The city of Hutchinson and Hutchinson Health are working together to determine the future of the Hutchinson Event Center.
The City Council recently offered unanimous support for a letter of intent regarding the Plaza 15 building along State Highway 15, which signals the two entities are working together until the end of 2024. If a purchase is made, it is expected to be on the final day of 2024, or earlier.
“Currently staff are working jointly with Hutchinson Health partners to do a facility conditions assessment on the building and work through what it will look like for that building,” said Lynn Neumann, director of parks, recreation and community education.
“The direction given to staff from the council probably two years ago now was to work with the hospital on the sale of this (building),” Hutchinson City Administrator Matt Jaunich said.
The city began exploring the future of the building as early as 2012. One question in mind was: Should the city continue to be in the event center business? The facility is expensive and runs at an annual loss of $100,000 to $200,000. The building may also need HVAC and other improvements at a time of increasing competition in the local event space sector.
One reason for the assessing the partnership with Hutchinson Health dates back to 2000 when the event center was built. It received a $1 million bond from the state, which stipulated the city must pay back the bond if it sells the space, up to $1 million. For instance, if the city sells the building for $1 million, it must pay back $1 million. If it sells the building for $1,000, it must pay back $1,000.
“We’re hoping that we can potentially get out of that,” Jaunich said. “We believe the useful life of the event center, not necessarily the building, but the event center has come to an end. ... It is our desire that any money that is exchanged we can keep here locally. That is part of what we are working with the hospital on. But I think it’s also important (to know) that there is the possibility that if we do sell that, that we won’t see any of that money depending on what the price ends up being.”
The city is also seeking help from local legislators.
“All of this year, and then in 2024, the operations of the Hutchinson Senior Center will continue to take place in its current location, operation as is,” Neumann said. “We’ll continue to keep the public and the Senior Center in the know of the future plans of that building so they can know where they will be able to operate out of, knowing that it’s a priority of ours.”
Jaunich and Neumann said city intends to maintain a space for senior center programming.