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Agenda 09/14/2010 Item #10B Agenda Item No. 10B September 14, 2010 Page 1 of 17 EXECUTIVE SUMMARY Recommendation that the Board of County Commissioners direct the County Manager or his designee to amend Collier County Ordinance 92-60, as amended (Tourist Development Tax) and advertise the amending Ordinance at a future public hearing to reallocate on a one time basis $1,000,000 from TDC Category "A" Beach Park Facilities Fund 183 to Tourism Promotion Fund 184 for tourism destination marketing and authorize all necessary budget amendments. OBJECTIVE: Amend Ordinance 92-60, as amended for one year to use Category "A" _ Beach Park Facilities funds for destination marketing purposes. CONSIDERATIONS: At the July 26, 2010 Tourist Development Council (TDC) meeting there was a review of the Tourist Development Tax Ordinance 2005-43, and the Beach and Beach Park Facilities Funding Policy approved on October 25, 2005 for possible reallocation to enhance destination marketing. One of the considerations was the use of potential Category "A" (Beach and Inlet Management and Beach Park Facilities) for destination marketing purposes. That recommendation was discussed by the Board of County Commissioners on July 27, 2010 and direction was given to review this issue with the various community stake holder groups. This infusion of one-time dollars will enable tourism staff to extend temporarily the destination marketing message to a more year-round approach. Visitors contribute tax revenue and spend their money in our community and help to support all of our tourist development tax uses. Without it, our market share of visitors is easily eroded by competing destinations during those times of year when we are not actively marketing. In the first three calendar quarters of 20 1 0, an additional $1 million, transferred from Beach Renourishment Reserves, Fund 195 was invested in advertising, public relations and promotions. The return on investment through July, 2010 has been $20.65 in new visitor spending for each dollar invested in those destination marketing efforts. As recommended by the Board of County Commissioners, staff has met with the following stakeholder groups that convened and discussed the use of Category A Beach Park Facility dollars (Fund 183). Endorsements and recommendations as noted below: · Tourist Development Council (TDC), July 26 - Recommended approval (7-1) · Coastal Advisory Committee (CAC), August 12 - Recommended Approval (5-2) · Friends of the Collier County Museums, August 12 - Favorable discussion, no formal recommendation made · Collier Hotel & Lodging Association, August 17 - Unanimous Board approval · Parks & Recreation Advisory Board (P ARAB), August 18 - Unanimous approval (4-0) · Marco Island Chamber of Commerce, August 19 - Unanimous approval · Naples Chamber of Commerce Public Policy Committee, August 20 _ Unanimous approval Agenda Item No. 108 September 14, 2010 Page 2 of 17 The reallocated funds would be used to expand and enhance destination marketing as follows: Enhanced 2011 Winter, Spring & Summer Advertising and Promotion: (Jan-March in Northern Markets & April-August in Florida Markets) Continue Visitor Center Coordinator (co-op with Naples Chamber): Additional Familiarization Trips and Group Event Sponsorships: Expanded Public Relations Efforts: Domestic & International Web Site Enhancements: Enhanced Return on Investment Research: $800,000 50,000 25,000 50,000 50,000 25,000 TOTAL: $1,000,000 ADVISORY BOARD RECOMMENDATIONS: Each advisory board recommendation as indicated above related to the short term solution to reallocate $1,000,000 from Beach Park Facilities Fund 183 to Tourism Promotion Fund 184 for destination marketing for one year. FISCAL IMPACT: Assuming passage of the enabling ordinance, a budget amendment will be necessary transferring $1,000,000 from Fund 183 to Fund 184. Sufficient budget exists to provide necessary dollars for destination marketing on a one-time basis. GROWTH MANAGEMENT IMPACT: There is no impact to the Growth Management Plan from this action. LEGAL CONSIDERATIONS: This item has been reviewed for legal sufficiency and is ready for Board action.---HFAC RECOMMENDATION: That the Board of County Commissioners direct the County Manager or his designee to amend Collier County Ordinance 92-60, as amended (Tourist Development Tax) and advertise the amending Ordinance at a future public hearing to reallocate on a one time basis $1,000,000 from TDC Category "A" Beach Park Facilities Fund 183 to Tourism Promotion Fund 184 for tourism destination marketing and approve all necessary budget amendments. SUBMITTED BY: Jack Wert, Tourism Director c ( '".....,,',.~. Agenda Item No. 108 September 14, 2010 Page 3 of 17 COLLIER COUNTY BOARD OF COUNTY COMMISSIONERS Item Number: Item Summary: 10B This item to be heard at 1 :00 p.m. Recommendation that the Board of County Commissioners direct the County Manager or his designee to amend Collier County Ordinance 92-60. as amended (Tourist Development Tax) and advertise the amending Ordinance at a future public hearing to reallocate on a one time basis $1,000,000 from TDC Category A Beach Park Facilities Fund 183 to Tourism Promotion Fund 184 for tourism destination marketing and authorize all necessary budget amendments. (Jack Wert, Tourism Director) 9/14/20109:00:00 AM Meeting Date: Prepared By Jack Wert Director - Tourism Date Tourism Tourism 8/26/20102:27:37 PM Approved By Jack Wert Director - Tourism Date Tourism Tourism 8/26/20106:30 PM Approved By Heidi F. Ashton Section Chief/Land Use-Transportation Date County Attorney County Attorney 8/27/20103:38 PM Approved By OMB Coordinator Date County Manager's Office Office of Management & Budget 8/31/20101:01 PM Approved By Jeff Klatzkow County Attorney Date 8/31/20102:53 PM Approved By Leo E. Ochs, Jr. County Manager Date County Managers Office County Managers Office 9/7/2010 10:40 AM ......'~__......~...,"'"._.,,,.," ,.,,,., .... "~<'''~I~a,'''''' "'Ol. ~ ; ... : - , ~. ~ ~... , /~. II (I ~ a \~-~iJ ~ ~a:I .. I-",G.i:~ ( c. ~ ~ .~ to (i) tn tn CD (J (J ~ en c: C) .- ca 0- S ca U o ~ o N en '- o +-' CO t) -- -c c - CD t) C CO E '- ~ CD c.. ~ CD ~ o . (j) o o N L... CD > o ~ o ~ o N ~ - :J J I C CO J '-'" CD +-' CO ::R o 0 10') o 0 :rC'J CO c.. ~ :J C 1:5 a CO ~ c.. co .s~ u os; .- E co o ......., 5 ~ u W . ............ "'C (]) ......., U (]) - - a () en (]) (]) - C ::; ~ :J :!:: ~ -, C -g ..... 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"tlo Jl -0 I' ~ jil ~,',: ~ .~ O~- ~'*' II ~~~ ~40 I"~ :(, r?; ( '~ , (i) ('- tn c: o -- ~ tn CD ~ a .~ ~ Agenda Item No. 108 September 14, 2010 Page 17 of 17 ,-!,{~-;'" .J ( The Greater Naples Chamoer of Commerce .". ~ /'~ Serving all of Collier County August 25,2010 Mr. J ack Wert Naples, Marco Island, Everglades Convention Visitors Bureau 2800 Horseshoe Drive Naples, Florida 34104 Re: Support for Uncommitted Funds to be used for Destination Marketing Dear Jack: The Greater Naples Chamber of Commerce's Public Policy Committee determined at our August 20th meeting that we support the use of uncommitted funds from the County's Beach Park Facilities Fund 183 in the amount of $1 ,000,000 be used for destination marketing for a period of one year. The Public Policy committee feels strongly that the additional funding to support year- round destination marketing is vital to our community's well being. Visitor spending in our area represents a significant portion of our local business activity and supports over 31,000 of our residents in tourism and hospitality industry jobs. We look forward to working with the Convention and Visitors Bureau, the Tourist Development Council and the Board of County Commissioners over the next several months in identifying new s s of destination marketing funding. '" Michael V. Reagen President & CEO The Greater Naples Chamber of Commerce & Leadership Collier Foundation 2390 TamiamiTrail North - Suite 210 - Naples, Florida 34103 - Phone (239) 262-6376 - Fax (239) 262-8374 - www.napleschamber.org