HomeMy WebLinkAboutTBID_2017-02-15_Agenda Packet
ADVISORY BOARD FOR THE ATASCADERO TOURISM
BUSINESS IMPROVEMENT DISTRICT
AGENDA
Wednesday, February 15, 2017 at 2:30 P.M.
Atascadero City Hall - 6500 Palma Avenue, Club Room
Atascadero, California
CALL TO ORDER:
ROLL CALL: Chairperson Amar Sohi, Holiday Inn Express and Suites
Vice-Chairperson Deana Alexander, The Carlton Hotel
Board Member Tom O’Malley, Portola Inn
Board Member Jiten Patel, Best Western Plus Colony Inn
Board Member Tianna Speth, SpringHill Suites Marriott
APPROVAL OF AGENDA:
PUBLIC COMMENT: This portion of the meeting is reserved for persons wanting to
address the Board on any matter not on this agenda and over which the Board has
jurisdiction. Speakers are limited to three minutes. Please state your name for the record
before making your presentation. The Board may take action to direct the staff to place
a matter of business on a future agenda. A maximum of 30 minutes will be allowed for
Public Comment, unless changed by the Board.
A. CONSENT CALENDAR
1. Advisory Board Draft Action Minutes – November
• Action: Board approve the Draft Action Minutes of January 18, 2017. [City
Manager’s Office]
B. BUSINESS ITEMS
1. Short Term Rentals by Amanda Diefenderfer
• Recommendation: Report on findings from company utilized in Pismo that
provides a list of the short term rentals.
• Fiscal Impact (Contingency/ Cash Reserves): $15,000 for software program
2. Approval of 2015/2016 Final Budget by Amanda Diefenderfer
• Recommendation: Approve and file final 2015/2016 budget
• Fiscal Impact: None
3. Atascadero TBID Renewal along with contracts – Review of Timeline and
Next Steps by Amanda Diefenderfer
• Recommendation: Recommend to staff and marketing firm to complete
Atascadero TBID renewal documents
• Fiscal Impact: None
4. Website Promotion by Geographic Area by Angelica Ottman
• Recommendation: Creston, Atascadero, Santa Margarita, Carissa Plains,
Templeton
• Fiscal Impact: None
5. Website Procedures by Terrie Banish
• Recommendation: No event promotions other than those included in the City
or TBID event tier system. No business advertising.
• Fiscal Impact: None
6. Reporting TOT Monthly vs. Quarterly by Terrie Banish
• Recommendation: Recommend to staff to bring the topic of TOT reporting
from quarterly to monthly back to Council to review and vote on.
• Fiscal Impact (GL not applicable): $5,100 one-time fee plus $6,500 per year
C. UPDATES
1. Visit SLO County TMD – JP Patel
2. STR Figures – Amanda Diefenderfer
3. Deputy City Manager Update – Terrie Banish
a. CCWP Wedding Expo recap
b. Upcoming staff requirements for Visit Atascadero booth at Feb 19th event
with set up from 2-3:30 and event from 3:30 – 6:30 pm.
4. Marketing Committee Update – Angelica Ottman
a. Approved Matador Video
b. Funds spent and request for additional ability to approve time-sensitive
opportunities
5. Marketing Update – Verdin Marketing
a. Verdin Marketing Monthly Report
6. Budget Report – Amanda Diefenderfer
D. BOARD MEMBER COMMENTS
E. ADJOURNMENT
Atascadero Tourism Business Improvement District (ATBID)
WELCOME TO THE ATBID MEETING
The ATBID Advisory Board meets in regular session on the third Wednesday of each month at 2:30 p.m.
Board meetings will be held at the Atascadero City Hall, 6500 Palma Avenue, Atascadero. Matters are
considered by the Advisory Board in the order of the printed Agenda.
Copies of the staff reports or other documentation relating to each item of business referred to on the
Agenda are on file in the office of the City Clerk and are available for public inspection during City Hall
business hours at the Atascadero City Hall, 6500 Palma Avenue, Atascadero, and on our website,
www.atascadero.org. All documents submitted by the public during Advisory Board meetings that are
either read into the record or referred to in their statement will be noted in the minutes and available for
review in the City Clerk's office.
In compliance with the Americans with Disabilities Act, if you need special assistance to participate in
a City meeting or other services offered by this City, please contact the City Manager’s Office or the
City Clerk’s Office, both at (805) 470-3400. Notification at least 48 hours prior to the meeting or time when
services are needed will assist the City staff in assuring that reasonable arrangements can be made to
provide accessibility to the meeting or service.
TO SPEAK ON SUBJECTS NOT LISTED ON THE AGENDA
Under the Agenda item, “PUBLIC COMMENT”, the Chairperson will call for anyone from the audience
wishing to speak concerning any item not on the Agenda to approach the lectern and be recognized.
1. Give your name for the record (not required)
2. State the nature of your business.
3. All comments are limited to 3 minutes.
4. All comments should be made to the Chairperson and Advisory Board.
5. No person shall be permitted to make slanderous, profane or negative personal remarks
concerning any other individual, absent or present.
This is the time items not on the Agenda may be brought to the Advisory Board’s attention. A maximum of
30 minutes will be allowed for PUBLIC COMMENT (unless changed by the Advisory Board). If you wish to
use a computer presentation to support your comments, you must notify the City Clerk's office at least 24
hours prior to the meeting. Digital presentations must be brought to the meeting on a USB drive or CD.
You are required to submit to the City Clerk a printed copy of your presentation for the record. Please
check in with the City Clerk before the meeting begins to announce your presence and turn in your printed
copy.
TO SPEAK ON AGENDA ITEMS (from Title 2, Chapter 1 of the Atascadero Municipal Code)
Members of the audience may speak on any item on the agenda. The Chairperson will identify the subject,
staff will give their report, and the Advisory Board will ask questions of staff. The Chairperson will announce
when the public comment period is open and will request anyone interested to address the Advisory Board
regarding the matter being considered to step up to the lectern. If you wish to speak for, against or comment
in any way:
1. You must approach the lectern and be recognized by the Chairperson
2. Give your name (not required)
3. Make your statement
4. All comments should be made to the Chairperson and Advisory Board
5. No person shall be permitted to make slanderous, profane or negative personal remarks
concerning any other individual, absent or present
6. All comments limited to 3 minutes
The Chairperson will announce when the public comment period is closed, and thereafter, no further public
comments will be heard by the Advisory Board.
Atascadero TBID
January 18, 2017
Page 1 of 4
ADVISORY BOARD FOR THE ATASCADERO TOURISM
BUSINESS IMPROVEMENT DISTRICT
DRAFT ACTION MINUTES
Wednesday, January 18, 2017 at 2:30 P.M.
Atascadero City Hall - 6500 Palma Avenue, Club Room
Atascadero, California
CALL TO ORDER:
Vice-Chairperson Alexander called the meeting to order at 2:35 p.m.
ROLL CALL:
Present: Board Members Patel and Speth and Vice Chairperson Alexander
Absent: Chairperson Sohi and Board Member O’Malley
Staff Present: Destination Manager Amanda Diefenderfer, Destination Specialist
Angelica Ottman, Marketing Consultant Stephanie Goodwin, Deputy
City Clerk Amanda Muther, Deputy City Manager Lara Christensen
and Deputy City Manager/ Outreach, Promotions, Events Terrie
Banish.
APPROVAL OF AGENDA:
MOTION: By Board Member Speth and seconded by Board Member Patel
to approve the agenda.
Motion passed 3:0 by a roll call vote.
PUBLIC COMMENT: None.
A. CONSENT CALENDAR
1. Advisory Board Draft Action Minutes – November
• Action: Board approve the Draft Action Minutes of November 16, 2016.
[City Manager’s Office]
Atascadero TBID
January 18, 2017
Page 2 of 4
2. Resolution Establishing the Date, Time and Location for Meetings of the
Atascadero Tourism Business Improvement District
• Recommendation: Board adopt the Draft Resolution establishing the date, time
and location for meetings of the Tourism Business Improvement District.
MOTION: By Board Member Speth and seconded by Vice Chairperson
Alexander to approve the consent calendar.
Motion passed 3:0 by a roll call vote.
B. BUSINESS ITEMS
1. Advertising Opportunity: VSLOC’s 2017 Co-op Program | BuzzFeed by
Angelica Ottman and Verdin
• Recommendation: Participate in BuzzFeed co-op with VSLOC because of
viewer demographic and widespread reach.
• Fiscal Impact (GL 2502): $10,000
Angelica Ottman from Big Red Marketing and Stephanie Goodwin from Verdin presented
the report. Angelica Ottman, Stephanie Goodwin and Deputy City Manager Terrie Banish
answered questions from the Board.
MOTION: By Board Member Patel and seconded by Board Member Speth
to approve participation in the BuzzFeed co-op with VSLOC.
Motion passed 3:0 by a roll call vote.
2. Advertising Opportunity: Vintages Magazine by Angelica Ottman
• Recommendation: To pursue placement in Vintages Magazine because it
represents significant reach in the Central Valley area.
• Fiscal Impact (GL 2502): $3,700 for full page ad twice a year ($1,850 per issue).
Angelica Ottman from Big Red Marketing presented the report. Angelica Ottman and
Deputy City Manager Terrie Banish answered questions from the Board.
MOTION: By Board Member Patel and seconded by Vice Chairperson
Alexander to pursue full-page placement of advertisement in
Vintages Magazine twice a year.
Motion passed 3:0 by a roll call vote.
3. Community Members invited to Marketing Committee Meetings by Angelica
Ottman
• Recommendation: Allow community members with marketing experience to
participate in providing feedback at the marketing committee meetings.
• Fiscal Impact: None
Atascadero TBID
January 18, 2017
Page 3 of 4
Angelica Ottman from Big Red Marketing presented the report. Deputy City Manager
Terrie Banish and Deputy City Manager Lara Christensen answered questions from the
Board.
There was Board consensus to table item B-3 to discuss item B-4.
After making a motion on item B-4, the Board returned to item B-3.
There was Board Consensus to table item B-3.
4. Marketing Committee Budget by Angelica Ottman
• Recommendation: Consider approving a spending limit for the marketing
committee which would allow participation in reactive advertising
opportunities.
• Fiscal Impact (GL 2502): $9,500 cap suggested per committee
recommendation
Angelica Ottman from Big Red Marketing presented the report. Deputy City Manager
Terrie Banish, Destination Manager, Amanda Diefenderfer and Angelica Ottman
answered questions from the Board.
MOTION: By Board Member Patel and seconded by Board Member Speth
to approve an expenditure limit capped at $9,500 for the
Marketing Committee to allow participation in time sensitive
reactive advertising opportunities with the following
stipulations: 1) the Marketing Committee must return to the full
board to request additional funding or when the $9,500
expenditure limit cap has been met, and 2) the Committee must
report expenditures at the next Board meeting following the
expenditure authorization.
Motion passed 3:0 by a roll call vote.
5. Event Sponsorship Request: Atascadero Beer Festival & Beer Run by
Angelica Ottman
• Recommendation: Decide if the 2017 Beer Festival & Beer Run should be
awarded event sponsorship funding.
• Fiscal Impact (GL 2802): $15,000 requested
Angelica Ottman from Big Red Marketing presented the report. Deputy City Manager
Terrie Banish answered questions from the Board.
MOTION: By Vice Chairperson Alexander and seconded by Board
Member Speth to decline the 2017 Beer Festival & Beer Run
event sponsorship funding request.
Motion passed 3:0 by a roll call vote.
Atascadero TBID
January 18, 2017
Page 4 of 4
6. Short Term Rentals by Amanda Diefenderfer
• Recommendation: Review and provide direction for how to report short term
rentals (i.e., vacation rentals, Airbnb, VBRO properties) not paying into TOT
tax.
• Fiscal Impact (GL 2802): None
Destination Manager Amanda Diefenderfer from Big Red Marketing presented the report
and answered questions from the Board.
MOTION: By Vice Chairperson Alexander and seconded by Board
Member Speth to direct Destination Manager Amanda
Diefenderfer to contact the City of Pismo regarding short-term
rental investigation, research opportunities for investigations
related to Atascadero and report back to Board at the next
meeting.
Motion passed 3:0 by a roll call vote.
C. UPDATES
1. Visit SLO County TMD – Board Member Patel gave a report on the Visit SLO
County TEM. He noted the new SLO CAL brand was approved and the website is
scheduled to go live January 20, 2017.
2. Visit Atascadero Website Update – Angelica Ottman presented an update on the
Visit Atascadero Website.
3. Short Term Rental Figures – Amanda Diefenderfer noted that this report will be
given at the next Board meeting.
4. Deputy City Manager Update – Terrie Banish gave an update on marketing and
promotional efforts in the City including past and upcoming City events. Terrie
provided a handout on the 2017 Restaurant Month participants for the Month of
January (Exhibit A) and the City of Atascadero 2017 Event Calendar (Exhibit B).
5. Marketing Committee Update – Angelica Ottman gave an update. Discussed
Vintages, Visitors Guide and Vino. Also discussed social media and digital
opportunities.
6. Marketing Update – Stephanie Goodwin from Verdin Marketing gave a brief
presentation and reviewed the Verdin Marketing Monthly Report.
7. Budget Report – Amanda Diefenderfer provided an updated budget spreadsheet
(Exhibit C), presented the budget report and answered questions from the Board.
Atascadero TBID
January 18, 2017
Page 5 of 4
D. BOARD MEMBER COMMENTS
Board Member Patel requested that the City reconsider monthly payment of Transient
Occupancy Tax (TOT).
E. ADJOURNMENT
Vice Chairperson Alexander adjourned the meeting at 4:39 p.m.
MINUTES PREPARED BY:
Amanda Muther, Deputy City Clerk
The following exhibits are available for review in the City Clerk’s office:
Exhibit A – 2017 Restaurant Month Participants ~ Month of January, handout from Deputy City Manager
Terrie Banish
Exhibit B – City of Atascadero 2017 Event Calendar, handout from Deputy City Manager Terrie Banish
Exhibit C – ATBID 2015/2016 budget spreadsheet, handout from Destination Manager Amanda Diefenderfer
City
Object #GL #Updated 01/11/17 Notes
REVENUE PROJECTIONS July August September October November December January February March April May June 2015/2016 Actual2015/2016 PROJECTED INCOME
1100 2% BID Revenue July 2015 - June 2016 77,439.35$ 52,104.52$ 46,918.23$ 64,615.90$ 241,078.00$ 183,030.00$ Adjusted based on EOY actual
1200 Fund Balance 289,333.00$ Adjusted based on EOY actual
1300 Investment Earnings 5,458.00$ 2,690.00$
Total 246,536.00$ Revenue Projections TBID = $183,307 and Interest $2670
Budget ACTUAL 2015/16 Budget
Remaining
Budget
% total
budget
Categorical
Contingency
2100 Admin 3,550.80$ 3,830.30$ 279.50$ 1.55%-$
6900000 2101 City Admin Fees 25.27$ 762.08$ 488.40$ 1,135.02$ 2,410.77$ 1,830.30$ ($580.47)
6050000 2102 Office Expense 549.35$ 191.08$ 399.60$ 1,140.03$ 2,000.00$ $859.97
2200 Contracting Firm Fees 40,619.25$ 40,000.00$ (619.25)$ 16.22%-$
6500000 2201 Big Red Marketing - Destination Manager 2,500.00$ 2,500.00$ 5,000.00$ 2,500.00$ 2,509.35$ 4,990.65$ 2,500.00$ 7,500.00$ 30,000.00$ 30,000.00$ $0.00
6500000 2202 Verdin Marketing - Marketing Firm 826.00$ 765.00$ 809.00$ 768.00$ 821.00$ 773.00$ 792.00$ 1,066.00$ 1,001.00$ 1,000.00$ 965.00$ 1,033.25$ 10,619.25$ 10,000.00$ ($619.25)
2300 Marketing Plan 1,667.00$ 12,500.00$ 10,833.00$ 5.07%2,500.00$
6500000 2301 Development and update 1,500.00$ 167.00$ 1,667.00$ 10,000.00$ $8,333.00
2400 Visual Assets 24,936.73$ 15,000.00$ (9,936.73)$ 6.08%-$
6500000 2401 Photography & Visual Resources 405.00$ 5,163.62$ 5,568.62$ 7,500.00$ $1,931.38
6500000 2402 Creative Services - Verdin Scope 2,832.00$ 528.00$ 1,924.00$ 1,840.00$ 1,318.00$ 1,261.00$ 1,147.00$ 3,562.00$ 14,412.00$ 7,500.00$ ($6,912.00)
2403 Creative Services - Outside of Scope 3,319.00$ 213.61$ 1,423.50$ 4,956.11$
2500 Digital Marketing 30,892.35$ 45,000.00$ 14,107.65$ 18.25%-$
6500000 2501 Website Updates 352.00$ 961.00$ 686.00$ 500.00$ 572.00$ 429.00$ 7,489.00$ 669.40$ 184.95$ 2,050.00$ 13,893.35$ 30,000.00$ $16,106.65
6500000 2502 Social Media 740.00$ 1,506.00$ 1,498.00$ 1,758.00$ 1,387.00$ 1,392.00$ 1,403.00$ 1,315.00$ 1,379.00$ 1,375.00$ 1,370.00$ 1,876.00$ 16,999.00$ 15,000.00$ ($1,999.00)
To include budget for boosted
activity and $12000 for retainer
2600 Advertising 55,768.50$ 60,500.00$ 4,731.50$ 24.54%-$
6070000 2601 Print -$ 500.00$ $500.00
6070000 2602 Digital 195.00$ 304.00$ 54.00$ 780.00$ 5,541.00$ 3,571.00$ 11,574.00$ 3,299.00$ 3,584.00$ 3,522.00$ 3,556.00$ 35,980.00$ 26,000.00$ ($9,980.00)
6070000 2603 Reactive Advertising 687.50$ 10,732.50$ 7,500.00$ 583.50$ 285.00$ 19,788.50$ 34,000.00$ $14,211.50
2700 Public Relations 6,800.00$ 11,500.00$ 4,700.00$ 4.66%-$
6500000 2701 Group FAM -$ 5,000.00$ $5,000.00
Includes $3000 retainer and $2000
hard costs
6500000 2702 Individual Itineraries -$ 5,000.00$ $5,000.00
Includes $3000 retainer and $2000
hard costs
6500000 2703 Wire Fees -$ 1,500.00$ $1,500.00
6500000 2704 Firm Fees 146.00$ 167.00$ 1,657.00$ 642.00$ 28.00$ 1,269.00$ 890.00$ 456.00$ 1,178.00$ 367.00$ 6,800.00$ -$ ($6,800.00)
2800 Tour & Travel 1,025.00$ 4,000.00$ 2,975.00$ 1.62%-$
6500000 2801 CCTC Co Op Fams 1,025.00$ 1,025.00$ 2,000.00$ $975.00
6500000 2802 Visit CA Co Op Fams -$ 2,000.00$ $2,000.00
2900 Consumer Outreach 40,760.37$ 51,500.00$ 10,739.63$ 20.89%-$
6500000 2901 Consumer Show Presence 5,000.00$ 5,000.00$ 5,000.00$ $0.00
50% of Savor the Central Coast
Sponsorshihp
6500000 2902 Consumer Event Support 708.00$ 4,323.66$ 3,341.15$ 76.56$ 10.00$ 800.00$ 9,259.37$ 5,000.00$ ($4,259.37)
50% of anticipate Savor the Central
Coast costs
6900000 2903 Event Support Program 1,000.00$ 17,000.00$ 3,000.00$ 21,000.00$ 40,000.00$ $19,000.00
6500000 2904 Email Marketing 1,097.00$ 846.00$ 538.00$ 504.00$ 514.00$ 498.00$ 519.00$ 512.00$ 473.00$ 5,501.00$ 1,500.00$ ($4,001.00)
BUDGET 7,772.00$ 9,456.66$ 9,164.92$ 10,203.56$ 13,491.00$ 12,775.69$ 25,105.35$ 17,628.00$ 45,968.40$ 18,385.98$ 206,020.00$ 243,830.30$
4001 Cash Reserves 24,653.60$ 10.00%
TOTAL Budget $246,536.00
Missing Expenses -$
Ending Fund Balance 329,849.00$
ATBID 2015/16 P&L FINAL
2017/2018 BID Renewal Schedule
BID will expire June 30, 2017 unless renewed by City Council action.
Renewal steps:
1. Annual Report of BID marketing activities
2. Preparation of next year’s Marketing Plan
3. Hotelier’s formal request to City Council to renew the BID assessment
4. City Council adopts Resolution of Intent to Renew the BID
5. Public Hearing for BID renewal (hotelier protests accepted through end of hearing)
6. Marketing Firm & Destination Manager Contracts – City Council action
Draft Schedule:
March Verdin Marketing & Big Red Marketing prepares Annual Report and Draft
Marketing Plan and Budget
2/14 Marketing Committee meet to review the 2017/2018 Marketing Plan and
provides feedback
4/19 ATBID Meeting – Confirm final versions of Annual Report, Marketing Plan and
Budget. Formal action to request extension of BID Assessment through 6/30/17.
Recommendation on extension of Professional Service Contracts.
5/12 Deadline to Submit Final Annual Report for inclusion on the 5/23 City Council
agenda
5/23 City Council – Resolution of Intent to Renew BID, staff report will include Look
Annual Report, Marketing Plan and Budget
6/21 City Council – Public Hearing for BID Renewal; Verdin and Big Red contract
extensions.
Atascadero Tourism Business Improvement District (ATBID)
Visit Atascadero Website Procedures
ADVERTISING OPPORTUNITIES:
The Visit Atascadero website is used to promote tourism in Atascadero. The website is
not a revenue-generating source. Therefore, businesses do not have the opportunity to
purchase featured advertisement space.
EVENTS:
Featured events will take priority on the limited real estate available on the Visit
Atascadero website. At times when space allows, community events may be promoted
if they are of interest to tourists. The TBID board or marketing committee will decide
whether a community event would be of interest to tourists.
The TBID Event Support Tiers will determine if an event is a featured event or
community event. Events that fall into Tier 1 & Tier 2 will be promoted as featured
events. Events that fall into Tier 3 will be promoted as community events.
ITEM NUMBER: C-3
DATE: 02/23/16
Atascadero City Council
Staff Report - City Manager’s Office
Proposed Ordinance to Amend the
Atascadero Municipal Code for Remittance of
Transient Occupancy Tax from Quarterly to Monthly
RECOMMENDATION:
Council provide direction to staff regarding a potential amendment to the Atascadero
Municipal Code to change the reporting and remittance of Transient Occupancy Tax
from quarterly to monthly based on the request of the Atascadero Tourism and
Business Improvement District (ATBID).
DISCUSSION:
The Uniform Transient Occupancy Tax Law of the City of Atascadero was adopted in
October 1980 and was codified in Title 3, Chapter 3 of the Atascadero Municipal Code
(AMC). Since that time, Transient Occupancy Tax (TOT) is reported and remitted
quarterly to the City by lodging businesses. In April 2013, at the request of lodging
businesses, the Council established the Atascadero Tourism and Business
Improvement District (ATBID) in order to levy annual assessments against lodging
business within the ATBID for the purpose of funding tourism promotions and marketing
programs to promote Atascadero as a tourist destination. The ATBID Advisory Board
recommends expenditure of ATBID assessment revenues in accordance with the
ATBID program and budget approved by the City Council.
The ATBID Board of Directors met in December 2015 and requested the collection of
TOT on a monthly, rather than a quarterly basis. Other jurisdictions in San Luis Obispo
County collect TOT on a monthly basis and the ATBID Board desires to measure and
collect tourism dollars in Atascadero in relation to the rest of the County. According to
the ATBID Board, amending the timing of the reporting and remittance of TOT would
allow for a more timely benchmark of tourism and a better gauge of the performance of
marketing dollars in the City. The ATBID Board believes that a collection of TOT on a
monthly basis would enable the ATBID Board, and lodging owners, to track tourism
trends and adjust marketing and promotional efforts to align with those trends.
ITEM NUMBER: C-3
DATE: 02/23/16
Currently, lodging businesses report and remit payment for TOT, ATBID, and County
Tourism Marketing District (TMD) activity quarterly to the City. The City creates and
sends out quarterly tax return forms with instructions, relevant information, and due
dates to lodging business. These forms also act as reminders to the lodging businesses
that a reporting period is soon closing. Staff assists with questions regarding reporting
and due dates. As the reports and payments are received by the City, the funds are
deposited and the revenue is tracked through the accounting system and also
summarized in Excel worksheets. This information is forwarded to the ATBID Board via
periodic staff reports. On a quarterly basis, the City reconciles the information and
prepares a check to the TMD for its portion of the quarterly revenue.
Changing the reporting and remittance periods from quarterly to monthly would require
additional staff time and resources, and is estimated to cost an additional $6,500 per
year. This increase assumes no other changes in the process and assumes lodging
businesses stay in compliance with regards to the timeliness of reporting as delinquent
tax payments require staff to spend additional time escalating the issues as required in
the Municipal Code.
Section 3-3.08 of the Municipal Code requires penalties and interest to be charged and
collected on delinquent taxes. According to Section 3-3.08, the penalty of $200 plus ten
percent of the amount of the tax shall be collected in addition to the amount of the tax
for the original delinquency. Other penalties and interest are charged on continued
delinquencies. There could be significant staff time required to calculate these charges,
follow-up with the delinquent business, and implement the escalation process. As the
program exists today, the City’s lodging businesses receive quarterly tax return forms
from the City about one month prior to the due date, and overall, the City’s lodging
businesses are very timely in reporting and remitting payment.
In the event that Council does, through the public process, vote to change the collection
period to monthly, there will exist somewhat of a greater burde n on the lodging
businesses to report and remit payment on a more frequent schedule. Additionally, the
potential to accrue penalties increases as the number of reporting periods increase. On
the other hand, the reporting and remittance of TOT monthly could allow lodging owners
to more timely assess tourism trends in Atascadero, performance in comparison to
countywide tourism trends, and the utilization of marketing efforts to align with these
trends.
If the Council chose to take no action on the request by the ATBID Board, this would
leave the quarterly reporting and remittance requirement in place and would require no
additional staff time or cost to the City. Lodging owners would continue to receive
quarterly tax return forms from the City and following the reconciliation of the TOT
collection cycle a report would be distributed to the ATBID Board.
Should the Council decide to amend the collection of TOT from quarterly to monthly,
staff will follow the typical process for an ordinance amendment. This would require
staff and the City Attorney to draft a new ordinance, prepare staff reports and notice the
ITEM NUMBER: C-3
DATE: 02/23/16
meetings and lodging owners within the ATBID. The new ordinance would require
noticing and approval at two separate City Council meetings and would go into effect 30
days after the second reading.
FISCAL IMPACT:
If the Council directs staff to move forward with a potential amendment to the Municipal
Code, staff estimates the costs to prepare the staff reports, prepare the draft ordinance,
and publicly notice the meetings will cost approximately $5,100.
ATTACHMENTS:
None.
VERDIN JANUARY STAT SUMMARY
to be distributed at TBID meeting
City of Atascadero
Tourism Report
Transient Occupancy Tax Revenues
Jul-Sep Oct-Dec Jan-Mar Apr-Jun
1ST QTR 2ND QTR 3RD QTR 4TH QTR TOTAL
Fiscal Year 2014 254,557.46$ 158,389.32$ 134,033.44$ 232,385.37$ 779,365.59$
Fiscal Year 2015 262,246.00$ 171,527.07$ 204,920.33$ 261,362.41$ 900,055.81$
Fiscal Year 2016 387,196.75$ 260,522.61$ 234,591.13$ 359,952.40$ 1,242,262.89$
Fiscal Year 2017 441,814.34$ 201,587.35$
GL #Notes
REVENUE PROJECTIONS July August September October November December January
1100 2% BID Revenue July 2016 - June 2017 186,690.00$ Based on figures from City finance
1200 Fund Balance From FY 2015/2016 329,849.00$ Figure not final until fiscal year is closed by City Finance
1300 Investment Earnings 2,110.00$
Total 518,649.00$
Budget Actuals
2016/2017
Proposed budget
2100 Admin 2,820.00$
2101 City Admin Fees -$ 2,000.00$
2102 Office Expense -$ 820.00$
2200 Contracting Firm Fees 42,000.00$
2201 Big Red Marketing - Destination Manager 2,500.00$ $2,500 2,500.00$ 2,500.00$ 2,500.00$ 12,500.00$ 30,000.00$
2202 Verdin Marketing - Marketing Firm 1,169.00$ 940.00$ 1,000.00$ 1,008.00$ 1,054.00$ 915.00$ 6,086.00$ 12,000.00$
Per approved scope of work at
January 2016 board meeting
2300 Visual Assets 27,500.00$
2301 Photography & Video -$ 7,500.00$
2302 Creative Services - Verdin Scope 996.00$ 2,815.00$ 1,503.00$ 879.00$ 572.00$ 3,981.00$ 10,746.00$ 20,000.00$
Per approved scope of work at
January 2016 board meeting and
includes reactive creative
2303 Creative Services - Out of Scope 504.00$ -$
2400 Digital Marketing 63,800.00$
2401 Website Updates 5,141.00$ 382.00$ 7,465.00$ 8,658.00$ 21,646.00$ 38,000.00$
Includes budget for Clever Concepts
Website Build and Verdin's updates
throughout the year
2402 Social Media contest hard costs 239.00$ 239.00$ 3,000.00$
2403 Social Media/E-Newsletter/Constest Management 2,105.00$ 2,052.00$ 1,637.00$ 1,919.00$ 2,020.00$ 2,308.00$ 12,041.00$ 22,800.00$
Per approved scope of work at
January 2016 board meeting
2500 Advertising 72,700.00$
2501 Planned Media Buys 2,955.00$ 3,186.00$ 2,775.00$ 7,429.00$ 7,353.00$ 3,512.00$ 27,210.00$ 44,700.00$
Per approved scope of work at
January 2016 board meeting
2502 Reactive Advertising & Co-Ops 583.50$ 1,300.00$ 750.00$ 2,633.50$ 25,000.00$
Could be with Visit SLO County or
the Chamber of Commerce
2503 Verdin Media Retainer 1,006.00$ 411.00$ 205.00$ 186.00$ 435.00$ 493.00$ 2,736.00$ 3,000.00$
Per approved scope of work at
January 2016 board meeting
2600 Public Relations 9,500.00$
2601 Group FAM -$ 3,000.00$
2602 Individual Itineraries -$ 1,500.00$
2603 PR Retainer & Reactive Planning 753.00$ 341.00$ 418.00$ 345.00$ 69.00$ 556.00$ 2,482.00$ 5,000.00$
Per approved scope of work at
January 2016 board meeting. $3500
planned and $1500 reactive
2700 Tour & Travel 3,000.00$
2701 CCTC Co Op Fams 425.00$ 425.00$ 1,500.00$
2702 Visit CA Co Op Fams -$ 1,500.00$
2800 Consumer Outreach 27,750.00$
2801 Consumer Show Presence -$ 2,750.00$
2802 Event Support Program 1,000.00$ 5,000.00$ 6,000.00$ 25,000.00$
TOTAL BUDGET 15,372.50$ 12,627.00$ 19,307.00$ 15,266.00$ 62,572.50$ 249,070.00$
3001 Cash Reserves 24,900.00$ 10% of total budget
Contingency $244,679.00
4001 Contingency Fund (unallocated)
TOTAL Budget $493,749.00
ATBID 2016/17 Proposed BUDGETED P&L