearing, Roberson was allowed to give a statement and plead his case to the council. However, the exchange became heated.
“We have an opportunity to lose the $5 million tax credit that we have been given so that's going to set us back tremendously and I would say shame on us if the city council sits up there and they can't see a need for that (facility),” said Roberson. “One little girl falls in a swimming pool in somebody’s backyard and drowns because she can't swim and we can't find $1.5 million? Shame on us, that is absolutely ridiculous when we have $35 million in reserves and we can't help build that building, it's just awful.”
Mayor Hector Sosa expressed his offense, reiterating the need to maintain the city reserve funds. Downey city councils in the past have stipulated the city have 35% ($35 million) in the reserve.
“I take exception for you to come here and say ‘shame on us’ after we approved a million dollar and over $300,000 in fee waivers. That's unacceptable – I'm going to tell you right now I'm offended by that,” said Sosa. “I spent a lot of time looking into this and I've explained my reasoning for not supporting item number one. I thank the previous councils before us for being fiscally prudent and I can tell you with the tragic fires that have happened in LA County further drives the point of maintaining healthy reserves.”
District three council member Dorothy Pemberton supported Roberson, expressing the city should help the YMCA keep the $5 million tax credit.
“We are fiscally strong, we are always going to be fiscally prudent,” said Pemberton. “We have a legacy project that is coming up that we want to address, but right now the immediate need is not to let the Y lose the $5 million tax credit. I see 35% and, in my opinion, I think the YMCA is an investment for our city.”
The YMCA request for an additional $1.5 million was denied in a 3-2 vote. Council members Mario Trujillo and Pemberton voted yes, but council members Claudia Frometa, Horacio Ortiz and mayor Sosa voted no.
Despite not receiving the funding, Roberson Is hopeful that the YMCA can find funding before the end of the month and stay on schedule to open in 2026.
“Downey has a lot of senior citizens, so we have areas for senior citizens to come in and do their workouts,” said Roberson. “People come and meet their other friends, the YMCA is a social place for families, for kids and for seniors.”