New management takes over HAPO event center in Pasco. What happens next

The HAPO Center is officially under new management. And while some details are still being ironed out, an approved draft contract reveals how Franklin County will split revenue with the new stewards.

Harris White Leisure Group won the bid for the HAPO Center contract in August, and this week was handed the reins. Franklin County is still working out some details, and has taken input from the city of Pasco.

Commissioners Rocky Mullen and Clint Didier went ahead with the vote the week before in order to meet the October hand-over schedule, while Commissioner Brad Peck abstained, noting at the time that he wanted to see proposed changes made first and Pasco’s input.

While the vote won’t change the months-long process of getting a new liquor license in place, CG Public House will continue running the catering for the center so it shouldn’t have an impact.

A representative for HWL told commissioners that what approval will do is give them the authority to begin speaking with vendors, partners and stakeholders in earnest.

At this week’s meeting County Administrator Mike Gonzalez said he had worked directly with Pasco’s City Manager to ensure they were involved. He had also offered to talk to their council in their public meeting if they had any questions.

The HAPO Center is located at 6600 Burden Blvd in Pasco. The complex features a 38,184 square foot Exposition Hall & 39,200 indoor concrete floor arena, supported by a spacious Atrium and three conference rooms. Over 84,000 square feet of exhibit space is available, making The HAPO Center one of the largest event venues in Washington. Each area within the complex is a standalone venue or all the areas may be combined for larger events.

What’s in the contract?

The contract shows that the higher initial price tag for their services has been brought down some, with HWL starting at $15,000 per month rather than $20,000. The initial proposal said HWL would negotiate the per-month fees after the first year, but did not specify a number.

The contract shows that the second year will see the monthly sum move to $18,500 and in year 3 they’ll increase to $22,000. In year 4 the contract increases to $30,000 monthly and $35,000 in year 5. The year 5 monthly total would be used for any year-by-year extensions.

The contract also includes revenue sharing proposals that would see HWL paid incentives for bringing in new sponsors at 20%. For alcohol revenue, the county will take 30%.

Other revenues will feed back into the HAPO Center budget, likely helping offset costs for major repairs or renovation work.

The contract also requires HWL to present a draft Master Plan for the center in November. The company will be footing the bill for that process.

This draft plan will outline their vision for the center and their plan to make it happen. It will also go over potential changes to land use with the center.

While Simmons Venue Management will be stepping away from running the facility, the Simmons family will still be managing the catering through their CG Public House business.

HWL also said they hired several of the current HAPO Center employees to be part of their new team.

As HWL is assessing best uses for the facility, they’ll be taking a look at the hockey rink to determine how to maximize its usefulness. The company already runs arenas for several minor league hockey teams and has an expert they expect to outline a plan for HAPO’s rink.

The contract also includes a termination clause, which would allow the county to remove HWL if they feel like they’re not meeting the vision they have for the center. It would also allow HWL to terminate the contract. Details of how that plays into an arbitration clause was still being discussed.