Agenda 01/25/2011 Item #17A
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1/25/2011 Item 17.A.
EXECUTIVE SUMMARY
Recommendation to approve an Ordinance amending Ordinance 92~60 as
amended, the Collier County Tourist Development Tax Ordinance, in order
to reduce the Tourism Emergency Reserve Fund 196 ceiling and eliminate
the year end sweep of funds from Tourism Administration Fund 194 to
Fund 195 and 183, and redirect those funds to Tourism Promotion Fund
184 for tourism marketing and promotion and approve all necessary budget
amendments.
OBJECTIVE: That the Board of County Commissioners (Board) approves the
attached Ordinance amending Ordinance No. 92-60, as amended, The Collier
County Tourist Development Tax Ordinance, in order to reduce the present
Tourism Emergency Reserve Fund 196 ceiling to $1,000,000 and redirecting the
current year end fund sweep transfer of Tourism Administration Fund 194 to
Tourism Promotion.Fund 184 for marketing and promotion.
CONSIDERATIONS: At its December 14, 2010 regular meeting (Agenda Itern
10C), the Board was asked to approve proposed amendments to Collier County
Ordinance 92-60 as amended and approved by the Tourist Development Council
(TDC) to expand tourism destination promotion funding. The Board directed the
County Attorney to arnend Ordinance No. 92-60, as amended, to: (1) reduce the
Tourism Emergency Fund 196 ceiling from the current $1,500,000 to $1,000,000
and eliminate the year end fund sweep from Tourism Administration Fund 194 to
Beach Renourishment Fund 195 and Beach Park Facilities Fund 183 and (2) to
redirect those funds to Tourism Promotion Fund 184 for marketing and
promotion.
The Ordinance is amended as follows:
SECTION ONE: AMENDMENT TO SUBSECTION (A) (3) OF SECTION
THREE OF ORDINANCE NO. 92-60, AS AMENDED.
Subsection (a) (3) of Section Three is hereby amended to read as follows:
Section Three - Uses of Tax Revenues.
a) The tax revenues received pursuant to this division shall be
used to fund the county tourist development plan, which is hereby
amended as follows:
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(3) The additional one percent tax (4th percent) collected pursuant to
section TWO (G) shall be used entirely to finance tourism promotion
including advertising, public relations, promotion, research and
fblfil1ment. Tourism promotion administrative costs shall not exceed 32
% of the total amount collected each fiscal year for Category B uses and
shall be financed solely from the 23.236% portion of the 2% tax. The
Disaster Recover Advertising Fund will continue to be fmanced from the
23.236% of the 2% tax Packet Page -995-500,000.00 in FY06, and
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1/25/2011 Item 17.A.
$500,000.00 in FYO?, and up to $500,000.00 in FYOS, and bucigeted each
subsequent yeiH' to maintain a maximum level of $1.5 million $1 million.
At the end of each fiscal year, any remaining funds in the 23.236% of the
2% tax after fulfillment of the above uses in the 23.236% of the 2% tax
will be distributed to Category!!N!. "B" (Marketinf! and Promotion) wit:h
66 percent allocated to beach and inlet HI:aflageInent' projects and 34
peroent to beach access projects. It is the intent of the Board of County
Commissioners to maintain this new level of tourism promotion dollars in
the future.
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LEGAL CONSIDERATIONS: This item has been reviewed by the County
Attorney's Office and is legally sufficient for Board action. Pursuant to section
125.0104, Florida Statutes, this item requires super majority vote. - CMG
FISCAL IMPACT: The tables below provide a perspective on the fiscal health of
each fund affected by the suggested ordinance amendments as well as the
impact on lost revenue within Beach RenourishmentlPass Maintenance Fund
195 and Beach Park Facilities Fund 183. Each affected fund shown below has a
satisfactory beginning cash fund balance at October 1, 2010 (the beginning of FY
2011) which exceeds budget and is sufficient to cover capital project or operating
contract roll from the FY 1 0 fiscal year.
Impact of Proposed Amendments to Ordinance 2005~3 Transfer Language
FY 2011 FY 2011 FY 2011 FY 2011
196 184 195 183
Fund Disaster Recovery Tourism Beach Beach Park
Advertising Fund Promotion RenourishmentlPass Facilities Fund
and Maintenance Fund
Advertising
Fund
Fund Type Cost Center Cost Center Capital Project Capital Project
Operating Operating
Beginning 1,076,500 657,300 26,576,800 10,148,300
Unaudited Actual
Fund Balance at
10/1/10
Unobligated Fund 204,000 218,600 9,472,800 (10,200)
Balance Variance
over Budget
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1/25/2011 Item 17.A.
FY 2011 FY 2011 FY 2011 FY 2011
196 184 195 183
Amendment Proposal will reduce
Number 1. advertising reserve
Lower trigger on first from six months of
priority transfer anticipated
sweeping dollars expenses to three
from Tourism months in the event
Administration and of a declared
Overhead Fund 194 emergency
from a ceiling of
$1,500,000 to In theory,
$1,000,000 within advertising dollars
the Disaster would not be lost by
Recovery reducing the trigger -
Advertising Fund simply re-directed to
196 Promotion and
Advertising Fund
184
FY 2011 FY 2011 FY 2011 FY 2011
196 184 195 183
Amendment Expected Reduction of $400,000 Reduction of
Number 2. increase of to $430,000 in $200,000 to
Re-direct secondary $600,000 to revenue annually $220,000 in
sweep of dollars $650,000 assuming no need to revenue assuming
from Tourism annually in re-fiIl the Disaster no need to refill the
Administration and additional Recovery Advertising Disaster Recovery
Overhead Fund 194 advertising bucket. Over a ten Advertising bucket.
to Tourism and year cycle of While not a
Promotion and promotion renourishment this significant source
Advertising Fund dollars on top equates to of dollars to offset
184 instead of the of the regular $4,000,000. Foregone beach aceus
current proportional $2,000,000 revenue could have property
split between Beach annual funded annual projects acquisltlon,
Renourishment budget such as various revenue cwd b&
Fund 195 and appropriation monitoring applied to the
Beach Park requirements; offset various annual
Facilities Fund 183 dredging or project maintenM~ and
engineering expense. Impravernmrt
projects connect!$d
with beach acc@u
amenities.
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1/25/2011 Item 17.A.
GROWTH MANAGEMENT IMPACT: There is no impact to the Growth
Management Plan from this action.
RECOMMENDATION: That the Board of County Commissioners approves an
Ordinance amending Ordinance 92-60 as amended, the Collier County Tourist
Development Tax Ordinance, in order to reduce the Tourism Emergency
Reserve Fund 196 ceiling and eliminate the year end sweep of funds from
Tourism Administration Fund 194 to Fund 195 and 183, and redirect those funds
to Tourism Promotion Fund 184 for marketing and promotion. and approve aU
necessary bUdget amendments.
SUBMITTED BY: . Jack Wert, Tourism Director
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1/25/2011 Item 17.A.
COLLIER COUNTY
Board of County Commissioners
Item Number: 17.A.
Item Summary: Recommendation to approve an Ordinance amending Ordinance 92-60 as
amended, the Collier County Tourist Development Tax Ordinance, in order to reduce the
Tourism Emergency Reserve Fund 196 ceiling and eliminate the year end sweep of funds from
Tourism Administration Fund 194 to Fund 195 and 183, and redirect those funds to Tourism
Promotion Fund 184 for tourism marketing and promotion.
Meeting Date: 1/25/2011
Prepared By
Name: GreenKelly
Title: Tourist Development Tax Coordinator, Tourism
1/12/20114:01:26 PM
Submitted by
Title: Director - Tourism, Tourism
Name: WertJack
1/12/2011 4:01:27 PM
Approved By
Name: WertJack
Title: Director - Tourism, Tourism
Date: 1/13/20114:14:04 PM
Name: GreeneColleen
Title: Assistant County Attorney,County Attorney
Date: 1/14/20111:44:41 PM
Name: KlatzkowJeff
Title: County Attorney,
Date: 1/14/20113:34:04 PM
Name: BrockMary
Title: Executive Secretary to County Manager, CMO
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1/25/2011 Item 17.A.
Date: 1/18/201111:19:47 AM
Name: IsacksonMark
Title: Director-Corp Financial and Mgmt Svs,CMO
Date: 1/18/2011 3:03:24 PM
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1/25/2011 Item 17.A. .
ORDINANCE NO. 2011 -
AN ORDINANCE OF THE BOARD OF COUNTY COl\1MISSIONERS OF
COLLIER COUNTY, FLORIDA, AMENDING ORDINANCE NO. 92-60,
AS AMENDED, ALSO CITED AS SECTION 126-83 OF THE COLLIER
COUNTY CODE OF LAWS AND ORDINANCES, RELATING TO THE
LEVY OF A 2% TOURIST DEVELOPMENT TAX, AN ADDITIONAL
1% TAX (3RD PERCENT), AND AN ADDmONAL 1% TAX (4TH
PERCENT) THROUGHOUT COLLIER COUNTY PURSUANT TO THE
LOCAL OPTION TOURIST DEVELOPMENT ACT, SECTION 125.0104,
FLORIDA STATUTES, AS AMENDED; AMENDING SUBSECTION
(A)(3) OF SECTION THREE TO REDISTRIBUTE CERTAIN TOURIST
DEVELOPMENT TAX FUNDS TO CATEGORY "B" FOR USE IN
MARKETING AND PROMOTION; PROVIDING FOR CONFLICT AND
SEVERABILITY; PROVIDING FOR INCLUSION IN THE CODE OF
LAWS AND ORDINANCES; AND PROVIDING FOR AN EFFECTIVE
DATE.
WHEREAS, Section 125.0104, Florida Statutes, provides for the levy of a local option
tourist development tax by any county; and
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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 additional3fd and 4th percent tourist development tax; and
WHEREAS, on November 10, 2009, the Board adopted Ordinance No. 2009-58 which
for a period of one year, or until November 10, 2010, reallocated certain tourist development tax
revenues for use in tOl.~rism destinatio~ marketing; and . .: . ...:
WHEREAS, the Board, by an extraordinary vote, desires to amend the uses of tax
revenue and the tourist development plan in order to redistribute certain Tourist Development
Tax funds to Category "B" for use in marketing and promotion; and
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WHEREAS, the proposed amendments were presented to and approved by the. Collier
County Tourist Development Council.
NOW, TIIEREFORE, BE IT ORDAINED BY THE BOARD OF COUNTY
COMMISSIONERS OF COLLIER COUNTY, FLORIDA, that:
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Words Underlined are added; Words Struck ThreugB are deleted.
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SECTION ONE: AMENDMENT TO SUBS:ECTION (A)(3) OF SECTION THREE OF
ORDINANCE NO. 92-60, AS AMENDED.
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Subsection (a)(3) of Section Three is hereby amended to read as follows:
Section Three - Uses of Tax Revenues.
a) The tax revenues received pursuant to this division shall be used to fund
the coUnty tourist development plan, which is hereby amended as follows:
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. (3) The additional one percent tax (4th peic~nt) collected pursuant to section
TWO (G) shall be used entirely to finance tourism promotion including
advertising, public relations, promotion, research and fulfillment. Tourism
promotion administrative costs shall not exceed 32 % of the total amount
collected each fiscal year for Category B uses and shall be financed solely from
.. the 23.236% portion of the 2% tax. The Disaster Recover Advertising Fund will
continue to be financed from the 23.236% of the 2% tax at the rate of
$500,000.00 in FY06, aBd $500,000.00 in FY07, and up to $500,000.00 in FY08,
and budgeted eaeh subsequent year to maintain a maximum level of $1.5 million
$1 million. At the end of each fiscal year, any remaining funds in the 23.236%
of the 2% tax after fulfillment of the above uses in the 23.236% of the 2% tax
will be distributed to Category W "B" (Marketing and Promotion) with 66
percent allocated tel beach and inlet management projects and 3-1 percent: to
beach access projects. It is the intent of the Board of County Commissioners to
maintain this new level oftourism promotion dollars in the future.
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SECTION TWO: CONFLICT AND SEVERABILITY.
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In the event this Ordinance conflicts with any other ordinance of Collier County or other
applicable law, the more restrictive shall apply. If any phrase or portion of the Ordinance is held
invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a
separate, distinct and independent provision and such holding shall not affect the validity of the
remaining portion.
SECTION THREE: INCLUSION IN THE CODE OF LAWS AND ORDINANCES.
The provisions of this Ordinance shall become and be made a part of the Code of Laws and
Ordinances of Collier County, Florida. The sections of the Ordinances may be renumbered or
.
Words Underlined are added; Words Stnlek Thraugli are deleted.
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1/25/2011 Item 17.A.
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relettered to. accomplish such, and the word "ordinance'i may be changed to "section," "article," .
or any other appropriate word.
SECTION FOUR: . EFFECTIvE DATE.
This Ordinance shall be effective upon filing with the Department of State.
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PASSED AND DULY ADOPTED by a vote ofa majority plus one of the Board of County
Commissioners of Collier County, Florida, this _day of .2011.
ATTEST:
D~GHTE.BROCK,CLERK
BOARD OF COUNTY COMMISSIONERS
COLLIER COUNTY, FLORIDA
By:
By:
, Deputy Clerk
, CHAIRMAN
Approved as to fonn
and legal sufficiency:
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oIleen M. Greene
Assistant County Attorney
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Words Underlined are added; Words Strnek Through are deleted.
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1/25/2011 Item 17.A.
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NOTICE Of INTeNT TO CONSIDER ORDINANCE
Notice is. hl;lr~by ~hien. ~~ on Tu~d~y, Janua.rY..i5, 20~1, in the Boardr90rri. .3~~
Floor.. .Admlnlstratlon Bud~m.9. ..colller . County Govemment Center; 3299 Tamlam.
"'.Trail Eiist, Naples, Florida, 'the. Board of County Commissioners will consider the en-. .
, actment of a Cou~~r ~rdil!ance. ..The meeting "Voiill.commence at.9:00 A,M. .;The title
of.theproposedOtc!ID~nce~~i!l~.folloW5:.. ..... ,.. ... . .:.,~.. ,.. . .
AN ORDINANCE OF THE :B.OARD. OF COUNTY COMMiSSIONERS' OF.COtlIER .calJN-
. TY, flORIDA, AMENDING 'ORDINANCE NO. 92-60, AS .AMENDED, ALSO .'cITED AS
.. SECTION .126-83 OF THE COlliER COUNTY. CODE OF LAWS AND ORDINANCES,. RE-
. ~T1NG TO THE LEVY OF A 2% .TOURIST DEVELOPMENT TAX. AN ADDIl10NAL.J%
. TAX (3RO ~ERCENT), AND AN ADOmONAL. 1 % TAx (4TH PERd:NT) THROUGHOUT
.COLlIER COUNTY PURSUANT.TO THE LOCAL OPTION TOURIST:DEVE!-OPMENT Aq,
SECTION .125.0104, flORIDA STATUm; AS AMENDED;. AMENDING~ SUBSECTION
. . (4)(319f,.SEOlON THREE. To ~EDISTRI8UTE CERTAIN TOURIST DEVELOPME~.TAX
. FUNDS' 1'0":CAtEGORY!'B-':fOR' USE. .IN MARKEJ/NG::ANO.: p.ROIYIOnON;p-{tOVIDING
. FOR. CONfucr AND SEVERABIlITY; PROViDING. FOR INCLUSION :IN THE COOl: OF
LAWS.~ND ORDINANCES;'AND. ~ROVIDING FOR A~ EF~ECTI~ DA~. ..::...:;. ..' .
. !.Cc?Pi!!5 ~f the proPosed ,Ordinance .ar,e on file wlth,the.C(erk.to lhe'Boiu:c1'~nd are
.:_~ailab~ for i~pectiC?n~: ~I !n~r'ested parties are i~~lted to attend and ~.nea.~~. ~ : '
.~ ~..:.. - ,.. NOTE: All persons wishing to speak on any .~genda.itell'lll'lust reg~~~ ~it!l the
,.. Cou~ti 'administrator piior to presentation .of the' agenda. item. .to be jlddressed,
..individual speakers wi.1I be..lihiited to 3 minutes 6h an}cit.em..,The selecti9n.,ohn)n-
. .~divldual.to speak. on.' bet]alf of. an :organiza~ion Of group is eilcouf~g~C!, '}If: reco'g-
.nized. by..the ChairlTian,. a ..$pOk~sperson for a group or .orgim~ticin: .~ay,b"e' allotted
. ..10 minutes to. speak on !I.ri~em(;:".>.: - .: . '.:. , .~ ...;...... .,....., , .
..= ~iSQ~: w~hi'ngt'o ; h~'Ve. \Vrit{e"h.. oi'.'graphic m'ateriar~. iliCiuded. in .'.the :Bo~rd .agi!Od~
packets must submit said materia!. a minimum of 3 weeks prior. to the . respective
'p~blic hearing. . In any. case; .written materials intended to be cOQ,Sidered. by. the
Board. shall be submitted to.the appropriate (o!lnty.staff a minil'9um ot-sevep days ,
prior ~o,. the . public hearing....; All. material used in .presentations pefore~ th~ . Board
riJ~ ~:~~ a pe(1T1an.e~t_~a~_~f~e{e~.ord. . . ._.:.' . :.,.. ..'..:. ....
....: ....: Any persol;l.who decides:tci appeal a decision ohile. Board willl.leed.netord of
the 'proceedings .pertaining thereto and therefore, may, need toensJlre .thaf .a. ver-
ba:tim ...record of t!1e 'proceediry9.5 Is ma~e, whICh reco.rd :indudesthe. teStiin.o~i. and.'
eVld~nce.uponwhlchtheilPp~allsbased.. ... .. ~:- '. .. .... .. ,.i,;:.\;;~.~ .-;:
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ff you. ~re. a person with a dis~bil1ty who heeds any aCcommodation. in 'hr~no"par-
.tiClpate in .this proceeding; you are entitled, .at rioc;ost to. you, to the pl:ovi'sion. of.
certain. assistance. Please contact the Collier County. Facilities Management. p.~llart-
men:t, lOCated at 3335 ;amiami Trait East, Suite 101, Naples. Florida 34112,'(23.9)
252-8380,' Assisted listening devices for the hearing'impaired are availilble:in the
County Comm~sioners' Office.:. . ,:. ... : :.:.': , .;;}};~:~:;~} :
:.: .~~t~~~~lo~O~~~~~~I:~I~.~~~ .:. ..,..:...:..:~./, ::..1. . .::-:.~..:.:-.;.::~,'~~1.:1:,;:.:~;.~.~;~..:~ ' '
F~E~ ~~n~, OiAi~~~~ ":~ .' ,:. . ":.:."~: ',.. '.
.DWIGHT E. BROCK, CLERK'. _:' < _.:.:.:: '.
By: Ann Jennejoh.n, Deputy Oerk - ..: :" .:: ~. ~.~.
(SEAl) .. .. . .-
Jan.u<lrV 14 '011 .
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