After a quandary sparked over use of the Veterans Memorial Building on July 4, motorcycle rally organizers and local veterans groups have come to a compromise.
A conflict arose because it appears the city authorized use of the building to both sets of groups. The American Legion and Veterans of Foreign Wars now manage the building throughout the year and were granted access for events such as those planned for Independence Day. The rally promoter and Hollister Downtown Association were under the impression they had the same access for the July 4 weekend, as they are teaming up to run the motorcycle event.
As the groups talked about a compromise, the veterans organizations requested more than $12,225 from the rally or city – what those organizations viewed as the potential lost revenue combined with added expenses – because they couldn’t sell as much food and beverages to of all the visitors to town that would be using toilets and adding costs to the building. That amount was more than double the usual commercial rate charged for use of the city-owned building, with veterans groups contending they used last year’s rally experience as a barometer for what to charge.
The debate over an appropriate reimbursement has been a result of the veterans groups taking on management of the Veterans Memorial Building in the fall of last year. The city pays the veterans a subsidy of $80,000 annually for building maintenance, while the groups are expected to make up the rest of their costs with rental revenue.
The conflict over use of the space, and the rally’s unwillingness to fork over more than double the normal commercial rate offered by veterans groups, created some tense moments at a recent city council meeting where the topic came up during the public comment period.
Joe Love, commander of the American Legion chapter here, contended in early June that the groups have opportunities to make money about five times a year and that the July 4 date was “slammed in our face.” Aside from holidays, the veterans groups make revenue by renting out the facilities – mostly on weekends for weddings, quinceaneras and other private events.
“This is no way to treat us,” Love told council members that night. “For a man to say to me today, ‘I’m sorry, the veterans are the losers.’ What kind of deal is that? We’re not losers. We’re winners. We’re the reason these people have freedoms.”
In the past few weeks, though, the two sides have worked to reach a compromise.
“Everybody came to a mutual agreement,” Love said this week.
Since Hollister officials normally charge rally organizers a commercial rate for rental of the Veterans Memorial Building, the city will transfer that revenue directly to the veterans groups. The initially discussed commercial rate came to slightly more than $5,000. The city agreed to charge rally organizers $6,700 this year and make the transfer to veterans groups in that amount, said City Manager Bill Avera.
“Nothing was ever coming out of the vets’ pockets,” Avera said.
As for space considerations over the rally weekend, Worldwide Dynamics, the promoter, will use the front courtyard and some of the building’s interior. The veterans will use the annex and kitchen area and will have access to an additional area, for food sales, inside a beer garden, Love said.