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Agenda 02/26/2013 Item #10F2/26/2013 10.F. EXECUTIVE SUMMARY Recommendation that the Board of County Commissioners approves a Resolution formally declaring its intent to not increase the Tourist Development Tax. OBJECTIVE: To address concerns expressed by the Collier County tourism industry as it relates to a possible increase in the Tourist Development Tax. CONSIDERATIONS: At its February 12, 2013 regular meeting (Item 10 -J), Commissioner Hiller commented on rumors within the tourism community that the Board of County Commissioners (Board) was considering an increase in the Tourist Development Tax. She clarified that the Board had expressed no intent to raise this tax and stressed that such an increase would adversely impact local tourism. In order to alleviate any concerns that our local tourist industry may have on this matter, the Board directed the County Attorney to draft a Resolution formally declaring its intent to not raise Tourist Development Tax. FISCAL IMPACT: None. LEGAL CONSIDERATIONS: The County Attorney drafted the proposed Resolution which is legally sufficient and requires a majority vote for Board approval. -JAK. RECOMMENDATION: That the Board of County Commissioners approves the attached Resolution formally declaring its intent to not increase the Tourist Development Tax. PREPARED BY: Jeffrey A. Klatzkow, County Attorney Attachments: Proposed Resolution Executive Summary — February 12, 2013 regular meeting - Item 10 -J Packet Page -76- 2/26/2013 10. F. COLLIER COUNTY Board of County Commissioners Item Number: 10.10.F. Item Summary: Recommendation that the Board of County Commissioners approves a Resolution formally declaring its intent to not increase the Tourist Development Tax. (Commissioner Hiller) Meeting Date: 2/26/2013 Prepared By Name: BrockMaryJo Title: Executive Secretary to County Manager, CMO 2/20/2013 10:54:21 AM Submitted by Title: Executive Secretary to County Manager, CMO Name: BrockMaryJo 2/20/2013 10:54:22 AM Approved By Name: OchsLeo Title: County Manager Date: 2/20/2013 11:21:24 AM Packet Page -77- 2/26/2013 1 0. F. RESOLUTION NO. 2013 - A RESOLUTION OF THE BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA, FORMALLY DECLARING ITS INTENT TO NOT INCREASE THE TOURIST DEVELOPMENT TAX. WHEREAS, Section 125.0104, Florida Statutes, provides for the levy of a local option tourist development tax by any county; and WHEREAS, on August 18, 1992, the Board of County Commissioners (Board) adopted Ordinance No. 92 -60, which levied and imposed a 2% tourist and development tax throughout Collier County for the purposes permitted in Section 125.0104, Florida Statutes, as amended; and WHEREAS, through adoption of Ordinance No. 95 -56 and Ordinance No. 2005 -43, the Board levied an additional.) and 4th percent tourist development tax; and WHEREAS, by way of subsequent amendments to Ordinance No. 92 -60, as amended, the Board reallocated certain tourist development tax revenues for use in tourism destination marketing and promotion; and WHEREAS, the Board believes that any increase in the tourist development tax during this time of economic hardship would be contrary to its desire to promote and encourage economic development in Collier County. NOW, THEREFORE, BE IT RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF COLLIER COUNTY, FLORIDA, that the Board formally declares its intent to not increase the Tourist Development Tax. THIS RESOLUTION ADOPTED after motion, second and majority vote on this the 26th day of February, 2013. ATTEST: BOARD OF COUNTY COMMISSIONERS DWIGHT E. BROCK, Clerk COLLIER COUNTY, FLORIDA By: By: , Deputy Clerk GEORGIA A. HILLER, ESQ. CHAIRWOMAN Packet Page -78- 2/26/2013 10.F. EXECUTIVE SUMMARY Recommendation that the Board of County Commissioners direct the County Attorney to draft a resolution stating that it is not the Board's current intent to raise the Tourist Development Tax; to be' presented for Board approval at the February 26, 2013 public meeting. Raising takes on the Tourism Industry during this time of financial hardship goes against the county's desire to promote and encourage economic development. For this reason, it is imperative that the Board of County Commissioners formally declare its intent to not raise taxes at this time. OBJECTIVE: That the Board of County Commissioners direct the County Attorney to draft a resolution stating that it is not the Board's current intent to raise the Tourist Development Tax; to be presented for Board approval at the February 26, 2013 public meeting. Raising taxes on the Tourism Industry during this time of financial hardship goes against the county's desire to promote and encourage economic development. For this reason, it is imperative that the Board of County Commissioners formally declare its intent to not raise taxes at this time. CONSIDERATIONS: It has been wrongly rumored that the Board of County Commissioners intends to raise the Tourist Development Tax. The Board has expressed no intent to raise the tax. The adverse economic impact on the Tourism Industry would be material. Raising any taxes during these hard financial times goes contrary to sound public policy. So as to assuage concerns that the industry might have, it behooves the Board of County Commissioners to formally declare by way of resolution that it is not the Board's intent to raise the Tourist Development Tax at this time. There are adequate funds available to renourish the county's beaches to the extent needed. FISCAL IMPACT: None LEGAL CONSIDERATIONS: This item has been reviewed by the County Attorney, raises no legal issues, and requires majority support for approval. -JAK. RECOMMENDATION: That the Board of County Commissioners direct the County Attorney to draft a resolution stating that it is not the Board's current intent to raise the Tourist Development Tax; to be presented for Board approval at the February 26, 2013 public meeting. Raising taxes on the Tourism Industry during this time of financial hardship goes against the county's desire to promote and encourage economic development. For this reason, it is imperative that the Board of County Commissioners formally declare its intent to not raise taxes at this time. PREPARED BY: Commissioner Georgia Hiller, Chair Pac Packet Page -79-