reprinted from:
Columbia festivals caught in dispute over hotel tax
By Justin Willet A Columbia Convention and Visitors Bureau Advisory Board proposal has raised questions about whether the Tourism Development Fund is being managed as it was proposed to voters. The fund was established using proceeds from the 2 percent sales tax on hotel and motel rooms that voters passed in 1999. The ballot language read, "The City intends to spend half of the increased taxes for promotion of conventions and tourism and half for funding tourist attraction events, facilities and festivals." Since the creation of the fund, the Convention and Visitors Bureau has been struggling with how to dole out the money. Bureau Director Lorah Steiner said that because hotel rooms are taxed, projects or events generating overnight stays, or room-nights, should be given priority funding. Carrie Gartner, executive director of the Downtown Columbia Associations, said the 1999 ballot language did not mention hotel stays but did promise that the money would go to tourism-boosting events and festivals. The contrasting perspectives have caused tension as the advisory board considers buying advertising for festivals instead of providing them direct funding. Gartner appealed to the Columbia City Council at its meeting Monday to protect festival funding. If festival funding were cut, she warned, people would not get what they voted for. "What we voted on is not what's happening," she said. The ordinance that established the fund reads quite differently than the ballot language. It says that 75 percent of the money should go to "promoting conventions and tourism in the city" and that 25 percent should go to attractions that "have substantial potential to generate overnight visitation." Steiner said the ordinance means the money has to go toward bringing people into Columbia. Steiner said the advisory board is not trying to cut off funds for festivals but to redirect them to ensure they generate overnight stays in commercial lodging. The advisory board in October decided to provide advertising for festivals in an effort to reach an audience outside Columbia, where most promotions typically are targeted. Steiner said sponsors of local festivals often neglect populations outside Columbia, neglecting what she perceives as a room-night stipulation. Gartner said that while the Twilight Festival does generate some room-nights, her goal is to get the ordinance changed to better reflect the original ballot language. "That's not what people voted on," Gartner said. Gartner said Twilight Festival sponsors don't want advertising, they want to connect with the community. She said the advisory board's recommendation would not benefit the festival as much as direct investment would. Gartner sent out news releases saying the
Twilight Festival generates about $1 million a year and $73,000 in sales tax
revenue. She also estimated that 2 percent of the city's 48,000 annual
visitors stay overnight at local hotels. |
