| The ad hoc committee appointed by the Mayor has met many times over the
last four months to review the history of the City's allocation of Transient
Occupancy Tax revenues to support economic and cultural programs. The impact
of recent state legislation regarding the use of such revenue to promote
tourism was reviewed and an amount was established by majority vote to be
the "base" for future annual expenditures.
A remaining issue is the direct allocation of significant portions of the
tax revenues to the Ashland Chamber of Commerce and the Oregon Shakespeare
Festival and what goals relate to those amounts. This could be resolved by
revising the resolution to hold the amount granted to these two entities
at or near the net amount granted in FY 2003-04, adjustable each year by
the percentage of inflation set by the Budget Committee for the General Fund.
The Chamber of Commerce amount would support tourism promotion and economic
development.
This would result in the portion allocated to the smaller grantees to grow
at a more rapid pace to accomplish other goals considered by the ad hoc committee
as they agree with overall Council goals.
In times of deflation the amount allocated to all agencies would decrease
a similar amount not to fall below the state minimum. Reductions in the annually
budgeted revenue will result in a decrease to all recipients and the state
minimum amount to be spent on tourism.
An alternate resolution is attached. It incorporates changes that could be
followed on a trial basis as suggested by Councilor Jackson. |
