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Tax hike to boost Pinellas tourism push
An increase to 5 cents on the dollar in the bed tax will fund ads and promotions in the United States and abroad.
By WILL VAN SANT
Published July 27, 2005
CLEARWATER - Tourists will be paying a bit more for a stay in Pinellas County.
Tuesday, the County Commission voted unanimously to raise the tax on visitor accommodations a single percentage point to 5 cents on the dollar. The levy, sometimes called a resort or bed tax, is applied to stays of six months or less at hotels, motels, condos and campgrounds.
Last year, the tax raised $17.9-million. Most went to marketing Pinellas as a destination spot. Smaller amounts were used to restore beach sand and pay debt on Tropicana Field and spring training stadiums in Clearwater and Dunedin.
The added percentage point is expected to generate an extra $4.75-million a year. Almost all the new revenue will be used to promote Pinellas in key media markets in the United States and Europe.
Carole Ketterhagen, director of the St. Petersburg/Clearwater Area Convention & Visitors Bureau, said the money would buy advertisements targeting distinct groups, such as African-Americans, Hispanics and gays and lesbians.
Internationally, folks in the United Kingdom, Germany and the Netherlands will see more ads touting Pinellas as a vacation destination, she said.
Tourism is the county's No. 1 industry and pumps an estimated $6-billion into the local economy every year. The bed tax hike had broad support from business and tourism groups in the county.
Russ Kimball, general manager of Sheraton Sand Key resort in Clearwater, said the tourist trade had rebounded from a hit taken after the terrorist attacks of Sept. 11, 2001. Demand for travel was high enough now, he said, to raise the tax without hurting business.
The money will be used to hire sales representatives in Chicago and Washington, D.C., who will pitch Pinellas as a convention spot. Also, a New York public relations firm will be hired to promote the county in the national media.
Pinellas had a representative in New York before Sept. 11, but terminated the contract when tourism soured.
The tax will take effect Dec. 1.
Will Van Sant can be reached at 445-4166 or vansant@sptimes.com
[Last modified July 27, 2005, 01:03:14]
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