|
|
Type:
|
Resolution
|
Status:
|
Passed
|
|
File created:
|
11/28/2016
|
In control:
|
Finance
|
|
On agenda:
|
12/5/2016
|
Final action:
|
12/5/2016
|
|
Title:
|
RESOLUTION DISTRIBUTING THE ESTIMATED 2017 HOTEL-MOTEL AND FOOD AND BEVERAGE TOURISM TAXES.
|
|
Attachments:
|
1. Exhibit A
|
Title
RESOLUTION DISTRIBUTING THE ESTIMATED 2017 HOTEL-MOTEL AND FOOD AND BEVERAGE TOURISM TAXES.
Body
CITY PROPOSAL:
RESOLVED, that the 2017 hotel-motel and food and beverage tourism taxes, as estimated, be distributed in the following manner:
|
|
Total |
Promotional & |
Capital Support |
|
|
|
Operational Support |
& Debt Service |
|
|
|
|
|
|
|
|
|
|
|
3% Hotel/Motel Tax: |
$2,830,600 |
$1,082,700 |
$1,747,900 |
|
1% Hotel/Motel Tax: |
$943,500 |
$943,500 |
|
|
1% Food & Beverage: |
$2,537,900 |
$2,537,900 |
|
|
Additional 2% Hotel/Motel: |
$1,754,200 |
$558,500 |
$1,195,700 |
|
Additional .75% Food & Beverage: |
$1,903,400 |
|
$1,903,400 |
|
Additional .5% Food&Bev & .5% Hotel/Motel |
$1,707,500 |
|
$1,707,500 |
|
Total: |
$11,677,100 |
$5,122,600 |
$6,554,500 |
|
|
|
|
|
|
|
|
|
|
|
DECC- Amsoil Arena Debt Service |
$3,651,300 |
|
$3,651,300 |
|
Spirit Mountain Bond - Chalet |
$500,000 |
|
$500,000 |
|
Spirit Mountain Adventure Park Lease |
$145,700 |
|
$145,700 |
|
Visit Duluth |
$1,900,000 |
$1,900,000 |
|
|
Other Advertising and Publicity |
$85,500 |
$85,500 |
|
|
Tourism Events Support General Fund |
$895,000 |
$895,000 |
|
|
Tourist-Related Park Maintenance |
$200,000 |
$200,000 |
|
|
Lake Superior Zoo |
$510,000 |
$510,000 |
|
|
Great Lakes Aquarium |
$372,500 |
$372,500 |
|
|
Business Improve District |
$200,000 |
$200,000 |
|
|
Heritage & Arts Center/Depot |
$226,800 |
$226,800 |
|
|
Public Arts |
$40,000 |
$40,000 |
|
|
Sister Cities |
$40,000 |
$40,000 |
|
|
Lake Superior & Mississippi Railroad |
$20,000 |
$20,000 |
|
|
Rail Alliance |
$9,800 |
$9,800 |
|
|
DECC - Bayfront Park Management |
$60,000 |
$60,000 |
|
|
DECC - Blue Bridge Operations |
$38,000 |
$38,000 |
|
|
Glensheen Matching Funds |
$50,000 |
$50,000 |
|
|
St Louis River Corridor Debt Service |
$1,707,500 |
|
$1,707,500 |
|
Spirit Mountain Operations |
$200,000 |
$200,000 |
|
|
Mounted Patrol Support |
$30,000 |
$30,000 |
|
|
Fourth Fest Fireworks |
$50,000 |
$50,000 |
|
|
Minnesota Slip Bridge |
$500,000 |
|
$500,000 |
|
Capital Projects |
$50,000 |
|
$50,000 |
|
Undesignated Fund Balance |
$195,000 |
$195,000 |
|
|
Total |
$11,677,100 |
$5,122,600 |
$6,554,500 |
Statement of Purpose
STATEMENT OF PURPOSE: This resolution distributes the 2017 estimated tourism taxes as required by Minnesota State Statutes, City ordinance, or City policy. 2017 hotel/motel revenue is projected to increase 3.25% over 2016 expected revenue and 2017 food and beverage revenue is projected to increase 2.25% over expected 2016 revenue. A comparison of 2016 approved allocations to 2017 proposed allocations is attached as Exhibit A.
Legislated and contractual tourism tax increases include the DECC-Amsoil Arena debt service, the St Louis River Corridor debt service, and Visit Duluth.
2017 tourism tax allocation increases include $125,000 additional funding to Visit Duluth and $12,500 additional funding to the Great Lakes Aquarium.
New allocations being proposed include $500,000 for reconstruction of the Minnesota slip bridge and $50,000 to provide fireworks at Fourth Fest.
|